Cost segregation for restaurants: kitchen hook-ups, booths and decor in 5 years, not 39
Much of what makes a restaurant is not the building. The IRS's restaurant table puts dedicated kitchen equipment hook-ups, beverage systems, dining furniture and decorative carpentry on a 5-year schedule and separate site work on 15. NoCostSeg finds them in your documents and photos and shows the row behind each one.
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Beverage refrigerators, coolers and dispensing systems include their dedicated electrical connections and piping.
Equipment-specific power, water, gas, drainage and qualifying ventilation connections are separated from general building services.
Dining tables, chairs, bar stools and booths are examples in the five-year restaurant-furniture row.
Carpentry that creates the restaurant's theme rather than operating the building follows the five-year decorative-millwork row.
Paving, fencing and other site work not directly related to the building are listed as 15-year improvements.
- $108,611
- depreciation in year one, with the study
- $10,000
- in year one without it
- 36 of 67
- rows in the IRS's table leave the building's schedule
The picture and the first two figures are an illustration: a neighborhood diner, with invented costs, run through the same engine that prepares a study. See how it is worked out.
Where the shorter schedules come from in restaurants
Dedicated kitchen equipment hook-ups
Equipment-specific power, water, gas, drainage and qualifying ventilation connections are separated from general building services.
Beverage equipment and delivery systems
Beverage refrigerators, coolers and dispensing systems include their dedicated electrical connections and piping.
Decorative restaurant carpentry
Carpentry that creates the restaurant's theme rather than operating the building follows the five-year decorative-millwork row.
What moves, what stays
Not everything in the building is the building
The IRS's table for restaurants puts some components on 5, 7 or 15-year schedules and keeps others with the building. Which one a component gets depends on what it is and how it is attached.
Rows in the IRS table for restaurants
67- 5-year
- 27
- 7-year
- 1
- 15-year
- 8
- Stays in the building
- 29
- Land
- 1
- Depends on the facts
- 1
These counts describe rows in the IRS table, not an allocation of your property's cost.
Also moves out of the building
More of what the IRS's table for restaurants puts on a shorter schedule, with the row behind each one.
Nonstructural theme elements
Decorative structures used only as ornamentation can follow the five-year row when they are not integrated with building services.
Dining furniture and booths
Dining tables, chairs, bar stools and booths are examples in the five-year restaurant-furniture row.
Separate restaurant site improvements
Paving, fencing and other site work not directly related to the building are listed as 15-year improvements.
Off the building's schedule
What stays with the building
A study that moves these is the kind an examiner picks apart. We leave them on the building's schedule and show the row that says why.
Decorative ceilings
The ceiling row stays in the building class even when the finish is decorative metal, panels or tin.
Cooler and freezer floors
Cooler, freezer and garbage-room floors are explicitly included among building floors.
HVAC serving customer comfort
A system serving significant comfort or ventilation purposes remains a building component.
Drive-through windows
Drive-through service windows are expressly listed with the building's exterior windows.
Stays with the building
Worked example
A neighborhood diner, year by year
Invented figures, run through the same engine that prepares a real study.
A fictional diner with beverage equipment, dedicated kitchen hook-ups, dining furniture, decorative carpentry and separate site paving.
Illustration- Purchase price
- $900,000
- Land
- $180,000
- Depreciable basis
- $720,000
Beverage equipment
$18,0005-yearPub. 5653, p. 184Dedicated kitchen hook-ups
$24,0005-yearPub. 5653, p. 188Dining furniture
$20,0005-yearPub. 5653, p. 191Decorative carpentry
$10,0005-yearPub. 5653, p. 190Separate site paving
$28,00015-yearPub. 5653, p. 193
Where the basis goes
- 5-year
- $72,000
- 15-year
- $28,000
- 39-year building
- $620,000
Depreciation in the first five tax years
More depreciation in year one
+$98,611
Later years are lower with the study: the same cost, deducted sooner.
See the figures
| Year | With study | Without study |
|---|---|---|
| 2026 | $108,611 | $10,000 |
| 2027 | $15,897 | $18,462 |
| 2028 | $15,897 | $18,462 |
| 2029 | $15,897 | $18,462 |
| 2030 | $15,897 | $18,462 |
Assumed contract date: 2026-01-20. Assumed placed-in-service date: 2026-06-01.
These are depreciation deductions, not tax savings. The engine applies its 100% bonus rate for these dates, assuming the selected components qualify; it uses the half-year convention for short classes and mid-month for the building. The comparison does not apply owner-specific tax limitations.
The property and all costs above are invented for this illustration. Each component is assumed to match its cited row; the remaining basis stays in the building. The allocation and annual figures are calculated by the same depreciation engine used for a study, rather than entered as example results.
