Cost Segregation Study

Our team of experienced professionals is dedicated to helping you unlock the full potential of your commercial or residential property investments.

WHAT IS A COST SEGREGATION STUDY?


A cost segregation study is a detailed analysis conducted on real estate properties to identify and allocate the costs of various components or assets within the property for tax purposes. The goal is to accelerate tax deductions, reduce income taxes and accelerate cash flow.

WHAT ARE THE BENEFITS OF A COST SEGREGATION STUDY?

The goal is to accelerate depreciation tax deductions, reduce income taxes and accelerate cash flow. In most circumstances real estate costs are deducted over a term of either 27.5 years or 39 years. A cost segregation study allows a significant portion of previously purchased real estate to be either immediately deducted or deducted over a term 5, 7 or 15 years.

Recent Example: Owner of Short-Term Rental

$546,153 current year tax deduction saving $202,077 in income taxes.

Recent Example: Owner of Office Property

$657,776 current year tax deduction saving $246,063 in income taxes.

FAQs

  • Any property type qualifies other than properties used as a primary residence.

  • Any owner with a property costing over $750,000 and purchased within the last 10 years should consider a Cost Segregation study.

  • Actual cash benefit depends on the cost of the property and other factors. Larger properties may receive an immediate tax benefit of hundreds of thousands of dollars.

  • Cost Segregation Studies have existed since 1999 and are widely accepted by the IRS and documented in case law. All tax filings have some risk, but Cost Segregation Studies have much lower risk than other tax strategies.

  • It will take a few hours of your time and we will handle the rest.

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