Cost segregation for retail: write off the fixtures, counters and parking lot years sooner
A shop is a selling operation inside a building. The IRS's retail table puts display fixtures, sales terminals and decorative counters on a 5-year schedule and site paving on 15, not 39 with the building. NoCostSeg finds them in your documents and photos and shows the row behind each one.
- The study is free
- No card
- About 10 minutes
Racks, shelving, showcases and similar selling fixtures that are not building components have a five-year row.
Registers, sales terminals, scanners and related sales-recording equipment are listed in the five-year class.
Decorative cashwraps, counters and other carpentry unrelated to building operation are separated from structural millwork.
Listed in the IRS's table as "Office Furnishings", 7-year property.
Site improvements not directly related to the building are listed as 15-year land improvements.
- $141,528
- depreciation in year one, with the study
- $13,333
- in year one without it
- 40 of 73
- rows in the IRS's table leave the building's schedule
The picture and the first two figures are an illustration: a neighborhood retail store, 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 retail properties
Merchandise display fixtures
Racks, shelving, showcases and similar selling fixtures that are not building components have a five-year row.
Point-of-sale systems
Registers, sales terminals, scanners and related sales-recording equipment are listed in the five-year class.
Selling-area decorative carpentry
Decorative cashwraps, counters and other carpentry unrelated to building operation are separated from structural millwork.
What moves, what stays
Not everything in the building is the building
The IRS's table for retail properties 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 retail properties
73- 5-year
- 31
- 7-year
- 1
- 15-year
- 8
- Stays in the building
- 31
- 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 retail properties puts on a shorter schedule, with the row behind each one.
Merchandise theft surveillance
Electronic article surveillance whose primary purpose is reducing merchandise theft follows a five-year row.
Furniture used to serve shoppers
Shoe-fitting stools and benches outside dressing rooms are examples of five-year retail furniture.
Paving and other site improvements
Site improvements not directly related to the building are listed as 15-year land 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 and suspended ceilings
Interior ceilings remain building components regardless of their decorative finish.
Air conditioning for customer comfort
HVAC with significant building purposes such as customer comfort and ventilation stays with the building.
Building security
Systems protecting the building, its contents and employees remain in the building class.
Permanently fixed floor finishes
Floor coverings permanently glued, nailed, screwed or grouted in place follow the building schedule.
Stays with the building
Worked example
A neighborhood retail store, year by year
Invented figures, run through the same engine that prepares a real study.
A fictional shop with merchandise fixtures, sales terminals, decorative cashwraps, office furniture and separate site paving.
Illustration- Purchase price
- $1,200,000
- Land
- $240,000
- Depreciable basis
- $960,000
Merchandise fixtures
$60,0005-yearPub. 5653, p. 180Sales terminals
$10,0005-yearPub. 5653, p. 178Decorative cashwraps
$20,0005-yearPub. 5653, p. 177Office furniture
$5,0007-yearPub. 5653, p. 178Separate site paving
$35,00015-yearPub. 5653, p. 181
Where the basis goes
- 5-year
- $90,000
- 7-year
- $5,000
- 15-year
- $35,000
- 39-year building
- $830,000
Depreciation in the first five tax years
More depreciation in year one
+$128,194
Later years are lower with the study: the same cost, deducted sooner.
See the figures
| Year | With study | Without study |
|---|---|---|
| 2026 | $141,528 | $13,333 |
| 2027 | $21,282 | $24,615 |
| 2028 | $21,282 | $24,615 |
| 2029 | $21,282 | $24,615 |
| 2030 | $21,282 | $24,615 |
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 retail 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 retail store contains a selling operation as well as a building. The retail directive was developed to reduce disputes over that boundary and make examination treatment more consistent. Its scope includes businesses such as department stores and grocery stores, and its planning guidance asks examiners to compare reported classifications and recovery periods with the matrix's recommendations. The descriptions are written around those retail activities.
Display fixtures are especially important in this table. Garment racks, shelving, showcases and refrigerator cases appear alongside other fixtures used to sell merchandise, provided they are not building components. Point-of-sale equipment has a separate five-year entry. Decorative selling-area carpentry can also qualify under its own row, including cashwraps and counters that enhance the store's décor rather than operate the building. The same description expressly excludes restroom cabinetry.
