How A Manufacturer Can Save Tax $ On International Sales
Does your manufacturing company have at least $1 million of sales outside of the U.S.? Whether tax rates increase through legislation or remain the same, you may want to consider creating a new entity to save U.S. tax dollars on your international sales.
Is an IC-DISC right for you?
A U.S. manufacture with international sales can create a separate C Corporation called an IC-DISC and then pay commissions to the IC-DISC associated with its international sales. The benefit of this structure is simply the tax rate differential between the deduction that the manufacturing company will recognize versus the dividend income that the individual owners will recognize. There are some complicated rules and metrics that have to be met though, so please join Susan Roberts and David Springsteen in this video, as they discuss this tax savings plan in more detail
Allyson works for businesses of all sizes, maintaining a primary focus on business tax and consulting. She provides her clients with creative resolutions for technical tax issues and clearly interprets proposed and existing business tax law. Moreover, her thorough experience with trusts and estates allows her to deftly guide clients through the complicated legislation and the intricate processes involved in compliance, maximization of returns, and sustaining business and family wealth. She first gained knowledge and experience working for several years in a national firm, in a small firm environment, and in solo practice. She was also a partner in a regional legacy firm for 15 years prior to joining CLA. Her extensive tax experience bolsters CLA's talented staff and cultivates client relationships and makes her an invaluable member of the professional and civic communities.
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