Property Tax Services

The costs associated with the construction, renovation or purchase of a new building or real estate is an often-overlooked tax-savings opportunity. The acquisition of machinery and equipment and placed in service cost is equally overlooked tax-savings opportunity.

By identifying assets that qualify for particular asset classifications shorter property tax lives and values are achieved, you are able to lower your ongoing property tax assessments and resulting property tax bill. Hall & Company’s property consultants can help ensure you maximize your investment.

Changes and transfers of ownership in both personal property and real property most often create transfer taxes and reassessment. However, there are exceptions when transfers are among related partiers, family members and members of a consolidated reporting group. Care must be given to ensure that the tax favored structure is properly in place to take advantage. Our tax specialists have worked with clients in their mergers & acquisitions transactions to avoid the tax pitfalls.

Create an audit trail.

A properly documented asset or real property transfer can help resolve IRS or state and county inquiries, while improper documentation and structuring of a transfer cost can lead to an unfavorable audit adjustment.

Reduce real estate tax liabilities.

Real estate taxes may be reduced by separating tangible personal property from the non-residential real property being constructed. Even if a jurisdiction imposes a personal property tax on business property, tax savings may be realized due to substantially shorter personal property lives and faster devaluation of assets with proper asset classification.

Specific sales tax exemptions.

Substantial sales tax savings may be achieved by classifying tangible personal property as industrial machinery and equipment. Many states provide a sales tax exemption to a company purchasing qualifying industrial machinery and equipment. Sales or use tax exemptions represent immediate and permanent cash savings.

Find benefits for your properties.

If your company is constructing or planning to construct or substantially remodel a new building or facility, a property tax review is a must and should coincide with a cost segregation study (refer to our separate detail page).

Property Tax Compliance.

Be certain you are obtaining the correct personal and real property tax renditions from the county assessor. Ensure that your property classifications for building improvements, real property improvements, leasehold improvements, machinery, trade fixtures, leases are appropriately classified allowed by law and agree to your asset reports.  Our specialists have prepared property tax returns for many industries: professional offices, dentist and doctor practices, manufactures for asset valued as little as $500,000 to over $10 million.

For more information call Michael Nunez 949.242.0587