What all that means to you, the restaurant owner, is that you can now
Laguna Niguel, CA (Vocus) February 9, 2010
The IRS has released industry specific guidance regarding cost segregation studies in the restaurant industry. Now restaurant owners/operators can accelerate depreciation on 20-40% of total building costs.
Dean Small, co-founder of Synergy Restaurant Consultants explained the significance. “This is an effective means of reducing a restaurant’s income tax liability. Many restaurant owners’ asset components within their properties may be depreciated over a 5 year or 15 year recovery period versus a straight-line 39 year recovery period. In simple language, what this means is accelerated depreciation allows restaurant owners to reduce current income tax liability and significantly enhance cash flow. The bottom line is that it improves a restaurant’s bottom line.”
For over 20 years Synergy has been helping its valued clients improve their financial performance through improved operating efficiencies. Cost segregation is a natural extension of our efficiency services that leverages sophisticated accounting practices and mechanical engineering. This new team of Scapello and Synergy has extensive restaurant design, estimating, engineering, and construction experience, permitting the group to identify and quantify items of personal property accurately and in a manner acceptable to the IRS. Cost Segregation is a specialized area of tax. Scarpello and Synergy works directly with your CPA providing all necessary documentation and support.
Danny Bendas, Synergy’s other co-founder expounded on the benefits. “What all that means to you, the restaurant owner, is that you can now “catch up” on tax deductions that were missed…all the way back to 1987 and without amending prior tax returns. This deduction can be applied to current income tax liability significantly reducing the amount of income taxes owed this year.”
The team’s combined experience in the real estate and construction industries provides the restaurant owner with a unique base of experience to take advantage of the new taxpayer privileges. Cost segregation studies are designed to maximize an owner’s depreciation allowance while minimizing the risk of audit exposure.
“We do more than properly classify an asset as real or personal property; we clearly document how the values of the various component assets were identified. We now identify improvements on the building plans, quantifying the property using the most detailed level of cost information available, and describe the costing method employed.” Dean Small reports.
Want to learn more? Contact Synergy Restaurant Consultants right away to see how you can truly benefit in a major way through Cost Segregation. For more information please contact Synergy Restaurant Consultants or go to http://www.CostSegregation.net