Cost Segregation Consultants - Experience, Benefit & Overview

As a federal income tax tool, cost segregation offers immense value to companies as well as individuals who go for construction, purchase, expansion, or renovation of real estate properties. This post looks at the goals of Cost Segregation Consultants, i.e. to identify and reclassify such properties, so that those are eligible for depreciation over a period of 5, 7, and 15 years at accelerated rates. It helps business owners to boost the depreciation expense and subsequently bring down the amount of tax payable resulting in substantial cash flow. Another advantage of going for cost segregation study is that it provides the scope to accelerate the depreciation twice on the same property. To avail of these benefits, it is vital to hire the services of an experienced cost segregation consultant, who can employ architectural engineering knowledge along with tax law experience to identify the elements that are eligible for accelerated depreciation rates.