Page 51 - Tax Reform

PUBLIC LAW 115–97—DEC. 22, 2017 131 STAT. 2101

(1) by striking ‘‘100/70th’’ and inserting ‘‘100/50th’’ in
subparagraph (B), and
(2) in the flush sentence at the end—
(A) by striking ‘‘100/80th’’ and inserting ‘‘100/65th’’,
and
(B) by striking ‘‘100/70th’’ and inserting ‘‘100/50th’’.
(f) EFFECTIVE DATE.—The amendments made by this section 26 USC 243 note.
shall apply to taxable years beginning after December 31, 2017.
PART II—SMALL BUSINESS REFORMS

SEC. 13101. MODIFICATIONS OF RULES FOR EXPENSING DEPRECIABLE
BUSINESS ASSETS.
(a) INCREASE IN LIMITATION.—
(1) DOLLAR LIMITATION.—Section 179(b)(1) is amended by 26 USC 179.
striking ‘‘$500,000’’ and inserting ‘‘$1,000,000’’.
(2) REDUCTION IN LIMITATION.—Section 179(b)(2) is
amended by striking ‘‘$2,000,000’’ and inserting ‘‘$2,500,000’’.
(3) INFLATION ADJUSTMENTS.—
(A) IN GENERAL.—Subparagraph (A) of section
179(b)(6), as amended by section 11002(d), is amended—
(i) by striking ‘‘2015’’ and inserting ‘‘2018’’, and
(ii) in clause (ii), by striking ‘‘calendar year 2014’’
and inserting ‘‘calendar year 2017’’.
(B) SPORT UTILITY VEHICLES.—Section 179(b)(6) is
amended—
(i) in subparagraph (A), by striking ‘‘paragraphs
(1) and (2)’’ and inserting ‘‘paragraphs (1), (2), and
(5)(A)’’, and
(ii) in subparagraph (B), by inserting ‘‘($100 in
the case of any increase in the amount under para-
graph (5)(A))’’ after ‘‘$10,000’’.
(b) SECTION 179 PROPERTY TO INCLUDE QUALIFIED REAL PROP-
ERTY.—
(1) IN GENERAL.—Subparagraph (B) of section 179(d)(1)
is amended to read as follows:
‘‘(B) which is—
‘‘(i) section 1245 property (as defined in section
1245(a)(3)), or
‘‘(ii) at the election of the taxpayer, qualified real
property (as defined in subsection (f)), and’’.
(2) QUALIFIED REAL PROPERTY DEFINED.—Subsection (f) of
section 179 is amended to read as follows:
‘‘(f) QUALIFIED REAL PROPERTY.—For purposes of this section,
the term ‘qualified real property’ means—
‘‘(1) any qualified improvement property described in sec-
tion 168(e)(6), and
‘‘(2) any of the following improvements to nonresidential
real property placed in service after the date such property
was first placed in service:
‘‘(A) Roofs.
‘‘(B) Heating, ventilation, and air-conditioning prop-
erty. ‘‘(C) Fire protection and alarm systems.
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‘‘(D) Security systems.’’.