II
109th CONGRESS
2d Session
S. 2287
IN THE SENATE OF THE UNITED STATES
February 15, 2006
Ms. Snowe (for herself and Mr. Lott) 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 increase and permanently extend the expensing of certain depreciable business assets for small businesses.
Increase and permanent extension for expensing for small business
In general
Paragraph (1) of section 179(b) of the Internal Revenue
Code of 1986 (relating to dollar limitation) is amended by striking
$25,000 ($100,000 in the case of taxable years beginning after 2002 and
before 2008)
and inserting $200,000
.
Increase in qualifying investment at which phaseout begins
Paragraph (2) of
section 179(b) of such Code (relating to reduction in limitation) is amended by
striking $200,000 ($400,000 in the case of taxable years beginning after
2002 and before 2008)
and inserting $800,000
.
Inflation adjustments
Section 179(b)(5)(A) of such Code (relating to inflation adjustments) is amended—
in the matter preceding clause (i)—
by striking
after 2003 and before 2008
and inserting after
2007
, and
by striking
the $100,000 and $400,000 amounts
and inserting the
$200,000 and $800,000 amounts
, and
in clause (ii),
by striking calendar year 2002
and inserting calendar
year 2006
.
Revocation of election
Section 179(c)(2) of such Code (relating to election irrevocable) is amended to read as follows:
Revocability of election
Any election made under this section, and any specification contained in any such election, may be revoked by the taxpayer with respect to any property, and such revocation, once made, shall be irrevocable.
.
Off-the-shelf computer software
Section 179(d)(1)(A)(ii) of such Code (relating
to section 179 property) is amended by striking and before
2008
.
Effective date
The amendments made by this section shall apply to taxable years beginning after December 31, 2006.