MACRS Asset Life table

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The MACRS Asset Life table is derived from Revenue Procedure 87-56 1987-2 CB 674. The table specifies asset lives for property subject to depreciation under the general depreciation system provided in section 168(a) of the IRC or the alternative depreciation system provided in section 168(g). Use this table to determine an asset's class based on the asset's activity type or description.

Specific depreciable assets used in all business activities, except as noted

Recovery Periods
(in years)
Asset
class
Description of assets included Class Life (in years) General
Depreciation
System
Alternative
Depreciation
System
00.11 Office Furniture, Fixtures, & Equip.
Includes furniture and fixtures that are not a structural component of a building. Includes such assets as desks, files, safes, and communications equipment. Does not include communications equipment that is included in other classes.
10 7 10
00.12 Information Systems

Information systems include computers and their peripheral equipment used in administering normal business transactions and the maintenance of business records, their retrieval and analysis. Information systems are defined as follows:

1) Computers: A computer is a programmable electronically activated device capable of accepting information, applying prescribed processes to the information, and supplying the results of these processes with or without human intervention. It usually consists of a central processing unit containing extensive storage, logic, arithmetic, and control capabilities. Excluded from this category are adding machines, electronic desk calculators, etc., and other equipment described in class 00.13.

2) Peripheral equipment consists of the auxiliary machines which are designed to be placed under control of the central processing unit. Nonlimiting examples are: Card readers, card punches, magnetic tape feeds, high speed printers, optical character readers, tape cassettes, mass storage units, paper tape equipment, keypunches, data entry devices, teleprinters, terminals, tape drives, disc drives, disc files, disc packs, visual image projector tubes, card sorters, plotters, and collators. Peripheral equipment may be used on-line or off-line. Does not include equipment that is an integral part of other capital equipment that is included in other classes of economic activity, i.e., computers used primarily for process or production control, switching, channeling, and automating distributive trades and services such as point of sale (POS) computer systems. Also, does not include equipment of a kind used primarily for amusement or entertainment of the user.

6 5 n*

Property described in asset class 00.12 which is qualified technological equipment as defined in section 168(i)(2) is assigned a recovery period of 5 years notwithstanding its class life.
5 n*

Property described in asset class 00.12 which is qualified technological equipment as defined in section 168(i)(2) is assigned a recovery period of 5 years notwithstanding its class life.
00.13 Data Handling Equipment, Except Computers
Includes only typewriters, calculators, adding and accounting machines, copiers, and duplicating equipment.
6 5 6
00.21 Airplanes (airframes & engines), except those used in commercial or contract carrying of passengers or freight, & all helicopters (airframes & engines) 6 5 6
00.22 Automobiles, Taxis 3 5 5
00.23 Buses 9 5 9
00.241 Light General Purpose Trucks
Includes trucks for use over the road (actual unloaded weight less than 13,000 pounds).
4 5 5
00.242 Heavy General Purpose Trucks
Includes heavy general purpose trucks, concrete ready mix-truckers, and ore trucks, for use over the road (actual unloaded weight 13,000 pounds or more).
6 5 6
00.25 Railroad Cars & Locomotives, except those owned by railroad transportation companies 15 7 15
00.26 Tractor Units For Use Over-The-Road 4 3 4
00.27 Trailers & Trailer-Mounted Containers 6 5 6
00.28 Vessels, Barges, Tugs, & Similar Water Transportation Equip., except those used in marine construction 18 10 18
00.3 Land Improvements
Includes improvements directly to or added to land, whether such improvements are section 1245 property or section 1250 property, provided such improvements are depreciable. Examples of such assets might include sidewalks, roads, canals, waterways, drainage facilities, sewers (not including municipal sewers in Class 51), wharves and docks, bridges, fences, landscaping, shrubbery, or radio and television transmitting towers. Does not include land improvements that are explicitly included in any other class, and buildings and structural components as defined in section 1.48-1(e) of the regulations. Excludes public utility initial clearing and grading land improvements as specified in Rev. Rul. 72-403, 1972-2 C.B. 102.
20 15 20
00.4 Industrial Steam and Electric Generation and/or Distribution Systems
Includes assets, whether such assets are section 1245 property or 1250 property, providing such assets are depreciable, used in the production and/or distribution of electricity with rated total capacity in excess of 500 Kilowatts and/or assets used in the production and/or distribution of steam with rated total capacity in excess of 12,500 pounds per hour for use by the taxpayer in its industrial manufacturing process or plant activity and not ordinarily available for sale to others. Does not include buildings and structural components as defined in section 1.48-1(e) of the regulations. Assets used to generate and/or distribute electricity or steam of the type described above but of lesser rated capacity are not included, but are included in the appropriate manufacturing equipment classes elsewhere specified. Also includes electric generating and steam distribution assets, which may utilize steam produced by a waste reduction and resource recovery plant, used by the taxpayer in its industrial manufacturing process or plant activity. Steam and chemical recovery boiler systems used for the recovery and regeneration of chemicals used in manufacturing, with rated capacity in excess of that described above, with specifically related distribution and return systems are not included but are included in appropriate manufacturing equipment classes elsewhere specified. An example of an excluded steam and chemical recovery boiler system is that used in the pulp and paper manufacturing industry.
22 15 22

