You worried about depreciation/cost seg deductions changing?

[Matt George]

Is this a concern to anyone? With Trump gone and the possibility of him not having paid much taxes, maybe real estate investors will have a bulls eye on their heads. It is my very basic understanding that the Tax Reform Act of 1986 crushed real estate investors by limiting passive losses. Maybe I am wrong about that since I was not personally investing while in 2nd grade.

This is not meant to be a political post, but just curious for some of you who have been around for a while? Is cost segregation well established or could that go away real quickly? 

[Eamonn McElroy]

If you're asking about bonus depreciation going away, it's already scheduled to.  Bonus depreciation is a temporary provision with a sunset.

If you're asking about "cost segregations" going away, no, they won't.  In fact, it's safe enough to bet dollars to donuts that they won't ever go away, not ever.

When you purchase a "bucket of asset classes", you must allocate cost basis among the asset classes in a reasonable manner.  The authoritative guidance tells us as much.  A fully engineered cost seg is just one permissible method to accomplish that.