Based on Spidell’s 2018/2019 Federal and California Tax Update Seminar (Version 1) it states that Application of qualified film, television, and live theatrical productions now fall under IRC Section 168K -bonus depreciation. It states that Section 181 has been terminated but the Internal Revenue Code does not show this section as repealed or terminated. Also, when checking the code of federal regulations, none of Sections 1.181-0 through 1.181-6 have been repealed or terminated. Please advise if Section 181 is still active to your knowledge and if we are still able to rely on that code section.
It should. Just to be clear, a film or television production commences on the first date of principal photography and a theatrical production commences on the date of the first public performance before a paying audience