Rev. Proc. 77-8
Rev. Proc. 77-8; 1977-1 C.B. 541
- Cross-Reference
26 CFR 601.105: Examination of returns and claims for refund, credit
or abatement; determination of correct tax liability.
(Also Part I, Section 167; 1.167(a)-11.)
- Code Sections
- LanguageEnglish
- Tax Analysts Electronic Citationnot available
Superseded by Rev. Proc. 77-10
Section 1. Purpose.
The purpose of this Revenue Procedure is to prescribe under section 1.167(a)-11 of the Income Tax Regulations revised asset guideline classes for assets used to manufacture aerospace products and for assets used to manufacture electronic products, and to prescribe a new asset guideline depreciation period and range for assets used to manufacture aerospace products.
The revised asset guideline classes, asset guideline depreciation periods and ranges, and annual asset guideline repair allowance percentages are set forth in Section 2 of this Revenue Procedure.
Sec. 2. Asset Guideline Classes, Asset Guideline Depreciation Periods and Ranges, and Annual Asset Guideline Repair Allowance Percentages for Assets Used in the Manufacture of Aerospace Products and Assets Used in the Manufacture of Electronic Products.
The asset guideline classes, asset guideline depreciation periods and ranges, and the annual asset guideline repair allowance percentages are prescribed as set forth below.
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Asset Depreciation
Range (in years) Annual
-------------------- Asset
Asset Asset Guideline
Guide- Guide- Repair
line Description of line Upper Allowance
Class Assets Included Limit Period Limit Percentage
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37.2 Manufacture of Aerospace
Products:
Includes assets used
in the manufacture and
assembly of airborne
vehicles and their
component parts including
hydraulic, pneumatic,
electrical, and mechani-
cal systems. Does not
include assets used in
the production of elec-
tronic airborne detec-
tion, guidance, control,
radiation, computation,
test, navigation, and
communication equipment
or the components
thereof __________________ 8.0 10.0 12.0 7.5
36.2 Manufacture of Electronic
Products:
Includes assets used
in the production of
electronic detection,
guidance, control,
radiation, computation,
test, and navigation
equipment or the compo-
nents thereof including
airborne application.
Also includes assets used
in the manufacture of
electronic airborne
communication equipment
or the components there-
of. Does not include the
assets of manufacturers
engaged only in the
purchase and assembly of
components ______________ 6.5 8.0 9.5 7.5
Sec. 3. Effect on Other Documents.
Rev. Proc. 72-10, 1972-1 C.B. 721, is modified by the prescription of revised asset guideline classes 37.2, Manufacture of Aerospace Products, and 36.2, Manufacture of Electronic Products, and the prescription of a new asset guideline depreciation period and range for assets used to manufacture aerospace products as set forth in Section 2 of this Revenue Procedure.
Sec. 4. Effective Date.
The asset guideline classes, asset guideline depreciation periods and ranges, and the annual asset guideline repair allowance percentages for the activity classes set forth in this Revenue Procedure are effective for property first placed in service in taxable years beginning after December 31, 1976.
1 Also released as IR-1749, dated February 2, 1977.
- Cross-Reference
26 CFR 601.105: Examination of returns and claims for refund, credit
or abatement; determination of correct tax liability.
(Also Part I, Section 167; 1.167(a)-11.)
- Code Sections
- LanguageEnglish
- Tax Analysts Electronic Citationnot available
