,,ii  #aac? ,,congress  #a/ ,session    
,s4 #ajhe  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,june #c1 #bjac ,ms4   
,coll9s 7= h]self & ,mr4 ,casey7        
introduc$ ! foll[+ bill2 :i* 0 read     
twice & ref]r$ to ! ,committee on       
,f9ance  ,a ,,bill  ,to am5d ! ,int]nal 
,rev5ue ,code ( #aihf to provide tax    
inc5tives = small bus9esses4  #a4 ,%ort 
title ,?is ,act may be cit$ z ! ,small  
,bus9ess ,tax ,c]ta9ty & ,gr[? ,act (   
#bjac4  #b4 ,s5se ( ! ,s5ate reg>d+ tax 
re=m ,x is ! s5se ( ! ,s5ate t ,congress
 %\ld und]take compreh5sive tax re=m    
legislation to--  7#a7 make our sy/em   
fair] & simpl]2 &  7#b7 promote economic
 gr[?4  #c4 ,p]man5t d\bl+ ( d$uctions =
 />t-up exp5ses1 organizational exp5ses1
 & syndication fees  7a7 ,/>t-,up       
exp5ses  7#a7 ,9 g5]al ,clause 7ii7 (   
section #aie7;b77#a77;,a7 ( ! ,int]nal  
,rev5ue ,code ( #aihf is am5d$--  7,a7  
by /rik+ #e1jjj & ins]t+ #aj1jjj1 &     
7,b7 by /rik+ #ej1jjj & ins]t+ #fj1jjj4 
7#b7 ,con=m+ am5dm5t ,subsection 7b7 (  

section #aie ( ! ,int]nal ,rev5ue ,code 
( #aihf is am5d$ by /rik+ p>agraph 7#c74
  7b7 ,organizational exp5ses           
,subp>agraph 7,b7 ( section #bdh ( !    
,int]nal ,rev5ue ,code ( #aihf is       
am5d$--  7#a7 by /rik+ #e1jjj & ins]t+  
#aj1jjj1 &  7#b7 by /rik+ #ej1jjj &     
ins]t+ #fj1jjj4  7c7 ,organization &    
syndication fees ,clause 7ii7 ( section 
#gji7;b77#a77;,a7 ( ! ,int]nal ,rev5ue  
,code ( #aihf is am5d$--  7#a7 by /rik+ 
#e1jjj & ins]t+ #aj1jjj1 &  7#b7 by     
/rik+ #ej1jjj & ins]t+ #fj1jjj4  7d7    
,effective date ,! am5dm5ts made by ?is 
section %all apply to am\nts paid or    
incurr$ 9 taxable ye>s end+ on or aft] !
 date ( ! enactm5t ( ?is ,act4  #d4     
,cl>ification ( ca% acc\nt+ rules =     
small bus9ess  7a7 ,ca% acc\nt+ p]mitt$ 
7#a7 ,9 g5]al ,section #ddf ( ! ,int]nal
 ,rev5ue ,code ( #aihf 7relat+ to g5]al 
rule = me?ods ( acc\nt+7 is am5d$ by    
add+ at ! end ! foll[+ new subsection3  
7g7 ,c]ta9 small bus9ess taxpay]s       
p]mitt$ ,to use ca% acc\nt+ me?od )\t   

