SPECIAL RULE FOR LONG-TERM CONTRACT ACCOUNTING.

SEC. 2023. SPECIAL RULE FOR LONG-TERM CONTRACT ACCOUNTING. (a) In General.—Section 460(c) of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph: “(6) Special rule for allocation of bonus depreciation with respect to certain property. “(A) In general. Solely for purposes of determining the percentage of completion under subsection (b)(1)(A), the cost of qualified property shall be taken into account as a cost allocated to the contract as if subsection (k) of section 168 had not been enacted. “(B) Qualified property. For purposes of this paragraph, the term ‘qualified property’ means property described in section 168(k)(2) which— “(i) has a recovery period of 7 years or less, and “(ii) is placed in service after December 31, 2009, and before January 1, 2011 (January 1, 2012, in the case of property described in section 168(k)(2)(B)).” . (b) Effective Date.—The amendment made by this section shall apply to property placed in service after December 31, 2009.