§ 44-61-1.1 - Expensing in lieu of depreciation of assets. - Rhode Island Statutes

SECTION 44-61-1.1

   § 44-61-1.1  Expensing in lieu ofdepreciation of assets. – (a) For purposes of expensing of assets under chapters 11, 14 and 30 of thistitle, the expense deduction shall not exceed twenty-five thousand dollars($25,000) in any taxable year. The additional expensing of assets for federaltax purposes under § 179 of the Internal Revenue Code, 26 U.S.C. §179, provided by the Jobs and Growth Tax Relief Reconciliation Act of 2003 orany subsequent federal enactment shall not be allowed for Rhode Island taxpurposes. In the year that those assets are placed in service and in allsubsequent years, expenses and depreciation for Rhode Island tax purposes shallbe allowed on those assets as it would have been computed prior to theenactment of the Jobs and Growth Tax Relief Reconciliation Act of 2003.

   (b) The gain resulting from any subsequent disposition ofthese assets shall be computed using a basis consistent with the Rhode Islandexpenses and depreciation allowed under subsection (a) of this section.