Additional bonus depreciation final regulations issued

Start adding items to your reading lists:
or
Save this item to:
This item has been saved to your reading list.

October 2020

Overview

The IRS and Treasury have finalized proposed regulations published in 2019 providing additional rules for bonus depreciation under Section 168(k), as amended by the 2017 tax reform act (the Act).  These final regulations also provide clarifications to earlier final regulations under Section 168(k) (2019 final regulations).  Like the proposed regulations that preceded them, the final regulations provide helpful clarifications and rules that expand the availability of bonus depreciation for many taxpayers.  

The takeaway

Like the proposed regulations that preceded them, the final regulations provide helpful clarifications and rules that expand the availability of bonus depreciation for many taxpayers.  IRS and Treasury officials noted at the recent virtual American Bar Association Tax Section meeting that they plan to issue procedural guidance in the coming weeks to provide automatic method change procedures implementing the final regulations.

 

Contact us

Christine Turgeon

Partner, Federal Tax Services Leader, PwC US

Follow us