When it comes to commercial real estate investments, one aspect that often goes unnoticed is the potential tax benefit through cost segregation. This powerful tax planning tool allows property owners to accelerate depreciation deductions, resulting in significant savings. In this blog, we will explore the concept of cost segregation, its benefits for companies, and the available guidance provided by the Internal Revenue Service (IRS). We will also delve into why the IRS requires engineers to perform cost segregation studies and its implications for accuracy and compliance.
Have you had the pleasure of playing the real estate investment boardgame Monopoly? For anyone who’s shuffled the game's distinctive pieces across the board, “bought” and “sold” teeny houses and hotels, lost a pseudo fortune to a well-invested opponent, or scored some of that characteristically colorful money with a fortuitous Community Chest card, you know it’s a game of strategy. Your friends who scrutinized their investments and calculated every move usually won the game.
The Protecting Americans from Tax Hikes Act, known as the PATH Act, protects taxpayers against fraud. Some components of the act have expired, but there are still many active components that could benefit your business.