A company’s real estate holdings may be a source of hidden tax savings. A real estate cost segregation study can generate immediate tax savings and improve cash flow through accelerated depreciation.
For over 40 years, our business tax advisors have been providing business tax consulting and preparation services to companies both large and small. As a nationally recognized Top 25 tax services firm, we have ample experience with business tax planning, preparation, and compliance issues. Our tax specialists have a comprehensive understanding of international, federal, state and local tax regulations – and as an independent member of HLB, a Global Advisory and Accounting Networking, we can assist in developing cost-effective business tax strategies for organizations around the globe.
As part of our Business Tax Services, we put together a custom corporate tax planning strategy and address any related tax issues prior to year-end. We’ll also review the most recent tax law changes and interpretations in order to maximize tax savings opportunities and reduce tax liability. With an effective business tax preparation plan, companies have greater assurance of:
Cost segregation is an invaluable tax savings tool. It allows companies and/or individuals who have constructed, purchased, expanded, or remodeled real estate to increase cash flow by accelerating depreciation deductions and deferring federal and state income taxes. Cost segregation studies achieve this through identifying, segregating, and reclassifying personal property assets and land improvement assets which are depreciated over shorter tax lives as compared to the traditional 27.5-year (residential rental property) or 39-year (nonresidential real property) lives.
| TYPE OF PROPERTY | LOW RANGE | HIGH RANGE |
| Apartments | 10% | 35% |
| Car/Truck Dealerships | 20% | 40% |
| Supermarkets | 15% | 40% |
| Hotels/Resorts | 15% | 50% |
| Assisted Living/Nursing Homes | 15% | 30% |
| Medical Offices | 20% | 40% |
| Restaurants | 15% | 30% |
| Retail/Shopping Centers | 15% | 40% |
| Light to Heavy Manufacturing | 20% | 60% |
| Tenant Improvements | 10% | 50% |
| Warehouse/Distribution | 5% | 30% |
| Gas Stations/Convenience Stores | 25% | 50% |
For more than 40 years, our team of tax consultants have helped for-profit and nonprofit organizations with all their tax needs. Our holistic approach goes beyond simple tax preparation and includes everything from tax controversy to compliance.
In the competitive hospitality sector, achieving financial efficiency and effective tax planning is vital. Hotel ownership presents unique opportunities to enhance cash flow and minimize tax obligations, particularly through the implementation of cost segregation. This article delves into the nuances of cost segregation, its significant advantages for the hospitality and lodging industry, and how they…
Owning a car dealership can present a golden opportunity to reduce your tax liabilities. One such opportunity is cost segregation, allowing dealerships to speed up depreciation deductions, which can lead to significant tax savings early on. In this article, we’ll break down cost segregation, explain how it works, and show why it’s crucial for improving…
In times of economic expansion, business owners often look for ways to defer paying their taxes or eliminate their tax burden by maximizing deductions under current tax rules. One method that will allow a taxpayer to take advantage of current tax deductions is a cost segregation study. A cost segregation study is a strategic tax…
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