From the IRS's guide
How to read the restaurants table
Written from the pages cited under each paragraph. Follow a citation to open that page of the IRS's own PDF.
The guide is written for IRS examiners. It is not legal authority; it shows how the IRS itself sorts these components.
A restaurant's equipment needs water, gas, power and ventilation, but the table does not treat every connection as part of the building. Its kitchen hook-up entry describes dedicated lines and connections serving particular equipment, including dishwashers, ovens and ice machines. General-purpose outlets and hand-sink plumbing are excluded. The restaurant directive introduces this matrix as a way to resolve recurring classification disputes with consistent examination treatment.
The beverage row goes beyond the dispenser on the counter: it includes storage and preparation equipment together with dedicated electrical connections, tubing and piping. In the dining area, decorative carpentry and nonstructural theme elements have their own entries. Their role matters. A decorative structure that merely creates a theme is distinguished from a wall that divides space or controls traffic, and restroom cabinets are excluded from decorative millwork.
The building side of the table is equally specific to restaurant work. Permanent cooler and freezer floors remain floors; a decorative ceiling is still a ceiling; and drive-through windows remain building components. Separate kitchen HVAC equipment must meet the stated equipment or food-processing justification rather than also serving a significant customer-comfort purpose. Those boundaries make the service performed by each installation more useful than a single label such as kitchen renovation.
The full table
The reference, row by row
All 67 rows from Exhibit A to the Restaurant Directive, including the conditions behind each classification. Open a class to read its rows.
Pub. 5653, pp. 184–1955-year27 rows
Rows that place a component in the 5-year class.
Beverage Equipment
Pub. 5653, p. 184
Equipment for storage and preparation of beverages and beverage delivery systems.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Equipment for storage and preparation of beverages and beverage delivery systems. Beverage equipment includes the refrigerators, coolers, dispensing systems, and the dedicated electrical, tubing or piping for such equipment. The dispensing system may be gravity, pump or gas driven.
Canopies & Awnings
Pub. 5653, p. 184
Readily removable overhang or covering, often of canvas or plastic, used to provide shade or cover over a storefront, window, or door; or used inside a structure to identify a particular area.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Readily removable overhang or covering, often of canvas or plastic, used to provide shade or cover over a storefront, window, or door; or used inside a structure to identify a particular area. Examples include applications over an exterior door or window, or attached to interior walls or suspended from ceilings to identify a buffet line or bar area of the restaurant. Does not include canopies that are an integral part of a building’s structural shell, such as in the casino industry, or over docks.
Computers
Pub. 5653, p. 185
Processors (CPU), direct access storage device (DASD), tape drives, desktop and laptop computers, CRT, terminals, monitors, printers, and other peripheral equipment.
Table period: 00.12 Information Systems – 5 Years
Read the full row
Processors (CPU), direct access storage device (DASD), tape drives, desktop and laptop computers, CRT, terminals, monitors, printers, and other peripheral equipment. Excludes Point of Sale (POS) systems and computers that are an integral part of other equipment (e.g., fire detection, heating, cooling, or energy management systems, etc.).
Data Handling Equipment
Pub. 5653, p. 185
Includes adding and accounting machines, calculators, copiers, and duplicating machines.
Table period: 00.13 Data Handling Equipment, except Computers – 5 Years
Read the full row
Includes adding and accounting machines, calculators, copiers, and duplicating machines. Excludes computers and computer peripheral equipment, see Computers.
Doors
Pub. 5653, p. 185
Special lightweight, double action doors installed to prevent accidents in a heavily trafficked area.
Table period: 57.0 Distributive Trades and Services – 5 Years
Read the full row
Special lightweight, double action doors installed to prevent accidents in a heavily trafficked area. For example, Eliason doors providing easy access between the kitchen and dining areas.
Drive-Through Equipment
Pub. 5653, p. 186
Drive-through equipment includes order taking, food delivery and payment processing systems whether mechanical or electronic.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Drive-through equipment includes order taking, food delivery and payment processing systems whether mechanical or electronic. Excludes building elements such as doors, bays, or windows. See also Walls – Exterior, and Windows for drive-through bays and windows.
Electrical
Pub. 5653, p. 186
Special electrical connections which are necessary to and used directly with a specific item of machinery or equipment or connections between specific items of individual machinery or equipment; such as dedicated electrical outlets, wiring, conduit, and circuit breakers by which machinery and equipment is connected to the electrical distribution system.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Special electrical connections which are necessary to and used directly with a specific item of machinery or equipment or connections between specific items of individual machinery or equipment; such as dedicated electrical outlets, wiring, conduit, and circuit breakers by which machinery and equipment is connected to the electrical distribution system. Does not include electrical outlets of general applicability and accessibility. See Chapter 5 of the Cost Segregation Audit Techniques Guide for allocation examples.
