We appreciate the personal approach Gross Collins takes with our tax planning and preparation needs.
John Sudduth, Controller
Pioneer Concrete Pumping Service, Inc.
Reducing Taxes & Increasing Cash Flow
HLB Gross Collins, P.C. has formed various strategic alliances toprovide tax optimizations strategies to our clients worldwide. Our asset optimization practice includes strategic tax consulting, cost segregation analysis, and property valuation. Our mission is to enhance the value of your business through lower taxes and increased cash flow.
As a strategic tax tool, cost segregation allows companies to accelerate facility-related deductions, often resulting in significant tax savings. If you've recently (since 1986) purchased, built, improved or added to your real estate holdings, cost segregation can significantly impact your company's financial landscape.
As a result of a cost segregation analysis, a company can significantly improve its ROI as well as enhance the debt and risk structure of its real estate portfolio.
How it Works
A company's real estate holdings typically make up a substantial part of its assets. Cost segregation analyzes the individual components of a real estate portfolio, segregating the costs as personal property, land improvements or building assets. The accelerated depreciation resulting from the study markedly decreases income taxes and increases cash flow.
What Types of Assets
Real-estate investments best suited for a cost segregation study include all post-1986 real-estate construction, building acquisitions or improvements, new buildings under construction, the purchase or acquisition of existing property, existing buildings undergoing renovation or expansion, and office leasehold improvements and "fit-outs."
The Bottom Line
Reclassifying elements of a building from a thirty-nine year to a five year recovery period typically results in a NPV benefit of 21 cents for each reclassified dollar. Seven or fifteen year reclassification typically results in 19 and 11 cents NPV benefits, respectively. Actual NPV savings will vary depending on corporate discount and effective tax rates.
I have used HLB Gross Collins for personal taxes and partnership returns for over 10 years. I have found the firm and my primary contact, Abigail Hampton to be competent and responsive even when I have been late providing information. I have no reservations in recommending Gross Collins and Abigail to anyone needing a CPA.
Steve Zeis CEO & Founder
Zeis Brothers Investment
With international dealings, not all CPA firms are created equal. Frustrated with complicated and inaccurate advise by our previous CPA, we were referred to HLB Gross Collins. HLB has been there to get to know who we are and to help us grow along the way by making suggestions and referrals that work for our business. No question is too small or large, all receive respectful and timely replies. The personal, reliable and professional services that Iliana and HLB staff have provided has been beyond measure, in the more than 11 years since we made the change.
Prime Industries Inc.