Section 168(n) Depreciation Allowance for U.S. Manufacturing Facilities and Other Production Activities
OBBBA Rules for 100% Depreciation, Qualified Production Property, Eligibility, Qualifying Activities
About the Course
Introduction
This CLE/CPE webinar will provide tax counsel and advisers a thorough and practical guide to statutory requirements and regulatory guidance for the IRC Section 168(n) special depreciation allowance under the One Big Beautiful Bill Act (OBBBA) and the impact on tax planning and reporting for U.S. manufacturing facilities. The panel will outline the depreciation provisions under Section 168(n), detail depreciation calculation methods, and discuss the impact on structuring and tax planning.
Description
OBBBA has restored the 100% bonus depreciation deduction under Section 168(k) and added a new deduction under Section 168(n) for qualified production property (QPP), raising challenges and opportunities for U.S. manufacturers. Counsel must grasp a complete understanding of applicable tax rules and requirements and implement planning methods to ensure optimum tax savings.
On Feb. 20, 2026, the IRS released Notice 2026-16, providing guidance on new Section 168(n) and claiming 100% special depreciation allowance for certain property used in manufacturing and other production activities. The effect of 100% depreciation and its interplay with other tax rules on manufacturing facilities and operations, and whether the special depreciation allowance or alternatives are more valuable, are critical for the structure and tax planning for these facilities and production activities. Tax professionals must understand the new Section 168(n) to determine whether property qualifies, discern depreciation calculation methods, and maximize the impact on tax planning.
Listen as our panel provides a detailed analysis of Section 168(n) depreciation provisions, the QPP rules, and the impact of Notice 2026-16, and offers scenarios applying the guidelines to maximize taxpayer savings under current tax law.
Presented By
Mr. Carruth advises clients on federal and state income tax planning, structuring, and compliance matters. He brings to his practice years of experience as an attorney-advisor at the Securities and Exchange Commission (SEC), a senior associate focusing on M&A tax services at a "Big Four" accounting firm, and an attorney handling tax transaction matters and tax controversy matters at his previous law firm. Mr. Carruth relies on that experience when helping clients handle stock and asset acquisitions, restructurings, and other transactions. He is skilled in drafting limited liability company agreements, including allocation and distribution provisions, and creating Excel models of waterfall distributions. Mr. Carruth has assisted clients with multistate sales tax voluntary disclosure agreement filings and modeled possible sales tax liabilities. He has also represented clients in tax controversy matters before the U.S. Tax Court and Internal Revenue Service (IRS). Mr. Carruth is experienced in handling both domestic and global M&A transactions, including transaction structuring, purchase agreement considerations, financial modeling, and due diligence.
Mr. Strong is a leader in the delivery of tax accounting services related to inventory valuation, accounting method issues, tax controversy, and corporate planning and consultation. He has more than 20 years of experience and specializes in monitoring legislative and regulatory changes for communication to firm management. Mr. Strong has also worked extensively with both publicly traded and privately held companies providing tax compliance and consulting services.
-
This 90-minute webinar is eligible in most states for 1.5 CLE credits.
-
CPE credit is not available on recordings.
-
BARBRI is a NASBA CPE sponsor and this 90-minute webinar is accredited for 1.5 CPE credits.
-
BARBRI is an IRS-approved continuing education provider offering certified courses for Enrolled Agents (EA) and Tax Return Preparers (RTRP).
-
Date + Time
- event
Thursday, August 13, 2026
- schedule
1:00 PM ET/10:00 AM PT
I. OBBBA modifications to key depreciation provisions
II. New Section 168(n) and Notice 2026-16
III. Depreciation calculation methods and pitfalls to avoid
IV. Next steps for manufacturers, production, and investors
The panel will review these and other relevant topics:
- OBBBA modifications to depreciation provisions
- The impact of new Section 168(n) on U.S. manufacturing and production
- Notice 2026-16 and the application of Section 168(n)
- Depreciation calculation methods in light of the new interim guidance
- Detailed analysis of QPP requirements to acquire the special depreciation allowance
Learning Objectives
After completing this course, you will be able to:
- Recognize the change and impact of depreciation methods under Section 168 under OBBBA
- Understand the impact of Section 168(n) special depreciation allowance for manufacturing and production activities
- Identify any exemptions, exceptions, and elections under current tax law for depreciation
- Discern the special rules and requirements for Section 168(n) to achieve 100% depreciation for qualified property
- Field of Study: Taxes
- Level of Knowledge: Intermediate
- Advance Preparation: None
- Teaching Method: Seminar/Lecture
- Delivery Method: Group-Internet (via computer)
- Attendance Monitoring Method: Attendance is monitored electronically via a participant's PIN and through a series of attendance verification prompts displayed throughout the program
- Prerequisite:
Three years+ business or public firm experience preparing complex tax forms and schedules, supervising other preparers or accountants. Specific knowledge and understanding of corporate taxation, including taxation of businesses, accounting methods, net operating losses and loss limitations; familiarity with net operating loss carry-backs and carry-forwards.
BARBRI, Inc. is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of Accountancy have final authority on the acceptance of individual courses for CPE Credits. Complaints regarding registered sponsons may be submitted to NASBA through its website: www.nasbaregistry.org.
BARBRI is an IRS-approved continuing education provider offering certified courses for Enrolled Agents (EA) and Tax Return Preparers (RTRP).
BARBRI CE webinars-powered by Barbri-are backed by our 100% unconditional money-back guarantee: If you are not satisfied with any of our products, simply let us know and get a full refund. Contact us at 1-800-926-7926 .
Related Courses
Section 168(n) Depreciation Allowance for U.S. Manufacturing Facilities and Other Production Activities
Thursday, August 13, 2026
1:00 PM ET/10:00 AM PT
Transfer Pricing for Small to Mid-Size Businesses: Navigating Intercompany Transactions, Pitfalls to Avoid
Tuesday, September 22, 2026
1:00 PM ET/10:00 AM PT
Tax Considerations When Exiting a Controlled Foreign Corporation
Wednesday, August 12, 2026
1:00 PM ET/10:00 AM PT