Depreciable assets used in the following activities

Recovery Periods
(in years)
Asset
class
Description of assets included Class Life (in years) General
Depreciation
System
Alternative
Depreciation
System
01.1 Agriculture
Includes machinery and equipment, grain bins, and fences but no other land improvements, that are used in the production of crops or plants, vines, and trees; livestock; the operation of farm dairies, nurseries, greenhouses, sod farms, mushroom cellars, cranberry bogs, apiaries, and fur farms; the performance of agriculture, animal husbandry, and horticultural services.
10 7 10
01.11 Cotton Ginning Assets 12 7 12
01.21 Cattle, Breeding or Dairy 7 5 7
01.221 Any breeding or work horse that is 12 years old or less at the time it is placed in service 10 n**
A horse is more than 2 (or 12) years old after the day that is 24 (or 144) months after its actual birth date.
7 10
01.222 Any breeding or work horse that is more than 12 years old at the time it is placed in service 10 n**
A horse is more than 2 (or 12) years old after the day that is 24 (or 144) months after its actual birth date.
3 10
01.223 Any race horse that is more than 2 years old at the time it is placed in service n**
A horse is more than 2 (or 12) years old after the day that is 24 (or 144) months after its actual birth date.
3 n*
Property described in asset classes 01.223, 01.224, and 01.225 are assigned recovery periods under either section 168(e)(3)(A) or section 168(g)(2)(C) but have no class lives.
12
01.224 Any horse that is more than 12 years old at the time it is placed in service & that is neither a race horse nor a horse described in class 01.222 n**
A horse is more than 2 (or 12) years old after the day that is 24 (or 144) months after its actual birth date.
3 n*
Property described in asset classes 01.223, 01.224, and 01.225 are assigned recovery periods under either section 168(e)(3)(A) or section 168(g)(2)(C) but have no class lives.
12
01.225 Any horse not described in classes 01.221, 01.222, 01.223, or 01.224 n*
Property described in asset classes 01.223, 01.224, and 01.225 are assigned recovery periods under either section 168(e)(3)(A) or section 168(g)(2)(C) but have no class lives.
7 12
01.23 Hogs, Breeding 3 3 3
01.24 Sheep & Goats, Breeding 5 5 5
01.3 Farm buildings except structures included in Class 01.4 25 20 25
01.4 Single purpose agricultural or horticultural structures (within the meaning of section 48(p) of the Code) 15 7 15
10.0 Mining
Includes assets used in the mining and quarrying of metallic and nonmetallic minerals (including sand, gravel, stone, and clay) and the milling, beneficiation and other primary preparation of such materials.
10 7 10
13.0 Offshore Drilling
Includes assets used in offshore drilling for oil and gas such as floating, self-propelled and other drilling vessels, barges, platforms, and drilling equipment and support vessels such as tenders, barges, towboats and crewboats. Excludes oil and gas production assets.
7.5 5 7.5
13.1 Drilling of Oil & Gas Wells
Includes assets used in the drilling of onshore oil and gas wells and the provision of geophysical and other exploration services; and the provision of such oil and gas field services as chemical treatment, plugging and abandoning of wells and cementing or perforating well casings. Does not include assets used in the performance of any of these activities and services by integrated petroleum and natural gas producers for their own account.
6 5 6
13.2 Exploration for & Production of Petroleum & Natural Gas Deposits
Includes assets used by petroleum and natural gas producers for drilling of wells and production of petroleum and natural gas, including gathering pipelines and related storage facilities. Also includes petroleum and natural gas offshore transportation facilities used by producers and other consisting of platforms (other than drilling platforms classified in Class 13.0), compression or pumping equipment, and gathering and transmission lines to the first onshore transshipment facility. The assets used in the first onshore transshipment facility are also included and consist of separation equipment (used for separation of natural gas, liquids, and solids), compression or pumping equipment (other than equipment classified in Class 49.23), and liquid holding or storage facilities (other than those classified in Class 49.25). Does not include support vessels.
14 7 14
13.3 Petroleum Refining
Includes assets used for the distillation, fractionation, and catalytic cracking of crude petroleum into gasoline and its other components.
16 10 16
15.0 Construction
Includes assets used in construction by general building, special trade, heavy and marine construction contractors, operative and investment builders, real estate subdividers and developers, and others except railroads.
6 5 6
20.1 Mfg. of Grain & Grain Mill Products
Includes assets used in the production of flours, cereals, livestock feeds, and other grain and grain mill products.
17 10 17
20.2 Mfg. of Sugar & Sugar Products
Includes assets used in the production of raw sugar, syrup, or finished sugar from sugar cane or sugar beets.
18 10 18
20.3 Mfg. of Vegetable Oils & Vegetable Oil Products
Includes assets used in the production of oil from vegetable materials and the manufacture of related vegetable oil products.
18 10 18
20.4 Mfg. of Other Food & Kindred Products
Includes assets used in the production of foods and beverages not included in classes 20.1, 20.2 and 20.3.
12 7 12
20.5 Mfg. of Food & Beverages-Special Handling Devices
Includes assets defined as specialized materials handling devices such as returnable pallets, palletized containers, and fish processing equipment including boxes, baskets, carts, and flaking trays used in activities as defined in classes 20.1, 20.2, 20.3 and 20.4. Does not include general purpose small tools such as wrenches and drills, both hand and power-driven, and other general purpose equipment such as conveyors, transfer equipment, and materials handling devices.
4 3 4
21.0 Mfg. of Tobacco & Tobacco Products
Includes assets used in the production of cigarettes, cigars, smoking and chewing tobacco, snuff, and other tobacco products.
15 7 15
22.1 Mfg. of Knitted Goods
Includes assets used in the production of knitted and netted fabrics and lace. Assets used in yarn preparation, bleaching, dyeing, printing, and other similar finishing processes, texturing, and packaging, are elsewhere classified.
7.5 5 7.5
22.2 Mfg. of Yarn, Thread, & Woven Fabric
Includes assets used in the production of spun yarns including the preparing, blending, spinning, and twisting of fibers into yarns and threads, the preparation of yarns such as twisting, warping, and winding, the production of covered elastic yarn and thread, cordage, woven fabric, tire fabric, braided fabric, twisted jute for packaging, mattresses, pads, sheets, and industrial belts, and the processing of textile mill waste to recover fibers, flocks, and shoddies. Assets used to manufacture carpets, man-made fibers, and nonwovens, and assets used in texturing, bleaching, dyeing, printing, and other similar finishing processes, are elsewhere classified.
11 7 11
22.3 Mfg. of Carpets & Dyeing, Finishing, & Packaging of Textile Products & Mfg. of Medical & Dental Supplies
