Depreciation methods applied to limited partnership assets placed in service in 1986 or before. Replaced by the less-favorable Modified ACRS.
A depreciation system enacted as part of the Economic Recovery Tax Act of 1981 that allows rapid depreciation of assets for tax purposes. It was repealed in the Tax Reform Act of 1986.
A system of depreciation in the tax law. It replaced traditional methods of depreciation starting in 1981. Under ACRS, costs of assets are deducted over certain preset periods. The amount of yearly depreciation and the time or useful life over which depreciation is taken depend on the class the property is placed in by the ACRS system (e.g., realty, equipment). See also “Modified accelerated cost recovery system.
A depreciation method used for most property placed into service from 1981 to 1986. This method allowed property to be depreciated at a faster rate than had been allowed previously. The modified accelerated cost recovery system (MACRS) replaced ACRS for assets placed into service after 1986.
A method of tax depreciation applicable to most equipment placed in service after 1980 and before 1987. Under the Tax Reform Act of 1986, most equipment is now depreciated using the Modified Accelerated Cost Recovery System ( MACRS).
The system for figuring depreciation (cost recovery) for depreciable real property acquired and placed into service after January 1, 1981. (ACRS)
The Tax Reform Act of 1986 established the modified ACRS tax appreciation system prescribing depreciation methods for each ACRS class in lieu of statutory tables. Equipment is assigned among 3, 5, 7, 10,15, or 20 year classes depending on acceleration depreciation range lives.
A system used in computing the depreciation of some assets acquired before 1986 in a way that reduces taxes.
Schedule of depreciation rates allowed for tax purposes. ...
Instead of depreciating an asset uniformly over its useful life (as is the case with the straight-line depreciation method), ACRS uses fixed percentages and a predetermined number of years (depending on the asset's class life) to calculate a depreciation deduction. This method allows for a greater depreciation deduction in the earlier years and generally applies to tangible property placed into service after 1980 and before 1987.
The system of depreciation that came into effect in 1981, replacing traditional methods of depreciation based on useful life. Under ACRS, costs of qualified property are written off over predetermined periods. The minimum number of years and the applicable percent of cost that may be deducted each year depends on the class of the property. The Tax Reform Act of 1986 contained several changes to the ACRS rules. The changes are generally effective for property placed in service after December 31, 1986. See Modified Accelerated Cost Recovery System.
The depreciation schedule of the Economic Recovery Tax Act of 1981 (ERTA), modified by the Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA), that allows faster write offs of plant and equipment is classified as 3,5, or 10 years property. The accelerated cost recovery system (ACRS) replaced the asset depreciation range (ADR) system which was built on the concept of useful life.
Accelerated Cost Recovery System is a tax calculation that provides greater depreciation in the initial period of ownership of real estate or personal property.
The system established by the Economic Recovery Tax Act of 1981 to simplify depreciation methods for tax purposes and to encourage investment in capital by allowing rapid write-off of asset costs over predetermined periods, generally shorter than the estimated useful lives of the assets. The system remains in effect for assets placed in service between 1981 and 1986 but was modified by the Tax Reform Act of 1986 for assets placed in service after 1986. See Modified Accelerated Cost Recovery System.
A tax calculation that provides greater depreciation in the early years of ownership of real estate or personal property.
The ACRS system of depreciation allows for larger depreciation deductions for businesses in the early years of ownership. The Tax Reform Act of 1986 sited several changes to the ACRS rules, thus ACRS was replaced by MACRS (Modified Accelerated Cost Recovery System.)
Accelerated Depreciation ACRS
Commonly referred to as ACRS (prounounced "acres"), a method of depreciating property rapidly for tax purposes. ACRS property is divided into classes and each class has a predetermined time period over which it may be depreciated. ACRS generally is used for property placed in service after 1980 and by Dec. 31, 1986. Subsequent property must be depreciated under the Modified Accelerated Cost Recovery System (MACRS).
A tax calculation to provide greater depreciation during early years of ownership of property or real estate, mandated by the Tax Reform Act of 1986.