A bill to amend the Internal Revenue Code of 1986 to reduce the depreciation recovery period for certain restaurant buildings, and for other purposes.

Amends the Internal Revenue Code to classify certain restaurant buildings or any improvements to such buildings as 15-year depreciable property.

[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 732 Introduced in Senate (IS)]







107th CONGRESS
  1st Session
                                 S. 732

 To amend the Internal Revenue Code of 1986 to reduce the depreciation 
    recovery period for certain restaurant buildings, and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 6, 2001

 Mr. Thompson introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to reduce the depreciation 
    recovery period for certain restaurant buildings, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. DEPRECIATION RECOVERY PERIOD FOR RESTAURANT BUILDINGS.

    (a) 15-Year Recovery Period.--Section 168(e)(3)(E) of the Internal 
Revenue Code of 1986 (relating to 15-year property) is amended by 
striking ``and'' at the end of clause (ii), by striking the period at 
the end of clause (iii) and inserting ``, and'', and by adding at the 
end the following new clause:
                            ``(iv) any section 1250 property which is a 
                        retail restaurant facility or an improvement 
                        thereto.''.
    (b) Retail Restaurant Facility.--Section 168(e) (relating to 
classification of property) is amended by adding at the end the 
following new paragraph:
            ``(6) Retail restaurant facility.--The term `retail 
        restaurant facility' means any building if more than 50 percent 
        of the building's square footage is devoted to preparation of, 
        and seating for on-premises consumption of, prepared meals.''.
    (c) Alternative System.--The table contained in section 
168(g)(3)(B) is amended by inserting after the item relating to 
subparagraph (E)(iii) the following new item:

``(E)(iv)...................................................      20''.
    (d) Effective Date.--The amendments made by this section shall 
apply to property placed in service after the date of the enactment of 
this Act and to all improvements made after such date.
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