I
119TH CONGRESS H. R. 173
1ST SESSION
To amend the Internal Revenue Code of 1986 to classify certain automatic
fire sprinkler system retrofits as 15-year property for purposes of depreciation.
IN THE HOUSE OF REPRESENTATIVES
JANUARY 3, 2025
Ms. MALLIOTAKIS introduced the following bill; which was referred to the
Committee on Ways and Means
A BILL
To amend the Internal Revenue Code of 1986 to classify
certain automatic fire sprinkler system retrofits as 15-
year property for purposes of depreciation.
1 Be it enacted by the Senate and House of Representa-
2 tives of the United States of America in Congress assembled,
3
SECTION 1. SHORT TITLE.
4 This Act may be cited as the ‘‘High Rise Fire Sprin-
5 kler Incentive Act of 2025’’.
6
SEC. 2. CLASSIFICATION OF CERTAIN AUTOMATIC FIRE
7
SPRINKLER SYSTEM RETROFITS.
8 (a) TREATMENT AS 15-YEAR PROPERTY.—Section
9 168(e)(3)(E) of the Internal Revenue Code of 1986 is
10 amended by striking ‘‘and’’ at the end of clause (vi), by
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1 striking the period at the end of clause (vii) and inserting
2 ‘‘, and’’, and by adding at the end the following:
3 ‘‘(viii) any automatic fire sprinkler
4 system retrofit property.’’.
5 (b) APPLICABLE DEPRECIATION METHOD.—Section
6 168(b)(3) of such Code is amended by adding at the end
7 the following new subparagraph:
8 ‘‘(H) Any automatic fire sprinkler system
9 retrofit property.’’.
10 (c) ALTERNATIVE SYSTEM.—The table contained in
11 section 168(g)(3)(B) of such Code is amended by inserting
12 after the item relating to subparagraph (E)(vii) the fol-
13 lowing:
‘‘(E)(viii) ......................................................................................... 39’’.
14 (d) DEFINITION OF AUTOMATIC FIRE SPRINKLER
15 SYSTEM RETROFIT PROPERTY.—Section 168(i) of such
16 Code is amended by adding at the end the following new
17 paragraph:
18 ‘‘(20) AUTOMATIC FIRE SPRINKLER SYSTEM
19 RETROFIT PROPERTY.—The term ‘automatic fire
20 sprinkler system retrofit property’ means any sprin-
21 kler system which—
22 ‘‘(A) meets the standards of National Fire
23 Protection Association 13 (or any successor
24 benchmark),
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1 ‘‘(B) is installed for use in residential
2 property, and
3 ‘‘(C) is installed in a building which—
4 ‘‘(i) was placed in service before the
5 date of such installation, and
6 ‘‘(ii) has an occupiable floor more
7 than 75 feet above the lowest level of fire
8 department vehicle access.’’.
9 (e) EFFECTIVE DATE.—The amendments made by
10 this section shall apply after the date of enactment of this
11 Act.
Æ
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