Cost Segregation
If you own, purchase, or renovate existing real property, a cost segregation study can reclassify eligible components of your building into shorter depreciation lives. This accelerates deductions, lowers current taxable income, and increases near-term cash flow.
Cost segregation often allows 25% or more of a property’s cost to be depreciated faster, delivering meaningful present-value savings and additional write-offs when structural components are later replaced.
Our Approach
Risk-Focused Assessment
We begin with a thorough risk analysis to determine whether cost segregation is appropriate based on your property type, timing, and tax position.
Detailed Cost Identification
Our specialists analyze construction and purchase costs to identify components eligible for shorter depreciation periods, including nonstructural elements such as flooring, wall coverings, lighting, portions of electrical and HVAC systems, and qualifying exterior improvements like sidewalks and landscaping.
Practical, Defensible Results
We work closely with you and your advisors to deliver a clear, well-supported study designed to maximize tax savings while standing up to scrutiny.
Latest Insight
Cost Segregation Studies Can Reveal Substantial Tax Savings
Businesses that own commercial real property may be sitting on an overlooked treasure chest of tax savings — and a cost segregation study can be the key to unlocking it. This is a strategic tool that combines accounting and engineering techniques to identify building costs that are properly allocable to tangible personal property rather than […]
