The bill amends the Arkansas Code regarding income tax deductions for depreciation and expensing of property by adopting federal law as it pertains to these deductions. Specifically, it updates the reference to Title 26 U.S.C. sections 167 and 168, changing the effective date from January 1, 2019, to January 1, 2022, and applies these changes to property purchased in tax years beginning on or after January 1, 2022.

Additionally, the bill establishes that the new provisions will take effect for tax years beginning on or after January 1, 2023. This alignment with federal law aims to streamline the tax deduction process for Arkansas taxpayers and ensure consistency with federal regulations.

Statutes affected:
HB 1044: 26-51-428(a)