Technical Updates The latest news on depreciation and related topics from our monthly newsletter. Audit Techniques Guide The IRS recently issued an Audit Techniques Guide (ATG) developed to assist IRS examiners in their review of cost segregation studies. The ATG provides an understanding of why cost segregation studies are performed, how they are performed, standards that must be complied with and what to look for in the review and examination of these studies. In addition, three industries were highlighted, casinos, restaurants, and retail industries. We were consulted by the IRS for the industry specific guidance for restaurants. IRS Audit Techniques Guide for Cost Segregation American Job Creation Act of 2006 (IRS UPDATE) The American Job Creation Act of 2006 has extended the modified recovery period of 15 years for qualified leasehold improvements and certain restaurant expenditures. The property must meet certain criteria to be eligible for the 15 year recovery period, such as being placed in service prior to January 1, 2008. Read More… Please contact us if you have questions regarding anything within them.