This Miami, Florida office building was purchased in 2018 for $3.3 million. Without a cost segregation study, it would have depreciated by $55,385 in the first year. Instead, investors applied a cost segregation study to accelerate first-year depreciation to $362,423.
|Study Type (Office Building – Miami, FL)||Class Life||Percentage||Accelerated Tax|
|Total 1st Yr Depreciation with Cost Seg|
|Depreciation 1st Yr without Cost seg||39-Year||100%|
|Total Difference in depreciation 1st Year||$686,867.19|
% amounts relate to how much was reallocated from the depreciated basis