Amends the Internal Revenue Code to provide for accelerated depreciation of certain energy-efficient heating, ventilation, air conditioning, or commercial refrigeration property installed in nonresidential real property or residential rental property and placed in service before January 1, 2013.
[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2198 Introduced in House (IH)]
111th CONGRESS
1st Session
H. R. 2198
To amend the Internal Revenue Code of 1986 to provide a shorter
recovery period for the depreciation of certain systems installed in
nonresidential real property or residential rental property.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
April 30, 2009
Ms. Bean (for herself and Mr. Hoekstra) introduced the following bill;
which was referred to the Committee on Ways and Means
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to provide a shorter
recovery period for the depreciation of certain systems installed in
nonresidential real property or residential rental property.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. RECOVERY PERIOD FOR DEPRECIATION OF CERTAIN SYSTEMS
INSTALLED IN NONRESIDENTIAL AND RESIDENTIAL RENTAL
BUILDINGS.
(a) 20-Year Recovery Period for Highly Efficient HVAC&R
Equipment.--Subparagraph (F) of section 168(e)(3) of the Internal
Revenue Code of 1986 (relating to 20-year property) is amended to read
as follows:
``(F) 20-year property.--The term `20-year
property' means--
``(i) initial clearing and grading land
improvements with respect to any electric
utility transmission and distribution plant,
and
``(ii) any property--
``(I) which is part of a heating,
ventilation, air conditioning, or
commercial refrigeration system,
``(II) which exceeds by at least 10
percent the applicable minimum
performance standard for such system or
component under the National Appliance
Energy Conservation Act of 1987 or the
Energy Policy Act of 1992 (as such Acts
are in effect on the date that such
property is placed in service and
taking into account any changes to the
American Society of Heating,
Refrigerating and Air-conditioning
Engineers Standard 90.1 which have been
adopted by the Department of Energy as
of such date),
``(III) which is installed on or in
a building which is nonresidential real
property or residential rental
property,
``(IV) the original use of which
commences with the taxpayer (the owner
or lessor in the case of residential
rental property), and
``(V) which is placed in service
before January 1, 2013.''
(b) 25-Year Recovery Period.--Section 168(e)(3) of such Code is
further amended by inserting after subparagraph (F) the following new
subparagraph:
``(G) 25-year property.--The term `25-year
property' means any property--
``(i) which is part of a heating,
ventilation, air conditioning, or commercial
refrigeration system,
``(ii) which is not described in
subparagraph (F),
``(iii) which is installed on or in a
building which is nonresidential real property
or residential rental property,
``(iv) the original use of which commences
with the taxpayer (the owner or lessor in the
case of residential rental property), and
``(v) which is placed in service before
January 1, 2013.''.
(c) Conforming Amendments.--
(1) The table contained in section 168(c) of such Code is
amended by inserting after the item relating to 20-year
property the following new item:
``25-year property................................. 25 years''.
(2) The table contained in section 467(e)(3)(A) of such
Code is amended by inserting after the item relating to
residential rental property and nonresidential real property
the following new item:
``25-year property................................. 25 years''.
(d) Requirement To Use Straight Line Method.--Paragraph (3) of
section 168(b) of such Code (relating to property to which straight
line method applies) is amended by redesignating subparagraphs (F),
(G), (H), and (I) as subparagraphs (G), (H), (I), and (J),
respectively, and by inserting after subparagraph (E) the following new
subparagraph:
``(F) Property described in subsection (e)(3)(F)(ii) and
subsection (e)(3)(G).''.
(e) Alternative System.--The table contained in section
168(g)(3)(B) of such Code is amended by striking the items relating to
subparagraph (F) and inserting the following new items:
``(F)(i)............................................... 20
(F)(ii)............................................... 20
(G)................................................... 25''.
(f) Effective Date.--The amendments made by this section shall
apply to property placed in service after December 31, 2008.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Ways and Means.
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