Cost segregation questions - help needed!

[Karen Higgins]

Tax season is upon us, I'm in need of some advice regarding cost segregation for next years planning.  My husband and I are real estate investors in MN with 70+ units that are long term buy and hold properties.  We are looking to buy a small apartment building next year, 20-40 units (or larger if we find the right property).

Question - Can cost segregation deprecation be used to offset active income from his insurance business?  Or is it only able to off-set rental income? We've talked to a few tax accountants, and have yet to get a clear answer.  Any input would be extremely helpful.

Thanks!  Karen