WTP Advisors’ domestic production activity services create recurring permanent tax savings for businesses that manufacture, produce, grow or extract in the United States.
Production activities qualified under IRC Section 199 include tangible personal property, software (computer, sound recordings and film), utilities (electricity, natural gas or potable water), real property construction services, and engineering or architectural services related to real property construction projects.
These services include:
- Creating a repeatable process to effectively manage data gathering on an ongoing basis, and establishing processes for recordkeeping and documentation required for IRS purposes
- Identifying qualifying revenue streams
- Analyzing potential impacts on other tax areas (e.g., state and local)
- Analyzing allocation and apportionment methodologies
- Analyzing multi-dimensional profitability
- Calculating transactional taxable income and reconciling tax-return data and financial information
- Developing a transparent work paper trail
- Creating supportable documentation of qualified domestic production activity to withstand IRS scrutiny