Cost Segregation
MAXIMIZING YOUR REAL ESTATE TAX SAVINGS THROUGH COST SEGREGATION
Unlock Significant Tax Savings with Cost Segregation
Cost segregation is a powerful tax strategy that accelerates depreciation deductions on commercial and residential real estate properties. By properly identifying and reclassifying building components and land improvements, you can increase your cash flow and reduce your tax burden.
What is Cost Segregation?
Cost segregation is a specialized tax tool that allows property owners to reclassify building assets and land improvements and accelerating depreciation on those reclassified components. Rather than the standard 27.5 or 39-year depreciation for real estate, certain components can be depreciated over 5, 7, or 15 years, creating immediate tax savings.
Key Benefits of Cost Segregation:
- Immediate tax savings
- Increased cash flow
- Accelerated depreciation
- Maximized return on investment
Who Can Benefit from Cost Segregation?
Cost segregation is ideal for owners of commercial, industrial, and residential real estate properties, especially those who have:
- Purchased or constructed buildings within the past 15 years
- Renovated or expanded properties
- Invested in single-family, multi-family, office, retail, warehouse, industrial or hospitality properties
- Recently sold the property
How Does It Work?
- Property Analysis – Our team will perform a thorough analysis of your property to identify eligible components for accelerated depreciation.
- Detailed Engineering Study – Using a comprehensive cost segregation study, we will break down the property into specific components that qualify for shorter depreciation lives.
- IRS-Compliant Report – We deliver a detailed, IRS-compliant report that maximizes your depreciation deductions while ensuring compliance with tax regulations.
- Tax Filing Assistance – We provide trained tax professionals to apply the cost segregation benefits on your tax return for immediate savings.
Why Choose A+P CPAs?
Our team of expert CPAs is uniquely qualified to deliver cost segregation services that help you achieve significant tax benefits. We ensure a seamless process from property evaluation to tax filing. Here’s why you should choose us:
- Experienced Professionals: We combine financial expertise with engineering analysis.
- Comprehensive Service: We handle everything, including the no-cost initial cost/benefit analysis, the cost segregation study, and the tax return preparation and filing.
- Proven Results: Our clients consistently see increased tax savings and improved cash flow.
Get Started Today!
Let us help you maximize your real estate investments with cost segregation. Contact us for a free consultation and discover how much you can save.
FAQs
Q: Is cost segregation only for large properties?
A: No, both small and large properties can benefit from cost segregation. The savings depend on the property type, cost basis, and other factors.
Q: How long does the process take?
A: The entire process typically takes 4-8 weeks from start to finish, depending on the property size and complexity.