Equipment Installation
Pub. 5653, p. 186
Expenses incurred in the installation of furnishings and restaurant equipment.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Expenses incurred in the installation of furnishings and restaurant equipment. Some examples include booths, tables, counters, and interior theme décor.
Fire Protection Equipment
Pub. 5653, p. 187
Includes special fire detection or suppression systems located in equipment hoods or directly associated with a piece of equipment.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Includes special fire detection or suppression systems located in equipment hoods or directly associated with a piece of equipment. For example, a fire extinguisher designed and used for protection against a particular hazard created by the business activity.
Floor Coverings
Pub. 5653, p. 187
Floor covering that is installed by means of strippable adhesives.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Floor covering that is installed by means of strippable adhesives. For the restaurant industry, all carpeting will be treated as not permanently attached and not intended to be permanent. Excludes rugs or tapestries that are considered artwork and do not suffer wear and tear (e.g. Persian rugs that may appreciate are considered artwork).
Food Storage & Preparation Equipment
Pub. 5653, p. 188
Food storage, cleaning, preparation, and delivery systems including all machinery, equipment, furniture, and fixtures used to process food items from storage through delivery to the customer.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Food storage, cleaning, preparation, and delivery systems including all machinery, equipment, furniture, and fixtures used to process food items from storage through delivery to the customer.
Heating Ventilating & Air Conditioning (HVAC)
Pub. 5653, p. 188
Only separate kitchen HVAC units that meet the sole justification test are included (i.e., machinery the sole justification for the installation of which is the fact that such machinery is required to meet temperature or humidity requirements which are essential for the operation of other machinery or the processing of materials or foodstuffs.)
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Only separate kitchen HVAC units that meet the sole justification test are included (i.e., machinery the sole justification for the installation of which is the fact that such machinery is required to meet temperature or humidity requirements which are essential for the operation of other machinery or the processing of materials or foodstuffs.) Kitchen HVAC may meet the sole justification test even though it incidentally provides for the comfort of employees, or serves, to an insubstantial degree, areas where such temperature or humidity requirements are not essential. Includes refrigeration units, condensers, compressors, accumulators, coolers, pumps, connecting pipes, and wiring for the mechanical equipment for climate controlled rooms such as walk-in freezers and coolers. Allocation of HVAC is not appropriate.
Kitchen Equipment Hook-ups
Pub. 5653, p. 188
Includes separate water lines from the incoming water main to equipment (such as steam trays, cooking vessels, or ice machines), gas lines from the building’s main gas line to equipment (such as fryers or ovens), and special drain lines from equipment (such as refrigerator or dishwasher) to the drain.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Includes separate water lines from the incoming water main to equipment (such as steam trays, cooking vessels, or ice machines), gas lines from the building’s main gas line to equipment (such as fryers or ovens), and special drain lines from equipment (such as refrigerator or dishwasher) to the drain. Also includes ventilation system or kitchen air makeup unit solely to maintain specific ventilation requirements essential for operation of kitchen equipment, equipment exhaust hoods, and
electric outlets and conduit extending back to the circuit box to provide a localized power source for specialized equipment. For example, a dishwasher requires electric and plumbing hook-ups, electrical from the dishwasher to the source of electricity (such as an outlet or junction box) and plumbing to connect the dishwasher to the water line and the drain. Excludes outlets of general applicability and accessibility or kitchen hand sink plumbing; see also Electrical, HVAC, and Plumbing.
Light Fixtures – Interior
Pub. 5653, p. 189
Decorative light fixtures are light fixtures, such as neon lights or track lighting, which are decorative in nature and not necessary for the operation of the building.
Table period: 57.0 Distributive Trades and Services -5 Years
Read the full row
Decorative light fixtures are light fixtures, such as neon lights or track lighting, which are decorative in nature and not necessary for the operation of the building. In other words, if the decorative lighting were turned off, the other sources of lighting would provide sufficient light for operation of the building. If the decorative lighting is the primary source of lighting, then it is § 1250 property.
Light Fixtures – Exterior
Pub. 5653, p. 189
Plant grow lights or lighting that highlights only the landscaping or building exterior (but not parking areas or walkways) does not relate to the maintenance or operation of the building.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Plant grow lights or lighting that highlights only the landscaping or building exterior (but not parking areas or walkways) does not relate to the maintenance or operation of the building.
Millwork – Decorative
Pub. 5653, p. 190
Decorative millwork is the decorative finish carpentry in the restaurant.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Decorative millwork is the decorative finish carpentry in the restaurant. Examples include detailed crown moldings, lattice work placed over finished walls or ceilings, cabinets, and counters. The decorative millwork serves to enhance the overall theme of the restaurant and is not related to the operation of the building. Excludes cabinets and counters in a restroom; see Restroom Accessories.
