- 33 -
be applicable with respect to any property as of January 1,
1981”. Sec. 168(g)(2) (emphasis added). We agree with
petitioner; the language is not ambiguous, and accordingly we
need not peer into the legislative history. Nevertheless, such
an inquiry would support our analysis. The intent of the ACRS
was to eliminate disagreement between taxpayers and the
Commissioner and to stimulate economic activity. One essential
theme of the ACRS was predictable depreciation periods; that was
accomplished by freezing in time the property classifications as
they were on January 1, 1981. Until further amendment by
Congress, there were to be no changes.
C. Conclusion
Drop and block, as of January 1, 1981, was included in FCC
account No. 232. That account had an asset guideline period of
10 years, making it 5-year property under section 168(c)(2)(B).
We conclude that drop and block placed in service in the years in
question is 5-year property for purposes of the ACRS.
Decision will be entered
under Rule 155.
Reviewed by the Court.
SWIFT, PARR, WELLS, RUWE, WHALEN, BEGHE, FOLEY, VASQUEZ, and
GALE, JJ., agree with this majority opinion.
CHIECHI, J., did not participate in the consideration of
this opinion.
COLVIN, J., dissents.
Page: Previous 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 NextLast modified: May 25, 2011