By applying cost segregation, property investors accelerate depreciation, reduce tax liability and increase their bottom line. This aids in future benefits via abandonment, repairs, routine maintenance and overall asset management. ETS performs hundreds of cost segregation studies on a monthly basis 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.
| PURCHASE | ||
| Class Life | Percentage | Accelerated Tax Benefit |
| 5-Year | 10.97% | $225,393.94 |
| 15-Year | 1.42% | $29,140.12 |
| 39-Year | 87.61% | $1,800,630.73 |
| Total Building Cost | 100% | $2,055,164.79 |
| % amounts relate to how much was reallocated from the depreciated basis |
| IMPROVEMENTS | ||
| Class Life | Percentage | Accelerated Tax Benefit |
| 5-Year | 19.76% | $291,162.12 |
| 15-Year | – | – |
| 39-Year | 80.24% | $1,182,107.16 |
| Total Building Cost | 100% | $1,473,269.28 |
| % amounts relate to how much was reallocated from the depreciated basis |
Cost Segregation
Engineered Tax Services, Inc. (ETS) has helped thousands of property owners nationally increase their cash-flow by accelerating depreciation through our cost segregation studies. Our cost segregation studies work to uncover potential tax savings and increase cash flow through reclassification and depreciation of property. ETS provides a “Detailed Engineering” review as part of our reporting process, working seamlessly with the IRS and your CPA firm for minimal disruption to your business.
