[IMGCAP(1)]The IRS recently made it clear that even if taxpayers engage a third party to perform a cost segregation analysis, they cannot avoid penalties for aggressive positions taken in the cost segregation report.

The recently released Chief Counsel Memo #20125201F involved the issue of improperly classifying a parking deck as a 15-year land improvement instead of a 39-year building. A taxpayer had attended a presentation that addressed open-air parking structures in which the presentation slides indicated certain regulations “support the argument that parking structures belong in the land improvement category.”

Register or login for access to this item and much more

All Accounting Today content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access