Deficit Reduction Act of 1984

(Conference report filed in House, H. Rept. 98-861) Deficit Reduction Act of 1984 - Division A - Tax Reform Act of 1984 - Title I: Tax Freeze; Tax Reforms Generally - Subtitle A: Deferral of Certain Tax Reductions - Amends the Internal Revenue Code to defer from 1985 to 1987 the scheduled increase in the maximum amount of used property eligible for the investment tax credit. (Present law schedules an increase from $125,000 to $150,000 in 1985.) Amends the Tax Equity and Fiscal Responsibility Act of 1982 to defer from 1984 to 1988 the effective date of special rules relating to the finance leasing of limited use property and fixed price purchase options. Exempts from such postponement of finance leasing rules: (1) up to $150,000,000 of a qualified lessee's automotive manufacturing property; and (2) property that is part of a coal-fired cogeneration facility for which certification and construction permit applications were filed on specified dates. Freezes the maximum amount of personal property which businesses may elect to expense (in order to claim a tax deduction for such property) each year at $5,000 through 1987. Increases such limit to $7,500 for 1988 and 1989 and to $10,000 thereafter. (Present law increases such limit to $7,500 for 1984 and 1985 and to $10,000 thereafter.) Freezes the limit on the income tax credit for employer contributions to an employee stock ownersh…

Congressional Research Service · 1984-06-26