ALIGN Act

This proposal would let businesses immediately deduct the full cost of qualifying equipment and certain plants in the year they’re bought and put to use, instead of spreading the write-off over many years. It makes this “full expensing” permanent by setting the deduction at 100% going forward for property placed in service after September 27, 2017. It also updates a related tax rule so it covers property that normally depreciates in 7 years or less, and it applies as if it had been part of Public Law 115–97.

Key points:

• Who is affected: Businesses that buy qualifying property like equipment and certain plants used in their operations.
• What changes: A permanent 100% first-year deduction for qualified property; removal of the phase-down that would reduce the deduction over time; and a related tweak for 7‑year‑or‑less property.
• When: Covers property placed in service after September 27, 2017, and takes effect as if included in Public Law 115–97.