Cost Segregation greatly accelerates the depreciation on our funeral home properties through identifying and quantifying the various components of the real property. A portion of our property is reclassified from 39 year depreciation into 5, 7, and 15 year depreciation which has a tremendous impact on cash flow. Essentially they provide an IRS compliant source document that allows your tax professional to change your depreciation in a favorable manner. Now here is a bonus – if you have owned your property from 1-20 years, you can catch up missed deprivation and bring it all into the current tax year without amending past returns. Speaking of bonus, if you have built a new property their service facilitates Bonus Depreciation; if you just bought an existing property, their service facilitates Section 179 depreciation. Even if you have an older depreciated property but have done substantial improvements, they can help with that improvement cost.
I have done a study on my new building with this company and they have greatly benefited my financial situation, working very closely with my CPA. This can be done on new or existing properties. They provide an initial review that is free which conservatively projects the potential benefit and quotes a fee for their study should you decide to contract. It is truly a free analysis and you should at least take advantage of that.