Who Prepares Cost Segregation Studies Today?
Appraisal and engineering firms, Big Four firms and spin-offs of Big Four firms are the primary providers of cost segregation studies. Some accounting firms and tax lawyers offer the service but frequently outsource the actual report preparation to an appraisal or engineering firm. With the introduction of new providers, the price gap has widened between lower cost analytical studies and higher rates charged by larger firms. Do All Properties Benefit From Cost Segregation? Cost segregation is typically effective and financially feasible for properties that have an improvement basis of $500,000 or higher. Properties with a great deal of site-improvement, including landscaping and parking, generate great results. Cost segregation can be performed for properties anywhere in the United States. It is effective for apartments, office, retail, industrial, self-storage and many special use properties. “Clients expect us to seek out and utilize tools which will minimize their federal taxes,” sa
