IC-DISC Strategies: Mastering the Complex Operational Challenges
Anticipating IRS Audit Risks, Calculating Commissions, and Tackling Computational Intricacies
Note: CLE credit is not offered on this program
Recording of a 110-minute CPE webinar with Q&A
This course will prepare accounting professionals and tax advisers to fully leverage the tax benefits of IC-DISC (interest charge-domestic international sales corporation) formation. The panel will review and explain the key strategic steps for day-to-day aspects of running an IC-DISC, including calculating commissions, spotting IRS audit risks, and tackling the complex computations required. The panel will outline critical IC-DISC tax planning opportunities, including using the best DISC ownership structures to maximize DISC benefits.
Outline
- IC-DISC overview
- Applicable IRC sections
- Tax court decisions and IRS guidance
- Implementing an IC-DISC
- IC-DISCs future
- Updated IC-DISC ownership structures
- Structuring and implementing IC-DISCs
- Day-to-day operating issues
- IRA ownership of IC-DISCs
- Saving disqualified IC-DISCs
- Compliance and reporting
- Pricing rules
- Computational challenges
- Calculating commissions
- Transaction-by-transaction computations
- Reg 1.861-8 computations
- Other issues
- Tax filings and common compliance pitfalls
Benefits
The panel will guide you through issues including:
- Maximizing unique IC-DISC tax benefits such as the tax benefits from different shareholder structures
- Understanding tax liability for DISC structures and the QBID
- Managing day-to-day operational aspects of using an IC-DISC
- Improving liquidity for the parent and shareholders: steps to consider
- Overcoming computational challenges
Faculty

Douglas Fox
Senior Manager
Plante Moran
Mr. Fox's specialties include research and development credits, domestic production activities deductions, IC-DISC,... | Read More
Mr. Fox's specialties include research and development credits, domestic production activities deductions, IC-DISC, qualified business income feductions.
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Mark C. Gasbarra, CPA
National Managing Director
Forte International Tax
Mr. Gasbarra has more than thirty-five years of international tax experience serving a wide array of companies across... | Read More
Mr. Gasbarra has more than thirty-five years of international tax experience serving a wide array of companies across many industries. He serves major multinational corporations and CPA firms throughout the U.S., as well as privately held businesses with international operations. He advises on a wide range of international tax matters with deep expertise in outbound issues including repatriation, foreign tax credit utilization, export incentives, including the IC-DISC, and the domestic production activities deduction. Prior to founding Forte in 2004, he was the lead partner in EY's Chicago-based International Tax Services department, and prior to that position, he was an International Tax Service Partner at PwC.
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CPE credit is not available on downloads.
CPE On-Demand