Proposed Bonus Depreciation Regulations Clarify Impact on Certain Transactions

The M&A Lawyer

Steven J. Matays Jay P. Cosel Scott H. Rabinowitz

In August 2018, the IRS and Department of the Treasury proposed regulations that clarify how the new, expanded bonus depreciation regime may work in the context of many common acquisitions involving corporations and partnerships. Businesses contemplating a reorganization, or a sale or acquisition of either individual assets or an entire business, should be aware of and take into consideration the proposed regulations.