Includes assets used in the production of carpets, rugs, mats, woven carpet backing, chenille, and other tufted products, and assets used in the joining together of backing with carpet yarn or fabric. Includes assets used in washing, scouring, bleaching, dyeing, printing, drying, and similar finishing processes applied to textile fabrics, yarns, threads, and other textile goods. Includes assets used in the production and packaging of textile products, other than apparel, by creasing, forming, trimming, cutting and sewing, such as the preparation of carpet and fabric samples, or similar joining together processes (other than the production of scrim reinforced paper products and laminated paper products), such as the sewing and folding of hosiery and panty hose, and the creasing, folding, trimming, and cutting of fabrics to produce nonwoven products, such as disposable diapers and sanitary products. Also includes assets used in the production of medical and dental supplies other than drugs and medicines. Assets used in the manufacture of nonwoven carpet backing, and hard surface floor covering, such as tile, rubber, and cork, are elsewhere classified.
9 5 9
22.4 Mfg. of Textured Yarns
Includes assets used in the processing of yarns to impart bulk and/or stretch properties to the yarn. The principal machines involved are falsetwist, draw, beam-to-beam, and stuffer box texturing equipment and related highspeed twisters and winders. Assets, as described above, which are used to further process man-made fibers are elsewhere classified when located in the same plant in an integrated operation with man-made fiber producing assets. Assets used to manufacture man-made fibers and assets used in bleaching, dyeing, printing, and other similar finishing processes, are elsewhere classified.
8 5 8
22.5 Mfg. of Nonwoven Fabrics
Includes assets used in the production of nonwoven fabrics, felt goods including felt hats, padding, batting, wadding, oakum, and fillings, from new materials and from textile mill waste. Nonwoven fabrics are defined as fabrics (other than reinforced and laminated composites consisting of nonwovens and other products) manufactured by bonding natural and/or synthetic fibers and/or filaments by means of induced mechanical interlocking, fluid entanglement, chemical adhesion, thermal or solvent reaction, or by combination thereof other than natural hydration bonding as occurs with natural cellulose fibers. Such means include resin bonding, web bonding, and melt bonding. Specifically includes assets used to make flocked and needle punched products other than carpets and rugs. Assets, as described above, which are used to manufacture nonwovens are elsewhere classified when located in the same plant in an integrated operation with man-made fiber producing assets. Assets used to manufacture man-made fibers and assets used in bleaching, dyeing, printing, and other similar finishing processes, are elsewhere classified.
10 7 10
23.0 Mfg. of Apparel & Other Finished Products
Includes assets used in the production of clothing and fabricated textile products by the cutting and sewing of woven fabrics, other textile products, and furs; but does not include assets used in the manufacture of apparel from rubber and leather.
9 5 9
24.1 Cutting of Timber
Includes logging machinery and equipment and road-building equipment used by logging and sawmill operators and pulp manufacturers for their own account.
6 5 6
24.2 Sawing of Dimensional Stock from Logs
Includes machinery and equipment installed in permanent or well established sawmills.
10 7 10
24.3 Sawing of Dimensional Stock from Logs
Includes machinery and equipment installed in sawmills characterized by temporary foundations and a lack, or minimum amount, of lumber-handling, drying, and residue disposal equipment and facilities.
6 5 6
24.4 Mfg. of Wood Products & Furniture
Includes assets used in the production of plywood, hardboard, flooring, veneers, furniture, and other wood products, including the treatment of poles and timber.
10 7 10
26.1 Mfg. of Pulp & Paper
Includes assets for pulp materials handling and storage, pulp mill processing, bleach processing, paper and paperboard manufacturing, and on-line finishing. Includes pollution control assets and all land improvements associated with the factory site or production process such as effluent ponds and canals, provided such improvements are depreciable but does not include buildings and structural components as defined in section 1.48-1(e)(1) of the regulations. Includes steam and chemical recovery boiler systems, with any rated capacity, used for the recovery and regeneration of chemicals used in manufacturing. Does not include assets used either in pulpwood logging, or in the manufacture of hardboard.
13 7 13
26.2 Mfg. of Converted Paper, Paperboard, & Pulp Products
Includes assets used for modification, or remanufacture of paper and pulp into converted products, such as paper coated off the paper machine, paper bags, paper boxes, cartons and envelopes. Does not include assets used for manufacture of nonwovens that are elsewhere classified.
10 7 10
27.0 Printing, Publishing, & Allied Industries
Includes assets used in printing by one or more processes, such as letter-press, lithography, gravure, or screen; the performance of services for the printing trade, such as bookbinding, typesetting, engraving, photo-engraving, and electrotyping; and the publication of newspapers, books, and periodicals.
11 7 11
28.0 Mfg. of Chemicals & Allied Products
Includes assets used to manufacture basic organic and inorganic chemicals; chemical products to be used in further manufacture, such as synthetic fibers and plastics materials; and finished chemical products. Includes assets used to further process man-made fibers, to manufacture plastic film, and to manufacture nonwoven fabrics when such assets are located in the same plant in an integrated operation with chemical products producing assets. Also includes assets used to manufacture photographic supplies, such as film, photographic paper, sensitized photographic paper, and developing chemicals. Includes all land improvements associated with plant site or production processes, such as effluent ponds and canals, provided such land improvements are depreciable but does not include buildings and structural components as defined in section 1.48-1(e) of the regulations. Does not include assets used in the manufacture of finished rubber and plastic products or in the production of natural gas products, butane, propane, and by-products of natural gas production plants.
9.5 5 9.5
30.1 Mfg. of Rubber Products
Includes assets used for the production of products from natural, synthetic, or reclaimed rubber, gutta percha, balata, or gutta siak, such as tires, tubes, rubber footwear, mechanical rubber goods, heels and soles, flooring, and rubber sundries; and in the recapping, retreading, and rebuilding of tires.
14 7 14
30.11 Mfg. of Rubber Products-Special Tools & Devices
Includes assets defined as special tools, such as jigs, dies, mandrels, molds, lasts, patterns, specialty containers, pallets, shells; and tire molds, and accessory parts such as rings and insert plates used in activities as defined in class 30.1. Does not include tire building drums and accessory parts and general purpose small tools such as wrenches and drills, both power and hand-driven, and other general purpose equipment such as conveyors and transfer equipment.
