Accelerated Cost Recovery System - ACRS

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DEFINITION of 'Accelerated Cost Recovery System - ACRS'

A system of depreciation introduced by the Economic Recovery Tax Act of 1981. ACRS depreciation is based on recovery periods instead of useful life. These periods were predetermined by the IRS.

INVESTOPEDIA EXPLAINS 'Accelerated Cost Recovery System - ACRS'

The modified accelerated cost recovery system (MACRS) replaced ACRS for property placed into service after 1986.

RELATED TERMS
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  2. Depreciable Property

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  4. Placed In Service

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  5. Modified Accelerated Cost Recovery ...

    The new accelerated cost recovery system, created after the release ...
  6. Useful Life

    An estimate of how long one can expect to use an income-producing ...
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