Boost Your Real Estate Portfolio Despite High Interest Rates with Bonus Depreciation
Are you a real estate investor who is eager to expand your portfolio but feeling frustrated by high-interest rates holding you back? If so, you are not alone! Many commercial real estate owners and residential rental property investors are facing the same dilemma in 2023. However, there is a game-changing strategy that can help you make the most of your investments and keep your money working for you, even in times of soaring interest rates. It's called Bonus Depreciation, and it's a powerful tool that can supercharge your real estate ventures.
In 2023, Bonus Depreciation is at an impressive 80%, making it a highly attractive option for property owners looking to.....
In fact, "Recapture" is an important part of any Tax Planning process. Recapture is nothing more than the IRS requiring the taxpayer pay ordinary tax rate rather than Capital Gains rate on the gain attributed to depreciation deductions when selling your property. Simply stated, if you sell your property at a gain, you will pay back the depreciation taken on the property - up to the amount of the gain - at an ordinary tax rate or a rate higher than Capital gains rate. This is true for "Real Property" (1250) as well as "Personal Property (1245 property).
Another way to look at it is you have received an interest free loan from the Government through depreciation deductions; and if you make money on this when selling the property, the Government is requiring you to pay ordinary tax rate on the money you made from this "loan". If properly planned it is still a win-win situation for the Commercial Property Owner!.....
"At the core of my business is the impactful task of aiding real estate investors amid inflation and current economic challenges, empowering them to secure more funds for their growth, rather than channeling them to the IRS. It's an experience of profound empowerment and financial resilience".
"At the core of my business is the impactful task of aiding real estate investors amid inflation and current economic challenges, empowering them to secure more funds for their growth, rather than channeling them to the IRS. It's an experience of profound empowerment and financial resilience".
Our analysts and construction experts are full-time employees and will work on your cost segregation study from start to finish, rather than outsourcing to third-party contractors. For over two decades the Cost Seg America team has provided an exceptional level of service and we are pride ourselves on delivering a Tier 1 study.
"The information contained this newsletter is meant for guidance purposes only and does not in any way constitute legal or tax advice. Readers should seek advice from their CPA or Accountant in relation to information contained in these articles."
