{"id":964,"date":"2025-01-23T22:48:52","date_gmt":"2025-01-23T22:48:52","guid":{"rendered":"https:\/\/leyton.com\/us\/white-papers\/auto-garage-cost-segregation-case-study\/"},"modified":"2026-07-26T16:58:29","modified_gmt":"2026-07-26T14:58:29","slug":"auto-garage-cost-segregation-case-study","status":"publish","type":"whitepaper","link":"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/","title":{"rendered":"Auto Garage Cost Segregation Case Study"},"content":{"rendered":"<div class=\"wp-block-leyton-orion-block-text block-text undefined ori-white-bg\"><h2>Maximize Your <strong><mark class=\"has-inline-color has-green-color\"> Auto Garage&#8217;s<\/mark><\/strong> Tax Strategy<\/h2><p><strong><mark class=\"has-inline-color has-green-color\">What is Cost Segregation<\/mark><\/strong><br><strong><a href=\"https:\/\/leyton.com\/us\/cost-segregation\/\"><mark class=\"has-inline-color has-secondary-color\">Cost segregation<\/mark><\/a> <\/strong>is an effective tax planning strategy that helps businesses and individuals involved in <strong>constructing, purchasing, expanding, or renovating real estate<\/strong> reduce their tax liabilities by accelerating depreciation deductions, which allows for the deferral of both federal and state income taxes.<br><br><strong><mark class=\"has-inline-color has-green-color\">Auto Garage Cost Segregation<\/mark><\/strong><br>For auto garages, to significantly reduce their tax liabilities. By accelerating depreciation deductions, property owners can defer both federal and state income taxes, improving cash flow and boosting financial performance. While auto garages may not have the same decorative elements as a dealership, they often feature <strong>specialized equipment, along with unique HVAC, plumbing, and electrical systems that qualify for shorter depreciation periods.<\/strong> This makes auto garages ideal candidates for cost segregation, enabling owners to maximize their tax savings and enhance the overall financial benefits of their property. <br><\/p><\/div>\n\n<h2>Practical Example<\/h2>\n<p>This case study highlights how accelerated depreciation can benefit auto garages with specialized infrastructure and equipment. By optimizing depreciation on assets like service bays, lifts, and tools, owners can reduce taxable income, improve cash flow, and enhance profitability. This strategy maximizes tax savings and boosts long-term financial performance.<\/p>\n<h3><mark class=\"has-inline-color has-green-color\">Building information <\/mark><\/h3>\n<div><mark class=\"has-inline-color has-green-color\"><strong>\u25cb <\/strong><\/mark><strong>Building Type<\/strong><mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark>Auto Garage <br><mark class=\"has-inline-color has-green-color\"><strong>\u25cb <\/strong><\/mark><strong>Property Type:<\/strong><mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark> Commercial<br><mark class=\"has-inline-color has-green-color\"><strong>\u25cb <\/strong><\/mark><strong>Building Size:<\/strong><mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark> 33,219 SF<br><mark class=\"has-inline-color has-green-color\"><strong>\u25cb<\/strong><\/mark> <strong>Study Scope<em>:<\/em><\/strong><mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark>Acquisition<br><mark class=\"has-inline-color has-green-color\"><strong>\u25cb<\/strong><\/mark> <strong>Condition<\/strong>:<mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark>Good<br><mark class=\"has-inline-color has-green-color\"><strong>\u25cb<\/strong><\/mark> <strong>Filling Year:<\/strong><mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark> 2023<br><mark class=\"has-inline-color has-green-color\"><strong>\u25cb<\/strong><\/mark> <strong>Date Placed in Service:<\/strong><mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark> 2018<br><mark class=\"has-inline-color has-green-color\"><strong>\u25cb<\/strong><\/mark> <strong>Purchase Price less Land or Total Construction Cost:<\/strong><mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark> $6,600,00<br><mark class=\"has-inline-color has-green-color\"><strong>\u25cb<\/strong><\/mark> <strong>Tax Rate:<\/strong><mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark> 30%<br><mark class=\"has-inline-color has-green-color\"><strong>\u25cb<\/strong><\/mark> <strong>Return