limitation  7#a7 ,9 g5]al ,an eligible  
taxpay] %all n be requir$ to use an     
accrual me?od ( acc\nt+ = any taxable   
ye>4  7#b7 ,eligible taxpay] ,= purposes
 ( ?is subsection1 a taxpay] is an      
eligible taxpay] ) respect to any       
taxable ye> if--  7,a7 = all prior      
taxable ye>s beg9n+ aft] ,decemb] #ca1  
#bjac1 ! taxpay] 7or any pr$ecessor7 met
 ! gross receipts te/ ( section         
#ddh7;c71 &  7,b7 ! taxpay] is n subject
 to section #ddg or #ddh4  4  7#b7      
,expansion ( gross receipts te/  7,a7 ,9
 g5]al ,p>agraph 7#c7 ( section #ddh7;b7
 ( su* ,code 7relat+ to entities ) gross
 receipts ( n m ?an #e1jjj1jjj7 is am5d$
 by /rik+ #e1jjj1jjj 9 ! text & 9 !     
head+ & ins]t+ #aj1jjj1jjj4  7,b7       
,con=m+ am5dm5ts ,section #ddh7;c7 ( su*
 ,code is am5d$--  7i7 by /rik+         
#e1jjj1jjj ea* place x appe>s 9 ! text &
 9 ! head+ ( p>agraph 7#a7 & ins]t+     
#aj1jjj1jjj1 &  7ii7 by add+ at ! end ! 
foll[+ new p>agraph3  7#d7 ,inflation   
adju/m5t ,9 ! case ( any taxable ye>    

beg9n+ 9 a cal5d> ye> aft] #bjad1 !     
doll> am\nt conta9$ 9 subsection 7b77#c7
 & p>agraph 7#a7 ( ?is subsection %all  
be increas$ by an am\nt equal to--  7,a7
 su* doll> am\nt1 multipli$ by  7,b7 !  
co/-(-liv+ adju/m5t det]m9$ "u section  
#a7;f77#c7 = ! cal5d> ye> 9 :i* !       
taxable ye> beg9s1 by sub/itut+ cal5d>  
ye> #bjac = cal5d> ye> #aiib 9          
subp>agraph 7,b7 !re(4  ,if any am\nt z 
adju/$ "u ?is subp>agraph is n a        
multiple ( #ajj1jjj1 su* am\nt %all be  
r\nd$ to ! ne>e/ multiple ( #ajj1jjj4  4
  7b7 ,cl>ification ( inv5tory rules =  
small bus9ess  7#a7 ,9 g5]al ,section   
#dga ( ! ,int]nal ,rev5ue ,code ( #aihf 
7relat+ to g5]al rule = inv5tories7 is  
am5d$ by r$esignat+ subsection 7c7 z    
subsection 7d7 & by ins]t+ aft]         
subsection 7b7 ! foll[+ new subsection3 
7c7 ,small bus9ess taxpay]s n requir$   
,to use inv5tories  7#a7 ,9 g5]al ,a    
qualifi$ taxpay] %all n be requir$ to   
use inv5tories "u ?is section = a       
taxable ye>4  7#b7 ,treatm5t ( taxpay]s 

n us+ inv5tories ,if a qualifi$ taxpay] 
does n use inv5tories ) respect to any  
prop]ty = any taxable ye> beg9n+ aft]   
,decemb] #ca1 #bjac1 su* prop]ty %all be
 treat$ z a mat]ial or supply :i* is n  
incid5tal4  7#c7 ,qualifi$ taxpay] ,=   
purposes ( ?is subsection1 ! t]m        
qualifi$ taxpay] means--  7,a7 any      
eligible taxpay] 7z def9$ 9 section     
#ddf7;g77#b771 &  7,b7 any taxpay]      
describ$ 9 section #ddh7;b77#c74  4     
7#b7 ,increas$ eligibility = simplifi$  
doll>-value ,,lifo me?od ,section       
#dgd7;c7 is am5d$ by /rik+ #e1jjj1jjj & 
ins]t+ ! doll> am\nt 9 effect "u section
 #ddh7;c77#a74  7c7 ,effective date &   
special rules  7#a7 ,9 g5]al ,! am5dm5ts
 made by ?is section %all apply to      
taxable ye>s beg9n+ aft] ,decemb] #ca1  
#bjac4  7#b7 ,*ange 9 me?od ( acc\nt+ ,9
 ! case ( any taxpay] *ang+ ! taxpay]'s 
me?od ( acc\nt+ = any taxable ye> "u !  
am5dm5ts made by ?is section--  7,a7 su*
 *ange %all be treat$ z initiat$ by !   
taxpay]2  7,b7 su* *ange %all be treat$ 

