Commercial Properties

Understanding Commercial Cost Segregation

When you acquire, construct, or renovate a commercial property, your investment includes more than just the building itself. A cost segregation study identifies and reclassifies key components of the property into shorter depreciation schedules, allowing for accelerated tax deductions and delivering significant financial advantages.

Without a cost segregation study, these components are often grouped together and depreciated over standard periods—39 years for commercial properties. However, by reclassifying eligible components such as lighting, HVAC systems, and flooring into shorter categories (e.g., 5, 7, or 15 years), property owners can reduce taxable income, realize substantial tax savings, and improve cash flow.

Immediately After Property Acquisition or Repositioning

Capture immediate tax savings by identifying eligible components.

During Renovations

Immediately After Property Acquisition or Repositioning

Ensure all qualifying improvements are documented, properly classified, and depreciated.

Before Property Completion

Immediately After Property Acquisition or Repositioning

Before Property Completion

Conducting the study early in the construction process helps align tax strategies with project planning, maximizing the potential benefits.

Expert Tax Consultation Services from The Tax Solutions Group

Cost segregation offers powerful tax benefits for commercial property owners, but understanding its full potential requires a detailed analysis. Contact us today for a complimentary cost segregation benefit estimate to see how your property could benefit from accelerated depreciation and improved tax savings. Our team will provide a tailored breakdown that helps you optimize your financial strategy and plan for future investments.

Key Benefits of Commercial Cost Segregation

Enhanced Cash Flow

Maximized Tax Deductions

Accelerated depreciation generates immediate tax savings, providing increased cash flow that can be reinvested in the business, used to cover operational expenses, or applied to debt reduction.

Maximized Tax Deductions

A thorough breakdown of the property’s major components allows property owners to depreciate those components over shorter periods, maximizing available tax deductions—particularly valuable for capital improvements and replacements.

IRS Compliance

Maximized Tax Deductions

IRS Compliance

A professionally conducted study ensures the reclassification of assets is accurate and compliant with IRS guidelines, reducing the risk of non-compliance and offering audit defense in case of scrutiny.

Commercial Cost SEgregation

Benefits of Cost Segregation for Commercial Buildings

Understanding Commercial Cost Segregation

Timing for Conducting a Cost Segregation Study for Commercial Properties

Immediately After Property Acquisition or Repositioning

Immediately After Property Acquisition or Repositioning

Immediately After Property Acquisition or Repositioning

During Renovations

Immediately After Property Acquisition or Repositioning

Immediately After Property Acquisition or Repositioning

Before Property Completion

Immediately After Property Acquisition or Repositioning

Before Property Completion

Expert Tax Consultation Services from The Tax Solutions Group

Commercial Cost Segregation Case Studies

Office Building

Office Building

Office Building

Restaurant

Office Building

Office Building

Retail Store

Office Building

Retail Store

Auto Shop

Office Building

Retail Store

Key Benefits of Commercial Cost Segregation

Enhanced Cash Flow

Maximized Tax Deductions

Maximized Tax Deductions

Maximized Tax Deductions

Maximized Tax Deductions

Maximized Tax Deductions

IRS Compliance

Maximized Tax Deductions

IRS Compliance

Contact US

(530) 750-0211

info@ttsgllc.com

(530) 750-0211

Tax Resolution

info@ttsgllc.com

(530) 750-0211

info@ttsgllc.com

info@ttsgllc.com

info@ttsgllc.com

This website uses cookies.