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  • Instructions For Form 1120-ic-disc (11/2018)internal Revenue Service

Get Instructions For Form 1120-ic-disc (11/2018)internal Revenue Service

4876-A Election To Be Treated as an Interest Charge DISC Form (Rev. July 1998) Department of the Treasury Internal Revenue Service Part I OMB No. 1545-0190 The corporation named below elects to be.

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Form 1120-L, Form 1120-PC, Form 1120-C, Form 1120-FSC, Form 1120-IC-DISC, Form 1120-POL, Form 1120-REIT, Form 1120-RIC, Form 1120-SF, or Form 1120-H is present in the return. These forms may not be filed electronically. Forms 1120-L and 1120-PC may be filed electronically as part of a mixed group return.

The Interest Charge Domestic International Sales Corporation (IC-DISC) offers significant Federal income tax savings for making or distributing US products for export. The IC-DISC was originally created by Congress to promote export sales by allowing companies to defer income, with interest charged on the deferred tax.

This is an information return filed by interest charge domestic international sales corporations (IC-DISCs), former DISCs, and former IC-DISCs.

In 1971, the U.S. Congress voted to use U.S. tax law to subsidize exports of U.S.-made goods. The initial mechanism was through a Domestic International Sales Corporation (DISC), an entity with no substance which received tax benefits.

The exporting company pays the IC-DISC a sales commission based on its export sales, an expense which serves to reduce the ordinary income coming to shareholders from their company. The IC-DISC then turns around and distributes the commission cash right back to the operating company as a qualified dividend.

What steps are required to properly execute the IC-DISC strategy? Form the new IC-DISC entity under state law. Make the IC-DISC election within 90 days of formation. Offer only one class of stock with par or stated value of stock of at least $2,500. Maintain a separate set of books and records for the IC-DISC.

Introduction to the DISC 4% of qualified export receipts (“QER”) plus 10% of the DISC's export promotional expenses attributable to such receipts; 50% of combined taxable income (“CTI”) plus 10% of the DISC's export promotional expenses attributable to such income; or.

0:24 2:20 Learn How to Fill the Form 1120 U.S. Corporation Income Tax Return YouTube Start of suggested clip End of suggested clip Taxes for the year first. Provide the name of the corporation. Along with contact information in theMoreTaxes for the year first. Provide the name of the corporation. Along with contact information in the top box of the form. Provide the employer identification number date of incorporation.

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© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232
Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
DMCA Policy
About Us
Blog
Affiliates
Contact Us
Privacy Notice
Delete My Account
Site Map
Industries
Forms in Spanish
Localized Forms
State-specific Forms
Forms Kit
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate workflows
DocHub
Instapage
Social Media
Call us now toll free:
1-877-389-0141
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232