Plumbing
Pub. 5653, p. 190
Includes water, gas, or refrigerant hook-ups directly connected to appliances or equipment, eyewash stations, kitchen drainage, and kitchen hot water heater.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Includes water, gas, or refrigerant hook-ups directly connected to appliances or equipment, eyewash stations, kitchen drainage, and kitchen
hot water heater. For example, a dishwasher would require special water hook-up.
Point of Sale (POS) Systems
Pub. 5653, p. 191
A register or terminal based data collection system used to control and record all sales.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
A register or terminal based data collection system used to control and record all sales. Includes cash registers, computerized sales systems, and related peripheral equipment. See also Electrical for hook-ups.
Restaurant Décor Accessories
Pub. 5653, p. 191
Decorative mobile props such as playground equipment, potted plants, hanging mirrors, ceiling fans, and theme related props (such as coat of arms, sporting equipment or memorabilia, artifacts, pictures, plaques, etc., excluding non-depreciable artwork, antiques, or collectibles).
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Decorative mobile props such as playground equipment, potted plants, hanging mirrors, ceiling fans, and theme related props (such as coat of arms, sporting equipment or memorabilia, artifacts, pictures, plaques, etc., excluding non-depreciable artwork, antiques, or collectibles).
Restaurant Furniture
Pub. 5653, p. 191
Includes furniture unique to restaurants and distinguishable from office furniture.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Includes furniture unique to restaurants and distinguishable from office furniture. For example, a high stool in a bar, dining room table and chairs, booths, lockers, or benches. See also Office Furnishings.
Restaurant Non-structural Theme Elements
Pub. 5653, p. 191
Interior non-load bearing decorative structures.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Interior non-load bearing decorative structures. These are items that do not function as part of the building and are not integrated with building elements such as wiring, plumbing or ventilation. For example, a model castle constructed of gypsum board or plaster and wood studs would be considered a non-structural theme element that functions merely as ornamentation. Excludes a half wall whose function is to provide traffic control or space subdivision, see Walls - Interior Partitions. Excludes decorative ceilings, see Ceilings.
Signs
Pub. 5653, p. 192
Interior and Exterior Signs used for menu display or theme identity.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Interior and Exterior Signs used for menu display or theme identity.
For pylon signs, includes only sign face. See also Poles & Pylons.
Sound Systems
Pub. 5653, p. 193
Equipment and apparatus, including wiring, used to provide amplified music or sound.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Equipment and apparatus, including wiring, used to provide amplified music or sound. For example, public address by way of paging a customer or background music. Excludes applications linked to fire protection and alarm systems.
Upholstery
Pub. 5653, p. 194
Any material used in the coverage and protection of furnishings.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Any material used in the coverage and protection of furnishings.
Wall Coverings
Pub. 5653, p. 194
Strippable wallpaper that causes no damage to the underlying wall or wall surface.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Strippable wallpaper that causes no damage to the underlying wall or wall surface.
Walls - Interior Partitions
Pub. 5653, p. 195
Interior walls where the partition can be 1) readily removed and remain in substantially the same condition after removal as before, or 2) moved and reused, stored, or sold in its entirety.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Interior walls where the partition can be 1) readily removed and remain in substantially the same condition after removal as before, or 2) moved and reused, stored, or sold in its entirety.
Window Treatments
Pub. 5653, p. 195
Window treatments such as drapes, curtains, louvers, blinds, post construction tinting or interior decorative theme décor that are readily removable.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Window treatments such as drapes, curtains, louvers, blinds, post construction tinting or interior decorative theme décor that are readily removable.
7-year1 row
Rows that place a component in the 7-year class.
Office Furnishings
Pub. 5653, p. 190
Includes desk, chair, credenza, file cabinet, table, or other furniture such as workstations.
Table period: 00.11 Office Furniture, Fixtures, and Equipment – 7 Years
Read the full row
Includes desk, chair, credenza, file cabinet, table, or other furniture such as workstations. Also includes telephone equipment, fax machines, and other communications equipment. Does not include communications equipment included in other asset classes in Rev. Proc. 87-56.
15-year8 rows
Rows that place a component in the 15-year class.
Concrete Foundations & Footings
Pub. 5653, p. 185
Foundations or footings for signs, light poles, canopies, and other land improvements (except buildings).
Table period: 00.3 Land Improvements – 15 Years
Read the full row
Foundations or footings for signs, light poles, canopies, and other land improvements (except buildings).
Light Fixtures – Exterior
Pub. 5653, p. 189
Pole mounted or freestanding outdoor lighting system to illuminate sidewalks, parking, or recreation areas.
