North Star Cost Segregation Specialists LLC

‌ Cost Segregation

A Tax-Saving Opportunity For Your Clients

For commercial or residential rental property owners, Cost Segregation is a simple tax strategy by which your clients can accelerate depreciation, thereby reducing their income taxes.

Traditionally, commercial property depreciates over 39 years, and residential rentals over 27.5 years. However, some components such as plumbing, electrical systems, flooring, etc., fit into tax categories that depreciate faster than the building structure.

Why? If these items were purchased separately, the IRS tax code would allow your clients to depreciate them over 5 to 15 years.

Our No Cost/No Obligation engineering-based study can categorize their building components into shorter depreciation periods of 5, 7, and 15 years, resulting in higher depreciation deductions and reduced income taxes, saving your clients money.