on Investment Factor:<\/strong><mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark> 8%<\/div>\n<h3><mark class=\"has-inline-color has-green-color\">Summary of Benefits<\/mark><\/h3>\n<div><strong><mark class=\"has-inline-color has-green-color\">\u25cb<\/mark> 25% Additional Tax Deductions in First Year:<\/strong> <mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark>$3,029,553<br><br><strong><mark class=\"has-inline-color has-green-color\">\u25cb<\/mark> RNPV Over Remaining Life of Property<\/strong>: <mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a <\/mark> $840,617<br><br><em><mark class=\"has-inline-color has-green-color\"><strong>\u25cb<\/strong><\/mark> <\/em><strong>Net Present Value (NPV) Over 10 Years:<\/strong> <mark class=\"has-inline-color has-green-color\"> \ud83e\udc6a<\/mark> $891,832<\/div>\n\n<div class=\"wp-block-leyton-orion-cards-block\"><div><h3>Building Allocation After Study<\/h3><\/div><div><div class=\"\"><a href=\"\"><h4>5 Year Property <\/h4><p>Depreciable Basis: $371,033 at  6%<\/p><\/a><\/div><div class=\"\"><a href=\"\"><h4>7 Year Property <\/h4><p>Depreciable Basis: $159,014 at 2%<\/p><\/a><\/div><div class=\"\"><a href=\"\"><h4>15 Year Property <\/h4><p>Depreciable Basis: $764,914 at 12%<\/p><\/a><\/div><div class=\"\"><a href=\"\"><h4>39 Year Property <\/h4><p>Depreciable Basis: $5,305,039 at 80%<\/p><\/a><\/div><div class=\"\"><a href=\"\"><h4>Total<\/h4><p>Depreciable Basis: $6,600,000 at 100%<\/p><\/a><\/div><\/div><\/div>\n\n<section id=\"eleyton_b\" class=\"ori-eLeyton full-w \"><div class=\"ori-container keys-figures dark medium\">\n    <div class=\"ori-row\">\n    <div class=\"ori-lg-12\">\n        <div class=\"kf-heading\">\n            <h2 class=\"kf-title\">At Leyton USA<\/h2>\n                            <p class=\"kf-desc\">We help companies unlock millions in funding through R&amp;D tax credits, energy incentives, state, and local tax programs. Our experts partner with finance and executive teams to identify overlooked opportunities, improve cash flow, optimize tax positions to reinvest savings into innovation and sustainable growth.<\/p>\n                                        <a href=\"https:\/\/leyton.com\/us\/about-us\/\"\n                   class=\"ori-btn ori-s_btn ori-s_btn_text animated-icon\">\n                    Learn About Us                    <span class=\"animated-arrow\">\n                        <span class=\"material-symbols-outlined\">arrow_outward<\/span>\n                        <span class=\"material-symbols-outlined from-bottom\">arrow_outward<\/span>\n                    <\/span>\n                <\/a>\n                    <\/div>\n    <\/div>\n\n    \n    <div class=\"ori-lg-12\">\n        <div class=\"key-cards ori-row\">\n                            <div class=\"ori-lg-4 ori-md-4\">\n                    <div class=\"key-card\">\n                        <p class=\"key-value\">\n                            <em class=\"left\"><\/em>65                        <\/p>\n                        <span class=\"key-title\">\n                            Industries Served                        <\/span>\n                    <\/div>\n                <\/div>\n                            <div class=\"ori-lg-4 ori-md-4\">\n                    <div class=\"key-card\">\n                        <p class=\"key-value\">\n                            <em class=\"left\"><\/em>25                        <\/p>\n                        <span class=\"key-title\">\n                            Years of Experience                        <\/span>\n                    <\/div>\n                <\/div>\n                            <div class=\"ori-lg-4 ori-md-4\">\n                    <div class=\"key-card\">\n                        <p class=\"key-value\">\n                            <em class=\"left\"><\/em>75                        <\/p>\n                        <span class=\"key-title\">\n                            Tax &amp; Technical Experts                        <\/span>\n                    <\/div>\n                <\/div>\n                    <\/div>\n    <\/div>\n<\/div>\n<\/div><\/section>","protected":false},"excerpt":{"rendered":"<p>Maximize Your Auto Garage&#8217;s Tax Strategy What is Cost SegregationCost segregation is an effective tax