On October 2 an influential congressman, Fred Upton (R-MI) introduced a bill that would amend the Internal Revenue Code to establish a two-year recovery period for the depreciation of computers, computer software and other technological equipment. The rule will revise the current IRS code that establishes a 36-month useful life for the depreciation these items. If the rule passes, CAS covered contractors will still need to independently demonstrate the two year useful life applies to their firms in accordance with CAS 404.
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