100% Bonus Depreciation
THE LATEST NEWS IN REAL ESTATE TAX INCENTIVES
Navigate 💯 Bonus Depreciation with Confidence
Gain a clear understanding of key tax incentives for businesses – including cost segregation, qualifying property rules, and Section 179. Stay informed with essential tools, expert resources, and practical tax insights.*
*Not financial advice, just really good info
How It Works
Acquire Property in 2025 to Qualify for 100% Bonus Depreciation
Purchase and place your property in service after the key effective date to ensure full eligibility under the 2025 law.
Get a Cost Segregation Study to Identify Short-Life Assets
Work with an engineering-based firm to reclassify building components into 5, 7, and 15-year property for accelerated deductions.
Claim 100% Bonus Depreciation on Your Tax Return
Deduct the entire cost of qualifying assets in the year placed in service, reducing taxable income and boosting cash flow immediately.
What’s New in 2025?
In July 2025, the One Big Beautiful Bill made a significant change by permanently restoring 100% bonus depreciation for qualifying property that’s acquired and put into service after January 19, 2025.
Before this, the deduction was set to phase down to just 40% in 2025. With this new update, property owners can now deduct the full cost in the first year, which is a fantastic tax benefit for those in real estate and asset-heavy industries.
There’s also a transitional provision for items bought before January 20, 2025, allowing taxpayers to choose reduced phase-down rates if that aligns better with their tax strategy.
Qualifying Assets & Properties
5 Year Depreciation Schedule
Tangible Property
Tangible Personal Property includes items like office furniture, fixtures, workstations, shelving, and signage within a building. These assets often carry a 5-year depreciation schedule and are some of the easiest wins for upfront deductions under the reinstated bonus depreciation rules.
5-7 Year Depreciation Schedule
Specialized Fixtures
Specialized Equipment and Fixtures encompasses building components that support specific operations, such as HVAC units, commercial kitchen equipment, specialized lighting, or dedicated electrical systems. Because many of these items have a recovery period of 5–7 years, they can be reclassified for immediate deduction using 100% bonus depreciation.
15 Year Depreciation Schedule
Land Improvements
Land Improvements includes outdoor assets like parking lots, sidewalks, landscaping, irrigation systems, and fencing. Although they’re not part of the building’s structure, these improvements typically have a 15-year recovery period, meaning they qualify for 100% bonus depreciation when identified in a cost segregation study. Also Qualified Improvement Property (QIP) carries a 15-year depreciation schedule, so it’s eligible for 100% bonus depreciation.
Bonus Depreciation & Cost Segregation Together
Take Control of Your 2025 Tax Strategy
This website is your trusted resource for understanding how real estate investing can open the door to some amazing tax benefits that can speed up your journey to wealth. We provide straightforward, trustworthy advice on eligibility criteria, qualifying properties, and advanced tactics like cost segregation... all designed to help investors and business owners thrive.
With resources that are regularly updated, expert insights, handy calculators, and easy access to essential IRS forms, you’ll have everything at your fingertips to make smart, tax-savvy choices for your long-term financial success.