Section 199A Meets Depreciation Recapture: The Rental Tax Trade-Off Most Investors Miss
Depreciation shrinks the QBI behind your 20% Section 199A deduction, then returns as up to 25% recapture at sale — time both against your holding period.
#cost-segregation
Cost Segregation
Engineering-based studies that reclassify building components into shorter MACRS lives to accelerate depreciation deductions
Tearing Down a Building? Why Section 280B Adds Demolition Costs to Your Land Basis Instead of Giving You a Deduction
Section 280B puts demolition costs and a razed building's leftover basis into land, not a deduction. The 75% renovation safe harbor can preserve write-offs.
Mobile Home and RV Park Bookkeeping: Utility Bill-Backs, Cost Segregation, and Clean Entity Accounting
Parks earn their margin in the ledger. Submetering or RUBS recovers 80-100% of variable utility costs and typically lifts net income 20-30%, and a cost segregation study reclassifies 40-60% of depreciable basis into 5- and 15-year property that now qualifies for 100% bonus depreciation. This guide covers gross-up bill-back accounting, lot rent vs. home rent separation, intercompany flows between holding and management entities, Form 8594 allocation, and a monthly close checklist for manufactured home and RV parks.
Component Depreciation: Required Under IFRS, Optional Under GAAP — and When It's Worth It
Component depreciation splits a building or machine into parts with separate useful lives — mandatory under IFRS (IAS 16) for significant components, merely permitted under US GAAP. Here's how it prevents phantom depreciation after a roof or HVAC replacement, and how cost segregation studies and the partial asset disposition election capture similar benefits on the tax side.
1031 Like-Kind Exchanges: How Small-Business Owners Defer Capital Gains on Real Estate
A Section 1031 like-kind exchange lets you defer capital gains tax when selling business or investment real estate — but only real property qualifies since 2018, a qualified intermediary must hold the proceeds, and two hard deadlines (45 days to identify, 180 days to close) allow no extensions. Here's how the rules, boot traps, and 2025 bonus depreciation interplay actually work.
The Short-Term Rental Tax Loophole in 2026: Cost Segregation, 100% Bonus Depreciation, and the 7-Day Rule
How the short-term rental loophole lets W-2 earners deduct rental losses against salary — average guest stays of 7 days or less plus one of seven material participation tests move the property out of passive-loss rules, and a cost segregation study combined with the OBBBA's permanent 100% bonus depreciation can convert 20–30% of the purchase price into first-year deductions.
Self-Storage Cost Segregation and 100% Bonus Depreciation: A 2026 Owner's Guide
Cost segregation studies routinely move 16–24% of a self-storage facility's purchase price off the 39-year schedule into 5- and 15-year property. With 100% bonus depreciation permanently restored by the OBBBA for property placed in service after January 19, 2025, a $1 million acquisition can produce roughly $200,000 in first-year deductions — about $74,000 in tax savings at a 37% rate. Here's how the studies work, what they cost, and the recapture math to run before selling.
The Short-Term Rental Loophole in 2026: How W-2 Earners Offset Income with Material Participation and 100% Bonus Depreciation
A walkthrough of the Section 469 seven-day rule, the three realistic material participation tests, and how the One Big Beautiful Bill Act's permanent 100% bonus depreciation lets short-term rental owners offset W-2 income — plus the bookkeeping habits that survive an IRS audit.
Mini Golf, Go-Karts, and Arcade Cards: A Family Entertainment Center Bookkeeping Playbook
A field guide to ASC 606 revenue recognition for season passes and arcade cards, breakage accounting, Section 179 and cost segregation on go-kart fleets, ASTM F2291 compliance reserves, worker classification risk, and the per-cap and labor KPIs that determine whether a family entertainment center actually earns a profit.
Bookkeeping for Boxing Gyms, MMA Studios, and Martial Arts Dojos: ASC 606, Deferred Memberships, and Section 179
A practical bookkeeping playbook for boxing gyms, MMA academies, and martial arts dojos — covering ASC 606 recognition of memberships, belt tests, and fight camps; the 2024 DOL coach classification rule; Section 179 and cost segregation on build-outs; combat-sports liability; and the KPIs (LTV, churn, revenue per square foot) that decide whether a gym scales.
Cold Plunge, Cryotherapy, and Recovery Studio Bookkeeping: ASC 606, IV Therapy MSO Structure, and the KPIs That Actually Predict EBITDA
How to set up the chart of accounts, ASC 606 deferred revenue, MSO structure for IV drip, Section 179 and QIP cost segregation, and the four KPIs (RevPATH, visits per member-month, LTV, modality contribution margin) that predict EBITDA in a recovery wellness studio.
Cigar Bar and Hookah Lounge Bookkeeping: ASC 606 Lockers, Excise Stamps, and the 51% Tobacco Test
A 2026 bookkeeping playbook for cigar bars and hookah lounges — six-stream revenue separation, ASC 606 amortization of member lockers, tobacco excise stamp reconciliation, FDA PMTA vendor compliance, Section 179 and cost segregation on humidor and ventilation buildouts, Section 45B FICA tip credit on Form 8846, and the per-seat KPIs that separate 15% from 28% net margin operators.