More to follow: IRS and Treasury release Notice 2026-16 providing initial round of interim guidance on 100% special depreciation for qualified production property under the One Big Beautiful Bill Act

On February 20, 2026, the Internal Revenue Service (Service) and Department of the Treasury (Treasury) issued Notice 2026-16 (Notice), providing an initial round of guidance on the special depreciation allowance for qualified production property (QPP) under Section 168(n) of the Internal Revenue Code, as introduced by the One Big Beautiful Bill Act (OBBBA). Although taxpayers and practitioners are accustomed to Sections 167 and 168, which address the treatment of depreciable property and bonus... By: Eversheds Sutherland (US) LLP