,,ii  #aagth ,,congress  #b;d ,session  
,s4 #djab  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,april #f1     
#bjbb,mr4 ,braun introduced the         
following bill2 which was read twice and
 referred to the ,committee on ,finance 
,a ,,bill  ,to amend the ,internal      
,revenue ,code of #aihf to modify the   
depreciation of nonresidential real     
property and residential rental         
property4  #a4 ,short title ,this ,act  
may be cited as the ,renewing           
,investment in ,american ,workers and   
,supply ,chains ,act4  #b4 ,modification
 of depreciation of nonresidential real 
property and residential rental property
  7a7 #bj-,year recovery period  7#a7   
,in general ,section #afh7;e77#c77;,f7  
of the ,internal ,revenue ,code of #aihf
 is amended to read as follows3  7,f7   
#bj-year property ,the term #bj-year    
property means-- 7i7 initial clearing   
and grading land improvements with      
respect to any electric utility         
transmission and distribution plant1    

7ii7 any nonresidential real property1  
and  7iii7 any residential rental       
property4  4  7#b7 ,bonus depreciation  
not applicable ,section                 
#afh7k77#b77;,a77i77,i7 of such ,code is
 amended by inserting 7other than       
nonresidential real property and        
residential rental property7 before the 
comma at the end4  7#c7 ,conforming     
amendment ,the table contained in       
section #afh7;c7 of such ,code is       
amended-- 7,a7 by striking the row      
relating to residential rental property1
 and  7,b7 by striking the row relating 
to nonresidential real property4  7b7   
,adjustment of deduction ,to provide    
neutral cost recovery ,section #afh of  
such ,code is amended by adding at the  
end the following new subsection3  7n7  
,neutral cost recovery for              
nonresidential real property and        
residential rental property  7#a7 ,in   
general ,the deduction otherwise        
provided under section #afg7;a7 with    
respect to nonresidential real property 

and residential rental property for any 
taxable year shall be equal to the      
product of such amount 7determined      
without regard to this subsection7      
multiplied by the applicable neutral    
cost recovery ratio with respect to such
 property for such taxable year4  7#b7  
,neutral cost recovery ratio ,for       
purposes of paragraph 7#a71 the term    
applicable neutral cost recovery ratio  
means1 with respect to any property for 
any taxable year1 the product 7not less 
than #a and rounded to the nearest      
#j4jja7 of-- 7,a7 the quotient of-- 7i7 
the gross domestic product deflator 7as 
determined by the ,bureau of ,economic  
,analysis7 for the calendar quarter     
ending in such taxable year which       
corresponds to the calendar quarter     
during which such property was placed in
 service by the taxpayer1 divided by    
7ii7 the gross domestic product deflator
 7as determined by the ,bureau of       
,economic ,analysis7 for the calendar   
quarter during which such property was  

placed in service by the taxpayer1      
multiplied by  7,b7 #a4jc to the nth    
power1 where n is the number of full    
years in the period beginning on the    
#ast day of the calendar quarter during 
which such property was placed in       
service by the taxpayer and ending on   
the day before the beginning of the     
corresponding calendar quarter ending   
during such taxable year4  7#c7         
,application to property placed in      
service before date of enactment ,in the
 case of nonresidential real property or
 residential rental property which is   
placed in service before the date of    
enactment of this subsection1           
subparagraphs 7,a77i71 7,a77ii71 and    
7,b7 of paragraph 7#b7 shall each be    
applied by substituting calendar quarter
 which includes the date of enactment of
 this subsection for calendar quarter   
during which such property was placed in
 service by the taxpayer4  7#d7         
,additional deduction not to affect     
basis or recapture  7,a7 ,in general    

,the additional amount determined under 
this section by reason of this          
subsection shall not be taken into      
account in determining the adjusted     
basis of any applicable property or of  
any interest in a pass-thru entity which
 holds such property and shall not be   
treated as a deduction for depreciation 
for purposes of sections #abde and      
#abej4  7,b7 ,pass-thru entity defined  
,for purposes of subparagraph 7,a71 the 
term pass-thru entity means-- 7i7 a     
regulated investment company1  7ii7 a   
real estate investment trust1  7iii7 an 
,s corporation1  7iv7 a partnership1    
7v7 an estate or trust1 and  7vi7 a     
common trust fund4  4  7c7 ,effective   
dates  7#a7 #bj-year recovery period    
,the amendments made by subsection 7a7  
shall apply to property placed in       
service after the date of the enactment 
of this ,act1 in taxable years ending   
after such date4  7#b7 ,neutral cost    
recovery ,the amendments made by        
subsection 7b7 shall apply to taxable   

years ending after the date of the      
enactment of this ,act4