Read Gary and Ryan’s article, “International Tax Planning for U.S. Exports (IC-DISC),” published in ABA/The Practical Tax Lawyer (Summer 2013).
Does Your Company Qualify?
In addition to other attributes, the IC-DISC has better staying power than its predecessors. U.S. trading partners decried the legitimacy of both the foreign sales corporation and the ETI exclusion. But the IC-DISC, which was added to the tax code in 1984, has never been challenged.
For U.S. exporters, the Interest Charge-Domestic International Sales Corporation (IC-DISC) will soon be the only remaining tax-saving opportunity. If you are unsure about whether or not an IC-DISC will work for you, ask yourself the following questions:
Do you have any transactions outside of the United States ? Do you use overseas distribution? Does your product cross any borders?
If you answered yes to any of these questions, then an IC-DISC could be a valuable tax-savings vehicle for your business. Call or email us today for more info.