In the restaurant business, the right financial tactics can be game-changing. See how Source Advisors used Cost Segregation to yield notable tax savings for a well-known hamburger restaurant.
The $3,000,000 property is a national Drive-Thru and Eat-In hamburger focused restaurant.
With diverse assets like underground rainwater systems and specialized interiors, the goal was to accurately segregate the components to capitalize on shortened tax life opportunities.
The building is approximately 2,000 square feet. The lot is 25,000 square foot and includes parking, sidewalks, curbs, trash can surround, underground rainwater runoff and landscaping that are treated as Land Improvements with a 15 year tax life rather than 39 years.
The interior retail/food service spaces had millwork, data, point-of-sale, vinyl flooring, drive thru windows, decorative light, electrical, plumbing and HVAC that are treated as Personal Property with a 5 year tax life rather than 39 years.
Source Advisors Cost Segregation engineers were engaged to analyze the acquisition cost. They then applied a cost model to allocate the purchase price to various trades and building components.
Our engineers conducted a thorough inspection of the property where estimates were performed. Key property personnel were also interviewed. A detailed report was delivered, identifying and documenting all of the components that qualify for a shorter tax life.
Don’t leave money on the table. Contact Source Advisors to find out how Cost Segregation can work wonders for your bottom line.
Our industry experience with cost segregation has helped businesses claim billions of dollars in tax credits and incentives.
Our engineers excel at delineating construction costs to yield the highest tax benefits.
Our 40-year history of achieving substantial tax credit savings for clients across various industries is a testament to our commitment and expertise.
Our thorough reporting ensures every qualifying cost is adeptly reclassified.
Our dedicated support team is readily available to guide you through every step of the process, ensuring a smooth and stress-free experience.
Our recommendations stand in full compliance with tax legislations, offering clients unmatched peace of mind.
Case Studies Cost Segregation for Big Box Retail Centers A Comprehensive Source Advisors Case Study Cost Segregation for Big Box