
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 26USC280B]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                        Subtitle A--Income Taxes
 
                  CHAPTER 1--NORMAL TAXES AND SURTAXES
 
               Subchapter B--Computation of Taxable Income
 
                      PART IX--ITEMS NOT DEDUCTIBLE
 
Sec. 280B. Demolition of structures

    In the case of the demolition of any structure--
        (1) no deduction otherwise allowable under this chapter shall be 
    allowed to the owner or lessee of such structure for--
            (A) any amount expended for such demolition, or
            (B) any loss sustained on account of such demolition; and

        (2) amounts described in paragraph (1) shall be treated as 
    properly chargeable to capital account with respect to the land on 
    which the demolished structure was located.

(Added Pub. L. 94-455, title XXI, Sec. 2124(b)(1), Oct. 4, 1976, 90 
Stat. 1918; amended Pub. L. 95-600, title VII, Sec. 701(f)(5), Nov. 6, 
1978, 92 Stat. 2902; Pub. L. 96-541, Sec. 2(b), Dec. 17, 1980, 94 Stat. 
3204; Pub. L. 97-34, title II, Sec. 212(d)(2)(C), Aug. 13, 1981, 95 
Stat. 239; Pub. L. 98-369, div. A, title X, Sec. 1063(a), (b)(1), July 
18, 1984, 98 Stat. 1047.)


                               Amendments

    1984--Pub. L. 98-369 struck out ``certain historic'' before 
``structures'' in section catchline, struck out heading ``(a) General 
rule'', substituted ``In the case of the demolition of any structure'' 
for ``In the case of the demolition of a certified historic structure 
(as defined in 48(g)(3)(A))'' in text, and struck out subsecs. (b) and 
(c) which contained provisions relating to a special rule for registered 
historic districts and to the application of this section, respectively.
    1981--Subsec. (a). Pub. L. 97-34, Sec. 212(d)(2)(C)(i), substituted 
``48(g)(3)(A)'' for ``section 191(d)(1)'' in provisions preceding par. 
(1).
    Subsec. (b). Pub. L. 97-34, Sec. 212(d)(2)(C)(ii), substituted 
``section 48(g)(3)(B)'' for ``section 191(d)(2)''.
    1980--Subsec. (c). Pub. L. 96-541 added subsec. (c).
    1978--Subsec. (b). Pub. L. 95-600 substituted ``registered historic 
district (as defined in section 191(d)(2))'' for ``Registered Historic 
District'' and ``Secretary of the Interior has certified that such 
structure is not a certified historic structure, and that such structure 
is not of historic significance to the district, and if such 
certification occurs after the beginning of the demolition of such 
structure, the taxpayer has certified to the Secretary that, at the time 
of such demolition, he in good faith was not aware of the certification 
requirement by the Secretary of the Interior'' for ``Secretary of the 
Interior has certified, prior to the demolition of such structure, that 
such structure is not of historic significance to the district''.


                    Effective Date of 1984 Amendment

    Section 1063(c) of Pub. L. 98-369, as amended by Pub. L. 99-514, 
title XVIII, Sec. 1878(h), Oct. 22, 1986, 100 Stat. 2904, provided that:
    ``(1) The amendments made by this section [amending this section] 
shall apply to taxable years ending after December 31, 1983, but shall 
not apply to any demolition (other than of a certified historic 
structure) commencing before July 19, 1984.
    ``(2) For purposes of paragraph (1), if a demolition is delayed 
until the completion of the replacement structure on the same site, the 
demolition shall be treated as commencing when construction of the 
replacement structure commences.
    ``(3) The amendments made by this section [amending this section] 
shall not apply to any demolition commencing before September 1, 1984, 
pursuant to a bank headquarters building project if--
        ``(A) on April 1, 1984, a corporation was retained to advise the 
    bank on the final completion of the project, and
        ``(B) on June 12, 1984, the Comptroller of the Currency approved 
    the project.
    ``(4) The amendments made by this section shall not apply to the 
remaining adjusted basis at the time of demolition of any structure if--
        ``(A) such structure was used in the manufacture, storage, or 
    distribution of lead alkyl antiknock products and intermediate and 
    related products at facilities located in or near Baton Rouge, 
    Louisiana, and Houston, Texas, owned by the same corporation, and
        ``(B) demolition of at least one such structure at the Baton 
    Rouge facility commenced before January 1, 1984.''


                    Effective Date of 1981 Amendment

    Amendment by Pub. L. 97-34 applicable to expenditures incurred after 
Dec. 31, 1981, in taxable years ending after such date, see section 
212(e) of Pub. L. 97-34, set out as a note under section 46 of this 
title.


                    Effective Date of 1978 Amendment

    Amendment by Pub. L. 95-600 effective as if included within the 
enactment of this section by section 2124 of Pub. L. 94-455, see section 
701(f)(8) of Pub. L. 95-600, set out as an Effective and Termination 
Dates of 1978 Amendments note under section 167 of this title.


                             Effective Date

    Section 2124(b)(3) of Pub. L. 94-455, which had provided that 
enactment of this section by subsec. (b) shall apply with respect to 
demolitions commencing after June 30, 1976, and before Jan. 1, 1981, was 
repealed by Pub. L. 96-541, Sec. 2(e)(2), Dec. 17, 1980, 94 Stat. 3205. 
See subsec. (c) of this section.

                  Section Referred to in Other Sections

    This section is referred to in section 198 of this title.