planning strategy that helps businesses and individuals involved in constructing, purchasing, expanding, or renovating real estate reduce their tax liabilities by accelerating depreciation deductions, which allows for the deferral of both federal and state income taxes. Auto Garage Cost SegregationFor [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":965,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[187],"tags":[107,111,109],"expertise":[372],"class_list":["post-964","whitepaper","type-whitepaper","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized-en","tag-cost-segregation-en","tag-cpa-en","tag-tax-professionals-en","expertise-real-estate-tax-optimization"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.1 (Yoast SEO v28.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Auto Garage Cost Segregation | Leyton<\/title>\n<meta name=\"description\" content=\"Discover Auto Garage Cost Segregation with Leyton. Cost Segregation tax planning tool is used to significantly reduce tax burden.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Auto Garage Cost Segregation Case Study\" \/>\n<meta property=\"og:description\" content=\"Discover Auto Garage Cost Segregation with Leyton. Cost Segregation tax planning tool is used to significantly reduce tax burden.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/\" \/>\n<meta property=\"og:site_name\" content=\"Leyton United States\" \/>\n<meta property=\"article:modified_time\" content=\"2026-07-26T14:58:29+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/leyton.com\/wp-content\/blogs.dir\/4\/files\/2024\/12\/Cost-Seg-Examples-3-1024x512.png\" \/>\n\t<meta property=\"og:image:width\" content=\"1024\" \/>\n\t<meta property=\"og:image:height\" content=\"512\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/insights\\\/white-papers\\\/auto-garage-cost-segregation-case-study\\\/\",\"url\":\"https:\\\/\\\/leyton.com\\\/us\\\/insights\\\/white-papers\\\/auto-garage-cost-segregation-case-study\\\/\",\"name\":\"Auto Garage Cost Segregation | Leyton\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/insights\\\/white-papers\\\/auto-garage-cost-segregation-case-study\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/insights\\\/white-papers\\\/auto-garage-cost-segregation-case-study\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/leyton.com\\\/wp-content\\\/blogs.dir\\\/4\\\/files\\\/2024\\\/12\\\/Cost-Seg-Examples-3.png\",\"datePublished\":\"2025-01-23T22:48:52+00:00\",\"dateModified\":\"2026-07-26T14:58:29+00:00\",\"description\":\"Discover Auto Garage Cost Segregation with Leyton. Cost Segregation tax planning tool is used to significantly reduce tax burden.\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/insights\\\/white-papers\\\/auto-garage-cost-segregation-case-study\\\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/leyton.com\\\/us\\\/insights\\\/white-papers\\\/auto-garage-cost-segregation-case-study\\\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/insights\\\/white-papers\\\/auto-garage-cost-segregation-case-study\\\/#primaryimage\",\"url\":\"https:\\\/\\\/leyton.com\\\/wp-content\\\/blogs.dir\\\/4\\\/files\\\/2024\\\/12\\\/Cost-Seg-Examples-3.png\",\"contentUrl\":\"https:\\\/\\\/leyton.com\\\/wp-content\\\/blogs.dir\\\/4\\\/files\\\/2024\\\/12\\\/Cost-Seg-Examples-3.png\",\"width\":1920,\"height\":960},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/insights\\\/white-papers\\\/auto-garage-cost-segregation-case-study\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/leyton.com\\\/us\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Auto Garage Cost Segregation Case Study\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/#website\",\"url\":\"https:\\\/\\\/leyton.com\\\/us\\\/\",\"name\":\"Leyton United States\",\"description\":\"\",\"publisher\":{\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/leyton.com\\\/us\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/#organization\",\"name\":\"Leyton United States\",\"url\":\"https:\\\/\\\/leyton.com\\\/us\\\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/#\\\/schema\\\/logo\\\/image\\\/\",\"url\":\"https:\\\/\\\/leyton.com\\\/wp-content\\\/blogs.dir\\\/4\\\/files\\\/2026\\\/01\\\/logo.svg\",\"contentUrl\":\"https:\\\/\\\/leyton.com\\\/wp-content\\\/blogs.dir\\\/4\\\/files\\\/2026\\\/01\\\/logo.svg\",\"width\":108,\"height\":44,\"caption\":\"Leyton United States\"},\"image\":{\"@id\":\"https:\\\/\\\/leyton.com\\\/us\\\/#\\\/schema\\\/logo\\\/image\\\/\"}}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Auto Garage Cost Segregation | Leyton","description":"Discover Auto Garage Cost Segregation with Leyton. Cost Segregation tax planning tool is used to significantly reduce tax burden.