Real Estate & Mortgage
Cost Segregation Tax Savings
Estimate accelerated depreciation and tax savings from a cost segregation study.
Your inputs
Change any value to update the result instantly.
Estimated year-1 tax savings
54,109.0909
Reclassified asset value
3,00,000
Accelerated deduction
1,80,000
Extra deduction vs straight-line
1,69,090.9091
A qualified cost segregation study is needed to substantiate the actual reclassified amounts.
Formula and working
Reclassified assets (5/15-yr) depreciate faster; savings = extra first-year depreciation × tax rate
- 1
Collect the inputs
Depreciable building value = 1,200,000; Share reclassified to 5/15-yr property = 25 %; Bonus depreciation rate = 60 %; Marginal tax rate = 32 %
- 2
Apply the formula
Reclassified assets (5/15-yr) depreciate faster; savings = extra first-year depreciation × tax rate
- 3
Result
Estimated year-1 tax savings = 54,109.0909
Frequently asked questions
Important limitation
This is an educational estimate based only on the values and formula shown. Verify current rates, rules, units, and professional standards before relying on the result. It is not personalized financial or investment advice.
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