Depreciaion of new commercial bldg

[woodyw]

I'm going to build a new small commercial office building.  The cpa says depreciate over 30 years.  Is there a shorter way.  The building will replace one destroyed by hurricane charlie.

[Douglas Rutherford, CPA]

Commercial property is actually depreciated over 39 years.

Not sure where your property is located, but ask your CPA if it would be in the "GO-ZONE" area where you could get 50% bonus depreciation.  I haven't read those rules in a while but I think the timeline has passed...

You can also look into having a cost segreation study done... (ask your CPA) that's where you can carve out dollars and allocate them to shorter-lived assets such as carpet, land improvements, HVACs, etc. instead of lumping all in a 39-year bucket.

Thanks,
Doug