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/","og_locale":"en_US","og_type":"article","og_title":"Auto Garage Cost Segregation Case Study","og_description":"Discover Auto Garage Cost Segregation with Leyton. Cost Segregation tax planning tool is used to significantly reduce tax burden.","og_url":"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/","og_site_name":"Leyton United States","article_modified_time":"2026-07-26T14:58:29+00:00","og_image":[{"width":1024,"height":512,"url":"https:\/\/leyton.com\/wp-content\/blogs.dir\/4\/files\/2024\/12\/Cost-Seg-Examples-3-1024x512.png","type":"image\/png"}],"twitter_card":"summary_large_image","twitter_misc":{"Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/","url":"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/","name":"Auto Garage Cost Segregation | Leyton","isPartOf":{"@id":"https:\/\/leyton.com\/us\/#website"},"primaryImageOfPage":{"@id":"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/#primaryimage"},"image":{"@id":"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/#primaryimage"},"thumbnailUrl":"https:\/\/leyton.com\/wp-content\/blogs.dir\/4\/files\/2024\/12\/Cost-Seg-Examples-3.png","datePublished":"2025-01-23T22:48:52+00:00","dateModified":"2026-07-26T14:58:29+00:00","description":"Discover Auto Garage Cost Segregation with Leyton. Cost Segregation tax planning tool is used to significantly reduce tax burden.","breadcrumb":{"@id":"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/#primaryimage","url":"https:\/\/leyton.com\/wp-content\/blogs.dir\/4\/files\/2024\/12\/Cost-Seg-Examples-3.png","contentUrl":"https:\/\/leyton.com\/wp-content\/blogs.dir\/4\/files\/2024\/12\/Cost-Seg-Examples-3.png","width":1920,"height":960},{"@type":"BreadcrumbList","@id":"https:\/\/leyton.com\/us\/insights\/white-papers\/auto-garage-cost-segregation-case-study\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/leyton.com\/us\/"},{"@type":"ListItem","position":2,"name":"Auto Garage Cost Segregation Case Study"}]},{"@type":"WebSite","@id":"https:\/\/leyton.com\/us\/#website","url":"https:\/\/leyton.com\/us\/","name":"Leyton United States","description":"","publisher":{"@id":"https:\/\/leyton.com\/us\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/leyton.com\/us\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/leyton.com\/us\/#organization","name":"Leyton United States","url":"https:\/\/leyton.com\/us\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/leyton.com\/us\/#\/schema\/logo\/image\/","url":"https:\/\/leyton.com\/wp-content\/blogs.dir\/4\/files\/2026\/01\/logo.svg","contentUrl":"https:\/\/leyton.com\/wp-content\/blogs.dir\/4\/files\/2026\/01\/logo.svg","width":108,"height":44,"caption":"Leyton United States"},"image":{"@id":"https:\/\/leyton.com\/us\/#\/schema\/logo\/image\/"}}]}},"_links":{"self":[{"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/whitepaper\/964","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/whitepaper"}],"about":[{"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/types\/whitepaper"}],"author":[{"embeddable":true,"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/comments?post=964"}],"version-history":[{"count":3,"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/whitepaper\/964\/revisions"}],"predecessor-version":[{"id":6027,"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/whitepaper\/964\/revisions\/6027"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/media\/965"}],"wp:attachment":[{"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/media?parent=964"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/categories?post=964"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/tags?post=964"},{"taxonomy":"expertise","embeddable":true,"href":"https:\/\/leyton.com\/us\/wp-json\/wp\/v2\/expertise?post=964"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}