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Cost Segregation Benefits for Restaurant Owners |
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Apartments - Hotels - Manufacturers - Offices - Restaurants - Retail Plazas - Warehouses A $1.5 million restaurant brings in a considerable amount of income every day. After food expenses and kitchen equipment maintenance expenses, there are still huge amounts of taxable income. Through Cost Segregation the restaurant will save $34,321 over straight-line depreciation. | Cash Flow Increased in year 1 | $ | 34,321 | | Cash Flow Increased in year 1-6 | $ | 151,455 | | Net Present Value (NPV) | $ | 123,700 | | Combined Tax Rate | | 41% | | Net Present Value Factor | | 8% | | Asset Class | Percent Reclassed |
| Depreciable Basis | | 5 - Year Property | 25% | | 375,000 | | 7 - Year Property | 3% | | 45,000 | | 15 - Year Property | 15% | | 225,000 | | 39 - Year Property | 57.0% | | 855,000 | | Total Real Property | $ | 1,500,000 |
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