[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 2287 Introduced in Senate (IS)]








109th CONGRESS
  2d Session
                                S. 2287

To amend the Internal Revenue Code of 1986 to increase and permanently 
 extend the expensing of certain depreciable business assets for small 
                              businesses.


_______________________________________________________________________


                   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.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. INCREASE AND PERMANENT EXTENSION FOR EXPENSING FOR SMALL 
              BUSINESS.

    (a) 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''.
    (b) 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''.
    (c) Inflation Adjustments.--Section 179(b)(5)(A) of such Code 
(relating to inflation adjustments) is amended--
            (1) in the matter preceding clause (i)--
                    (A) by striking ``after 2003 and before 2008'' and 
                inserting ``after 2007'', and
                    (B) by striking ``the $100,000 and $400,000 
                amounts'' and inserting ``the $200,000 and $800,000 
                amounts'', and
            (2) in clause (ii), by striking ``calendar year 2002'' and 
        inserting ``calendar year 2006''.
    (d) Revocation of Election.--Section 179(c)(2) of such Code 
(relating to election irrevocable) is amended to read as follows:
            ``(2) 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.''.
    (e) 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''.
    (f) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2006.
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