Author Archive

Green Tax Incentives & Stimulus Benefits

Please join us for this informative and educational webinar. You won’t want to miss this presentation

Thursday - August 5, 2010 – 4:00PM – NO FEE!

Presented by:
Carol Hayward
Engineered Tax Services

Highlights will include:

• Ideal candidates for Energy Tax Certification
• Components of a building that can be analyzed and receive certification
• Lighting rules and standards necessary for qualification
• The CPA “Cookbook” for developing an Energy Tax Niche
• The three “must dos” for Architects

Program Level: Basic level; no prerequisites required. Provides one hour CPE certificate or one USGBC CE hour.
To receive your certificate, please contact ascotti@engineeredtaxservices.com after the presentation.

 
Green By Design:  Understanding Energy Tax Benefits for Architects

When
Thursday, August 12, 2010 – 6:30 PM – 7:30 PM

Where
Center of Architecture – Main Hall
1218 Arch St Philadelphia, PA 19107

Presented By
Julio P. Gonzalez
Chief Executive Officer

Who Should Attend?
This program is intended for architects interested in the learning about the refunds due to them for energy efficient design of Public Buildings since 2006  available through the Energy Policy Act.

Key Learning Objectives

• Gain an understanding of the recently extended federal tax benefit available for the design of energy-efficient public or government-owned buildings
• Learn how to take advantage of valuable tax savings and increase cash flow for your business

How to Register
Register by email to ffox@engineeredtaxservices.com

If you have any questions, please call (240) 398.8488 

Lecture Fee
$20.00 AIA Members
$10.00 Students
$30.00 Non-members

This instructor-led program will offer 1.0 credit hour of continuing professional education from the AIA, USGBC and NASBA. Please confirm the CPE sponsor requirements of your licensing board upon registration.

This informative lecture is proudly sponsored by

Green Tax Incentives & Stimulus Benefits

Please join us for this informative and educational webinar. You won’t want to miss this presentation

Thursday – July 22, 2010 – 4:00PM – NO FEE!

Presented by:
Carol Hayward
Engineered Tax Services

Highlights will include:

• Ideal candidates for Energy Tax Certification
• Components of a building that can be analyzed and receive certification
• Lighting rules and standards necessary for qualification
• The CPA “Cookbook” for developing an Energy Tax Niche
• The three “must dos” for Architects

Program Level: Basic level; no prerequisites required. Provides one hour CPE certificate or one USGBC CE hour.
To receive your certificate, please contact ascotti@engineeredtaxservices.com after the presentation.

 

At Engineered Tax Services, we take a great deal of pride in the services we perform and our people.  

Today, we’re getting to know Carol Hayward, our Senior Executive Director.

Q1:  Prior to working at Engineered Tax Services, what job did you have that was most enjoyable?

Carol Hayward:  Working as a real estate consultant and asset manager in the commercial arena, I learned a lot and truly enjoyed meeting a lot of great people and building relationships.

Q2:  What green energy or green building initiatives are you most excited about witnessing the emergence of over the next ten years?

Carol Hayward:  I am really excited about the possible changes from Congress to increase the 179D energy tax incentive to $3.00/ft² and extend the energy tax incentives to December 31, 2020. I enjoy educating commercial property owners and designers of public/government buildings about the 179D federal energy tax incentives.

Q3:  What would you most like to accomplish over the next ten years (personally or professionally)?

Carol Hayward:  Professionally, I would like to see Congress increase the 179D incentive to $3.00/ft² and extend the energy tax incentives to December 31, 2020. I would also like to see ETS continue to emerge and become nationally known and recognized as the leading cost segregation and energy tax service provider.

Personally, I would like to continue to travel and explore new places. I also know that God has given me a heart for children. I would like to make a difference in a child’s life, whether through advocacy, guardian ad litem or adoption. Children are a gift and a blessing. I am thankful for the wonderful life and experiences I have had thus far and look forward to a great next ten years!

Q4:  Architecturally speaking, what building, structure or city captures your heart and why?

Carol Hayward:  I am absolutely in love with California. To be able to be in the mountains or at the ocean is breathtaking to me. 

