A COST SEGREGATION STUDY is an engineering-based analysis that reclassifies or segregates real estate components and improvements between real and personal property. This reclassification accelerates the depreciable lives from 27.5- or 39-years to 5-, 7-, or 15-years. At CSSI® , we create an engineering-based cost segregation study by analyzing your building and its assets within U.S. tax code guidelines. When an engineering-based study is performed, actual cost records and construction documents are reviewed, when available, and a site visit is completed.
Simply put, it creates a large tax deduction which keeps your money in your account to be used as you determine.
Connect for Cost Segregation Tax StrategyOur team of seasoned professionals boasts extensive experience in the world of cost segregation. Wehave a proven track record of delivering results, helping property owners enhance their property's value and improve cash flow. As trusted experts, we ensure your cost segregation analysis complies with IRS regulations, providing peace of mind throughout the process.
Our seasoned professionals excel in delivering IRS-compliant cost segregation services. With a proven track record, we help property owners unlock hidden value, improve cash flow, and minimize tax liabilities, making us your trusted choice in South Florida.
Whether you own a hotel, office building, or other commercial properties, we offer tailor-made solutions to meet your unique needs. Our services aren't limited to any specific industry or property size. We are well-versed in South Florida's real estate market and understand the nuances of cost segregation for this region.Discover the extensive tax benefits of cost segregation for various property types, from hotels to office buildings. Our tailored solutions ensure you're making the most of South Florida's real estate market. Explore the advantages of cost segregation for rental properties too.
Cost segregation is a powerful tool that allows you to accelerate depreciation deductions on specific components of your property. By reclassifying assets, such as electrical systems, plumbing, and interior finishes, as shorter-lived, you can boost your ROI and reduce your tax liability. We're here to optimize your return on investment, helping you make the most of your property's financial potential.
If you own rental properties, you can benefit significantly from cost segregation. By optimizing your depreciation, you can enjoy tax savings that enhance your rental property's income growth.
Ready to unlock substantial tax savings and boost your bottom line? Contact us now to schedule a free consultation and experience the benefits of cost segregation in South Florida. We're here to answer your questions, provide expert guidance, and help you maximize the value of your commercial property we're dedicated to delivering results that make a difference. Join our satisfied clients who have realized the potential of cost segregation in South Florida. Let us help you achieve similar success with our cost segregation expertise.
Whether you're a corporation, partnership, trust, or an individual, if you've acquired or constructed real estate in the past 15 years and have tax liabilities, a cost segregation study is your key to maximizing benefits.
Our cost segregation study dissects the construction cost or purchase price of your property, which would traditionally be depreciated over 27.5 or 39 years. What's more, it applies to both residential and non-residential commercial properties, offering you valuable tax advantages and financial opportunities. Discover how you can enhance your real estate investments today.
Cost segregation allows for accelerated depreciation, resulting in substantial tax savings by reducing taxable income, ultimately lowering your annual tax liability.
By decreasing your tax payments, cost segregation frees up cash, improving your financial flexibility and enabling you to reinvest in properties or expand your real estate portfolio.
Cost segregation accelerates the recovery of your initial investment, leading to a quicker ROI on your real estate assets.
Properly executed cost segregation can raise the overall value of your property, potentially making it more attractive to potential buyers or tenants and providing a competitive edge in the market.
Building costs are generally classified for federal income tax purposes into three categories:
Cost segregation was first applied and performed by major accounting firms with in-house cost segregation departments on the largest properties of their most significant clients. Study costs were routinely upwards of $100,000.
The COST SEGREGATION STUDY was created using the methods and protocols to deliver this same service to commercial property owners at very affordable rates. By choosing a COST SEGREGATION STUDY, you can take advantage of this tax-saving strategy that was once only utilized by the owners of substantial properties.
Without a COST SEGREGATION STUDY, your tax professional will only be able to accelerate certain assets. A COST SEGREGATION STUDY provides your tax professional with accurate engineering-based information to establish 5-, 7-, 15-, and 27.5- or 39-year depreciation schedules. When these schedules are applied, there are substantial increases tax in savings in the earlier years of owning your property.
A COST SEGREGATION STUDY normally takes approximately six weeks from the time we receive all the appropriate documentation.
If you are a U.S. taxpayer with a tax liability, a cost segregation study can be a lucrative tax strategy. Let us provide you with a complimentary preliminary analysis to determine potential tax benefits.
Although a COST SEGREGATION STUDY has never triggered an audit, (and should not if done according to the tax code), if you are under audit for any reason, and the COST SEGREGATION STUDY comes into question, CSSI® will defend the audit at no cost.
A study can be completed in the year the building or improvements is placed in service. However, the U.S. tax code allows taxpayers to “catch up” on the depreciation that was not claimed from the first day the property was placed in service without amending prior years’ tax returns. A cost segregation study should be considered on any property with a remaining depreciable basis.
While each study differs, we generally request the following information, if available:
We can assist you in gathering the necessary data.
No. However, for projects not yet constructed, we can provide estimates on tax savings from your construction budgets. A COST SEGREGATION STUDY can be delivered when construction is complete.
Are you a commercial property owner in South Florida or anywhere in the US seeking to maximize your return on investment for your commercial or residential property? We specialize in optimizing your property's financial performance by unlocking significant tax savings through cost segregation studies and providing a detailed report on how you can save taxes, helping property owners boost their ROI by reclassifying assets for significant tax savings
"A taxpayer can substantially increase cash flow by segregating property costs."
Cost segregation can provide real estate purchasers with tremendous tax benefits from accelerated depreciation deductions and easier write-offs when an asset becomes obsolete, broken or destroyed.
- Jay A. Soled, JD, LLM & Charles E. Falk, CPA, JD
"A good relationship with an established, experienced cost segregation provider is important so that, if an inquiry is made about a cost segregation study three or more years down the line, the provider is willing and able to stand behind the work."
- A Practicing CPA
"Thank you so much CSSI! Without the influx of cash I received from my reduced tax payment, I would have had to close my new location. You literally saved my business. I will forever be grateful."
- J. S.
"I am an extremely cost conscious and demanding investor. No other firm could have met the level of detail I require and complete such a project within our time frame. I am very happy with CSSI’s performance and the commitment of our representative to see this project completed successfully within an impossible time frame."
- S.P.
"We appreciate the cost segregation study by Cost Segregation Services, LLC which gives optimum results for our clients while applying rules of the U.S. tax code. "
- San Diego CPA Firm
"The bottom line speaks for itself… CSSI saved us over $500,000 in cash. In these economic times no one in business can afford to let that kind of money slip way."
- J.P. CEO
"I view the services of Cost Segregation Services Inc. as important for our clients and important to our bank’s initiative"
- President of a Community Bank in Chicago
"The relationship I have with CSSI is important to my CPA practice. We have a great partnership and we share ideas with each other regularly. I feel like I have expert tax council in my corner."
- J.B
Journal of Accountancy and Industry Articles
"A tax-deferral strategy that’s gaining popularity is saving some building owners hundreds of thousands of dollars."
Cost segregation can provide real estate purchasers with tremendous tax benefits from accelerated depreciation deductions and easier write-offs when an asset becomes obsolete, broken or destroyed.
- Erin Johansen, Denver Business Journal, August 20-26, 2004
AICPA
"Selecting a firm that uses qualified professionals with years of significant, relevant experience can be an important differentiator in the quality of a cost segregation study."
- William Edward Allen III, CPA & Mary B. Foster, Esq.
For any cost segregation related queries, please call us or fill in the form.
National Account Executive - Cost Segregation Services, LLC