z made ) ! cons5t ( ! ,secret>y ( !     
,treasury2 &  7,c7 ! net am\nt ( !      
adju/m5ts requir$ to be tak5 into acc\nt
 by ! taxpay] "u section #dha ( !       
,int]nal ,rev5ue ,code ( #aihf %all be  
tak5 into acc\nt ov] a p]iod 7n great]  
?an #d taxable ye>s7 beg9n+ ) su*       
taxable ye>4  #e4 ,p]man5t ext5sion (   
exp5s+ limitation  7a7 ,doll> limitation
 ,section #agi7;b77#a7 ( ! ,int]nal     
,rev5ue ,code ( #aihf is am5d$ by /rik+ 
%all n exce$ & all t foll[s & ins]t+    
%all n exce$ #bej1jjj44  7b7 ,r$uction 9
 limitation ,section #agi7;b77#b7 ( su* 
,code is am5d$ by /rik+ exce$s & all t  
foll[s & ins]t+ exce$s #hjj1jjj44  7c7  
,inflation adju/m5t ,subsection 7b7 (   
section #agi ( su* ,code is am5d$ by    
add+ at ! end ! foll[+ new p>agraph3    
7#f7 ,inflation adju/m5t  7,a7 ,9 g5]al 
,9 ! case ( any taxable ye> beg9n+ 9 a  
cal5d> ye> aft] #bjad1 ! #bej1jjj 9     
p>agraph 7#a7 & ! #hjj1jjj am\nt 9      
p>agraph 7#b7 %all ea* be increas$ by an
 am\nt equal to--  7i7 su* doll> am\nt1 

multipli$ by  7ii7 ! co/-(-liv+ adju/m5t
 det]m9$ "u section #a7;f77#c7 = !      
cal5d> ye> 9 :i* ! taxable ye> beg9s1 by
 sub/itut+ cal5d> ye> #bjac = cal5d> ye>
 #aiib 9 subp>agraph 7,b7 !re(4  7,b7   
,r\nd+  7i7 ,doll> limitation ,if !     
am\nt 9 p>agraph 7#a7 z increas$ "u     
subp>agraph 7,a7 is n a multiple (      
#a1jjj1 su* am\nt %all be r\nd$ to !    
ne>e/ multiple ( #a1jjj4  7ii7 ,phase\t 
am\nt ,if ! am\nt 9 p>agraph 7#b7 z     
increas$ "u subp>agraph 7,a7 is n a     
multiple ( #aj1jjj1 su* am\nt %all be   
r\nd$ to ! ne>e/ multiple ( #aj1jjj4  4 
7d7 ,comput] s(tw>e ,section            
#agi7;d77#a77;,a77ii7 ( su* ,code is    
am5d$ by /rik+ & be=e #bjad4  7e7       
,election ,section #agi7;c77#b7 ( su*   
,code is am5d$ by /rik+ & be=e #bjad4   
7f7 ,special rules = treatm5t ( qualifi$
 real prop]ty  7#a7 ,9 g5]al ,section   
#agi7;f77#a7 ( su* ,code is am5d$ by    
/rik+ beg9n+ 9 #bjaj1 #bjaa1 #bjab1 or  
#bjac & ins]t+ beg9n+ aft] #bjji4  7#b7 
,con=m+ am5dm5t ,section #agi7;f7 ( su* 

