Basis vs. KPMG on Cost Segregation: A Side-by-Side Fit Comparison

Quick comparison

What KPMG is, based on its public site

KPMG is one of the Big Four global professional services networks, organized around Advisory, Audit & Assurance, and Tax in the US, serving industries from financial services and government to healthcare and industrial manufacturing. Cost segregation sits inside the Tax service line. We found no dedicated standalone cost segregation page the way a specialty tax firm has one, and no self-serve way to start a study.

KPMG's own site organizes its offerings by service and by industry (Financial Services, Government, Healthcare, Industrial Manufacturing), and cost segregation appears as one of four fixed-asset services on its Fixed Assets page.

The individual owner problem this creates

A single commercial building owner or a short-term rental host generally does not have, and does not need, an existing enterprise advisory relationship with a Big Four firm. KPMG's Fixed Assets page publishes no engagement minimum, fee or timeline for cost segregation, and it is aimed at capital-intensive companies. For a one-off study on a single property, that leaves an individual owner with a proposal request and no published way to size the engagement. That is not a flaw in KPMG's model; it is a mismatch between what the firm is built to sell and what the individual owner is trying to buy.

What working with a network firm like KPMG typically involves

KPMG operates as a network of member firms across many countries, which is a genuine advantage for a multinational corporation coordinating tax positions across jurisdictions, or a domestic institutional client that wants consistency across a large, complex real estate portfolio. KPMG's Fixed Assets page notes that some or all of the services it describes may not be permissible for KPMG audit clients and their affiliates.

How Basis is structured for that gap

Basis is built around the individual owner as the default client, not the exception. A short-term rental study runs from the existing Airbnb or VRBO listing photos, no site visit required. A free Preliminary Benefit Estimate at /qualify takes about 60 seconds and models the likely first-year number before any payment, which matters for an owner deciding whether a single study is worth the fee, a decision an enterprise client folding the cost into a larger advisory budget does not face the same way. Every study also carries a guarantee, at least 20 times the fee in first-year deductions on commercial property or 30 times on a short-term rental, or the study is free. Both a budget engineered tier and a full engineered tier are available, letting an individual owner match scope to the size of the property rather than absorbing an enterprise-scale engagement fee for a single building.

What stays the same regardless of which firm performs the study

Whichever firm ultimately does the work, the classification rules do not change. Carpet, most flooring, decorative lighting, cabinetry, and certain electrical or plumbing serving equipment fall into the 5-year bucket. Land improvements, paving, fencing, landscaping, site utilities, outdoor lighting, fall into 15-year. The structural shell and central HVAC stay on the long schedule regardless of firm size or client relationship. A KPMG-produced study and a Basis-produced study, done correctly, both follow the same IRS Audit Techniques Guide framework. The difference this comparison focuses on is not the tax mechanics; it is which firm's process actually fits a given owner's situation.

A worked example: medical clinic property

On the medical clinic benchmark run, the building basis was $1,404,500. The benchmark run identified $241,839 in first-year deductions for a $10,000 fee, a 24.2 to 1 ratio, above the guarantee floor. A single medical practice owning its building is exactly the kind of individual commercial owner Basis is built for: real basis, real depreciation opportunity, but not part of an institutional portfolio and not an existing enterprise tax client of a Big Four firm.

Turnaround expectations

KPMG's Fixed Assets page gives no cost segregation timeline, so any comparison starts from a proposal. A commercial study at Basis typically takes 4 to 6 weeks in peak tax season and 2 to 3 weeks in January and February, starting from the point documents are submitted.

Choosing between the two

An owner already inside a KPMG advisory relationship, managing an institutional portfolio, gains efficiency from keeping the work in-house. An individual commercial owner or STR host without that relationship is generally better matched to a firm built specifically for single-property engagements. The full landscape comparison covers where every model fits, and the broader decision framework walks through the criteria in more depth.

Details about KPMG come from its public materials as of October 2026; tell us if something is out of date.

Frequently asked questions

Does KPMG offer cost segregation studies for individual property owners?

KPMG's Fixed Assets page is aimed at capital-intensive companies and lists cost segregation as one of four fixed-asset services. Confirm directly with the firm whether it takes standalone individual-owner engagements.

Is KPMG's cost segregation methodology different from a specialty firm's?

The underlying classification rules and IRS Audit Techniques Guide (Pub 5653) apply the same way regardless of firm. What differs is the client relationship structure and process built around the engagement, not the depreciation math itself.

Why would a small commercial owner not go with a Big Four firm?

KPMG's Fixed Assets page publishes no minimum or timeline for cost segregation, so a small owner has to ask before sizing a study. A single building owner is often better matched to a firm built specifically for individual-property engagements.

Can I get a cost segregation estimate without a big advisory relationship?

Yes. A free Preliminary Benefit Estimate at /qualify takes about 60 seconds and requires no existing advisory relationship, just basic property information.

Does Basis serve larger commercial properties too, or only small ones?

Basis serves individual commercial properties across a range of sizes, from smaller office buildings to properties with several million dollars in building basis, as long as the engagement is a single property rather than an institutional portfolio.

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