2.306 -Deduction for Excess First-Year Depreciation

Item	Description	FY2009	FY2010	FY2011
2.306	Deduction for Excess First-Year Depreciation Taxpayers may elect to expense certain business assets purchased during the taxable year. The total deduction cannot exceed $125,000; for taxpayers whose investment in eligible assets exceeds $500,000 in the year, the $125,000 ceiling is reduced by $1 for each dollar of investment above $500,000. Any remaining cost may be depreciated according to ACRS as described in item 2.305. The immediate deduction results in a deferral of tax or an interest-free loan. Origin: IRC S. 179 Estimate: $0.6	0.7	0.6	0.6

Key:

ORIGIN
IRC	Federal Internal Revenue Code (26 U.S.C.)
M.G.L.	Massachusetts General Laws
U.S.C	United States Code
ESTIMATES	All estimates are in $ millions.