The IRS is preparing guidance on the new extension of the “bonus depreciation” tax break to additional kinds of property, an official said Thursday.
The agency is “currently working very actively” on guidance under Section 168(n), a provision in the 2025 tax-and-spending law that extends bonus depreciation to “qualified production property,” said Chris Wrobel, IRS special counsel to the associate chief counsel. He was speaking at the American Bar Association Tax Section’s midyear meeting in San Diego.
Bonus depreciation allows taxpayers to deduct upfront all of their spending on certain capital assets, instead of having to spread the deductions ...