If you are purchasing, constructing, or remodeling a building, knowing how to increase your cash flow with a cost segregation study can really add value.
A Cost Segregation Study is a strategic tool that accelerates tax depreciation deductions and maximizes a company's cash flow by reducing current taxable income and deferring federal and state income taxes. A cost segregation study should be completed during the year when the building or the improvement is placed in service.
A Cost Segregation Study can:
- Identifies assets that qualify for shorter depreciable lives
- Increases cash flow by deferring income taxes
- Assists with property tax reporting
- Provides detail for obtaining tax credits
- State Investment Tax Credits
- Rehabilitation Credit
- Disability Access Credit
- Identifies cost for future asset retirements