ACRS Methods - Public Utility and Other Methods

P . The prescribed method for public utility property. This method represents an accelerated rate, changing to straight line to maximize the deduction. In the "Life/Rate"field, enter a useful life of 15 years. If a useful life other than 15 years is entered, a 15 year life is assumed for computational purposes and a diagnostic message is issued.

PSL. The optional method for public utility property. The straight line method of depreciation is computed over the life entered. Valid useful life years are 15, 35, and 45 years. If a useful life other than 15, 35, or 45 years is entered, a 35 year life is assumed for computational purposes and a diagnostic message is issued.

FP. Foreign property used mainly outside the United States.

QLP. For Qualified Leased Property.

TEO. For Property Financed by Tax Exempt Obligations.

RRB. Retirement-Replacement-Betterment property.

Note: Depreciation is NOT computed on assets that use methods "FP," "QLP," "TEO," or "RRB." The current year depreciation amount must be entered in the "Current Depreciation" field. To properly identify the class of this ACRS property, a valid useful life of 3, 5, 10, or 15 years must be entered.