HCA convinced the court that breaking out specific portions of the cost of a building and assigning them shorter depreciable lives did not violate the
Economic Recovery Tax Act of 1981's ban on component depreciation, but was an appropriate segregation of costs under the old investment tax credit rules.
A requirement complicating the calculation of depreciation deductions prior to ERTA, (the
Economic Recovery Tax Act of 1981), later simplified by Congress, was that the taxpayer determine the useful life of assets employed in a trade or business.
As the decade began, the
Economic Recovery Tax Act of 1981 put in place one of the largest tax reductions in history.
Court of Federal Claims DC District Court ERISA Employee Retirement Income Security Act of 1974 ERTA
Economic Recovery Tax Act of 1981 Fed.
The enactment of the
Economic Recovery Tax Act of 1981 (ERTA), severely restricted the applicability of IRC Sec.
When the interest rate was determined every two years (as it was before enactment of the
Economic Recovery Tax Act of 1981), the spread between the section 6621 rate and the market rate could have become substantial and therefore encouraging taxpayer "gamimg." With the changes adopted in 1981 and 1982 (requiring frequent adjustments of the rate and the daily compounding of interest), however, the potential for any significant differential was eliminated.
First, the
Economic Recovery Tax Act of 1981, which was signed into law on the same day as the Omnibus Budget Reconciliation Act of 1981, reduced receipts $748.9 billion over fiscal years 1981-86 (according to estimates made at the time of enactment).
Court of Federal Claims DC District Court DRA Deficit Reduction Act of 1984 ERISA Employee Retirement Income Security Act of 1974 ERTA
Economic Recovery Tax Act of 1981 Fed.
The
Economic Recovery Tax Act of 1981. -- The Economic Recovery Tax Act (ERTA) was enacted in August 1981; a complete description of ERTA is in the August 1981 SURVEY.
Similarly, in Rivera,(14) the Tax Court stated that the Blue Book (on the
Economic Recovery Tax Act of 1981) is entitled to great respect, but does not technically rise to the level of legislative history.
Staff of the Joint Committee on Taxation, General Explanation of the
Economic Recovery Tax Act of 1981, at 119-20 (1981).
This "bracket creep" is scheduled to be eliminated in 1985; the
economic Recovery Tax Act of 1981 provides for indexation of the individual income tax--automatic increases in personal exemptions and tax brackets in proportion to increases in a price index.