Table period: 00.3 Land Improvements – 15 Years
Read the full row
Pole mounted or freestanding outdoor lighting system to illuminate sidewalks, parking, or recreation areas. See also Poles & Pylons. Note* asset class 00.3 Land improvements includes both §§ 1245 and 1250 property per Rev. Proc. 87-56.
Parking Lots
Pub. 5653, p. 190
Grade level surface parking area usually constructed of asphalt, brick, concrete, stone, or similar material.
Table period: 00.3 Land Improvements –15 Years
Read the full row
Grade level surface parking area usually constructed of asphalt, brick, concrete, stone, or similar material. Category includes bumper blocks, curb cuts, curb work, striping, landscape islands, perimeter fences, and sidewalks.
Poles & Pylons
Pub. 5653, p. 191
Light poles for parking areas and other poles poured in concrete footings or bolt-mounted for signage, flags, etc.
Table period: 00.3 Land Improvements – 15 Years
Read the full row
Light poles for parking areas and other poles poured in concrete footings or bolt-mounted for signage, flags, etc. Note* asset class 00.3 Land Improvements includes both section 1245 and 1250 property per Rev. Proc. 87-56.
Site Preparation, Grading, & Excavation
Pub. 5653, p. 193
Clearing, grading, excavating and removal costs directly associated with the construction of sidewalks, parking areas, roadways and other depreciable land improvements are part of the cost of construction of the improvements.
Table period: 00.3 Land Improvements – 15 Years
Read the full row
Clearing, grading, excavating and removal costs directly associated with the construction of sidewalks, parking areas, roadways and other depreciable land improvements are part of the cost of construction of the improvements.
Site Work
Pub. 5653, p. 193
Site work includes curbing, paving, general site improvements, fencing, landscaping, roads, sewers, sidewalks, site drainage and all other site improvements not directly related to the building.
Table period: 00.3 Land Improvements – 15 Years
Read the full row
Site work includes curbing, paving, general site improvements, fencing, landscaping, roads, sewers, sidewalks, site drainage and all other site improvements not directly related to the building. For sanitary sewers, see Site Utilities.
Stonework
Pub. 5653, p. 194
Includes patio stonework imbedded in the ground or applied to exterior half walls that are not an integral part of the building’s structural shell.
Table period: 00.3 Land Improvements – 15 Years
Read the full row
Includes patio stonework imbedded in the ground or applied to exterior half walls that are not an integral part of the building’s structural shell.
Trash Enclosures
Pub. 5653, p. 194
Freestanding enclosures for waste receptacles, typically constructed on a concrete pad with its posts set in the concrete.
Table period: 00.3 Land Improvements – 15 Years
Read the full row
Freestanding enclosures for waste receptacles, typically constructed on a concrete pad with its posts set in the concrete. Serves both safety and decorative functions.
Stays in the building29 rows
These rows stay on a building schedule; the period printed by the table is shown below.
Ceilings
Pub. 5653, p. 184
Includes all interior ceilings regardless of finish or décor, e.g. drywall or plaster ceilings, acoustic ceilings, suspended ceilings (including all hangers, frames, grids, and tiles or panels), decorative metal or tin finishes, kitchen plastic panels, decorative panels, etc.
Table period: Building or Building Component – 39 Years
Read the full row
Includes all interior ceilings regardless of finish or décor, e.g. drywall or plaster ceilings, acoustic ceilings, suspended ceilings (including all hangers, frames, grids, and tiles or panels), decorative metal or tin finishes, kitchen plastic panels, decorative panels, etc.
Concrete Foundations & Footings
Pub. 5653, p. 185
Includes formwork, reinforcement, concrete block, and pre-cast or cast-in-place work related to foundations and footings necessary for the proper setting of the building.
Table period: Building or Building Component – 39 Years
Read the full row
Includes formwork, reinforcement, concrete block, and pre-cast or cast-in-place work related to foundations and footings necessary for the proper setting of the building.
Doors
Pub. 5653, p. 185
Interior and exterior doors, regardless of decoration, including but not limited to, double opening doors, overhead doors, revolving doors, mall entrance security gates, roll-up or sliding wire mesh or steel grills and gates, and door hardware (such as doorknobs, closers, kick plates, hinges, locks, automatic openers, etc.).
Table period: Building or Building Component – 39 Years
Read the full row
Interior and exterior doors, regardless of decoration, including but not limited to, double opening doors, overhead doors, revolving doors, mall entrance security gates, roll-up or sliding wire mesh or steel grills and gates, and door hardware (such as doorknobs, closers, kick plates, hinges, locks, automatic openers, etc.).
Doors – Air Curtains
Pub. 5653, p. 185
Air doors or curtains are air systems located above doors and windows that circulate air to stabilize environments and save energy by minimizing the heated/air conditioned air loss through open doorways and windows.
