Lowering Property Taxes on Real Estate in Augusta

A cost segregation study is one more way that owners of real estate in Augusta can reduce their tax burden. This study is an engineering analysis that can help owners of commercial and residential buildings in Augusta, Georgia’s second-largest city, increase their cash flow through depreciation of parts of a building in compliance with federal tax laws. Augusta

Understanding the Mechanics of Cost Segregation

When an IRS-approved tax strategy known as cost segregation is put into play, real estate components that have traditionally been depreciated slowly using a 27.5 or 39-year period are reclassified into a 5, 7 or 15-year category, which results in a faster recovery period for tax depreciation purposes. By utilizing our engineers’ services, an in-depth study of your Augusta investment property will be conducted to categorize assets such as customized light fixtures, flooring, landscaping, HVAC equipment and many more that fall within the accelerated depreciation range.

The study uses specific IRS categories to split up building costs. Land improvements and items of personal property depreciate more rapidly than buildings do, enabling Augusta investors to take off a bigger bite out of their taxes in the earlier years, as opposed to taking smaller deductions for 30 or 40 years.

Advantages for Property Owners

Augusta real estate investors benefit from cost segregation in a number of ways that make a real estate investment even more attractive:

• Quick tax reductions by expanding first-year depreciation allowances
• Improvements in cash flows due to decrease in current tax expenses
• Accelerated depreciation on eligible building structures and structural components
• For properties that were purchased in prior tax years, they can receive retroactive benefits.
• Higher returns through tax management strategies

These advantages stack upon each other, delivering enduring financial returns to an accomplished investment portfolio of Augusta homes.

Who Should Be Interested in a Cost Segregation Study?

Cost segregation studies tend to work best for these particular types of Augusta property owners:

• commercial real estate investors with assets over 500,000
• Owners of apartment complexes looking to boost their depreciation allowances
• Healthcare, dental and other practice owners requiring specific building renovations
• Investors in restaurants and stores that require substantial interior renovations
• Manufacturers with substantial investment in equipment and facilities

The best results for cost segregation in Augusta are typically found in properties with recent upgrades, specialized systems, or distinctive designs.

What’s in the Study

We provide a detailed cost segregation study for every Augusta building owner to help you claim the largest possible write-offs and tax breaks:

• Qualified engineers and tax pros perform the full property inspection.
• The construction cost analysis with the original blueprints and contractors’ invoices.
• Categorization of components per the depreciation provisions of the IRS
• Full documentation of all decisions to reclassify
• A thorough report will be prepared and readied for you for tax preparation and IRS compliance

Every study is IRS approved to ensure maximum tax depreciation benefits for your Augusta investment property.

Our Advantages

We have decades of engineering and local real estate market experience and understand the special nature of Georgia commercial real estate. We perform studies that are defensible by the IRS. Our Certified Engineers and Tax Experts do only client work and our clients are our sole focus.

We guarantee our work meets all federal compliance requirements while you get the full advantage of all allowable tax breaks. Our customers in Augusta are regularly achieving substantial tax savings that far exceed study costs.

To begin,

Interested in learning more about how cost segregation could help with your Augusta properties? We can start with a brief consultation about your property and discuss potential savings before engaging in an entire study. Feel free to get in touch with us to arrange for an at no cost property evaluation. Contact our team today