Modified Accelerated Cost Recovery System - MACRS

What is a 'Modified Accelerated Cost Recovery System - MACRS'

A modified accelerated cost recovery system (MACRS) is the new accelerated cost recovery system, created after the release of the Tax Reform Act of 1986, which allows for greater accelerated depreciation over longer time periods.

BREAKING DOWN 'Modified Accelerated Cost Recovery System - MACRS'

Faster acceleration allows individuals to deduct greater amounts during the first few years of an asset's life.

RELATED TERMS
  1. Accelerated Cost Recovery System ...

    A system of depreciation introduced by the Economic Recovery ...
  2. General Depreciation System - GDS

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  3. Unadjusted Basis

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  4. Accelerated Depreciation

    Any method of depreciation used for accounting or income tax ...
  5. Alternative Depreciation System ...

    A depreciation schedule with a straight-line recovery period ...
  6. Recovery Property

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