Cost Seg Smart Research & Editorial Process
Founded in 2024 by an economist (PhD), Cost Seg Smart publishes content and produces engineered cost segregation reports for US real estate investors and the CPAs who serve them.
What we do
We deliver engineering-based cost segregation studies — the same methodology used by Big-4 accounting firms and specialist engineering firms — at a price point built for residential and small-commercial investors. Our cost segregation engine, calibrated against industry-standard 2026 construction cost data component pricing and BLS PPI cost indices, produces a 30+ page IRS-defensible report in under one hour.
On the content side, we publish open-data research (the 2026 Benchmarks Report, n=412 studies, CC-BY licensed), explainer content on cost segregation methodology, and location-specific guides for short-term rental and small-commercial markets across the US.
How content is reviewed
Every page on this site goes through a five-stage review before it's published or republished:
- Source verification. Tax claims are cross-checked against the primary sources: IRS Publication 946 (How To Depreciate Property), Treasury Reg §1.168(a)-1, Rev. Proc. 87-56 asset-class tables, and the IRS Cost Segregation Audit Techniques Guide (Pub 5653). Citations on this site link directly to the underlying source.
- Methodology check. Engineering claims (component classifications, useful-life assignments, basis allocations) are reviewed against established engineering-based cost-segregation methodology and, where relevant, ASCE/ACI engineering norms.
- Engine calibration. Numerical examples are run through our cost-segregation engine and validated against a 260-property golden batch covering 13 property types. The engine itself is recalibrated quarterly against new industry-standard construction cost data and current BLS PPI construction indices.
- QC validation. Outputs run through a 16-check QC validator (reasonableness bounds, ratio checks, deduction-vs-price flags, single-vs-multi-flag downgrades). Anything outside-band is held for review before publishing.
- Compliance review. Disclosure language, "tax advice vs. educational content" boundaries, and §168(k) / §469(i) / §481(a) edge-case wording all sign off before content goes live.
For paid customer reports, an additional internal technical review & QC step is performed before delivery. For larger engagements where a customer's CPA requires a named, credentialed engineer on the cover, we bring in named credentialed engineering partners per engagement under a signed engagement letter, and that partner's name appears on the report cover page. Website content is reviewed against the same source materials but is not signed by an individual.
What we check against
- IRS Publication 946 — asset-class lives, MACRS recovery periods, bonus depreciation rules
- Treasury Reg §1.168(a)-1 through §1.168(i)-7 — depreciation method specifications
- Rev. Proc. 87-56 — class-life table for tangible personal property
- IRS Cost Segregation Audit Techniques Guide (Pub 5653) — examination criteria and study standards
- Industry-Standard 2026 Construction Cost Data — engineering-grade component pricing
- BLS Producer Price Index (PPI) — Construction — geographic and time-period cost adjustments
- County assessor records, RentCast, OpenStreetMap — property-level data verification
See /sources/ for the full annotated list with direct links.
What we don't claim
We don't list individual reviewers on website content because the review work is split across automated engine calibration, methodology check, and compliance sign-off — there's no single byline that accurately describes who touched a given page.
We don't claim every page is reviewed by a CPA or by a licensed engineer. We claim our content is reviewed against IRS Pub 946, Treasury Reg §1.168, and the IRS Cost Segregation Audit Techniques Guide, and our engine implements those standards. Paid customer reports go through internal technical review & QC; for larger engagements where a customer's CPA requires it, we bring in named credentialed engineering partners per engagement under signed engagement letters, and that partner's name appears on the report cover.
We don't provide individualized tax advice on this site. Site content is informational. Whether to apply a particular strategy to your situation is a question for your CPA — and that's why every customer report is built to be CPA-ready and includes a CPA Review Page.
Business identity
- Legal entity
- Cost Seg Smart LLC
- Formation
- Wyoming
- EIN
- 42-2738626
- D-U-N-S
- 144528479
Editorial corrections
If you find a factual error or want to challenge a citation, email research@costsegsmart.com. Substantive corrections are dated and noted at the top of the affected page. Tax law changes (e.g., the OBBBA bonus-depreciation restoration in 2025) trigger a full content sweep across the site within 30 days of effective date.
Last full editorial review: May 1, 2026.
Quarterly review cadence; rolling updates as IRS guidance changes.
Contact
Editorial: research@costsegsmart.com
Customer support: support@costsegsmart.com
Phone: (213) 444-2776
Cost Seg Smart LLC
5665 W. Wilshire Blvd #1244
Los Angeles, CA 90036
United States