The IRS issued guidance  on Tuesday dealing with first-year bonus depreciation.

The Tax Increase Prevention Act of 2014 amended Section 168(k)(2)  by extending the one year placed-in-service date for property that qualifies for 50 percent additional first year depreciation.  The Act also allowed corporations not to claim this bonus depreciation deduction for certain property placed in service between December 31, 2013 and before January 1, 2015 (“round 4 extension property”) but instead to increase their AMT credit limitation.   Revenue Procedure 2015-48 clarifies which property qualifies as round 4 extension property and sets for the time and manner for a corporation to make a round 4 extension property election.