I
107TH CONGRESS
1ST SESSION
H. R. 2970
To amend the Internal Revenue Code of 1986 to allow businesses to expense
qualified security devices.
IN THE HOUSE OF REPRESENTATIVES
SEPTEMBER 25, 2001
Mr. WELLER (for himself and Mr. CROWLEY) introduced the following bill;
which was referred to the Committee on Ways and Means
A BILL
To amend the Internal Revenue Code of 1986 to allow
businesses to expense qualified security devices.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Securing America In-
vestment Act of 2001’’.
SEC. 2. BUSINESS DEDUCTION FOR PURCHASE AND IN-
STALLATION OF SECURITY DEVICES.
(a) IN GENERAL.—Part VI of subchapter B of chap-
ter 1 of the Internal Revenue Code of 1986 (relating to
itemized deductions for individuals and corporations) is
amended by inserting after section 179A the following new
section:
‘‘SEC. 179B. SECURITY DEVICE PURCHASES.
‘‘(a) ALLOWANCE OF DEDUCTION.—A taxpayer may
elect to treat the cost of any qualifying security device as
an expense which is not chargeable to capital account. Any
cost so treated shall be allowed as a deduction for the tax-
able year in which such device is placed in service.
‘‘(b) DEFINITIONS.—For purposes of this section—
‘‘(1) QUALIFYING
SECURITY
DEVICE.—The
term ‘qualifying security device’ means a security
device (to which section 168 applies) which is ac-
quired by purchase (as defined in section 179(d)(2))
and which is installed or placed in service in a build-
ing which is owned or occupied by the taxpayer and
which is located in the United States.
‘‘(2) SECURITY
DEVICE.—The term ‘security
device’ means any of the following:
‘‘(A) An electronic access control device or
system.
‘‘(B) 
Biometric 
identification 
or
verification device or system.
‘‘(C) Closed-circuit television or other sur-
veillance and security cameras and equipment.
‘‘(D) Locks for doors and windows, includ-
ing tumbler, key, and numerical or other coded
devices.
‘‘(E) Computers and software used to com-
bat cyberterrorism.
‘‘(F) Electronic alarm systems to provide
detection notification and off-premises trans-
mission of an unauthorized entry, attack, or
fire.
‘‘(G) Components, wiring, system displays,
terminals, auxiliary power supplies, and other
equipment necessary or incidental to the oper-
ation of any item described in subparagraph
(A), (B), (C), (D) (E), or (F).
‘‘(3) BUILDING.—The term ‘building’ includes
any structure or part of a structure used for com-
mercial, retail, or business purposes.
‘‘(c) SPECIAL RULES.—
‘‘(1) BASIS REDUCTION.—For purposes of this
subtitle, if a deduction is allowed under this section
with respect to the purchase of a qualifying security
device, the basis of such device shall be reduced by
the amount of the deduction so allowed.
‘‘(2) CERTAIN RULES TO APPLY.—Rules similar
to the rules of paragraphs (3) and (4) of section
179(b), section 179(c), and paragraphs (3), (4), (8),
and (10) of section 179(d), shall apply for purposes
of this section.’’.
(b) CONFORMING AND CLERICAL AMENDMENTS.—
(1) Section 263(a)(1) is amended by striking
‘‘or’’ at the end of subparagraph (G), by striking the
period at the end of subparagraph (H) and inserting
‘‘, or’’, and by inserting after subparagraph (H) the
following new subparagraph:
‘‘(I) expenditures for which a deduction is
allowed under section 179B.’’.
(2) Section 312(k)(3)(B) is amended by strik-
ing ‘‘or 179A’’ each place it appears in the heading
and text and inserting ‘‘, 179A, or 179B’’.
(3) Section 1016(a) is amended by striking
‘‘and’’ at the end of paragraph (27), by striking the
period at the end of paragraph (28) and inserting ‘‘,
and’’, and by inserting after paragraph (28) the fol-
lowing new paragraph:
‘‘(29) to the extent provided in section
179B(d)(1),’’.
(4) Section 1245(a) is amended by inserting
‘‘179B,’’ after ‘‘179A,’’ both places it appears in
paragraphs (2)(C) and (3)(C).
(5) The table of sections for part VI of sub-
chapter B of chapter 1 of such Code is amended by
inserting after the item relating to section 179A the
following new item:
‘‘Sec. 179B. Security device purchases.’’.
(c) EFFECTIVE DATE.—The amendments made by
this Act shall apply to taxable years ending after Sep-
tember 10, 2001.
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