Besting Uncle Sam: Tax Techniques That Can Save Thousands Michael Rowan, Western Regional Director, Cost Segregation Partners
FEBRUARY 5, 2013Cash imbedded in your Course & Clubhouse Mike RowanWestern Regional Director John W. HanningManager
Depreciation – What is it? Depreciation is a reasonable allowance for the exhaustion, wear and tear, and obsolescence on certain types of property used in a trade or business or for the production of income (IRC Sec. 167(a)) Concept – An assets value diminishes over time for which an allocable tax deduction is allowed.
Cost Segregation – Improve Your Cash Flow • Cost Segregation is the process of determining property costs and components to calculate depreciation values for federal income tax. • It works as a tax deferral tool by allowing property owners to accelerate the annual depreciation rate of their properties. • Cost segregation can reduce a property owner's federal income tax by increasing annual property depreciation values.
Cost Segregation – Does This Apply To Me? • Is my golf course a good candidate? • CSP, LLC will complete a free Benchmark analysis in 48 hours • Are you paying taxes? • A cost segregation study increases tax deductions • When did you place the assets in service? • A cost segregation project can be completed back to 1987
Cost Segregation – Case Study 39 15 7 5
What Qualifies as Short Life Property? If you have not broken out short life assets you could be leaving money on the table. Personal “Short Life” Property • Greens • Tees • Bunkers • Cart Paths • Irrigation Systems • Drainage Systems • Restaurant Equipment • Pools & Tennis Courts • Specialized Cart Storage • Golf Range Amenities
Questions John W. Hanning716.332.2653 email@example.com Mike Rowan 714.308.7808 firstname.lastname@example.org