Table period: Building or Building Component – 39 Years
Read the full row
Air doors or curtains are air systems located above doors and windows that circulate air to stabilize environments and save energy by minimizing the heated/air conditioned air loss through open doorways and windows. They also effectively repel flying insects, dust, and pollutants.
Electrical
Pub. 5653, p. 186
Includes all components of the building electrical system used in the operation or maintenance of the building or necessary to provide general building services such as electrical outlets of general applicability and accessibility, lighting, heating, ventilation, air conditioning and electrical wiring.
Table period: Building or Building Component – 39 Years
Read the full row
Includes all components of the building electrical system used in the operation or maintenance of the building or necessary to provide general building services such as electrical outlets of general applicability and accessibility, lighting, heating, ventilation, air conditioning and electrical wiring. See also Kitchen Equipment Hook-ups.
Elevators & Escalators
Pub. 5653, p. 186
Elevators and escalators, which include handrails and smoke baffles, are permanently affixed to the building, and intended to remain in place.
Table period: Building or Building Component – 39 Years
Read the full row
Elevators and escalators, which include handrails and smoke baffles, are permanently affixed to the building, and intended to remain in place. They relate to the operation or maintenance of the building and are structural components.
Exit Signs
Pub. 5653, p. 186
Signs posted along exit routes that indicate the direction of travel to the nearest exit.
Table period: Building or Building Component – 39 Years
Read the full row
Signs posted along exit routes that indicate the direction of travel to the nearest exit. These signs typically read "EXIT" and may have distinctive colors, illumination, or arrows indicating the direction to the exit.
Fire Protection & Alarm Systems
Pub. 5653, p. 187
Includes sensing devices, computer controls, sprinkler heads, piping or plumbing, pumps, visual and audible alarms, alarm control panels, heat and smoke detection devices, fire escapes, fire doors, emergency exit lighting and signage, and wall mounted fire extinguishers necessary for the protection of the building.
Table period: Building or Building Component – 39 Years
Read the full row
Includes sensing devices, computer controls, sprinkler heads, piping or plumbing, pumps, visual and audible alarms, alarm control panels, heat and smoke detection devices, fire escapes, fire doors, emergency exit lighting and signage, and wall mounted fire extinguishers necessary for the protection of the building.
Fireplaces
Pub. 5653, p. 187
Includes masonry and gas fireplaces, flues, chimneys, and other components of built-in fireplaces.
Table period: Building or Building Component – 39 Years
Read the full row
Includes masonry and gas fireplaces, flues, chimneys, and other components of built-in fireplaces.
Floor Coverings
Pub. 5653, p. 187
Floor covering affixed with permanent adhesive, nailed, or screwed in place.
Table period: Building or Building Component – 39 Years
Read the full row
Floor covering affixed with permanent adhesive, nailed, or screwed in place. Examples include ceramic or quarry tile, marble, paving brick, and other coverings cemented, mudded, or grouted to the floor; epoxy or sealers; and wood flooring.
Floors
Pub. 5653, p. 187
Includes concrete slabs and other floor systems.
Table period: Building or Building Component – 39 Years
Read the full row
Includes concrete slabs and other floor systems. Floors include special treatments applied to or otherwise a permanent part of the floor. For example, "superflat" finish, sloped drainage basins, raised perimeter, serving line curb, or cooler, freezer, and garbage room floors.
Heating Ventilating & Air Conditioning (HVAC)
Pub. 5653, p. 188
Includes all components of a central heating, ventilating and air conditioning system not specifically identified elsewhere.
Table period: Building or Building Component – 39 Years Building or Building Component – 39 Years
Read the full row
Includes all components of a central heating, ventilating and air conditioning system not specifically identified elsewhere. HVAC systems that are installed not only to meet the temperature and humidity requirements of machinery, but are also installed for additional significant purposes, such as customer comfort and ventilation, are building components.
Light Fixtures – Interior
Pub. 5653, p. 189
Includes lighting such as recessed and lay-in lighting, night lighting, and exit lighting, as well as decorative lighting fixtures that provide substantially all the artificial illumination in the building or along building walkways.
Table period: Building or Building Component – 39 Years
Read the full row
Includes lighting such as recessed and lay-in lighting, night lighting, and exit lighting, as well as decorative lighting fixtures that provide substantially all the artificial illumination in the building or along building walkways. For emergency and exit lighting, see Fire Protection & Alarm Systems.
Light Fixtures – Exterior
Pub. 5653, p. 189
Exterior lighting whether decorative or not is considered § 1250 property to the extent that the lighting relates to the maintenance or operation of the building.
