Cost Segregation Studies

Proper identification and segregation of assets associated with new construction, leasehold improvements and acquisitions can result in substantial cash tax benefits. Initiating a cost segregation study can be an effective tool for maximizing tax deductions and reducing taxable income when constructing a new building, renovating or expanding an existing building, making leasehold improvements or acquiring real property and land improvements.

Weaver properly allocates the construction costs between real property and personal property which often depreciate at different rates. In addition to providing cash tax savings, cost segregation studies can be used to determine the correct tax units of property prescribed in regulations and to identify components of buildings and leasehold improvements in case of future repairs, partial dispositions and retirements.