ACRS, that is, the Accelerated Cost Recovery System was a method under the Tax Reform Act of 1986. Late on changed to Modified Accelerated Cost Recovery System (MACRS). It is a depreciation system used for tax purposes in the U.S. Under the guidance of the IRS, depreciation is calculated on assets. The IRS defines the eligibity of assets for MACRS and the useful life to calculate the depreciation. For taxation purposes, MACRS deprecation is more beneficial.