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Nineteen-year real property consists of section 1250 class
property with a present class life of more than 12.5 years,
except for low-income housing as defined in section 168(c)(2)(F).
Sec. 168(c)(2)(D). Section 1250 class property is property
described in section 1250(c) and in section 1245(a)(3)(C). Sec.
36 (...continued)
(c) Definition of tangible personal property. If property
is tangible personal property it may qualify as section 38
property irrespective of whether it is used as an integral
part of an activity (or constitutes a research or storage
facility used in connection with such activity) specified in
paragraph (a) of this section. Local law shall not be
controlling for purposes of determining whether property is
or is not "tangible" or "personal". Thus, the fact that
under local law property is held to be personal property or
tangible property shall not be controlling. Conversely,
property may be personal property for purposes of the
investment credit even though under local law the property
is considered to be a fixture and therefore real property.
For purposes of this section, the term "tangible personal
property" means any tangible property except land and
improvements thereto, such as buildings or other inherently
permanent structures (including items which are structural
components of such buildings or structures). Thus,
buildings, swimming pools, paved parking areas, wharves and
docks, bridges, and fences are not tangible personal
property. Tangible personal property includes all property
(other than structural components) which is contained in or
attached to a building. Thus, such property as production
machinery, printing presses, transportation and office
equipment, refrigerators, grocery counters, testing
equipment, display racks and shelves, and neon and other
signs, which is contained in or attached to a building
constitutes tangible personal property for purposes of the
credit allowed by section 38. Further, all property which
is in the nature of machinery (other than structural
components of a building or other inherently permanent
structure) shall be considered tangible personal property
even though located outside a building. Thus, for example,
a gasoline pump, hydraulic car lift, or automatic vending
machine, although annexed to the ground, shall be considered
tangible personal property.
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