Security equipment illustrates a less obvious distinction. The matrix separates systems protecting the building and its occupants from electronic article surveillance primarily intended to reduce merchandise theft. Likewise, central air conditioning serving customer comfort is not moved simply because it is installed in a shop. Where a store contains a restaurant, the introductory guidance points to the restaurant directive for those assets instead of extending the retail classifications to every activity on the premises.
The full table
The reference, row by row
All 73 rows from Retail Industry - Exhibit A, including the conditions behind each classification. Open a class to read its rows.
Pub. 5653, pp. 172–1835-year31 rows
Rows that place a component in the 5-year class.
Awnings & Canopies
Pub. 5653, p. 172
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 department or selling 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 department or selling
area. Examples include applications over an exterior door or window, or attached to interior walls or suspended from ceilings for bakery, deli, floral, meat, or produce departments. Also includes canopies designed to protect customers and gasoline fueling equipment from weather conditions and to act as advertising displays that are anchored with bolts and are not attached to buildings or other structures. Does not include canopies that are an integral part of a building’s structural shell, such as in the casino industry, or over docks. See also Concrete Foundations & Footings and Loading Docks.
Beverage Equipment
Pub. 5653, p. 173
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. See also Refrigerated Structures.
Computers
Pub. 5653, p. 173
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. 174
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. 174
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, flexible doors, or clear or strip curtains used between stock and selling areas.
Drive-Through Equipment
Pub. 5653, p. 174
Drive-through equipment includes order taking, merchandise 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, merchandise 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. 174
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.
Fire Protection Equipment
Pub. 5653, p. 175
Includes special fire detection or suppression systems 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 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. 175
Floor covering that is installed by means of strippable adhesives.
Table period: 57.0 Distributive Trades and Services --5 Years 57.0 Distributive Trades and Services --5 Years
Read the full row
Floor covering that is installed by means of strippable adhesives. For the retail industry, all vinyl composition tile (VCT), sheet vinyl, and carpeting will be treated as not permanently attached and not intended to be permanent. Also includes flooring that is frequently moved and reused to create a department theme or seasonal display.
Heating, Ventilating & Air Conditioning (HVAC)
Pub. 5653, p. 176
Only separate 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 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.) 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, walk-in freezers, coolers, humidors, and ripening rooms. Allocation of HVAC is not appropriate. See also Refrigerated Structures, Refrigeration Equipment, and Ripening Rooms.
Kiosks
Pub. 5653, p. 176
A small retail outlet, often prefabricated, which acts like a fixed retail outlet yet is not permanent.
Table period: 57.0 Distributive Trades and Services -5 Years
Read the full row
A small retail outlet, often prefabricated, which acts like a fixed retail outlet yet is not permanent. Kiosks may be used to retail merchandise such as newspapers and magazines, film and digital images, and food and beverages. Kiosks are also present in shopping centers or malls where they function as temporary or portable retail outlets for a variety of merchandise.
Light Fixtures – Interior
Pub. 5653, p. 177
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. 177
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.
Loading Docks
Pub. 5653, p. 177
Includes items such as compactors, conveyors, hoists, and balers.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Includes items such as compactors, conveyors, hoists, and balers.
Millwork – Decorative
Pub. 5653, p. 177
Decorative millwork is the decorative finish carpentry in a retail selling area.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Decorative millwork is the decorative finish carpentry in a retail selling area. Examples include detailed crown moldings, lattice work placed over finished walls or ceilings, cabinets, cashwraps, counters and toppers. The decorative millwork serves to enhance the overall décor of the retail store and is not related to the operation of the building. Cabinets and counters in a restroom are excluded from this category; see Restroom Accessories.
Plumbing
Pub. 5653, p. 178
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 hair salon in a retail outlet would require special hair washing sinks and water hook-up for the sinks.
Point of Sale (POS) Systems
Pub. 5653, p. 178
A register or terminal based data collection system used to control and record all sales (cash, charge, COD, gift cards, layaway, etc.) at the point of sale.
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 (cash, charge, COD, gift cards, layaway, etc.) at the point of sale. Includes cash registers, computerized sales systems and related peripheral equipment, satellite systems, scanners, and wands. See also Electrical for hook-ups.
Refrigeration Equipment
Pub. 5653, p. 178
Includes refrigeration units, condensers, compressors, accumulators, coolers, pumps, connecting pipes, and associated wiring.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Includes refrigeration units, condensers, compressors, accumulators, coolers, pumps, connecting pipes, and associated wiring. Refrigeration equipment is commonly found in climate controlled rooms, walk-in freezers, coolers, humidors, and ripening rooms.