4 3 4
30.2 Manufacture of Finished Plastic Products
Includes assets used in the manufacture of plastics products and the molding of primary plastics for the trade. Does not include assets used in the manufacture of basic plastics materials nor the manufacture of phonograph records.
11 7 11
30.21 Manufacture of Finished Plastic Products-Special Tools
Includes assets defined as special tools, such as jigs, dies, fixtures, molds, patterns, gauges, and specialty transfer and shipping devices, used in activities as defined in class 30.2. Special tools are specifically designed for the production or processing of particular parts and have no significant utilitarian value and cannot be adapted to further or different use after changes or improvements are made in the model design of the particular part produced by the special tools. Does not include general purpose small tools such as wrenches and drills, both hand and power-driven, and other general purpose equipment such as conveyors, transfer equipment, and materials handling devices.
3.5 3 3.5
31.0 Manufacture of Leather & Leather Products
Includes assets used in the tanning, currying, and finishing of hides and skins; the processing of fur pelts; and the manufacture of finished leather products, such as footwear, belting, apparel, and luggage.
11 7 11
32.1 Manufacture of Glass Products
Includes assets used in the production of flat, blown, or pressed products of glass, such as float and window glass, glass containers, glassware and fiberglass. Does not include assets used in the manufacture of lenses.
14 7 14
32.11 Manufacture of Glass Products-Special Tools
Includes assets defined as special tools such as molds, patterns, pallets, and specialty transfer and shipping devices such as steel racks to transport automotive glass, used in activities as defined in class 32.1. Special tools are specifically designed for the production or processing of particular parts and have no significant utilitarian value and cannot be adapted to further or different use after changes or improvements are made in the model design of the particular part produced by the special tools. Does not include general purpose small tools such as wrenches and drills, both hand and power-driven, and other general purpose equipment such as conveyors, transfer equipment, and materials handling devices.
2.5 3 2.5
32.2 Manufacture of Cement
Includes assets used in the production of cement, but does not include any assets used in the manufacture of concrete and concrete products nor in any mining or extraction process.
20 15 20
32.3 Manufacture of Other Stone & Clay Products
Includes assets used in the manufacture of products from materials in the form of clay and stone, such as brick, tile, and pipe; pottery and related products, such as vitreous-china, plumbing fixtures, earthenware and ceramic insulating materials; and also includes assets used in manufacture of concrete and concrete products. Does not include assets used in any mining or extraction processes.
15 7 15
33.2 Manufacture of Primary Nonferrous Metals
Includes assets used in the smelting, refining, and electrolysis of nonferrous metals from ore, pig, or scrap, the rolling, drawing, and alloying of nonferrous metals; the manufacture of castings, forgings, and other basic products of nonferrous metals; and the manufacture of nails, spikes, structural shapes, tubing, wire, and cable.
14 7 14
33.21 Manufacture of Primary Nonferrous Metals-Special Tools
Includes assets defined as special tools such as dies, jigs, molds, patterns, fixtures, gauges, and drawings concerning such special tools used in the activities as defined in class 33.2, Manufacture of Primary Nonferrous Metals. Special tools are specifically designed for the production or processing of particular products or parts and have no significant utilitarian value and cannot be adapted to further or different use after changes or improvements are made in the model design of the particular part produced by the special tools. Does not include general purpose small tools such as wrenches and drills, both hand and power-driven, and other general purpose equipment such as conveyors, transfer equipment, and materials handling devices. Rolls, mandrels and refractories are not included in class 33.21 but are included in class 33.2.
6.5 5 6.5
33.3 Manufacture of Foundry Products
Includes assets used in the casting of iron and steel, including related operations such as molding and coremaking. Also includes assets used in the finishing of castings and patternmaking when performed at the foundry, all special tools and related land improvements.
14 7 14
33.4 Manufacture of Primary Steel Mill Products
Includes assets used in the smelting, reduction, and refining of iron and steel from ore, pig, or scrap; the rolling, drawing and alloying of steel; the manufacture of nails, spikes, structural shapes, tubing, wire, and cable. Includes assets used by steel service centers, ferrous metal forges, and assets used in coke production, regardless of ownership. Also includes related land improvements and all special tools used in the above activities.
15 7 15
34.0 Manufacture of Fabricated Metal Products-Special Tools
Includes assets used in the production of metal cans, tinware, fabricated structural metal products, metal stampings, and other ferrous and nonferrous metal and wire products not elsewhere classified. Does not include assets used to manufacture non-electric heating apparatus.
12 7 12
34.01 Manufacture of Fabricated Metal Products-Special Tools
Includes assets defined as special tools such as dies, jigs, molds, patterns, fixtures, gauges, and returnable containers and drawings concerning such special tools used in the activities as defined in class 34.0. Special tools are specifically designed for the production or processing of particular machine components, products, or parts, and have no significant utilitarian value and cannot be adapted to further or different use after changes or improvements are made in the model design of the particular part produced by the special tools. Does not include general purpose small tools such as wrenches and drills, both hand and power-driven, and other general purpose equipment such as conveyors, transfer equipment, and materials handling devices.
3 3 3
35.0 Mfg. of Electrical & Non-Electrical Machinery & Other Mechanical Products
Includes assets used to manufacture or rebuild finished machinery and equipment and replacement parts thereof such as machine tools, general industrial and special industry machinery, electrical power generation, transmission, and distribution systems, space heating, cooling, and refrigeration systems, commercial and home appliances, farm and garden machinery, construction machinery, mining and oil field machinery, internal combustion engines (except those elsewhere classified), turbines (except those that power airborne vehicles), batteries, lamps and lighting fixtures, carbon and graphite products, and electro-mechanical and mechanical products including business machines, instruments, watches and clocks, vending and amusement machines, photographic equipment, medical and dental equipment and appliances, and ophthalmic goods. Includes assets used by manufacturers or re-builders of such finished machinery and equipment in activities elsewhere classified such as the manufacture of castings, forgings, rubber and plastic products, electronic subassemblies or other manufacturing activities if the interim products are used by the same manufacturer primarily in the manufacture, assembly, or rebuilding of such finished machinery and equipment. Does not include assets used in mining, assets used in the manufacture of primary ferrous and nonferrous metals, assets included in class 00.11 through 00.4 and assets elsewhere classified.
