1. Short title
This Act may be cited as the “Small Business Investment Promotion Act”.
Small Business Investment Promotion Act
A BILL
To amend the Internal Revenue Code of 1986 to permit expensing of certain depreciable business assets for small businesses.
2. Expensing certain depreciable business assets for small business
In general—
Dollar limitation— Paragraph (1) of section 179(b) of the Internal Revenue Code of 1986 is amended by striking “shall not exceed—” and all that follows and inserting “shall not exceed $250,000.”.
Reduction in limitation— Paragraph (2) of section 179(b) of such Code is amended by striking “exceeds—” and all that follows and inserting “exceeds $800,000.”.
Computer software— Clause (ii) of section 179(d)(1)(A) of such Code is amended by striking “and before 2014”.
Election— Paragraph (2) of section 179(c) of such Code is amended by striking “may not be revoked” and all that follows through “and before 2014”.
Qualified real property— Section 179(f) of such Code is amended—
by striking “beginning in 2010, 2011, 2012, or 2013” in paragraph (1), and
by striking paragraph (4).
Inflation adjustment— Subsection (b) of section 179 of such Code is amended by adding at the end the following new paragraph:
“(6) Inflation adjustment
“(A) In general—In the case of any taxable year beginning after 2014, the dollar amounts in paragraphs (1) and (2) shall each be increased by an amount equal to—
“(i) such dollar amount, multiplied by
“(ii) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, by substituting “2013” for “1992” in subparagraph (B) thereof.
“(B) Rounding—The amount of any increase under subparagraph (A) shall be rounded to the nearest multiple of $10,000.”
Effective date— The amendments made by this section shall apply to taxable years beginning after December 31, 2013.