Refrigerated Structures
Pub. 5653, p. 179
A portable structure installed inside the building, consisting of prefabricated panels mounted on a movable framework.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
A portable structure installed inside the building, consisting of prefabricated panels mounted on a movable framework. Portable structures are designed to be able to be disassembled and moved. See also Refrigeration Equipment.
Retail Accessories
Pub. 5653, p. 179
Accessories used to better display merchandise that are not held for sale.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Accessories used to better display merchandise that are not held for sale. Includes assets such as audio/video display devices, artwork, if depreciable, holiday decorations, lamps, mirrors, pictures, plaques, potted plants, and decorative mobile props; such as coat of arms, sporting equipment or memorabilia, etc., excluding non-depreciable art, antiques, or collectibles.
Retail Conveying Equipment
Pub. 5653, p. 179
Includes assets such as belt or roller conveyors and pneumatic tube systems used to distribute retail merchandise.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Includes assets such as belt or roller conveyors and pneumatic tube systems used to distribute retail merchandise.
Retail Equipment
Pub. 5653, p. 179
Includes assets such as sewing machines, tackers, ironing equipment, pressing tables, steam presses, pinning machines, price mark guns, marking machines, work benches, power tools, check writers, endorsing machines, paper cutters, perforators, postage meters, money sorters, coin counting and dispensing equipment, and shopping carts.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Includes assets such as sewing machines, tackers, ironing equipment, pressing tables, steam presses, pinning machines, price mark guns, marking machines, work benches, power tools, check writers, endorsing machines, paper cutters, perforators,
postage meters, money sorters, coin counting and dispensing equipment, and shopping carts.
Retail Fixtures
Pub. 5653, p. 180
Includes assets such as back cases or islands, cabinets, cubes, deli cases, end caps, floor stands, garment racks, gondolas, grid systems, mannequins, refrigerator/freezer cases, shelving, sign holders or stands, show cases, wall display units and other retail fixtures (such as dressing or fitting room partitions) needed in the business operation that are not a building component.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Includes assets such as back cases or islands, cabinets, cubes, deli cases, end caps, floor stands, garment racks, gondolas, grid systems, mannequins, refrigerator/freezer cases, shelving, sign holders or stands, show cases, wall display units and other retail fixtures (such as dressing or fitting room partitions) needed in the business operation that are not a building component.
Retail Furniture
Pub. 5653, p. 180
Includes furniture unique to retail stores and distinguishable from office furniture.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Includes furniture unique to retail stores and distinguishable from office furniture. For example, a high stool in a cosmetic department, a shoe department footstool, a hair salon barber chair, or a bench outside a dressing room. See also Office Furnishings.
Ripening Rooms
Pub. 5653, p. 180
Special enclosed equipment boxes used to ripen produce by circulating special gases.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Special enclosed equipment boxes used to ripen produce by circulating special gases. The rooms are large boxes with special doors and large airplane-type propellers, which circulate the gases used to ripen the produce. The boxes are housed within a distribution center warehouse. These specialized facilities are considered to be part of the retail distribution equipment because they have a special retail purpose and cannot be used for any other purpose. The boxes are not a part of the building structure.
Security Systems
Pub. 5653, p. 181
Electronic article surveillance systems including electronic gates, surveillance cameras, recorders, monitors and related equipment, the primary purpose of which is to minimize merchandise shrinkage due to theft.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Electronic article surveillance systems including electronic gates, surveillance cameras, recorders, monitors and related equipment, the primary purpose of which is to minimize merchandise shrinkage due to theft. Also includes teller-style pass-through windows, security booths, and bulletproof enclosures generally located in the cash office and customer service areas.
Signs
Pub. 5653, p. 181
Interior and exterior signs used for display or theme identity.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Interior and exterior signs used for display or theme identity. For example, interior signs to identify departments or exterior signs to display trade names or trade symbols. For pylon signs, includes only sign face. See also Poles & Pylons.
Sound Systems
Pub. 5653, p. 181
Equipment and apparatus, including wiring, used to provide amplified sound or music.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Equipment and apparatus, including wiring, used to provide amplified sound or music. For example, public address by way of paging a customer or background
music. Excludes applications linked to fire protection and alarm systems.
Wall Coverings
Pub. 5653, p. 182
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. 182
Interior walls for merchandise display 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 their entirety.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Interior walls for merchandise display 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 their entirety.