,code is am5d$ by /rik+ p>agraph 7#d74  
7g7 ,effective date ,! am5dm5ts made by 
?is section %all apply to taxable ye>s  
beg9n+ aft] ,decemb] #ca1 #bjac4  #f4   
,ext5sion ( bonus depreciation  7a7 ,9  
g5]al ,p>agraph 7#b7 ( section #afh7k7 (
 ! ,int]nal ,rev5ue ,code ( #aihf is    
am5d$--  7#a7 by /rik+ ,janu>y #a1 #bjae
 9 subp>agraph 7,a77iv7 & ins]t+ ,janu>y
 #a1 #bjaf1 &  7#b7 by /rik+ ,janu>y #a1
 #bjad ea* place x appe>s & ins]t+      
,janu>y #a1 #bjae4  7b7 ,special rule = 
,f$]al long-,t]m contracts ,clause 7ii7 
( section #dfj7;c77#f77;,b7 ( ! ,int]nal
 ,rev5ue ,code ( #aihf is am5d$ by /rik+
 ,janu>y #a1 #bjad 7,janu>y #a1 #bjae & 
ins]t+ ,janu>y #a1 #bjae 7,janu>y #a1   
#bjaf4  7c7 ,con=m+ ,am5dm5ts  7#a7 ,!  
head+ = subsection 7k7 ( section #afh ( 
! ,int]nal ,rev5ue ,code ( #aihf is     
am5d$ by /rik+ ,janu>y #a1 #bjad &      
ins]t+ ,janu>y #a1 #bjae4  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 #bjae4  7#c7 ,section   
#afh7k77#d77;,d7 is am5d$ by /rik+ & at 
! end ( clause 7ii71 by /rik+ ! p]iod at
 ! end ( clause 7iii7 & ins]t+ a comma1 
& by add+ at ! end ! foll[+ new clauses3
  7iv7 ,janu>y #a1 #bjae %all be        
sub/itut$ = ,janu>y #a1 #bjaf 9         
subp>agraph 7,a77iv7 !re(1 &  7v7       
,janu>y #a1 #bjad %all be sub/itut$ =   
,janu>y #a1 #bjae ea* place x appe>s 9  
subp>agraph 7,a7 !re(4  4  7#d7 ,section
 #afh7l77#d7 ( su* ,code is am5d$ by    
/rik+ & at ! end ( subp>agraph 7,a71 by 
r$esignat+ subp>agraph 7,b7 z           
subp>agraph 7,c71 & by ins]t+ aft]      
subp>agraph 7,a7 ! foll[+ new           
subp>agraph3  7,b7 by sub/itut+ ,janu>y 
#a1 #bjad = ,janu>y #a1 #bjae 9 clause  
7i7 !re(1 &  4  7#e7 ,subp>agraph 7,c7 (
 section #afh7n77#b7 ( su* ,code is     
am5d$ by /rik+ ,janu>y #a1 #bjad &      
ins]t+ ,janu>y #a1 #bjae4  7#f7         
,subp>agraph 7,d7 ( section             
#adjj,l7b77#b7 ( su* ,code is am5d$ by  
/rik+ ,janu>y #a1 #bjad & ins]t+ ,janu>y

 #a1 #bjae4  7#g7 ,subp>agraph 7,b7 (   
section #adjj,n7d77#c7 ( su* ,code is   
am5d$ by /rik+ ,janu>y #a1 #bjad &      
ins]t+ ,janu>y #a1 #bjae4  7d7          
,effective date ,! am5dm5ts made by ?is 
section %all apply to prop]ty plac$ 9   
s]vice aft] ,decemb] #ca1 #bjac1 9      
taxable ye>s end+ aft] su* date4  #g4   
,ext5sion ( #ae-ye> /raight-l9e co/     
recov]y = qualifi$ leasehold            
improvem5ts1 qualifi$ re/aurant build+s 
& improvem5ts1 & qualifi$ retail        
improvem5ts  7a7 ,9 ,g5]al ,clauses     
7iv71 7v71 & 7ix7 ( section             
#afh7;e77#c77;,e7 ( ! ,int]nal ,rev5ue  
,code ( #aihf are ea* am5d$ by /rik+    
,janu>y #a1 #bjad & ins]t+ ,janu>y #a1  
#bjae4  7b7 ,effective ,date ,! am5dm5ts
 made by ?is section %all apply to      
prop]ty plac$ 9 s]vice aft] ,decemb]    
#ca1 #bjac4