Q5:  Where have you visited that you would most like to return to and why?

Carol Hayward:  Actually, I have three places. The Redwood Forest near San Francisco, CA, Scottsdale, AZ and the Caribbean. Nothing like the beautiful clear aqua waters.

Q6:   What skills or interests do you possess that you think would surprise your co-workers or clients?

Carol Hayward:  Many people do not know that I possess not only my real estate license in FL but have also had a FL insurance license for health, life, annuity and legal since I was in my twenties and have written my own insurance for many years personally and for my family. In addition, I have taken self-defense courses, pistol marksmanship and have passed the concealed weapons course.

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Contact Carol:
Office: 561.253.6634
Toll Free: 800.236.6519
chayward@engineeredtaxservices.com

 

How?  The first step is to “data mine” your tax software.  We have found on average when working with CPA firms that it takes about fifteen minutes for us to help generate a report that identifies a firm’s real estate clients that may have conducted energy upgrades to their buildings since 2006 in the fixed asset system.

The results have been nothing but astonishing.  On average, we have found five projects per partner with an average fee of $10,000 to generate the tax deductions that are available.  Once a CPA firm has generated a report from their tax software, we work with them to do a benefit analysis to see what the tax benefits will likely be for their clients. From there, the CPA firm simply contacts the clients with the good news about available tax savings.

The Energy Policy Act allows property owners up to $1.80 per square foot in tax benefits for energy efficient lighting, HVAC systems, roofs, windows or insulation installed in a building since January of 2006.  Property owners aren’t the only clients that benefit.  When the property in question is owned by a government entity, the tax benefits can be enjoyed by the designer of the building (architect, engineer, contractor or construction management firm) to reward them for the energy efficient design.  

Timing.  Fortunately, the IRS allows a taxpayer to go back three years to amend tax returns. That means there is still time to capture missed benefits even as far back as 2006, but the clock is ticking and soon 2006 opportunities will expire for good.   Five year net loss carry back rules enhance these benefits so the time is perfect to go through this exercise.

Examples:

Large Hotel in Florida – A certification of over a million square feet of new building placed in service in 2009 resulted in a tax deduction of $1.3 million for the taxpayer.

Architect in Washington – A portfolio of school properties from K through 12 yielded a tax deduction for the 2009 tax year of nearly $500,000.

The above examples are common.  In fact ETS performs several hundred studies every year and generates several million dollars in deductions every month.

The IRS requires that an independent licensed engineering firm certify the energy calculations. ETS serves as the professional engineering firm that is the resource to CPA firms nationwide. For virtually no cost and little investment of your time, ETS can likely identify many opportunities, leverage your client base for additional revenue in the 3rd and 4th quarter of this year and make your firm the area experts in this specialty tax service.

Engineered Tax Services (ETS) is the only qualified professional engineering firm that has its own licensed engineers, LEED Accredited Professionals, and experienced Certified Public Accountants on staff. We marry the science of engineering with the principles of tax and accounting to arrive at financial solutions that result in increased cash flow, minimized tax payments and maximum return on investment. These IRS-sanctioned services include Energy Tax Credits, Energy Policy Act Certifications, Cost Segregation Studies, Historic Tax Credits, Insurance Appraisals, Energy Audits and Renewable Energy Credit services. Our attention to detail is second to none. We meticulously follow IRS guidelines and go beyond the standards required. Our procedures, processes and final work product set the benchmarks that others strive to reach.

Did you know that contractors who provide energy certification for their clients have the potential to secure more jobs?

At Engineered Tax Services (ETS), we partner with contractors nationally to provide independent, third-party certification as required by the IRS for existing projects, while also providing opportunities for new business.

Our experienced team of engineers can help you assess past, current and future projects for tax benefits and guide you and your clients through the certification process. Through a mutually-beneficial relationship with ETS, you will have a competitive edge by earning repeat and new business over contractors who cannot offer their clients the same energy tax benefits certification. Our technical expertise in energy accreditation is unmatched. Our LEED AP designation strengthens and adds depth to the ETS experience and qualifications under EPACT while supporting energy efficiencies under LEED. We are approved for the Energy Efficiency Certification Process so you can start winning more jobs and increase profitability for your business immediately.

