A one-hour webinar on the Tangible Property Regulations — and the write-offs most commercial property owners never claim.
Most commercial property owners depreciate their building work efforts or expenditures on a single 39-year schedule and never look at it again. The Tangible Property Regulations — finalized by the IRS in 2014 — allow a different approach: reclassifying building components, writing off systems that have been replaced, and correcting years of over-capitalized costs (work efforts) on a single IRS filing included in the current year income tax return.
A Tangible Property Regulations (TPR) Review examines the building the way an engineer would, and it often surfaces deductions that were sitting there all along. With 100% bonus depreciation permanently restored in 2025, reclassified components may be fully deducted in the year they are identified.
This one-hour session walks through what a TPR Review is, how it differs from an energy deduction or a cost segregation, and whether the numbers make sense for your property.
A TPR Review is not a single deduction. It is a method — and it works in three directions at once.
Components like lighting, cabling, millwork, and site improvements move from a 39-year schedule into 5-, 7-, and 15-year classes. On a typical property, 20 to 40 percent of basis can be reclassified.
When a roof, HVAC system, or flooring is replaced, the net remaining depreciable value of the current or old component can be written off immediately through a partial disposition — rather than depreciating something that is gone.
A Section 481(a) adjustment captures years of overlooked deductions in a single current-year return — with no amended filings, and audit protection for the prior treatment.
One office building's replaced lighting and partitions produced $92,000 in current-year deductions — value already sitting inside the depreciation schedule.
A TPR Review is not for everyone. It tends to matter most when three things are true.
If any of these describe you, consider spending an hour with us to see if a TPR Review could possibly provide you with large tax deductions.
You'll be redirected to Zoom to complete your registration. Questions? Contact Rich at richv@smartstewardship.com or 224-256-2980.