Tax Savings Tools
Cost Segregation Studies
An initial engineering study. This will accelerate your depreciation from a typical 39 year time frame to the correct life expectancy for the components within your hotel or building.
When disposing of the components in your hotel during a remodel, those components will remain on a 39 year basis. We can take those components which have value and depreciate them right away. Giving you a large amount of tax savings that you would have otherwise thrown into the landfill.
After your renovation we will correctly allocate the components in your building that you have put in new. Many times 179 forms are used to expense these items. That will make your cash flow look less to a bank. When we use the depreciation method you will still get the same dollar amount for those items but you will also get the cost of the labor as well. Thus saving you more on income tax.