10 7 10
36.0 Mfg. of Electronic Components, Products, & Systems
Includes assets used in the manufacture of electronic communication, computation, instrumentation and control systems, including airborne applications; also includes assets used in the manufacture of electronic products such as frequency and amplitude modulated transmitters and receivers, electronic switching stations, television cameras, video recorders, record players and tape recorders, computers and computer peripheral machines, and electronic instruments, watches, and clocks; also includes assets used in the manufacture of components, provided their primary use is in products and systems defined above such as electron tubes, capacitors, coils, resistors, printed circuit substrates, switches, harness cables, lasers, fiber optic devices, and magnetic media devices. Specifically excludes assets used to manufacture electronic products and components, photocopiers, typewriters, postage meters and other electromechanical and mechanical business machines and instruments that are elsewhere classified. Does not include semiconductor manufacturing equipment included in class 36.1.
6 5 6
36.1 Any Semi-conductor Mfg. Equip. 5 5 5
37.11 Mfg. of Motor Vehicles
Includes assets used in the manufacture and assembly of finished automobiles, trucks, trailers, motor homes, and buses. Does not include assets used in mining, printing and publishing, production of primary metals, electricity, or steam, or the manufacture of glass, industrial chemicals, batteries, or rubber products, which are classified elsewhere. Includes assets used in manufacturing activities elsewhere classified other than those excluded above, where such activities are incidental to and an integral part of the manufacture and assembly of finished motor vehicles such as the manufacture of parts and subassemblies of fabricated metal products, electrical equipment, textiles, plastics, leather, and foundry and forging operations. Does not include any assets not classified in manufacturing activity classes, e.g., does not include assets classified in asset classes 00.11 through 00.4. Activities will be considered incidental to the manufacture and assembly of finished motor vehicles only if 75 percent or more of the value of the products produced under one roof are used for the manufacture and assembly of finished motor vehicles. Parts that are produced as a normal replacement stock complement in connection with the manufacture and assembly of finished motor vehicles are considered used for the manufacture and assembly of finished motor vehicles. Do not include assets used in the manufacture of component parts if these assets are used by taxpayers not engaged in the assembly of finished motor vehicles.
12 7 12
37.12 Mfg. of Motor Vehicles-Special Tools
Includes assets defined as special tools, such as jigs, dies, fixtures, molds, patterns, gauges, and specialty transfer and shipping devices, owned by manufacturers of finished motor vehicles and used in qualified activities as defined in class 37.11. Special tools are specifically designed for the production or processing of particular motor vehicle components and have no significant utilitarian value, and cannot be adapted to further or different use, after changes or improvements are made in the model design of the particular part produced by the special tools. Does not include general purpose small tools such as wrenches and drills, both hand and powerdriven, and other general purpose equipment such as conveyors, transfer equipment, and materials handling devices.
3 3 3
37.2 Mfg. of Aerospace Products
Includes assets used in the manufacture and assembly of airborne vehicles and their component parts including hydraulic, pneumatic, electrical, and mechanical systems. Does not include assets used in the production of electronic airborne detection, guidance, control, radiation, computation, test, navigation, and communication equipment or the components thereof.
10 7 10
37.31 Ship & Boat Building Machinery & Equipment
Includes assets used in the manufacture and repair of ships, boats, caissons, marine drilling rigs, and special fabrications not included in asset classes 37.32 and 37.33. Specifically includes all manufacturing and repairing machinery and equipment, including machinery and equipment used in the operation of assets included in asset class 37.32. Excludes buildings and their structural components.
12 7 12
37.32 Ship & Boat Building Dry Docks & Land Improvements
Includes assets used in the manufacture and repair of ships, boats, caissons, marine drilling rigs, and special fabrications not included in asset classes 37.31 and 37.33. Specifically includes floating and fixed dry docks, ship basins, graving docks, shipways, piers, and all other land improvements such as water, sewer, and electric systems. Excludes buildings and their structural components
16 10 16
37.33 Ship & Boat Building-Special Tools
Includes assets defined as special tools such as dies, jigs, molds, patterns, fixtures, gauges, and drawings concerning such special tools used in the activities defined in classes 37.31 and 37.32. Special tools are specifically designed for the production or processing of particular machine components, products, or parts, and have no significant utilitarian value and cannot be adapted to further or different use after changes or improvements are made in the model design of the particular part produced by the special tools. Does not include general purpose small tools such as wrenches and drills, both hand and power-driven, and other general purpose equipment such as conveyors, transfer equipment, and materials handling devices.
6.5 5 6.5
37.41 Mfg. of Locomotives
Includes assets used in building or rebuilding railroad locomotives (including mining and industrial locomotives). Does not include assets of railroad transportation companies or assets of companies which manufacture components of locomotives but do not manufacture finished locomotives.
11.5 7 11.5
37.42 Mfg. of Railroad Cars
Includes assets used in building or rebuilding railroad freight or passenger cars (including rail transit cars). Does not include assets of railroad transportation companies or assets of companies which manufacture components of railroad cars but do not manufacture finished railroad cars.
12 7 12
39.0 Mfg. of Athletic, Jewelry, & Other Goods
Includes assets used in the production of jewelry; musical instruments; toys and sporting goods; motion picture and television films and tapes; and pens, pencils, office and art supplies, brooms, brushes, caskets, etc.
12 7 12