Table period: Building or Building Component – 39 Years
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Exterior lighting whether decorative or not is considered § 1250 property to the extent that the lighting relates to the maintenance or operation of the building. Includes building mounted lighting to illuminate walkways, entrances, parking, etc.
Millwork – General Building or Structural
Pub. 5653, p. 190
General millwork is all building materials made of finished wood (e.g., doors and frames, window frames, sashes, porch work, mantels, panel work, stairways, and special woodwork).
Table period: Building or Building Component – 39 Years
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General millwork is all building materials made of finished wood (e.g., doors and frames, window frames, sashes, porch work, mantels, panel work, stairways, and special woodwork). Includes pre-built wooden items brought to the site for installation and items constructed on site such as restroom cabinets, door jambs, moldings, trim, etc.
Plumbing
Pub. 5653, p. 190
All piping, drains, sprinkler mains, valves, sprinkler heads, water flow switches, restroom plumbing fixtures (e.g. toilets) and piping, kitchen hand sinks, electric water coolers, and all other components of a building plumbing system (water or gas) not specifically identified elsewhere.
Table period: Building or Building Component – 39 Years
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All piping, drains, sprinkler mains, valves, sprinkler heads, water flow switches, restroom plumbing fixtures (e.g. toilets) and piping, kitchen hand sinks, electric water coolers, and all other components of a building plumbing system (water or gas) not specifically identified elsewhere. Excludes water or gas connections directly to appliances or kitchen drainage and kitchen hot water heater; see Kitchen Equipment Hook-ups.
Restroom Accessories
Pub. 5653, p. 191
Includes paper towel dispensers, electric hand dryers, towel racks or holders, cup dispensers, purse shelves, toilet paper holders, soap dispensers or holders, lotion dispensers, sanitary napkin dispensers and waste receptacles, coat hooks, grab bars, mirrors, shelves, vanity cabinets, counters, ashtrays, baby changing stations, and other items generally found in public restrooms that are built into or mounted on walls or partitions.
Table period: Building or Building Component – 39 Years
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Includes paper towel dispensers, electric hand dryers, towel racks or holders, cup dispensers, purse shelves, toilet paper holders, soap dispensers or holders, lotion dispensers, sanitary
napkin dispensers and waste receptacles, coat hooks, grab bars, mirrors, shelves, vanity cabinets, counters, ashtrays, baby changing stations, and other items generally found in public restrooms that are built into or mounted on walls or partitions.
Restroom Partitions
Pub. 5653, p. 192
Includes shop made and standard manufacture toilet partitions, typically metal, but may be plastic or other materials.
Table period: Building or Building Component – 39 Years
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Includes shop made and standard manufacture toilet partitions, typically metal, but may be plastic or other materials.
Roof
Pub. 5653, p. 192
All elements of the roof including but not limited to joists, rafters, deck, shingles, vapor barrier, skylights, trusses, girders, and gutters.
Table period: Building or Building Component – 39 Years
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All elements of the roof including but not limited to joists, rafters, deck, shingles, vapor barrier, skylights, trusses, girders, and gutters. Determination of whether decorative elements of a roof (e.g. false dormers, mansard) constitute structural building components depends on their integration with the overall roof not their load bearing capacity. If removal of the decorative element results in the direct exposure of building components to water, snow, wind, or moisture damage, or if the decorative element houses lighting fixtures, wiring, or other structural components, then the decorative elements are part of the overall roof system and are structural components of the building.
Security Systems
Pub. 5653, p. 192
Includes security equipment for the protection of the building (and its contents) from burglary or vandalism and protection of employees from assault.
Table period: Building or Building Component – 39 Years
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Includes security equipment for the protection of the building (and its contents) from burglary or vandalism and protection of employees from assault. Examples include window and door locks; card key access systems; keyless entry systems; security cameras, recorders, monitors, and related equipment; perimeter and interior building motion detectors; security lighting; alarm systems; and security system wiring and conduit.
Signs
Pub. 5653, p. 192
Exit signs, restroom identifiers and other signs relating to the operation or maintenance of a building.
Table period: Building or Building Component – 39 Years
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Exit signs, restroom identifiers and other signs relating to the operation or maintenance of a building.
Site Preparation, Grading, & Excavation
Pub. 5653, p. 193
Clearing, grading, excavating and removal costs directly associated with the construction of buildings and building components are part of the cost of construction of the building.
Table period: Building or Building Component – 39 Years
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Clearing, grading, excavating and removal costs directly associated with the construction of buildings and building components are part of the cost of construction of the building.
Site Utilities
Pub. 5653, p. 193
Site utilities are the systems that are used to distribute utility services from the property line to the restaurant building.
Table period: Building or Building Component – 39 Years
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Site utilities are the systems that are used to distribute utility services from the property line to the restaurant building. Includes water, sanitary sewer, gas, and electrical services.
