Tangible Property Regulations and Cost Segregation Services
Tangible Property Regulations
Tangible Property Regulations (TPRs) have been the biggest change in tax implementations and preparations for businesses since the 1986 Tax Reforms Act. Final tangibles regulations combine case laws and other authorities to help you determine whether certain costs are deductible or must be capitalized. With the enactment of the final Tangible Property Regulations, Cost Segregation studies have an expanded role in assisting taxpayers.
Cost Segregation studies can create smaller units of property which could be damaging to the repair versus capitalization analysis under the Tangible Property Regulations. Cost Segregation helps individuals and businesses increase cash flow, accelerate depreciation and reduce tax. Any structure used for business or as rental property is eligible for the benefits of Cost Segregation. Shopping malls, airports, sport facilities, driving ranges, resorts, industrial buildings and auto service centers can benefit from Cost Segregation.