The Tax Increase Prevention Act (H.R. 5771) extended 50% bonus depreciation for property placed in service in 2014 (2015 for certain long-lived and transportation property) and extends the ability to claim unused alternative minimum tax credits in lieu of bonus depreciation. Some taxpayers, like fiscal year filers or short tax year filers, may have already filed tax returns including property placed in service in 2014.

In prior years, the IRS and Treasury have published guidance regarding the time and manner for making certain elections under the bonus depreciation rules for tax returns that have already been filed. Based on informal discussions with the IRS, we anticipate the IRS will provide guidance on this latest 2014 extension of bonus depreciation as applied to short tax year and fiscal year filers.