Why engineering-based?
The IRS Cost Segregation Audit Techniques Guide identifies six methodologies. Of those, the detailed engineering approach from actual cost records is described as "the most methodical and accurate approach" — and is the methodology TDA uses on every study.
Less rigorous methods — residual estimation, rule-of-thumb percentage approaches — produce studies that don't survive scrutiny. They also miss meaningful reclassification because they don't actually identify components.
What you receive
- Executive summary with reclassification totals by MACRS class
- Asset detail report — every reclassified component with class life and cost
- Year-by-year depreciation schedule modeling 100% bonus under OBBBA
- Methodology section with citations to the relevant Treasury Regulations, court cases, and IRS guidance
Typical timeline
| Phase | Timing |
|---|---|
| Free feasibility report | — |
| Engagement & data collection | — |
| Engineering analysis & cost estimating | — |
| Draft report & CPA review | 3–5 days |
| Final report delivered | 5–7 days residential, 10 days commercial |
Rush turnaround is available when you have a year-end or transaction deadline.