$662,914.87 in first year tax savings
A cost segregation study increased the first-year depreciation rate for this $2.5 million office building in Portland, Oregon (purchased in 2018) from $64,103 to $662,914, resulting in $662,914 in first-year tax savings.
Study Type | Class Life | Percentage | Accelerated Tax |
Cost Segregation | 5-Year | 17.53% | $450,290.31 |
Cost Segregation | 15-Year | 7.72% | $198,262.85 |
Cost Segregation | 39-Year | 74.75% | $14,361.71 |
Total 1st Yr Depreciation with Cost Seg | $662,914.87 | ||
Total 1st Yr Depreciation without Cost Seg | $64,103.00 | ||
Total Difference in Depreciation 1st Year | $598,811.80 |
% amounts relate to how much was reallocated from the depreciated basis