TRSA recently submitted formal comments to the Internal Revenue Service (IRS) and U.S. Treasury in response to Notice 2026-16, the interim guidance implementing the new 100% special depreciation allowance for “Qualified Production Facility” (QPF) under Internal Revenue Code §168(n), which was established by HR-1, the One Big Beautiful Bill Act (OBBBA).

This issue is critical for the linen, uniform and facility services industry because QPF can allow eligible taxpayers to expense qualifying portions of production facilities—rather than depreciating them over decades—when the property is used as an integral part of a qualified production activity that results in substantial transformation.

“Typically ...