SECTION 6. CONSENT — Internal Revenue Bulletin 2020-48

CERTAIN ELECTIONS UNDER SECTION 168

.01 Scope . (1) This section 6 applies to a taxpayer within the scope of section 3 of this revenue procedure that:

(a) placed in service depreciable property during its 2017, 2018, 2019, or 2020 taxable year, or planted or grafted the specified plant during its 2017, 2018, 2019, or 2020 taxable year to which the § 168(k)(5) election applies, as applicable;

(b) applies the Final Regulations, the 2019 final regulations, or both the 2019 final regulations and the 2019 proposed regulations for the placed-in-service year of such depreciable property or the planting year of such specified plant;

(c) made a § 168(k)(5) election, § 168(k)(7) election, or proposed component election on its timely filed original Federal income tax return or Form 1065 for the placed-in-service year of such depreciable property or class of such depreciable property, as applicable, or for the planting year of the specified plant, and such return was filed before November 17, 2020, or made a § 168(k)(5) election or § 168(k)(7) election in accordance with

section 4 or 5 of Rev. Proc. 2019-33, respectively, or in accordance with section 4 of Rev. Proc. 2020-25, as modified by section 8 of this revenue procedure, before November 17, 2020; and

(d) wants to revoke such election. (2) This section 6 also applies to a taxpayer within the scope of section 3 of this revenue procedure that:

(a) applies the Final Regulations, the 2019 final regulations, or both the 2019 final regulations and the 2019 proposed regulations for the taxpayer’s taxable year that includes September 28, 2017;

(b) made a § 168(k)(10) election on its timely filed original Federal income tax return or Form 1065 for the taxpayer’s taxable year that includes September 28, 2017, or made a § 168(k)(10) election in accordance with section 6 of Rev. Proc. 2019-33 or section 4 of Rev. Proc. 202025, as modified by section 8 of this revenue procedure, for the taxpayer’s taxable year that includes September 28, 2017, before November 17, 2020; and

(3) Solely for purposes of section 6.01 of this revenue procedure, a taxpayer applies the Final Regulations, the 2019 final regulations, or both the 2019 final regulations and the 2019 proposed regulations under section 6.01(1)(b) of this revenue procedure for the placed-in-service year of the depreciable property described in section 6.01(1)(a) of this revenue procedure or for the planting year of the specified plant described in section 6.01(1) (a) of this revenue procedure, or applies the Final Regulations, the 2019 final regulations, or both the 2019 final regulations and the 2019 proposed regulations under section 6.01(2)(a) of this revenue procedure for the taxpayer’s taxable year that includes September 28, 2017, either by (a) making a change in method of accounting under section 4.03 of this revenue procedure to apply that specific regulation for the placed-in-service year of such depreciable property or for the planting year of such specified plant, or (b) complying with that specific regulation on its timely filed original Federal income tax return or Form 1065 for the placed-in-service year of such depreciable property or for the planting year of such specified plant.

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§ 301.6241-1(a)(8). This amended return or AAR must include the adjustment to taxable income for the revocation of the § 168(k)(5) election, § 168(k)(7) election, § 168(k)(10) election, or proposed component election and any collateral adjustments to taxable income or to tax liability. Such collateral adjustments also must be made on original or amended Federal returns or AARs for any affected succeeding taxable years; or

(b) A Form 3115 (a) with the taxpayer’s timely filed original Federal income tax return or Form 1065 for the taxpayer’s first or second taxable year succeeding the taxable year in which the taxpayer placed in service the property or the planting year of the specified plant, as applicable, or (b) if later, with the taxpayer’s timely filed original Federal income tax return or Form 1065 that is filed on or after November 6, 2020, and on or before December 31, 2021. The revocation of the § 168(k)(5) election, the § 168(k)(7) election, the § 168(k) (10) election, or the proposed component election under this section 6.02(2) (b) will be treated as a change in method of accounting with a § 481(a) adjustment only during this limited period of time. The time and manner of making this revocation are described in section 7.02(2) of this revenue procedure, which modifies section 6.20 of Rev. Proc. 2019-43 to include this revocation.