Cost Segregation for Accelerated Depreciation
Cost Segregation for
Tax Savings
Bigger Deductions, Sooner
Cost segregation is a powerful tax strategy that allows
property owners to accelerate depreciation and reduce taxable income, putting
more money back in your pocket sooner.
If you own a residential or commercial rental property, a
cost segregation study can help identify and reclassify building components
(like flooring, cabinetry, electrical systems, and exterior improvements) into
shorter-lived asset categories (5, 7, or 15 years instead of 27.5 or 39 years).
This allows you to claim significantly more depreciation in the early years of
ownership.
Benefits:
- Increase
cash flow by lowering taxable income
- Reduce
current-year tax liability
- Capture
missed depreciation for prior years via IRS Form 3115
- Pair
with bonus depreciation for even greater benefit—especially for assets
placed in service in 2025 or earlier
Who Should Consider It?
- Real
estate investors and landlords
- Property
owners who recently purchased, renovated, or constructed a building
- Anyone
with a rental property valued at $300,000 or more
How It Works:
- A
licensed structural engineer (Pacific Skyline, Inc.) analyzes your
property’s components
- Solvent
LLC, as your tax advisor, calculates your eligible depreciation and files
any necessary IRS forms
- You
get a full tax benefit breakdown and updated depreciation schedule
Ready for a Free Quote?