Stonework
Pub. 5653, p. 193
Exterior decorative stonework embedded in half walls, such as patio half walls, that are an integral part of a building’s structural shell.
Table period: Building or Building Component – 39 Years
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Exterior decorative stonework embedded in half walls, such as patio half walls, that are an integral part of a building’s structural shell. Such half walls
relate to the operation or maintenance of the building.
Trash Enclosures
Pub. 5653, p. 194
Enclosures for waste receptacles that are attached to the building.
Table period: Building or Building Component – 39 Years
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Enclosures for waste receptacles that are attached to the building. Typically constructed of the same materials as the building shell with either interior or exterior access. These trash enclosures are an integral part of the building shell and cannot be moved without damage to the underlying building.
Wall Coverings
Pub. 5653, p. 194
Includes interior and exterior paint; ceramic or quarry tile, marble, stone, brick, and other finishes affixed with mortar, cement, or grout; paneling, wainscoting and other wood finishes affixed with nails, screws, or permanent adhesives; and sanitary kitchen wall panels such as Fiberglass Reinforced Plastic (FRP), stainless steel or plastic wall panels.
Table period: Building or Building Component – 39 Years
Read the full row
Includes interior and exterior paint; ceramic or quarry tile, marble, stone, brick, and other finishes affixed with mortar, cement, or grout; paneling, wainscoting and other wood finishes affixed with nails, screws, or permanent adhesives; and sanitary kitchen wall panels such as Fiberglass Reinforced Plastic (FRP), stainless steel or plastic wall panels.
Walls – Exterior
Pub. 5653, p. 194
Includes all exterior walls and building support regardless of construction materials.
Table period: Building or Building Component – 39 Years
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Includes all exterior walls and building support regardless of construction materials. Exterior walls may include columns, posts, beams, girders, curtain walls, tilt up panels, studs, framing, sheetrock, insulation, windows, doors, exterior
façade, brick, masonry, etc. Also includes drive-through bay, windows, and doors.
Walls - Interior Partitions
Pub. 5653, p. 195
Includes all load bearing interior partitions regardless of construction.
Table period: Building or Building Component – 39 Years
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Includes all load bearing interior partitions regardless of construction. Also includes non-load bearing partitions regardless of height (typically constructed of studs and sheetrock or other materials) that divide or create rooms or provide traffic control. Includes rough carpentry and plaster, dry wall or gypsum board, and other finishes.
Windows
Pub. 5653, p. 195
Exterior windows, including store front windows, drive-through service and carousel windows, and vestibule.
Table period: Building or Building Component – 39 Years
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Exterior windows, including store front windows, drive-through service and carousel windows, and vestibule.
Land1 row
Land is not depreciable.
Site Preparation, Grading, & Excavation
Pub. 5653, p. 193
In general, land preparation costs include one-time cost of clearing and grubbing, site stripping, fill or excavation, and grading to allow development of land.
Table period: Land
Read the full row
In general, land preparation costs include one-time cost of clearing and grubbing, site stripping, fill or excavation, and grading to allow development of land. Clearing and grubbing is the removal of debris, brush, trees, etc. from the site. Stripping is the removal of the topsoil to provide a stable surface for site and building improvements. The grading of land involves moving soil to produce a more level surface to allow development of the land.
Depends on the facts1 row
These rows give alternatives, instructions or no definite recovery period.
Exit Signs
Pub. 5653, p. 187
No description is printed in this row.
Table period: No recovery period printed.
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Questions about restaurants
A closer reading
The cases owners and preparers ask about most, answered from the table, with the page behind each answer.
How a component list becomes a studyDoes every kitchen connection qualify as an equipment hook-up?
The hook-up row covers connections dedicated to particular kitchen equipment, including specified water, gas, drainage, electrical and ventilation installations. It excludes general-purpose outlets and kitchen hand-sink plumbing.
What does the table say about restaurant décor?
Decorative millwork unrelated to building operation and qualifying nonstructural theme elements have five-year entries. Decorative ceilings and walls used to divide space or control traffic are excluded from the theme-element category.
Can the restaurant's entire HVAC system move?
The table keeps HVAC serving significant customer-comfort or general ventilation purposes with the building. Its separate kitchen-equipment row requires the stated sole-justification test and says an allocation of HVAC is not appropriate.
Is a drive-through service window restaurant equipment?
The restaurant matrix puts drive-through service and carousel windows in the building-component row. Their use in taking or handing over orders does not move them into its five-year equipment entries.
Can the restaurant matrix be cited as tax law?
The restaurant introduction expressly says the directive is not an official pronouncement of law and cannot be relied on as one. It supplies classification and examination guidance intended to reduce unnecessary disputes.
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