Sponsors (6)
This bill gives targeted tax relief to bars, restaurants, and venues to speed recovery of costs for specified energy-efficient draft-alcohol equipment—improving cash flow and encouraging some energy savings—but it lowers near-term federal revenue and creates uneven benefits by favoring particular hardware types.
Owners of restaurants, bars, and entertainment venues can recover the cost of qualifying energy-efficient draft-alcohol equipment faster via 15-year depreciation, improving cash flow and lowering the effective upfront after-tax cost of these equipment purchases.
Makes stainless-steel or aluminum energy-efficient tap equipment more financially attractive, encouraging adoption that can reduce energy use and ongoing operating costs for venues that install it.
All taxpayers could face reduced near-term federal tax revenue because faster depreciation lowers tax receipts, which may increase the deficit or crowd out other spending unless offsets are identified.
The provision's narrow eligibility (specific draft-alcohol hardware) creates unequal tax benefits, favoring certain businesses and equipment types over other similar energy-efficiency investments.
Based on analysis of 2 sections of legislative text.
Treats stainless steel or aluminum draft-alcohol containers and related commercial tap equipment used in restaurants, bars, and entertainment venues as 15-year depreciable property for tax purposes.
Introduced February 20, 2026 by Darin Lahood · Last progress February 20, 2026
Changes federal tax depreciation rules so that stainless steel or aluminum draft-alcohol containers and related commercial tap equipment installed in U.S. buildings and principally used in operating restaurants, bars, or entertainment venues are treated as 15-year depreciable property. The change applies to property placed in service after December 31, 2025, and directs the Treasury to issue regulations or guidance, including rules for leased or rented equipment.