Railroad Transportation note
Classes with the prefix 40 include the assets identified below that are used in the commercial and contract carrying of passengers and freight by rail. Assets of electrified railroads will be classified in a manner corresponding to that set forth below for railroads not independently operated as electric lines. Excludes the assets included in classes with the prefix beginning 00.1 and 00.2 above, and also excludes any non-depreciable assets included in Interstate Commerce Commission accounts enumerated for this class.
40.1 Railroad Machinery & Equip.

Includes assets classified in the following Interstate Commerce Commission accounts.

Roadway accounts:

(16) Station and office buildings (freight handling machinery and equipment only)

(25) TOFC/COFC terminals (freight handling machinery and equipment only)

(26) Communication systems

(27) Signals and interlockers

(37) Roadway machines

(44) Shop machinery Equipment Accounts:

Equipment accounts:

(52) Locomotives

(53) Freight train cars

(54) Passenger train cars

(57) Work equipment

14 7 14
40.2 Railroad Structures & Similar Imp.

Includes assets classified in the following Interstate Commerce Commission road accounts.

(6) Bridges, trestles, and culverts

(7) Elevated structures

(13) Fences, snowsheds, and signs

(16) Station and office buildings (stations and other operating structures only)

(17) Roadway buildings

(18) Water stations

(19) Fuel stations

(20) Shops and enginehouses

(25) TOFC/COFC terminals (operating structures only)

(31) Power transmission systems

(35) Miscellaneous structures

(39) Public improvements construction

30 20 30
40.3 Railroad Wharves & Docks
Includes assets classified in the following Interstate Commerce accounts.

(23) Wharves and docks

(24) Coal and ore wharves

20 15 20
40.4 Railroad Track 10 7 10
40.51 RR Hydraulic Electric Generating Equip. 50 20 50
40.52 RR Nuclear Electric Generating Equip. 20 15 20
40.53 RR Steam Electric Generating Equip. 28 20 28
40.54 RR Steam, Compressed Air, & Other Power Plant Equip. 28 20 28
41.0 Motor Transport-Passengers
Includes assets used in the urban and interurban commercial and contract carrying of passengers by road, except the transportation assets included in classes with the prefix 00.2.
8 5 8
42.0 Motor Transport-Freight
Includes assets used in the commercial and contract carrying of freight by road, except the transportation assets included in classes with the prefix 00.2.
8 5 8
44.0 Water Transportation
Includes assets used in the commercial and contract carrying of freight and passengers by water except the transportation assets included in classes with the prefix 00.2. Includes all related land improvements.
20 15 20
45.0 Air Transport
Includes assets (except helicopters) used in commercial and contract carrying of passengers and freight by air. For purposes of section 11(d)(2)(iv)(a) of the regulations, expenditures for "repair, maintenance, rehabilitation, or improvement" shall consist of direct maintenance expenses (irrespective of airworthiness provisions or charges) as defined by Civil Aeronautics Board uniform accounts 5200, maintenance burden (exclusive of expenses pertaining to maintenance buildings and improvements) as defined by Civil Aeronautics Board uniform accounts 5300, and expenditures which are not "excluded additions" as defined in section 1.167(a)-11(d)(2)(vi) of the regulations and which would be charged to property and equipment accounts in the Civil Aeronautics Board uniform system of accounts.
12 7 12
45.1 Air Transport (restricted)
Includes each asset described in the description of class 45.0 which was held by the taxpayer on April 15, 1976, or is acquired by the taxpayer pursuant to a contract which was, on April 15, 1976, and at all times thereafter, binding on the taxpayer. This criterion of classification based on binding contract concept is to be applied in the same manner as under the general rules expressed in section 49(b)(1), (4), (5) and (8) of the Code (as in effect prior to its repeal by the Revenue Act of 1978, section 312(c)(1), (d), 1978-3 C.B. 1, 60).
6 5 6
46.0 Pipeline Transportation
Includes assets used in the private, commercial, and contract carrying of petroleum, gas and other products by means of pipes and conveyors. The trunk lines and related storage facilities of integrated petroleum and natural gas producers are included in this class. Excludes initial clearing and grading land improvements as specified in Rev. Rul. 72-403, 1972-2 C.B. 102, but includes all other related land improvements.
22 15 22

Telephone Communications note
Includes the assets identified below and that are used in the provision of commercial and contract telephonic services.
48.11 Telephone Central Office Buildings
Includes assets intended to house central office equipment, as defined in Federal Communications Commission Part 31 Account No. 212 whether section 1245 or section 1250 property.
45 20 45
48.12 Telephone Central Office Equip.
Includes central office switching and related equipment as defined in Federal Communications Commission Part 31 Account No. 221 does not include computer-based telephone central office switching equipment included in class 48.121. Does not include private branch exchange (PBX) equipment.
18 10 18
48.121 Computer-based Telephone Central Office Switching Equip.
Includes equipment whose functions are those of a computer or peripheral equipment (as defined in section 168(i)(2)(B) of the Code) used in its capacity as telephone central office equipment. Does not include private branch exchange (PBX) equipment.
9.5 5 9.5
48.13 Telephone Station Equip.
Includes such station apparatus and connections as teletypewriters, telephones, booths, private exchanges, and comparable equipment as defined in Federal Communications Commission Part 31 Account Nos. 231, 232, and 234.
10 7 n*
Property described in asset guideline class 48.13 which is qualified technological equipment as defined in section 168(i)(2) is assigned a 5-year recovery period for both the general and alternative depreciation systems.
10 n*
Property described in asset guideline class 48.13 which is qualified technological equipment as defined in section 168(i)(2) is assigned a 5-year recovery period for both the general and alternative depreciation systems.
48.14 Telephone Distribution Plant
Includes such assets as pole lines, cable, aerial wire, underground conduits, and comparable equipment, and related land improvements as defined in Federal Communications Commission Part 31 Account Nos. 241, 242.1, 242.2, 242.3, 242.4, 243, and 244.
24 15 24
48.2 Radio & TV Broadcastings
Includes assets used in radio and television broadcasting, except transmitting towers.
6 5 6

