WALKER BRYCE & ASSOCIATES
COST SEGREGATION & FIXED ASSET OPTIMIZATION SPECIALISTS
Walker Bryce & Associates provides Cost Segregation and Asset
Optimization consulting services to Commercial Property
Owners, CPAs and various different Commercial Real Estate
related professionals.
Walker Bryce is dedicated solely to Cost Segregation, and Cost
Segregation alone. It's our core business and our main focus.
THE PROCESS: HOW DO WE BEGIN?
We originate a preliminary review of the property at no cost to
the owner. This free analysis allows the owner to view the
projected tax savings benefit and impact on cash flow the
study will provide before committing to having the study
performed. Once we are authorized to proceed with the study,
for the owner, the process is quite simple.
Our process is in-depth, however, it is not intrusive for our
clients. We request from the client construction cost data and
blueprints, if available. If construction data is not available,
we will work off of current financial documentation supplied
by your CPA to perform an engineered cost estimate study.
A Walker Bryce team member will visit the site and do a
visual inspection of the property, both interior and exterior.
We'll take photographs of the building and grounds to identify
and document the assets to be re-classified.
Our engineering team will create an in-depth study based on
all documentation that will identify the properties assets and
re-classify each asset into its proper class life. We use the IRS
process identified as the Modified Accelerated Cost Recovery
System (MACRS). This highly technical system uses more
than 130 different asset categories, 8 recovery periods and 3
depreciation methods. The analysis uses other Federal tax
recovery system guidelines, court decisions and IRS private
letter rulings.
Our team literally follows the IRS Audit Technique Guideline
(ATG) for cost segregation studies by the book.
The ATG states that "studies be performed by qualified
individuals or firms, such as those employing personnel
competent in design, auditing and estimating procedures
relating to building construction" (PLR 7941002). The IRS
recognizes the detailed engineering approach as the most
methodical an accurate approach. This is the foundation for
every Cost Segregation Study Walker Bryce & Associates
performs.
Each study we perform follows court rulings and IRS
legislation, allowing property owners to claim accelerated tax
depreciation, providing a significant deferral of income taxes
and a possible reduction of real property taxes as well.
Our Engineering-based Approach
We provide full documentation in our cost segregation studies,
employing engineer-ing and cost-estimating procedures
recognized by the IRS in its rulings and by the courts. A
complete “audit trail” traces derived unit costs from contract
documents and other source data. Your property is reclassified
into shorter-life classes based on applicable tax authorities.
During a cost segregation study, we:
•Physically inspect the property
•Examine architectural/engineering drawings and
specifications for potential asset reclassification
including the contractor’s application of payments.
•Prepare an itemized list of property units qualifying for
shorter-life classification.
•Apportion direct labor.
•Reconcile total costs per the engineering analysis to
capitalized project costs.
A no-cost, no-obligation analysis will show the affect a Cost
Segregation Study will have, and whether or not it is worth
having one performed.
If you own or lease a facility, the depreciation deduction is one
of the most significant, but often overlooked opportunities to
reduce the income tax liability. Whether you are buying,
building or improving a building, Walker Bryce & Associates
can help maximize your income tax deductions through our in-
depth cost segregation service.
Let us assist you in determining if a cost segregation will prove
beneficial to you. To get started, simply click the link below .
REQUEST A FREE PROPERTY ANALYSIS
Click here to find out how you
can discover Cash Flow
Benefits which are hidden in
your Commercial Property, via
Cost Segregation.
DID YOU KNOW?
90% of Real Estate Owners
Over-Pay Federal Income
Taxes; $15 Billion Annually
Goes to IRS in Error Due to
Depreciation Inaccuracies.
THE BOTTOM LINE
Without cost segregation you
are missing out on allowable
depreciation expense in your
business life. It’s important
to know that without an
engineered cost segregation
study your CPA cannot
maximize your benefit under
the rules. This allows the
CPA to maximize the tax
savings for smaller property
owners that the larger
corporations have already
been taking advantage of.
SERVICES
What kind of real estate
qualifies?
Any structure used for business
or as rental property, is eligible
for the benefits of Cost
Segregation.
*Thank you for taking the time to visit our web site. The material contained here is best read as an invitation to explore
what Walker Bryce & Associates can do for you and what we can do together. We hope you will review it in that spirit.
"Cost Segregation is a
lucrative tax strategy that
should be used in almost
every major purchase of
Commercial Real Estate."
-Wall Street Journal
June 2003
Every building is different.
Savings depend on many
factors including: purchase
price, building use,
construction methods used,
design, and year acquired.
For an accurate estimate, you
can request a free analysis
and proposal. Generally, the
savings is roughly 25 to 35
times the cost of the Study.
How much can be saved?
If Cost Segregation is a legal
method to generate large cash
tax savings, why haven’t I
heard of it?
The birth of cost segregation
began with the Big 4 accounting
firms, who only considered
cost segregation studies on
properties valued at $20 million
or more…and at very
substantial fees. The Big 4 also
tend to market to Fortune 500
companies.
Now, businesses both small
and large can take advantage
of over 75 prior IRS revenue
rulings and court cases to not
only accelerate depreciation of
certain assets but also to
recapture unclaimed
depreciation deductions. This
means that smaller companies
can take advantage of this tax
strategy at very affordable
rates.
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Can Cost Segregation Apply
To Projects Not Yet
Constructed?
Yes. For projects not yet
constructed, Walker Bryce &
Associates can design and
implement a cost accounting
system. This system saves
time, and by tracking
segregated costs during the
project’s construction,
produces the most thorough
cost segregation study
possible.
"Cost Segregation is a lucrative
tax strategy that should be used
in almost every major purchase
of Commercial Real Estate."
-Wall Street Journal
June 2003
© 2006 Walker Bryce & Associates LLC. All Rights Reserved.
