,i  #aac? ,,congress  #b;d ,session  ,h4
 ,r4 #dgdc  ,,9 ,,! ,,h\se ,,(          
,,repres5tatives  ,may #bc1 #bjad ,mr4  
,l>son ( ,connecticut 7= himself & ,mr4 
,neal7 introduc$ ! foll[+ bill2 :i* 0   
ref]r$ to ! ,committee on ,ways & ,means
  ,a ,,bill  ,to am5d ! ,int]nal ,rev5ue
 ,code ( #aihf to provide = an ext5sion 
( bonus depreciation4  #a4 ,%ort title  
,?is ,act may be cit$ z ! ,bonus        
,depreciation ,ext5sion ,act ( #bjad4   
#b4  ,ext5sion ( bonus depreciation  7a7
  ,9 g5]al  ,p>agraph 7#b7 ( section    
#afh7k7 ( ! ,int]nal ,rev5ue ,code (    
#aihf is am5d$--  7#a7 by /rik+ ,janu>y 
#a1 #bjae 9 subp>agraph 7,a77iv7 &      
ins]t+ ,janu>y #a1 #bjag1 &  7#b7 by    
/rik+ ,janu>y #a1 #bjad ea* place x     
appe>s & ins]t+ ,janu>y #a1 #bjaf4  7b7 
,special rule = ,f$]al long-,t]m        
contracts  ,clause 7ii7 ( section       
#dfj7;c77#f77;,b7 ( su* ,code is am5d$  
by /rik+ ,janu>y #a1 #bjad 7,janu>y #a1 
#bjae & ins]t+ ,janu>y #a1 #bjaf        
7,janu>y #a1 #bjag4  7c7 ,expansion (   

election ,to accel]ate ,,amt cr$its 9   
lieu ( bonus depreciation ,section      
#afh7k77#d7 ( su* ,code is am5d$ to read
 z foll[s3  7#d7 ,election to accel]ate 
amt cr$its 9 lieu ( bonus depreciation  
7,a7 ,9 g5]al ,if a corporation elects  
to h ?is p>agraph apply = any taxable   
ye>--  7i7 p>agraphs 7#a7 & 7#b77;,f77i7
 %all n apply = su* taxable ye>1  7ii7 !
 applicable depreciation me?od us$ "u   
?is section ) respect to any qualifi$   
prop]ty %all be ! /raight l9e me?od1 &  
7iii7 ! limitation impos$ by section    
#ec7;c7 = su* taxable ye> %all be       
increas$ by ! bonus depreciation am\nt  
:i* is det]m9$ = su* taxable ye> "u     
subp>agraph 7,b74  7,b7 ,bonus          
depreciation am\nt ,= purposes ( ?is    
p>agraph--  7i7 ,9 g5]al ,! bonus       
depreciation am\nt = any taxable ye> is 
an am\nt equal to #bj p]c5t ( ! excess  
7if any7 (--  7,i7 ! aggregate am\nt (  
depreciation :i* w\ld be all[$ "u ?is   
section = qualifi$ prop]ty plac$ 9      
s]vice by ! taxpay] dur+ su* taxable ye>

 if p>agraph 7#a7 appli$ to all su*     
prop]ty1 ov]  7,,ii7 ! aggregate am\nt (
 depreciation :i* w\ld be all[$ "u ?is  
section = qualifi$ prop]ty plac$ 9      
s]vice by ! taxpay] dur+ su* taxable ye>
 if p>agraph 7#a7 did n apply to any su*
 prop]ty4  ,! aggregate am\nts det]m9$  
"u subclauses 7,i7 & 7,,ii7 %all be     
det]m9$ )\t reg>d to any election made  
"u subsection 7b77#b77;,d71             
7b77#c77;,d71 or 7g77#g7 & )\t reg>d to 
subp>agraph 7,a77ii74  7ii7 ,limitation 
,! bonus depreciation am\nt = any       
taxable ye> %all n exce$ ! less] (--    
7,i7 #ej p]c5t ( ! m9imum tax cr$it "u  
section #ec7;b7 = ! fir/ taxable ye>    
end+ aft] ,decemb] #ca1 #bjac1 or       
7,,ii7 ! m9imum tax cr$it "u section    
#ec7;b7 = su* taxable ye> det]m9$ by    
tak+ into acc\nt only ! adju/$ m9imum   
tax = taxable ye>s end+ be=e ,janu>y #a1
 #bjad 7det]m9$ by treat+ cr$its z all[$
 on a fir/-91 fir/-out basis74  7iii7   
,aggregation rule ,all corporations :i* 
are treat$ z a s+le employ] "u section  

#eb7;a7 %all be treat$--  7,i7 z #a     
taxpay] = purposes ( ?is p>agraph1 &    
7,,ii7 z hav+ elect$ ! application ( ?is
 p>agraph if any su* corporation s      
elects4  7,c7 ,cr$it refundable ,=      
purposes ( section #fdja7;b71 !         
aggregate increase 9 ! cr$its all[able  
"u "p ,,iv ( sub*apt] ,a = any taxable  
ye> result+ f ! application ( ?is       
p>agraph %all be treat$ z all[$ "u      
subp>t ,c ( su* "p 7& n any o!r subp>t74
  7,d7 ,o!r rules  7i7 ,election ,any   
election "u ?is p>agraph may be revok$  
only ) ! cons5t ( ! ,secret>y4  7ii7    
,p>tn]%ips ) elect+ p>tn]s ,9 ! case ( a
 corporation :i* is a p>tn] 9 a p>tn]%ip
 & :i* makes an election "u subp>agraph 
7,a7 = ! taxable ye>1 = purposes (      
det]m9+ su* corporation's di/ributive   
%>e ( p>tn]%ip items "u section #gjb =  
su* taxable ye>--  7,i7 p>agraphs       
7#a77;,a7 & 7#b77;,f77i7 %all n apply1 &
  7,,ii7 ! applicable depreciation me?od
 us$ "u ?is section ) respect to any    
qualifi$ prop]ty %all be ! /raight l9e  