Telegraph, Ocean Cable, & Satellite Communications (TOCSC) note
Telegraph, Ocean Cable, and Satellite Communications (TOCSC) includes communications-related assets used to provide domestic and international radio-telegraph, wire-telegraph, ocean-cable, and satellite communications services; also includes related land improvements. If property described in Classes 48.31 - 48.45 is comparable to telephone distribution plant described in Class 48.14 and used for 2-way exchange of voice and data communication which is the equivalent of telephone communication, such property is assigned a class life of 24 years under this revenue procedure. Comparable equipment does not include cable television equipment used primarily for 1-way communication.
48.31 TOCSC-Electric Power Generating & Distribution Systems
Includes assets used in the provision of electric power by generation, modulation, rectification, channelization, control, and distribution. Does not include these assets when they are installed on customers premises.
19 10 19
48.32 TOCSC-High Frequency Radio & Microwave Systems
Includes assets such as transmitters and receivers, antenna supporting structures, antennas, transmission lines from equipment to antenna, transmitter cooling systems, and control and amplification equipment. Does not include cable and long-line systems.
13 7 13
48.33 TOCSC-Cable & Long-line Systems
Includes assets such as transmission lines, pole lines, ocean cables, buried cable and conduit, repeaters, repeater stations, and other related assets. Does not include high frequency radio or microwave systems.
26.5 20 26.5
48.34 TOCSC-Central Office Control Equip.
Includes assets for general control, switching, and monitoring of communications signals including electromechanical switching and channeling apparatus, multiplexing equipment, patching and monitoring facilities, in-house cabling, teleprinter equipment, and associated site improvements.
16.5 10 16.5
48.35 TOCSC-Computerized Switching, Channeling, & Assoc. Control Equip.
Includes central office switching computers, interfacing computers, other associated specialized control equipment, and site improvements.
10.5 7 10.5
48.36 TOCSC-Satellite Ground Segment Property
Includes assets such as fixed earth station equipment, antennas, satellite communications equipment, and interface equipment used in satellite communications. Does not include general purpose equipment or equipment used in satellite space segment property.
10 7 10
48.37 TOCSC-Satellite Space Segment Property
Includes satellites and equipment used for telemetry, tracking, control, and monitoring when used in satellite communications.
8 5 8
48.38 TOCSC-Equip. Installed on Customer's Premises
Includes assets installed on customer's premises, such as computers, terminal equipment, power generation and distribution systems, private switching center, teleprinters, facsimile equipment, and other associated and related equipment.
10 7 10
48.39 TOCSC-Support & Service Equip.
Includes assets used to support but not engage in communications. Includes store, warehouse and shop tools, and test and laboratory assets.
13.5 7 13.5

Cable Television (CATV) note
Includes communications-related assets used to provide cable television community antenna television services. Does not include assets used to provide subscribers with two-way communications services.
48.41 CATV-Headend
Includes assets such as towers, antennas, preamplifiers, converters, modulation equipment, and program non-duplication systems. Does not include headend buildings and program origination assets.
11 7 11
48.42 CATV-Subscriber Connection & Distribution Systems
Includes assets such as trunk and feeder cable, connecting hardware, amplifiers, power equipment, passive devices, directional taps, pedestals, pressure taps, drop cables, matching transformers, multiple set connector equipment, and converters.
10 7 10
48.43 CATV-Program Origination
Includes assets such as cameras, film chains, video tape recorders, lighting, and remote location equipment excluding vehicles. Does not include buildings and their structural components.
9 5 9
48.44 CATV-Service & Test
Includes assets such as oscilloscopes, field strength meters, spectrum analyzers, and cable testing equipment, but does not include vehicles.
8.5 5 8.5
48.45 CATV-Microwave Systems
Includes assets such as towers, antennas, transmitting and receiving equipment, and broad band microwave assets if used in the provision of cable television services. Does not include assets used in the provision of common carrier services.
9.5 5 9.5