Window Treatments
Pub. 5653, p. 183
Window treatments such as drapes, curtains, louver, blinds, post construction tinting and interior decorative theme décor which are readily removable.
Table period: 57.0 Distributive Trades and Services --5 Years
Read the full row
Window treatments such as drapes, curtains, louver, blinds, post construction tinting and interior decorative theme décor which are readily removable.
7-year1 row
Rows that place a component in the 7-year class.
Office Furnishings
Pub. 5653, p. 178
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. 173
Foundations or footings for signs, light poles, 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, and other land improvements (except buildings).
Concrete Foundations & Footings
Pub. 5653, p. 173
The supporting concrete footings used to anchor gasoline pump canopies are inherently permanent structures and are classified as land improvements.
Table period: 57.1 Distributive Trades and Services – 15 years
Read the full row
The supporting concrete footings used to anchor gasoline pump canopies are inherently permanent structures and are classified as land improvements.
Light Fixtures -Exterior
Pub. 5653, p. 177
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. 178
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. 178
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 §§ 1245 and 1250 property per Rev. Proc. 87-56. See also Signs and Light Fixtures – Exterior.
Site Preparation, Grading & Excavation
Pub. 5653, p. 181
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 and depreciated over the life of the associated asset.
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 and depreciated over the life of the associated asset.
Site Work
Pub. 5653, p. 181
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.
Trash Enclosures
Pub. 5653, p. 182
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 building31 rows
These rows stay on a building schedule; the period printed by the table is shown below.
Ceilings
Pub. 5653, p. 173
Includes all interior ceilings regardless of finish or décor; e.g. drywall or plaster ceilings, acoustic ceilings, suspended ceilings (including hangers, frames, grids and tiles or panels), decorative metal or tin finishes, 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 hangers, frames, grids and tiles or panels), decorative metal or tin finishes, plastic panels, decorative panels, etc. See also Awnings & Canopies, Millwork - Decorative and Millwork - General Building or Structural.
Concrete Foundations & Footings
Pub. 5653, p. 173
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. 174
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. 174
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. 174
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.
Elevators and Escalators
Pub. 5653, p. 175
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.
Energy Management Systems
Pub. 5653, p. 175
Energy management systems control all energy-using systems in a building, automatically checking occupancy schedules, reading temperatures, and re-circuiting light levels, causing all heating, cooling, and lighting equipment to operate so as to minimize energy costs.
Table period: Building or Building Component – 39 Years
Read the full row
Energy management systems control all energy-using systems in a building, automatically checking occupancy schedules, reading temperatures, and re-circuiting light levels, causing all heating, cooling, and lighting equipment to operate so as to minimize energy costs. Includes, for example, detection devices such as smoke, motion and infrared devices, photocells, foil and contact switches, pressure switches, proximity alarms, sensors, alarm transmitting controls, data gathering panels, demand controllers, thermostats, computer controls, outside air economizers, occupancy sensors, electronic ballasts, and all related wiring and conduit. May also provide for fire and burglary protection.
Exit Signs
Pub. 5653, p. 175
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. 175
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.
Floor Coverings
Pub. 5653, p. 175
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. 176
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. 176
Includes all components of a central heating, ventilating and air conditioning system not specifically identified elsewhere.
Table period: 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. 176
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. 177
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
Read the full row
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. This category includes building mounted lighting to illuminate walkways, entrances, parking, etc.
Loading Docks
Pub. 5653, p. 177
Includes bumpers, permanently installed dock levelers, plates, seals, lights, canopies, and overhead doors used in the receiving and shipping of merchandise.
Table period: Building or Building Component – 39 Years
Read the full row
Includes bumpers, permanently installed dock levelers, plates, seals, lights, canopies, and overhead doors used in the receiving and shipping of merchandise.
Millwork -General Building or Structural
Pub. 5653, p. 177
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
Read the full row
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.
Parking Structures
Pub. 5653, p. 178
Any structure or edifice the purpose of which is to provide parking space.
Table period: Building or Building Component – 39 Years
Read the full row
Any structure or edifice the purpose of which is to provide parking space. Includes, for example, garages, parking ramps, or other parking structures.
Plumbing
Pub. 5653, p. 178
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
Read the full row
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.
Refrigerated Structures
Pub. 5653, p. 179
Includes structural components such as walls, floors, ceilings, and insulation to construct a climate controlled structure, room, or facility such as a cold storage warehouse, walk-in freezer, cooler, garbage room, or humidor.
