A Rental With a Planned Sale: An Incomplete Positive Result

The fictional situation

The fictional owner expects to sell next year. The inputs show a possible early-period reduction before modeling the sale; they deliberately do not answer whether the study improves the total transaction.

Read the numbers correctly

The example assumes 2,400 square feet, a $2,400 Stratum study fee, and $800 of separately engaged implementation work. It assumes $30,000 of additional depreciation compared with the no-study baseline, a 32% marginal rate, and 100% usability in the modeled period. None of these deduction or implementation inputs is a quote or a completed study result.

Calculate the early-period comparison

Assumed tax reduction = $30,000 × 100% × 32% = $9,600. Combined assumed cost = $2,400 + $800 = $3,200. The arithmetic difference is $6,400. This is an undiscounted early-period comparison; it is not a lifetime return, permanent savings estimate or recommendation.

Change the assumption that matters

The positive arithmetic shown here excludes sale-year tax, recapture, reduced future deductions and timing effects. Ask the preparer for a with-study and without-study disposition model before using this number to order a study.

What the example leaves for review

The preparer must establish the depreciation difference, when deductions can be used, the relevant marginal rates, state treatment, later-year depreciation and sale consequences. This example does not calculate bonus eligibility or assign asset lives. Use the fee-benefit tool to substitute adviser-supported inputs, then retain the complete multi-year analysis before commissioning the work.

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