In reference to the new 100% bonus depreciation rules, the law and the joint committee report seem to allow 100% bonus on all additions of self-constructed property as long as construction did not begin and a binding contract was not entered into prior to January 1, 2008. Some commentators have come out with their informal view that the intent of Congress was to only allow 100% bonus on self-constructed property if construction began after September 8, 2010. Under this interpretation, 50% bonus would apply to asset additions if construction began after December 31, 2007 and before September 9, 2010.
The IRS has promised to issue guidance on this issue, and it is scheduled to be released some time later this month. We will do our best to keep you posted.