Cost Segregation Studies

Since 2003, Nelson has provided engineering-based CSS services. We have performed CSS services for almost every type of commercial, institutional, and industrial property.

The IRS Audit Techniques Guide highlights two primary CSS approaches, both engineering-based: the detailed cost approach and the cost estimate approach. Our engineering reports use both approaches. Our reports accurately document the client’s depreciable tax position in a layered report format. Report sections include detailed cost schedules with accurate cost and tax references, in-depth narrative sections describing the purpose and scope of the project, theory and definitions, our approach and procedures, terms and definitions, our conclusions and recommendations, and a comprehensive photograph file from our site assessment. Our layered approach checks all the IRS boxes for a sound report methodology and greatly reduces audit risk.

I can provide a project’s net present (NPV) value and return on investment (ROI) calculations for any property, free of charge. Our fees, presented with the NPV and ROI, are firm, fixed price (FFP), regardless of the study outcome. Please contact me with any cost segregation or engineering-based tax services questions.”