Hotels Placed in Service After May 12,1993 Have a Cost

question 83

True/False

Hotels placed in service after May 12,1993 have a cost recovery period of 39 years.

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Definitions:

Payroll Tax

Levies applied to employers or employees, most often calculated as a portion of the wages that employers disburse to their personnel.

Regressive

A term often used in taxation to describe a situation where the tax rate decreases as the taxable amount increases, placing a higher relative burden on lower earners.

Top Income Levels

Refers to the highest segment of earners in an economic distribution, often associated with a significant proportion of the total income of a society.

Progressive

Pertaining to a form of taxation in which the tax rate increases as the taxable amount increases, typically applied to income tax.