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.


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



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Related Terms

Adjusted Basis

Adjusted Cost Base

Declining Balance Method

Depreciation

Modified Accelerated Cost Recovery System - MACRS

Tax Reform Act of 1986

Useful Life

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