Federal Tax Reduction

Contact Person: Colin Fox

If you own real estate and pay federal taxes, a cost segregation study is essential to helping optimize your tax liability.

A cost segregation study can determine which property components of land and improvements, when allocated accurately, will result in shorter depreciation lives and translate to less taxes owed to IRS. It is a cost-effective and conservative tax planning approach.

Our real estate professionals calculate costs of property components and prepare a thorough report to document the total amount of depreciation an owner or entity is entitled to report to the IRS. CPAs welcome the report as backup documentation to support tax returns.

Utilizing a cost segregation study earns tax savings immediately and for years to come. Typical results are 2:1 to 80:1 “year one” federal tax savings when compared to the modest cost of the report.