me?od4  7iii7 ,c]ta9 p>tn]%ips ,9 ! case
 ( a p>tn]%ip 9 :i* m ?an #ej p]c5t ( ! 
capital & pr(its int]e/s are own$       
7directly or indirectly7 at all times   
dur+ ! taxable ye> by #a corporation 7or
 by corporations treat$ z #a taxpay] "u 
subp>agraph 7,b77iii771 ea* p>tn] %all  
compute its bonus depreciation am\nt "u 
clause 7i7 ( subp>agraph 7,b7 by tak+   
into acc\nt its di/ributive %>e ( !     
am\nts det]m9$ by ! p>tn]%ip "u         
subclauses 7,i7 & 7,,ii7 ( su* clause = 
! taxable ye> ( ! p>tn]%ip end+ ) or )9 
! taxable ye> ( ! p>tn]4  7iv7 ,special 
rule = pass5g] aircraft ,9 ! case ( any 
pass5g] aircraft1 ! writt5 b9d+ contract
 limitation "u p>agraph                 
7#b77;,a77iii77,i7 %all n apply =       
purposes ( subp>agraph 7,b77i77,i74  4  
7d7  ,con=m+ am5dm5ts  7#a7 ,! head+ =  
subsection 7k7 ( section #afh ( su*     
,code is am5d$ by /rik+ ,janu>y #a1     
#bjad & ins]t+ ,janu>y #a1 #bjaf4  7#b7 
,! head+ = clause 7ii7 ( section        
#afh7k77#b77;,b7 ( su* ,code is am5d$ by

 /rik+ pre-,janu>y #a1 #bjad & ins]t+   
pre-,janu>y #a1 #bjaf4  7#c7            
,subp>agraph 7,c7 ( section #afh7n77#b7 
( su* ,code is am5d$ by /rik+ ,janu>y   
#a1 #bjad & ins]t+ ,janu>y #a1 #bjaf4   
7#d7 ,subp>agraph 7,d7 ( section        
#adjj,l7b77#b7 ( su* ,code is am5d$ by  
/rik+ ,janu>y #a1 #bjad & ins]t+ ,janu>y
 #a1 #bjaf4  7#e7 ,subp>agraph 7,b7 (   
section #adjj,n7d77#c7 ( su* ,code is   
am5d$ by /rik+ ,janu>y #a1 #bjad &      
ins]t+ ,janu>y #a1 #bjaf4  7e7          
,te*nical am5dm5t relat+ to section #cca
 ( ! ,am]ican ,taxpay] ,relief ,act (   
#bjab ,clause 7iii7 ( section           
#afh7k77#d77;,j7 ( su* ,code is am5d$ by
 /rik+ any taxable ye> & ins]t+ its fir/
 taxable ye>4  7f7 ,effective dates     
7#a7 ,9 g5]al ,except z o!rwise provid$ 
9 ?is subsection1 ! am5dm5ts made by ?is
 subsection %all apply to prop]ty plac$ 
9 s]vice aft] ,decemb] #ca1 #bjac4  7#b7
 ,expansion ( election to accel]ate amt 
cr$its 9 lieu ( bonus depreciation  7,a7
 ,9 g5]al ,! am5dm5t made by subsection 

7c7 7o!r ?an s mu* ( su* am5dm5t z      
relates to section #afh7k77#d77;,d77iii7
 ( su* ,code1 z add$ by su* am5dm5t7    
%all apply to taxable ye>s end+ aft]    
,decemb] #ca1 #bjac4  7,b7 ,transitional
 rule ,9 ! case ( a taxable ye> beg9n+  
be=e ,janu>y #a1 #bjad1 & end+ aft]     
,decemb] #ca1 #bjac1 ! bonus            
depreciation am\nt det]m9$ "u section   
#afh7k77#d7 ( su* ,code = su* ye> %all  
be ! sum (--  7i7 su* am\nt det]m9$ )\t 
reg>d to ! am5dm5ts made by ?is section 
&--  7,i7 by tak+ into acc\nt only      
prop]ty plac$ 9 s]vice be=e ,janu>y #a1 
#bjad1 &  7,,ii7 by multiply+ !         
limitation "u section                   
#afh7k77#d77;,c77ii7 ( su* ,code        
7det]m9$ )\t reg>d to ! am5dm5ts made by
 ?is section7 by a fraction ! num]ator (
 :i* is ! numb] ( days 9 ! taxable ye>  
be=e ,janu>y #a1 #bjad1 & ! d5om9ator ( 
:i* is ! numb] ( days 9 ! taxable ye>1 &
  7ii7 su* am\nt det]m9$ aft] tak+ into 
acc\nt ! am5dm5ts made by ?is section   
&--  7,i7 by tak+ into acc\nt only      

prop]ty plac$ 9 s]vice aft] ,decemb]    
#ca1 #bjac1 &  7,,ii7 by multiply+ !    
limitation "u section                   
#afh7k77#d77;,b77ii7 ( su* ,code 7z     
am5d$ by ?is section7 by a fraction !   
num]ator ( :i* is ! numb] ( days 9 !    
taxable ye> aft] ,decemb] #ca1 #bjac1 & 
! d5om9ator ( :i* is ! numb] ( days 9 ! 
taxable ye>4  7#c7 ,te*nical am5dm5t ,! 
am5dm5t made by subsection 7e7 %all take
 effect z if includ$ 9 ! provision ( !  
,am]ican ,taxpay] ,relief ,act ( #bjab  
to :i* x relates4