According to Geraldine Serrano of the Bedford Team, who specializes in Cost Segregation, regarding the New Trump Tax Bill, “As a result of the new tax bill, one of the biggest changes for commercial real estate buyers is in the area of bonus depreciation. The bottom line is that buyers are now eligible to deduct 100% of all assets that can be identified as having a depreciable life of 20 years or less. So, the basic reasons, and benefits, of having a cost segregation study completed on newly purchased property has increased dramatically.
A quality study can typically amount to an immediate deduction equal to anywhere between 20% to 45% of the basis of your newly acquired building. Not only that, but the rules are retroactive to purchases made after September 27, 2017, and, now include multi-family properties, not just commercial real estate.”