Cost
Segregation Studies
WHAT IS COST SEGREGATION?
Cost Segregation is a lucrative tax strategy approved by the IRS in the late 60’s to reclassify specific real property assets that usually receive a depreciation life of 39 years (commercial real property) or 27.5 (commercial residential) into “tangible personal property” that is treated as five (5) year property or land improvements which are treated as fifteen (15) year property for depreciation purposes. Due to improved treatment, portions of the electrical, plumbing, mechanical systems, and site improvements of a building along with hundreds of other components can be allocated to shorter lives translating into immediate cash flow.
WHO / WHAT QUALIFIES?
- Any commercial building type qualifies
- Building Cost (Land Excluded) of $650,000 and above
- Plan on hold building for a minimum of 3 years
- Plan on doing a major demolition or renovation
- Plan on making energy or building upgrades
- Note: The IRS allows us to do a look back study w/o amending returns to capture missed depreciation
THE VALUE OF MONEY:
This effectively increases tax payer’s depreciation expense in today’s dollars. By recouping up to 25% – 40% of the building cost over the first 5 years as opposed to depreciating it over 39 years, translates into significant tax savings and taps into the concept of the “time value of money”.
HOW MUCH CASH ARE WE TALKING ABOUT?
On average, a CORE Cost Segregation Study offers approx. $150,000 in additional depreciation per $1 million dollars in purchase or construction cost over the normal 39-year straight-line method.
your property may also qualify for additional tax savings such as:
- Disposition Study
- 179D Energy Study
- 45L Credits
- Utility Refund Study
- Energy Reduction & Green Building Services
- Property Tax Study
SIGN UP FOR YOUR COMPLIMENTARY BENEFIT ANALYSIS AND DISCOVER HOW MUCH MONEY YOU CAN SAVE. THIS IS THE FIRST STEP TO TAKE ADVANTAGE OF THIS POWERFUL PROGRAM!
CLICK HERE TO REQUEST A CUSTOM BENEFIT ANALYSIS ON YOUR PROPERTY!
WHY HIRE CORE TO DO YOUR COST SEGREGATION STUDY?
CORE is a pioneer in the area of engineering based cost segregation, with over 75 years of combined experience. We have completed thousand studies on all types of buildings through out the United States. CORE is also proud to have saved it’s clients over ONE BILLION DOLLARS with ZERO IRS disallowances. COREs amazing technical staff can also identify other areas of cost recovery during our 5 step savings process. Finally, our service and knowledge in unmatched. We will roll out the red carpet and treat you like family as we always seek to build a long term relationship. REFERENCES AVAILABLE UPON REQUEST. – We have tons!
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PROPERTY TYPE | RECLASSIFICATION |
---|---|
RESTAURANTS | 20% TO 45% |
HOTELS | 30% TO 50% |
SHOPPING MALLS | 22% TO 40% |
MEDICAL/DENTAL | 22% TO 35% |
INDUSTRIAL | 22% TO 40% |
AIRPLANE HANGARS | 18% TO 35% |
GOLF COURSES | 28% TO 40% |
RETAIL FACILITIES | 18% TO 35% |
THEME PARKS | 16% TO 22% |
OFFICE BUILDINGS | 20% TO 35% |
GROCERY STORES | 20% TO 45% |
APARTMENT BUILDINGS | 20% TO 45% |
FITNESS CENTERS | 22% TO 45% |
BANKS | 30% TO 47% |
MANUFACTURING | 30% TO 45% |
AUTO DEALERSHIPS | 22% TO 40% |
LEASEHOLDS | 18% TO 40% |
RESEARCH FACILITIES | 22% TO 45% |
ASSISTED LIVING/RETIREMENT | 22% TO 45% |
RESORTS | 25% TO 45% |
WINERIES | 18% TO 25% |
MIXED USE PROPERTIES | 18% TO 30% |
ARE YOU LEAVING MONEY ON THE TABLE?
We find that 8 out of 10 businesses and commercial property owners are leaving money on the table every year.
CLICK HERE FOR YOUR CUSTOM SAVINGS REPORT