Electric, Gas, Water & Steam, Utility Services note
Includes assets used in the production, transmission and distribution of electricity, gas, steam, or water for sale including related land improvements.
49.11 Electric Utility Hydraulic Production Plant
Includes assets used in the hydraulic power production of electricity for sale, including related land improvements, such as dams, flumes, canals, and waterways.
50 20 50
49.12 Electric Utility Nuclear Production Plant
Includes assets used in the nuclear power production and electricity for sale and related land improvements. Does not include nuclear fuel assemblies.
20 15 20
49.121 Electric Utility Nuclear Fuel Assemblies
Includes initial core and replacement core nuclear fuel assemblies (i.e., the composite of fabricated nuclear fuel and container) when used in a boiling water, pressurized water, or high temperature gas reactor used in the production of electricity. Does not include nuclear fuel assemblies used in breeder reactors.
5 5 5
49.13 Electric Utility Steam Production Plant
Includes assets used in the steam power production of electricity for sale, combustion turbines operated in a combined cycle with a conventional steam unit and related land improvements. Also includes package boilers, electric generators and related assets such as electricity and steam distribution systems as used by a waste reduction and resource recovery plant if the steam or electricity is normally for sale to others.
28 20 28
49.14 Electric Utility Transmission & Distribution Plant
Includes assets used in the transmission and distribution of electricity for sale and related land improvements. Excludes initial clearing and grading land improvements as specified in Rev. Rul. 72-403, 1972-2 C.B. 102.
30 20 30
49.15 Electric Utility Combustion Turbine Production Plant
Includes assets used in the production of electricity for sale by the use of such prime movers as jet engines, combustion turbines, diesel engines, gasoline engines, and other internal combustion engines, their associated power turbines and/or generators, and related land improvements. Does not include combustion turbines operated in a combined cycle with a conventional steam unit.
20 15 20
49.21 Gas Utility Distribution Facilities
Includes gas water heaters and gas conversion equipment installed by utility on customers' premises on a rental basis.
35 20 35
49.221 Gas Utility Mfgd. Gas Production Plants
Includes assets used in the manufacture of gas having chemical and/or physical properties which do not permit complete interchangeability with domestic natural gas. Does not include gas producing systems and related systems used in waste reduction and resource recovery plants which are elsewhere classified.
30 20 30
49.222 Gas Utility Substitute Natural Gas (SNG) Production Plant (naphtha or lighter hydrocarbon feedstocks)
Includes assets used in the catalytic conversion of feedstocks or naphtha or lighter hydrocarbons to a gaseous fuel which is completely interchangeable with domestic natural gas.
14 7 14
49.223 Substitute Natural Gas-Coal Gasification
Includes assets used in the manufacture and production of pipeline quality gas from coal using the basic Lurgi process with advanced methanation. Includes all process plant equipment and structures used in this coal gasification process and all utility assets such as cooling systems, water supply and treatment facilities, and assets used in the production and distribution of electricity and steam for use by the taxpayer in a gasification plant and attendant coal mining site processes but not for assets used in the production and distribution of electricity and steam for sale to others. Also includes all other related land improvements. Does not include assets used in the direct mining and treatment of coal prior to the gasification process itself.
18 10 18
49.23 Natural Gas Production Plant 14 7 14
49.24 Gas Utility Trunk Pipelines & Related Storage Facilities
Excluding initial clearing and grading land improvements as specified in Rev. Rul. 72-403.
22 15 22
49.25 Liquefied Natural Gas Plant
Includes assets used in the liquefaction, storage, and regasification of natural gas including loading and unloading connections, instrumentation equipment and controls, pumps, vaporizers and odorizers, tanks, and related land improvements. Also includes pipeline interconnections with gas transmission lines and distribution systems and marine terminal facilities.
22 15 22
49.3 Water Utilities
Includes assets used in the gathering, treatment, and commercial distribution of water.
50 20 50
49.4 Central Steam Utility Prod. & Distribution
Includes assets used in the production and distribution of steam for sale. Does not include assets used in waste reduction and resource recovery plants which are elsewhere classified.
28 20 28
49.5 Waste Reduction & Resource Recovery Plants
Includes assets used in the conversion of refuse or other solid waste or biomass to heat or to a solid, liquid, or gaseous fuel. Also includes all process plant equipment and structures at the site used to receive, handle, collect, and process refuse or other solid waste or biomass to a solid, liquid, or gaseous fuel or to handle and burn refuse or other solid waste or biomass in a water-wall combustion system, oil or gas pyrolysis system, or refuse derived fuel system to create hot water, gas, steam and electricity. Includes material recovery and support assets used in refuse or solid refuse or solid waste receiving, collecting, handling, sorting, shredding, classifying, and separation systems. Does not include any package boilers, or electric generators and related assets such as electricity, hot water, steam and manufactured gas production plants classified in classes 00.4, 49.13, 49.221, and 49.4. Does include, however, all other utilities such as water supply and treatment facilities, ash handling and other related land improvements of a waste reduction and resource recovery plant.
10 7 10
50. Municipal Wastewater Treatment Plant 24 15 24
51. Municipal Sewer 50 20 50
57.0 Distributive Trades & Services
Includes assets used in wholesale and retail trade, and personal and professional services. Includes section 1245 assets used in marketing petroleum and petroleum products.
9 5 9 n*
Any high technology medical equipment as defined in section 168(i)(2)(C) which is described in asset guideline class 57.0 is assigned a 5-year recovery period for the alternative depreciation system.
57.1 Distributive Trades & Services-Billboard, Service Station Buildings & Petroleum Marketing Land Improvements
Includes section 1250 assets, including service station buildings and depreciable land improvements, whether section 1245 property or section 1250 property, used in the marketing of petroleum and petroleum products, but not including any of these facilities related to petroleum and natural gas trunk pipelines. Includes car wash buildings and related land improvements. Includes billboards, whether such assets are section 1245 property or section 1250 property. Excludes all other land improvements, buildings and structural components as defined in section 1.48-1(e) of the regulations.
20 15 20
79.0 Recreation
Includes assets used in the provision of entertainment services on payment of a fee or admission charge, as in the operation of bowling alleys, billiard and pool establishments, theaters, concert halls, and miniature golf courses. Does not include amusement and theme parks and assets which consist primarily of specialized land improvements or structures, such as golf courses, sports stadia, race tracks, ski slopes, and buildings which house the assets used in entertainment services.
10 7 10
80.0 Theme & Amusement Parks
Includes assets used in the provision of rides, attractions, and amusements in activities defined as theme and amusement parks, and includes appurtenances associated with a ride, attraction, amusement or theme setting within the park such as ticket booths, facades, shop interiors, and props, special purpose structures, and buildings other than warehouses, administration buildings, hotels, and motels. Includes all land improvements for or in support of park activities, (e.g., parking lots, sidewalks, waterways, bridges, fences, landscaping, etc.) and support functions (e.g., food and beverage retailing, souvenir vending and other nonlodging accommodations) if owned by the park and provided exclusively for the benefit of park patrons. Theme and amusement parks are defined as combinations of amusements, rides, and attractions which are permanently situated on park land and open to the public for the price of admission. This guideline class is a composite of all assets used in this industry except transportation equipment (general purpose trucks, cars, airplanes, etc., which are included in asset guideline classes with the prefix 00.2), assets used in the provision of administrative services (asset classes with the prefix 00.1), and warehouses, administration buildings, hotels and motels.
12.5 7 12.5

Certain property for which recovery periods assigned

Recovery Periods
(in years)
Asset
class
Description of assets included Class Life (in years) General
Depreciation
System
Alternative
Depreciation
System
A. Personal Property With No Class Life 7 12
Section 1245 Real Property With No Class Life 7 40
B. Qualified Technological Equip., as defined in section 168(i)(2) n*
The class life (if any) of property described in classes B, C, D, or E is determined by reference to the asset guideline classes in this revenue procedure. If an item of property described in paragraphs B, C, D, or E is not described in any asset guideline class, such item of property has no class life.
5 5
C. Property Used in Connection with Research & Experimentation referred to in section 168(e)(3)(B) n*
The class life (if any) of property described in classes B, C, D, or E is determined by reference to the asset guideline classes in this revenue procedure. If an item of property described in paragraphs B, C, D, or E is not described in any asset guideline class, such item of property has no class life.
5 Class life
If no class
life-12
D. Alternative Energy Property described in sections 48(1)(3)(viii) or (iv), or section 48(1)(4) of the Code n*
The class life (if any) of property described in classes B, C, D, or E is determined by reference to the asset guideline classes in this revenue procedure. If an item of property described in paragraphs B, C, D, or E is not described in any asset guideline class, such item of property has no class life.
5 Class life
If no class
life-12
E. Biomass property described in Sec.48(1)(15) & is a qualifying small production facility within the meaning of sec. 3(17)(c) of the Federal Power Act, (16 U.S.C. 796(17)(C)), as in effect on 9/1/86 n*
The class life (if any) of property described in classes B, C, D, or E is determined by reference to the asset guideline classes in this revenue procedure. If an item of property described in paragraphs B, C, D, or E is not described in any asset guideline class, such item of property has no class life.
5 Class life
If no class
life-12

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