Tax Implications of the CHIPS Act of 2022: New Funding and Tax Credit Opportunities for Manufacturers

Eligibility, Limitations, Next Steps to Ensure Optimum Tax Benefits

A live 90-minute premium CLE/CPE video webinar with interactive Q&A

This program is included with the Strafford CLE Pass. Click for more information.
This program is included with the Strafford CPE+ Pass. Click for more information.
This program is included with the Strafford All-Access Pass. Click for more information.

Wednesday, November 2, 2022

1:00pm-2:30pm EDT, 10:00am-11:30am PDT

Early Registration Discount Deadline, Friday, October 7, 2022

or call 1-800-926-7926

This CLE/CPE webinar will provide tax professionals with an in-depth analysis of the key tax provisions of the Creating Helpful Incentives to Produce Semiconductors (CHIPS) Act. The panel will discuss new funding, tax credits, and other incentives for eligible taxpayers, the new advanced manufacturing tax credit (AMTC) and its limitations, and next steps and tax planning for businesses seeking to take advantage of the new tax incentives under the CHIPS Act.

Description

The CHIPS and Science Act of 2022 authorizes new science and technology innovation programs and provides an allocation of billions to fund and incentivize domestic semiconductor production, research, and technology. The CHIPS Act includes significant tax incentives available to manufacturers, producers, and other facilities that meet specific criteria.

The CHIPS Act includes an income tax credit, four new federal grant programs, and other incentives. The AMTC under the new Section 48D provides a credit of 25 percent of the basis of property placed in service during the taxable year for qualified investments. Determining "qualified investments" under the Act involves various items taxpayers must consider when acquiring the tax credit.

In addition, Section 48D offers an election for direct payment of tax. Instead of claiming the credit as a reduction of tax liability on a tax return, taxpayers may elect to treat the total value of the credit as a payment of tax. This could provide significant tax benefits for certain taxpayers meeting the criteria.

Listen as our panel discusses new federal grant programs, tax credits, and other incentives for eligible taxpayers. The panel will also discuss certain limitations and challenges for taxpayers under the Act's next steps and offer guidance for businesses seeking to take advantage of the new tax incentives under the CHIPS Act.

READ MORE

Outline

  1. Overview of the CHIPS Act
  2. New federal grant programs
  3. Section 48D; AMTC
  4. Best practices to secure optimum tax benefits under the CHIPS Act

Benefits

The panel will discuss these and other key issues:

  • What are the key tax provisions and incentives under the CHIPS Act?
  • What are the criteria for acquiring the AMTC under the new Section 48D?
  • What are considered "qualified investments" under the CHIPS Act?
  • What are the key issues and considerations for "direct pay" under Section 48D?
  • What are best practices to acquire the tax credit and other incentives under the CHIPS Act?

Faculty

Wainwright, Ronald
Ronald G. Wainwright, Jr., CPA

Partner, Tax Credits & Incentives Advisory
Cherry Bekaert

Mr. Wainwright has more than 25 years of tax advisory experience and works with multi-national, public and closely...  |  Read More

Additional faculty
to be announced.
Attend on November 2

Early Discount (through 10/07/22)

See NASBA details.

Cannot Attend November 2?

Early Discount (through 10/07/22)

You may pre-order a recording to listen at your convenience. Recordings are available 48 hours after the webinar. CPE credit is not available on recordings. Strafford will process CLE credit for one person on each recording. All formats include course handouts.

To find out which recorded format will provide the best CLE option, select your state:

CLE On-Demand Video

Download