$849,351.66 in 1st-year Tax Savings
Without a Cost Segregation Study on a Cost Segregation Study on a $3 Million Bank Building in Charlotte NC purchased in 2018 would have generated a 1st-year depreciation of $74,359.00. By applying a cost segregation study, the property investors accelerate depreciation, for the 1st year to $923,710.66. This acceleration in deprecation allows the property investors to reduce their tax liability and in turn increase their bottom line. By breaking down the building asset into components, a cost segregation also aids in future benefits of abandonment, repairs, routine maintenance and overall asset management. ETS performs hundreds of cost segregation studies monthly for property owners, providing a detailed engineering review of assets including special purpose mechanical and electrical systems, decorative finishes, site improvements, and any process related to special purpose construction.
|Study Type||Class Life||Percentage||Accelerated Tax|
|Total 1st Yr Depreciation with Cost Seg||$923,710.66|
|Depreciation 1st Year without Cost Seg.||$74,359.00|
|Total Difference in Depreciation 1st Year||$849,351.66|