### Question
What is the definition of qualified property?


### Answer
The definition of **qualified property** is as follows in *26 U.S.C. § 168*:

> property—


(i)(I) to which this section applies which has a recovery period of 20 years or less,


(II) which is computer software (as defined in section 167(f)(1)(B)) for which a deduction is allowable under section 167(a) without regard to this subsection,


(III) which is water utility property, or


(IV) which is qualified leasehold improvement property,


(ii) the original use of which commences with the taxpayer after September 10, 2001,


(iii) which is—


(I) acquired by the taxpayer after September 10, 2001, and before January 1, 2005, but only if no written binding contract for the acquisition was in effect before September 11, 2001, or


(II) acquired by the taxpayer pursuant to a written binding contract which was entered into after September 10, 2001, and before January 1, 2005, and


  

(iv) which is placed in service by the taxpayer before January 1, 2005, or, in the case of property described in subparagraph (B) or (C), before January 1, 2006

#### Citation:
  - *26 U.S.C. § 168*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter B-Computation of Taxable Income > PART VI-ITEMIZED DEDUCTIONS FOR INDIVIDUALS AND CORPORATIONS**

