In our previous posts, we’ve walked you through the details of the IC-DISC program, a financial incentive for exporters, as well as the program’s history and the different options available. After reading our blog posts, you may be wondering why more business owners aren’t taking advantage of the IC-DISC program.
The answer is a simple one.
IC-DISC Under the Radar
The reason that more export industry business owners don’t utilize the IC-DISC program?
Basically, a simple lack of information. While sometimes exporters aren’t aware of the program, other times a business owner may not realize that aspects of their business qualify as “exports” under the law!
Take a look at this case study of one of our clients, which is a good example of qualifying business owners who simply weren’t aware that what they were doing counted as exporting:
A banker in Houston, TX referred us to one of their customers, believing that the customer in question might benefit from the IC-DISC program. When the IC-DISC was suggested to him, the customer replied, “This sounds great, but we don’t export. We only have one location here in Houston and none of our customers are outside of the United States.”
After working with the client to take a more in-depth look at the inner workings of their company, we pinpointed two important details:
- Nearly half of their sales went to three Fortune 500 companies who maintained operations in Houston.
- A significant portion of the company’s products that were sold to those Fortune 500 companies ultimately ended up outside of the United States.
Upon further research and analysis, the customer was shown that nearly a quarter of their total sales qualified as export sales, thanks to these indirect exports that went through their three large customers.
Download the full case study to learn more about this client and find out how the IC-DISC lowered their tax rate and saved them thousands of dollars per year.
Discover If You Qualify for the IC-DISC With Export Advisors
Export Advisors, based out of Houston, Texas, is one of the premier IC-DISC providers in the United States. Even if you’re not an exporter, you may find that your business involves a qualifying amount of exports that allows you to maximize your after-tax income by using the IC-DISC program.
Learn more about qualifying for the DISC here, or contact us either at (832) 654-9889 or online to take the next step to become a client.