Cost segregation is a highly beneficial tax planning strategy utilized by real estate investment companies to: Accelerate depreciation deductions Defer tax Improve cash flow.

1. How does a
property qualify for
COST SEGREGATION?
www.expertcostseg.com

2. Cost segregation is a highly beneficial tax planning strategy
utilized by real estate investment companies to:
Cost segregation studies can benefit taxpayers who purchase,
construct, expand, or renovate real estate property. The study takes
the cost of each component of a qualifying real estate investment
and reclassify and break it down among shorter recovery periods.
Accelerate depreciation deductions.
01
Defer tax.
02
Improve cash flow.
03

3. Benefits of a
Cost Segregation Study
Increase in cash flow
Reduction in current tax liability
Deferral of Federal Income Taxes
Ability to recapture past years

4. Any type of a commercial property placed into
service after 1986 qualifies for cost segregation.
Most developed commercial real estate that
meets the following minimum guidelines qualify
for cost segregation:
Does Your Property Qualify
For Cost Segregation?
Real property acquired, built or significantly remodeled after 1986
Commercial for profit venture
Depreciable basis of at least $500,000

5. WHO DO COST SEGREGATION
STUDIES BENEFIT?
Cost segregation studies are not right for everyone. They are typically used
by commercial real estate investors. Thus, with cost segregation, you can
reclassify a portion of your assets as personal property instead of real
estate property in order to depreciate them on a much for tax purposes.
This lessens your tax burden, thereby leaving you with more profit.

6. Before you decide to buy property, it’s a good
idea to talk to your tax professional to be sure
you’re making the right move for your business.
www.expertcostseg.com