High-impact Ways to Lower Your Clients' Tax Liabilities

Tuesday, March 8, 2016 - 12:00

IT’S NOT TOO LATE… Do you have clients who could benefit from larger deductions to offset their taxes? Do you have clients who completed improvements to their real estate and now can realize immediate write offs through a tangible property regulation disposition study? Let MSC take the burden off your plate and assist you in providing your client with great news; LOWER TAXES!

We were recently contacted to complete a 2015 improvement study on two Assisted Living Facilities. During the initial communications, it was realized that the original acquisitions were never considered for a cost segregation study. Also, during the review of the improvements, we were able to identify opportunities for evaluation of assets for the De Minimis Safe Harbor and a disposition study.


2015 Improvements - $1,010,000

  • Assets now bonus eligible as a result of cost segregation study.
  • MS Consultants segregated an additional 40% for the client, as well as, identify an immediate write off exceeding $140,000.
  • Savings to the client in Year 1 = $211,000

*As a result of identifying an opportunity on the original acquisition and a TPR disposition study, additional savings to the client in Year 1 exceeded $200,000.*


2015 Improvements - $1,300,000

  • Assets now bonus eligible as a result of cost segregation study.
  • MS Consultants segregated an additional 45% for the client, as well as, identify an immediate write off exceeding $180,000.
  • Savings to the client in Year 1 = $278,000

*As a result of identifying an opportunity on the original acquisition and a TPR disposition study, additional savings to the client in Year 1 exceeded $195,000.*

Several opportunities exist that could assist in lowering your clients tax liability.

  • Cost Segregation
    • Have your clients purchased real estate in excess of $500K over the past 20 years?
    • Have your clients paid to improve their leased space or building in excess of $250K over the past 20 years?
  • Tangible Property Regulation Analyses
    • Have your clients improved their building or leased space over the past 2 years?
    • Have your clients replaced a structural component of their building or leased space in the current year?
    • Do you have clients who have several fixed assets and could now benefit from a Change 184, expensing of previously capitalized items?
    • Have your clients completed a refresh to their building or leased space and want the refresh analyzed to determine if it certain items, if not all, can be expensed in the current year?
  • Section 179D Energy Efficient
    • Have your clients paid to make their building or leased space more energy efficient since 2006?
  • Section 45L
    • Have your clients paid to make their residential or residential rental (less than 3 stories) more energy efficient within the last 2 years?

Please complete and return an ESTIMATE REQUEST FORM and we’d be happy, at no cost to you, to prepare an estimated benefit analysis and fixed fee proposal for you and your clients’ consideration. If you have any questions on the services we provide, please don’t hesitate to contact us.

41 days remain untill April 18th! MS Consultants wishes you a rewarding and successful tax season!

Ashley Sullivan, SCSP
757-705-6264
asullivan@costsegs.com