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139 STAT. 190 PUBLIC LAW 119–21—JULY 4, 2025 (1) IN GENERAL.—Except as otherwise provided in this sub- section, the amendments made by this section shall apply to property acquired after January 19, 2025. (2) SPECIFIED PLANTS.—Except as provided in paragraph (3), in the case of any specified plant (as defined in section 168(k)(5)(B) of the Internal Revenue Code of 1986, as amended by this section), the amendments made by this section shall apply to such plants which are planted or grafted after January 19, 2025. (3) TRANSITIONAL ELECTION OF REDUCED PERCENTAGE.— The amendment made by subsection (b)(3) shall apply to taxable years ending after January 19, 2025. (4) ACQUISITION DATE DETERMINATION.—For purposes of paragraph (1), property shall not be treated as acquired after the date on which a written binding contract is entered into for such acquisition. SEC. 70302. FULL EXPENSING OF DOMESTIC RESEARCH AND EXPERI- MENTAL EXPENDITURES. (a) IN GENERAL.—Part VI of subchapter B of chapter 1 is amended by inserting after section 174 the following new section: ‘‘SEC. 174A. DOMESTIC RESEARCH OR EXPERIMENTAL EXPENDITURES. ‘‘(a) TREATMENT AS EXPENSES.—Notwithstanding section 263, there shall be allowed as a deduction any domestic research or experimental expenditures which are paid or incurred by the tax- payer during the taxable year. ‘‘(b) DOMESTIC RESEARCH OR EXPERIMENTAL EXPENDITURES.— For purposes of this section, the term ‘domestic research or experi- mental expenditures’ means research or experimental expenditures paid or incurred by the taxpayer in connection with the taxpayer’s trade or business other than such expenditures which are attrib- utable to foreign research (within the meaning of section 41(d)(4)(F)). ‘‘(c) AMORTIZATION OF CERTAIN DOMESTIC RESEARCH OR EXPERI- MENTAL EXPENDITURES.— ‘‘(1) IN GENERAL.—At the election of the taxpayer, made in accordance with regulations or other guidance provided by the Secretary, in the case of domestic research or experimental expenditures which would (but for subsection (a)) be chargeable to capital account but not chargeable to property of a character which is subject to the allowance under section 167 (relating to allowance for depreciation, etc.) or section 611 (relating to allowance for depletion), subsection (a) shall not apply and the taxpayer shall— ‘‘(A) charge such expenditures to capital account, and ‘‘(B) be allowed an amortization deduction of such expenditures ratably over such period of not less than 60 months as may be selected by the taxpayer (beginning with the month in which the taxpayer first realizes benefits from such expenditures). ‘‘(2) TIME FOR AND SCOPE OF ELECTION.—The election pro- vided by paragraph (1) may be made for any taxable year, but only if made not later than the time prescribed by law for filing the return for such taxable year (including extensions thereof). The method so elected, and the period selected by the taxpayer, shall be adhered to in computing taxable income for the taxable year for which the election is made and for Approval. Deadline. Time period. Definition. 26 USC 174A.