[Repealthe17thAmendment]

Sorry Obie, but GAAP ain't just that space between your ears.

I'm not an accountant, but I am an accounting student.

Aren't capital investments already fully tax deductible?

[gov_bean_ counter]

A better answer than I could give...
http://www.investopedia.com/terms/c/capitalexpenditure.asp

[kcvl]

Capital investments are depreciated over a number of years according to what is purchased & the amount.

I don’t trust Obama, et al, the devil is usually in the details.

[RipSawyer]

“Aren’t capital investments already fully tax deductible?”
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Equipment that lasts for many years is normally capitalized meaning the deduction is spread over many years, Odumbo proposes to allow the whole thing to be deducted the first year. This is treating capital equipment the same as perishable tooling which is normally written off one hundred percent in one year. It is the difference between a drill press and a drill bit. His Brilliance proposes to treat both the same. This may result in some slight increase in capital equipment purchases next year but it will mean a decrease in purchases in following years.

They may have some notion that this will make the formation of new businesses more likely but I doubt it. Contrary opinions are welcome, I am just speculating, I am not an MBA or an accountant.

[curiosity]

Aren't capital investments already fully tax deductible?

Not immediately. Currently, you have to depreciate the asset over time, and you can only write off the depreciation charge in a given year. Effectively, this proposal would just shift all of the writeoff to the current year.