If you're buying  a restaurant with real estate, you may want to consider a Cost Segregation Analysis.  It's a great way to increase your return on investment.  The restaurant brokers recently did this on our building in downtown Atlanta so we experienced it first hand.  Engineered Tax Services did this for the restaurant broker and we found it's a tremendous way to escalate depreciation to get greater tax deducations immediately.  

Over 300 rulings, letters and IRS Memoranda have provided documentation and significant case law for the support of Cost Segregation Studies. Hospital Corporation of America vs. The Commissioner is one of the landmark decisions which gave support to the way we review and analyze properties to determine the tangible personal property that may qualify for depreciated lives of 5, 7, or 15 years rather than 39 years (if non-residential real property) or 27.5 years (if residential real property).

Even if you are presently depreciating certain property in an accelerated manner, you may still be leaving money on the table

A cost segregation study is a federal income tax tool that increases your near term cash flow, in the form of a deferral, by utilizing shorter recovery periods to accelerate the return on capital from your investment in property. Whether newly constructed, purchased or renovated, the components of your building may be properly reclassified, through a cost segregation study, into shorter recovery periods for computing depreciation deductions.

Engineering-Based Report

Engineered Tax Services is a professionally licensed engineering firm (license # 27824) with over 80 years of combined experience in engineering-related tax services. We meet all of the criteria and qualifications required by the IRS.

Core Competency

ETS is dedicated to engineered tax services, including cost segregation studies, energy tax certification studies, energy audits and related building appraisal reports. Our qualified and experienced engineers are part of our permanent in-house team.

We fully understand the tax ramifications that must be considered when performing cost segregation or energy tax studies as they relate to the issues of recapture, passive activity limitations and the intricate steps involved in 1031 exchanges.

Professional Insurance

ETS insures every report by Lloyds of London for Errors & Omissions which allows us to provide full warranty of all reports in the event of an IRS audit.

Don't be fooled by other firms that claim they can perform cost segregation studies. Many unlicensed engineering firms provide a residual report based on abbreviated methodology and result in significantly fewer benefits ($17,000 less in average cash benefits per $100,000 in building value). This is not the preferred method by the IRS as outlined in their published Audit Technique Guidelines. 

This firm provides the highest quality cost segregation studies, with full audit defense, professional insurance and comprehensive reporting.

We recommend that our clients buying a restaurant reach out to Engineered Tax Services. 

Engineered Tax Services (ETS) is the only qualified professional engineering firm that has its own licensed engineers, LEED Accredited Professionals, and experienced Certified Public Accountants on staff. We marry the science of engineering with the principles of tax and accounting to arrive at financial solutions that result in increased cash flow, minimized tax payments and maximum return on investment. Since EPAct was enacted, ETS has been at the forefront of the energy accreditation and related tax benefits field. Please contact us for more information about how you can benefit from Energy Tax Credits, Energy Policy Act Certifications, Cost Segregation Studies, Historic Tax Credits, Insurance Appraisals, Energy Audits and Renewable Energy Credit services.