II 

111TH CONGRESS 

2D SESSION S. 3083 

To amend the Internal Revenue Code of 1986 to allow the expensing of 

certain real property. 

IN THE SENATE OF THE UNITED STATES 

MARCH 5, 2010 

Mr. BENNETT introduced the following bill; which was read twice and referred 

to the Committee on Finance 

A BILL 

To amend the Internal Revenue Code of 1986 to allow the 

expensing of certain real property. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Main Street Revitaliza5 tion Act of 2010’’. 

6 SEC. 2. 10-YEAR CARRYBACK OF OPERATING LOSSES OF 

7 SMALL BUSINESSES. 

8 (a) IN GENERAL.—Section 172(b)(1) of the Internal 

9 Revenue Code of 1986 is amended by adding at the end 

10 the following new subparagraph: 


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1 ‘‘(I) CARRYBACK FOR 2010 AND 2011 NET

2 OPERATING LOSSES OF SMALL BUSINESSES.— 

3 ‘‘(i) IN GENERAL.—If a small busi4 ness (as defined in subparagraph (F)(iii) 

5 determined by applying such subparagraph 

6 for a 10-taxable year period) elects the ap7 plication of this subparagraph with respect 

8 to an applicable 2010 or 2011 net oper9 ating loss— 

10 ‘‘(I) subparagraph (A)(i) shall be 

11 applied by substituting any whole 

12 number elected by the taxpayer which 

13 is more than 2 and less than 11 for 

14 ‘2’, 

15 ‘‘(II) subparagraph (E)(ii) shall 

16 be applied by substituting the whole 

17 number which is one less than the 

18 whole number substituted under sub19 clause (I) for ‘2’, and 

20 ‘‘(III) subparagraph (F) shall not 

21 apply. 

22 ‘‘(ii) APPLICABLE 2010 OR 2011 NET

23 OPERATING LOSS.—For purposes of this 

24 subparagraph, the term ‘applicable 2010 

25 or 2011 net operating loss’ means— 


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1 ‘‘(I) the taxpayer’s net operating 

2 loss for any taxable year ending in 

3 2010 or 2011, or 

4 ‘‘(II) if the taxpayer elects to 

5 have this subclause apply in lieu of 

6 subclause (I), the taxpayer’s net oper7 ating loss for any taxable year begin8 ning in 2010 or 2011. 

9 ‘‘(iii) ELECTION.—Any election under 

10 this subparagraph shall be made in such 

11 manner as may be prescribed by the Sec12 retary, and shall be made by the due date 

13 (including extension of time) for filing the 

14 taxpayer’s return for the taxable year of 

15 the net operating loss. Any such election, 

16 once made, shall be irrevocable. Any elec17 tion under this subparagraph may be made 

18 only with respect to 2 taxable years.’’. 

19 (b) ANTI-ABUSE RULES.—The Secretary of Treasury 

20 or the Secretary’s designee shall prescribe such rules as 

21 are necessary to prevent the abuse of the purposes of the 

22 amendments made by this section, including anti-stuffing 

23 rules, anti-churning rules (including rules relating to sale24 leasebacks), and rules similar to the rules under section 


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1 1091 of the Internal Revenue Code of 1986 relating to 

2 losses from wash sales. 

3 (c) EFFECTIVE DATE.— 

4 (1) IN GENERAL.—Except as otherwise pro5 vided in this subsection, the amendments made by 

6 this section shall apply to net operating losses aris7 ing in taxable years ending after December 31, 

8 2009. 

9 (2) TRANSITIONAL RULE.—In the case of a net 

10 operating loss for a taxable year ending before the 

11 date of the enactment of this Act— 

12 (A) any election made under section 

13 172(b)(3) of the Internal Revenue Code of 

14 1986 with respect to such loss may (notwith15 standing such section) be revoked before the ap16 plicable date, and 

17 (B) any application under section 6411(a) 

18 of such Code with respect to such loss shall be 

19 treated as timely filed if filed before the appli20 cable date. 

21 For purposes of this paragraph, the term ‘‘applica22 ble date’’ means the date which is 60 days after the 

23 date of the enactment of this Act. 


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1 SEC. 3. PERMANENT INCREASE IN LIMITATIONS ON EX2 PENSING OF CERTAIN DEPRECIABLE BUSI3 NESS ASSETS; EXPENSING OF CERTAIN REAL 

4 PROPERTY. 

5 (a) IN GENERAL.—Subsection (b) of section 179 of 

6 the Internal Revenue Code of 1986 (relating to limita7 tions) is amended— 

8 (1) by striking ‘‘$25,000’’ and all that follows 

9 in paragraph (1) and inserting ‘‘$250,000.’’, 

10 (2) by striking ‘‘$200,000’’ and all that follows 

11 in paragraph (2) and inserting ‘‘$800,000’’, 

12 (3) by striking ‘‘after 2007 and before 2011, 

13 the $120,000 and $500,000’’ in paragraph (5)(A) 

14 and inserting ‘‘after 2010, the $250,000 and the 

15 $800,000’’, 

16 (4) by striking ‘‘2006’’ in paragraph (5)(A)(ii) 

17 and inserting ‘‘2009’’, and 

18 (5) by striking paragraph (7). 

19 (b) PERMANENT EXPENSING OF COMPUTER SOFT20 WARE; EXPENSING FOR CERTAIN REAL PROPERTY.— 

21 Paragraph (1) of section 179(d) of the Internal Revenue 

22 Code of 1986 (defining section 179 property) is amended 

23 to read as follows: 

24 ‘‘(1) SECTION 179 PROPERTY.—For purposes of 

25 this section, the term ‘section 179 property’ means 


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1 property acquired by purchase for use in the active 

2 conduct of a trade or business— 

3 ‘‘(A) which— 

4 ‘‘(i) is— 

5 ‘‘(I) tangible property (to which 

6 section 168 applies), or 

7 ‘‘(II) computer software (as de8 fined in section 197(e)(3)(B)) which 

9 is described in section 197(e)(3)(A)(i), 

10 to which section 167 applies, and 

11 which is placed in service in a taxable 

12 year beginning after 2002, and 

13 ‘‘(ii) is section 1245 property (as de14 fined in section 1245(a)(3)), or 

15 ‘‘(B) which is section 1250 property (as 

16 defined by section 1250(c)). 

17 Such term shall not include any property described 

18 in section 50(b) and shall not include air condi19 tioning or heating units.’’. 

20 (c) EFFECTIVE DATE.—The amendments made by 

21 this section shall apply to taxable years beginning after 

22 December 31, 2009. 


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1 SEC. 4. INCREASE IN AMOUNT ALLOWED AS DEDUCTION 

2 FOR START-UP EXPENDITURES. 

3 (a) IN GENERAL.—Subsection (b) of section 195 of 

4 the Internal Revenue Code of 1986 is amended by adding 

5 at the end the following new paragraph: 

6 ‘‘(3) SPECIAL RULE FOR TAXABLE YEARS BE7 GINNING IN 2010, 2011, OR 2012.—In the case of a 

8 taxable year beginning in 2010, 2011, or 2012, 

9 paragraph (1)(A)(ii) shall be applied by substituting 

10 ‘$20,000’ for ‘$5,000’.’’. 

11 (b) EFFECTIVE DATE.—The amendment made by 

12 this section shall apply to amounts paid or incurred in tax13 able years beginning after December 31, 2009. 

Æ 


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