[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1968 Introduced in House (IH)]







105th CONGRESS
  1st Session
                                H. R. 1968

    To amend the Internal Revenue Code of 1986 to provide a 2-year 
   applicable recovery period for the depreciation of computers and 
             peripheral equipment, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 19, 1997

Mr. Collins  (for himself, Mr. Cardin, Mr. English of Pennsylvania, Mr. 
 Sessions, Ms. Lofgren, Mr. Barr of Georgia, Mr. Klug, and Mr. Cramer) 
 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 2-year 
   applicable recovery period for the depreciation of computers and 
             peripheral equipment, 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. SHORT TITLE.

    This Act may be cited as the ``Computer Investment Act of 1997''.

SEC. 2. 2-YEAR APPLICABLE RECOVERY PERIOD FOR DEPRECIATION OF COMPUTERS 
              AND PERIPHERAL EQUIPMENT.

    (a) 2-Year Applicable Recovery Period.--
            (1) In General.--Paragraph (1) of section 168(c) of the 
        Internal Revenue Code of 1986 (relating to applicable recovery 
        period) is amended by inserting before the first item in the 
        table the following new item:

  ``Computers or peripheral equipment................        2 years''.
            (2) Conforming amendment.--Clause (iv) of section 
        168(e)(3)(B) of such Code (relating to 5-year property) is 
        amended by inserting ``(except computers or peripheral 
        equipment)'' before the comma.
    (b) 2-Year Recovery Period Under Alternative Depreciation System 
for Tax-Exempt Use Property, Etc.--Subparagraph (C) of section 
168(g)(3) of such Code (relating to alternative depreciation system for 
certain property) is amended to read as follows:
                    ``(C) Qualified technological equipment.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), in the case of any qualified 
                        technological equipment, the recovery period 
                        used for purposes of paragraph (2) shall be 5 
                        years.
                            ``(ii) Computers or peripheral equipment.--
                        In the case of any computer or peripheral 
                        equipment, the recovery period used for 
                        purposes of paragraph (2) shall be 2 years.''
    (c) Effective Date.--The amendments made by this section shall 
apply to property placed in service after December 31, 1997.
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