Decrease tax liabilities and increase cash flow for energy-efficient improvements and other investments. ETS is a licensed engineering firm that works nationally with real estate developers, owners, tenants and designers (architects, builders, engineers, lighting contractors, HVAC contractors, roofing contractors) to provide the below IRS ordained tax incentives:

Energy Policy Act 179D Tax Deductions
When a new building is constructed or an existing building is renovated since January 1, 2006, the building owner or tenant may be eligible for a Federal Tax Deduction of up to a $1.80 per square foot. The benefit goes to the designer(s) if it is a government- or non-profit-owned building. Most new construction and renovations comply with the deferral requirements. The tax benefits are for new energy-efficient:

• Lighting
• HVAC systems
• Building envelope, including insulation, roof and windows

The IRS requires an independent, third-party engineering firm with the qualified software to undertake the certification. ETS specializes in the certification required by the IRS to take advantage of these tax benefits.

Cost Segregation Studies
ETS assists real estate owners and tenants who have built, purchased or renovated in the last 15 years. There is an opportunity to accelerate an average of 35% of the depreciation of the building and its improvements with our engineering studies. The IRS says, “It is the Time Value of Money.” The cost segregation study depreciates the building by segments into 5, 7, 10 or 15 year property. The results are increased cash flow and NOI.

Abandonment Studies
When you undertake demolition or renovate a building and tear out old lighting and HVAC units and other building parts, these assets are abandoned and as such their book value can be treated as a business deduction, which also increases your cash flow.

Important: consider these tax strategies before any demolition and/or renovation is completed or you may lose this opportunity.

When you re-light a building you create both an opportunity for the Energy Tax Deductions and the Abandonment Study. Excess lighting (eliminated with the new energy-efficient system) can be depreciated faster than the typical 39 years, and so you maximize your tax strategies and save money.

Contact us for a COMPLIMENTARY initial feasibility analysis

To learn more about how ETS is helping CPAs, contractors, real estate investors and many others take advantage of valuable energy-based tax benefits, or to request detailed information, please contact us at 1.800.236.6519.

Engineered Tax Services is seeking an Energy Modeler – TRACE 700, EnergyGauge and/or eQUEST

Join a growing niche engineering firm in the expanding “green” industry. ETS is the leader in energy tax certifications and other engineering studies for tax strategies. ETS completes hundreds of certifications every month providing millions in tax benefits. We are looking for a motivated, hard-working, energetic person for energy modeling that can keep up in a fast-pace industry. Candidates must have the following qualifications:

• Two to three years experience with TRACE 700, EnergyGauge and / or eQUEST
• Knowledge of HVAC systems
• Experience with ASHRAE 90.1 and energy modeling of lighting, HVAC and building envelope systems
• Understanding of the Energy Policy Act
• Ability to work in fast paced environment and multi-task
• Engineering degree preferred but not necessary

 Interested candidates should contact:

Debbie Deioma Danto, LEED® AP, MBA
Interim Chief Operating Officer
Engineered Tax Services
319 Clematis Street, Suite 603
West Palm Beach, FL  33401 

Tel: 800.236.6519
Fax: 561.253.1039

E-mail: ddanto@engineeredtaxservices.com
Web site: www.engineeredtaxservices.com

1.  ETS is the only nationally licensed engineering firm with licensed engineers and tax experts on staff who marry the science of engineering with the principles of tax and accounting.

2.  Our multi-disciplinary expertise and vast, specialized experience enable us to deliver unmatched quality and service continuity.

3.  We understand the IRS technical issues involved in energy tax incentives, including the benefit of donating the savings from public buildings to designers. 

4.  Nationally recognized as experts, we have been asked to participate in local, regional and national conferences by making presentations to share our knowledge and expertise in addition to being published.

5.  We have LEED Accredited Professionals on staff.

6.  Our reports are forensic, fully insured and provide audit defense.

7.  ETS is approved by NASBA to provide continuing professional education (CPE) on energy topics and by the USGBC to provide CE credits for LEED professionals.

