For property placed in service after what year does California conform to the Federal MACRS 39-year recovery period?

The correct answer is 1987 because this is the year when the Tax Reform Act was enacted, which introduced the Modified Accelerated Cost Recovery System (MACRS). Under this system, real property (such as commercial buildings) placed in service after 1986 falls under the 39-year recovery period. California conforms to this federal approach starting with property placed in service in 1987. This alignment means that for tax purposes, California recognizes the same depreciation schedule established by the federal government for qualifying property, ensuring consistency in the treatment of property depreciation between state and federal tax regulations.