II 110th CONGRESS 1st Session S. 2170 IN THE SENATE OF THE UNITED STATES October 16, 2007 Mrs. Hutchison (for herself and Mr. Kyl) 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 modify the treatment of qualified restaurant property as 15-year property for purposes of the depreciation deduction.

1.

Modification of treatment of qualified restaurant property as 15-year property for purposes of depreciation deduction

(a)

Treatment made permanent

Clause (v) of section 168(e)(3)(E) of the Internal Revenue Code of 1986 (defining 15-year property) is amended by striking placed in service before January 1, 2008. (b)

Treatment To include new construction

Paragraph (7) of section 168(e) of such Code (relating to classification of property) is amended to read as follows: (7)

Qualified restaurant property

The term qualified restaurant property means any section 1250 property which is a building or an improvement to a building if more than 50 percent of the building’s square footage is devoted to preparation of, and seating for on-premises consumption of, prepared meals. . (c)

Effective date

The amendments made by this section shall apply to property placed in service after the date of the enactment of this Act.