8.  ETS is a member of ASHRAE and USGBC and is an Energy Star Partner.

9.  We have been engaged by the Los Angeles Community College District to certify over 250 buildings to benefit the local stimulus.

10.  We have worked with Fortune 500 companies, Top 100-ranked accounting firms, national real estate firms, world-renowned architects, and many of the top lighting firms in the country.

 

To learn more about how ETS is helping CPAs, contractors, real estate investors and many others take advantage of valuable energy-based tax benefits, or to request detailed information, please contact us at 1.800.236.6519 or visit www.engineeredtaxservices.com.

 

Millions of dollars in tax benefits are frequently buried
like hidden treasure within your firm’s client records.

Engineered Tax Services (ETS) works with you to uncover these treasures to provide additional revenue for your firm and substantial tax savings for your clients.

Real estate clients rely on your expertise to provide them with tax strategies, techniques for maximizing revenue and expense reduction alternatives. Our experience shows that a quick and easy analysis of your clients’ depreciation schedules will assist you in generating significant tax savings for clients, building stronger client loyalty and developing additional long-term revenues for your firm. Our simplified process allows us to do this without any capital investment on your part and very little time commitment from your staff.   

Step 1 – Data Mining
The first step is to analyze your current client files to identify which clients have real estate holdings. Typically, in about an hour, your administrator can run a report through your tax software to generate a list of clients with real estate so that depreciation schedules can be run. Within a few hours, depreciation schedules are electronically redacted and printed with client numbers for identification purposes and forwarded to us for independent analysis.

Step 2 – Benefit Analysis
Upon receipt of the depreciation schedules, we will perform a benefit analysis to determine cost segregation and energy opportunities for each client. Within a week, qualified leads and estimated tax benefits for each will be identified.  Based on a firm your size, we anticipate discovering between 30 – 75 opportunities to be culled from the analysis process. We return the detailed estimates of the valuable tax savings identified to you and set up a conference with you and your partners to prepare a notification to qualifying clients.

Step 3 – Client Communications and Engagement
The next step is to communicate with the clients identified for cost segregation and energy opportunities. The timeline on this phase varies depending upon the availability of each client and partner, but generally takes between one and four weeks. In our experience, clients warmly welcome the news that additional tax savings are possible. We can handle the benefit discussions with clients or support you in your efforts. Marketing materials as well as ETS professionals may be available to help you with client communications.

Step 4 – Reporting
Once the engagement letters have been signed and received, we will prepare IRS-sanctioned reports and studies for each identified client. The cost segregation studies and energy reports as engaged by clients identified in the analysis are typically completed and delivered within 45 days from onset of the engagement.

Total Process Time:
90 Days to Treasures

The beauty of the Hidden Treasures assessment program is that you can:

• Create a new revenue stream
• Obtain new clients
• Solidify existing relationships
• Enhance your reputation
• Improve your firm’s competitive positioning in the marketplace
• …all with no capital needed…

We welcome the opportunity to explore the tremendous return on investment your firm’s participation in the Hidden Treasures program may yield. Please contact us for more information or to schedule a complimentary presentation.

Contact us at 1.800.236.6519 or visit www.engineeredtaxservices.com.

  A Federal Level Analysis:
The Practical Use of Sec. 179D Green Building Deductions by A&E
C-Corporations and C-Corps that Convert To Sub-S Status

Joe Belden of Belden Hutchison & Co. and Don McDougall of Engineered Tax Services recently offered a two-hour educational presentation on the Energy Policy Act of 2005 (EPAct) and Section 179D to the Orange County AIA. 
One attendee commented that C Corporations could generally not use EPAct.  We rose to the occasion and directly addressed that myth, discussing exactly how C Corps can and should be taking advantage of benefits under EPAct. 

Because we know that this issue is frequently misunderstood, particularly by C Corps, we asked Joe to prepare an analysis with sample case studies that we could share with all of our valued contacts.  It is a very complete analysis and we hope you find it useful. 

Please CLICK HERE to download a copy of the comprehensive Federal-level analysis.