Table period: Building or Building Component – 39 Years
Read the full row
Includes structural components such as walls, floors, ceilings, and insulation to construct a climate controlled structure, room, or facility such as a cold storage warehouse, walk-in freezer, cooler, garbage room, or humidor. See also Refrigeration Equipment.
Restroom Accessories
Pub. 5653, p. 179
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, handrails, 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
Read the full row
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, handrails, 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. 179
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
Read the full row
Includes shop made and standard manufacture toilet partitions, typically metal, but may be plastic or other materials.
Roof
Pub. 5653, p. 180
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
Read the full row
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. 180
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
Read the full row
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. 181
Exit signs, restroom identifiers, room numbers, and other signs relating to the operation or maintenance of a building.
Table period: Building or Building Component – 39 Years
Read the full row
Exit signs, restroom identifiers, room numbers, and other signs relating to the operation or maintenance of a building.
Site Preparation, Grading & Excavation
Pub. 5653, p. 181
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 and depreciated over the life of the building.
Table period: Building or Building Component – 39 Years
Read the full row
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 and depreciated over the life of the building.
Site Utilities
Pub. 5653, p. 181
Site utilities are the systems that are used to distribute utility services from the property line to the retail building.
Table period: Building or Building Component – 39 Years
Read the full row
Site utilities are the systems that are used to distribute utility services from the property line to the retail building. Includes water, sanitary sewer, gas, and electrical services.
Trash Enclosures
Pub. 5653, p. 182
Enclosures for waste receptacles that are attached to the building.
Table period: Building or Building Component – 39 Years
Read the full row
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. 182
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, stainless steel, and 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, stainless steel, and plastic wall panels.
Walls – Exterior
Pub. 5653, p. 182
Includes all exterior walls and building support regardless of construction materials.
Table period: Building or Building Component – 39 Years
Read the full row
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. 182
Includes all load bearing interior partitions regardless of construction.
Table period: Building or Building Component – 39 Years
Read the full row
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. 182
Exterior windows, including store front windows, drive-through service and carousel windows, and vestibule.
Table period: Building or Building Component – 39 Years
Read the full row
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. 181
In general, land preparation costs include the 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 the 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 for the purpose of producing 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.
Restaurant – In Store
Pub. 5653, p. 179
See Restaurant Industry Directive.
Table period: N/A
Read the full row
See Restaurant Industry Directive. For retail situations that include a restaurant or other food preparation property within a store, such as a deli or snack bar, the facts are similar to those considered in the industry directive on restaurants and that directive may be relied upon for asset classification.
The same study, without the invoice or the six-week wait
| NoCostSeg | Traditional study | Online software | |
|---|---|---|---|
| Price | $0 | $2,300 to $12,000 | $499 to $950 |
| Turnaround | Same day | 2 to 6 weeks | Minutes to 5 days |
| Property types | Residential; commercial in beta | Any | Small residential |
| Site visit | Your photos and plans | In person or by video | None |
| Professional review | Optional, from a partner CPA | Included in the fee | Extra, or none |
Other providers' prices and turnaround are ranges from their public pages, November 2026.
Our guarantee
The NoCostSeg guarantee
- Your study is free. No card, no call, no "starting at".
- Every figure has a source. Each one traces to a document you gave us or a rule we cite.
- We stand by the method. If the IRS asks about our method, we answer in writing at no charge.
Questions about retail
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 studyAre shop display fixtures part of the building?
The retail-fixtures row includes racks, shelving, showcases and other fixtures needed for selling that are not building components. It assigns those fixtures a five-year recovery period.
Do all shop security systems get the same treatment?
Building protection and employee security are listed with the building. Electronic article surveillance primarily aimed at merchandise theft appears in a separate five-year entry.
Can decorative counters be separated from structural carpentry?
The decorative-millwork row covers selling-area carpentry that enhances the store's décor and is unrelated to building operation. Restroom cabinets and counters are expressly excluded from that row.
Which table covers a restaurant inside a store?
The retail introduction directs readers to the restaurant directive for restaurant assets within a retail store. It explains that industry classifications reflect particular business facts and may not transfer to another industry.
Does the retail directive carry the force of law?
The retail section presents examination instructions, not an official statement of the law or the IRS's position. Its matrix was created to reduce classification disputes and support consistent audit treatment.
Other property types
The same reading for the IRS tables closest to this one.
Free for every property
See what your building is worth in deductions
Start free studyNo card, no sales call