An Overview of Current Commercial Real Estate Depreciation Strategies

Overview

It can be challenging to ensure that your clients’ have fully leveraged their fixed assets. Cost segregation is the beginning of a comprehensive tax plan and is key to maximizing tax benefits. To maximize tax savings on commercial real estate, cost segregation can be used thoughtfully in combination with multiple other strategies. By employing incentives like bonus depreciation, expensing under Tangible Property Regulations, Section 179 expensing, and more, CPAs can ensure that their clients have fully optimized their real estate tax efficiency.

Highlights

• History of Qualified Property Categories
• CARES Act correction of QIP rules
• Apply CARES Act changes to returns
• QIP as Section 179 property indicator
• Integrate Section 179, Bonus, TPRs, Incentives
• Compare Bonus Depreciation vs. Section 179
• Maximize savings using tax strategies

Prerequisites

Some knowledge of Cost Segregation.

Objectives

• Recognize the implications of the CARES' Act's correction of the QIP recovery period.
• Identify the utility of strategies like Section 179 Expensing, Bonus Depreciation, the Tangible Property Regulations, and more.
• Determine how to use tax strategies in tandem to maximize savings strategically.

Preparation

None.