State and Local Tax and Incentives
Experience adds up in tax strategies
Income. Franchise. Federal. Real property. Tangible. Intangible. Sales and use. Excise. Motor vehicle. Fuel. Taxes in the auto industry come in many forms, and therefore should inform virtually every major business decision a supplier or OEM makes.
With increasing pressure to innovate and even forecast what operations will look like 10 years ahead, proper tax planning can provide some level of certainty over the long term. With an in-depth understanding of our clients’ businesses, we act as trusted advisors, quickly eliminating solutions that wouldn’t appeal to their culture and values, and presenting only the solutions that would.
Numerous international OEMs and suppliers have sought our counsel because we understand their cultural practices and can help them navigate how to maximize tax benefits and minimize tax burdens.
Our automotive tax services include:
- Structuring and planning transactions and reorganizations to minimize tax impact
- Reviewing rulings from government agencies
- Offering opinion letters
- Assisting in financing
- Counseling on positions taken in transactions, tax returns and audits
- Representing taxpayers in court during traditional audit defense, valuation disputes and other issues
- Representing taxpayers in appellate court
- Helping clients find and maximize government incentives and tax credits
- Collaborating with government relations firms to arrange off-the-books rulings and accommodations
- Structuring deals and operations in ways that minimize tax burdens
Our automotive tax experience includes:
- structuring mergers, acquisitions and divestitures to optimize federal and state income tax benefits for both purchasers and sellers.
- coordinating with the IRS and state tax authorities in audits, appeals and letter rulings.
- advising clients on a wide range of federal tax credits, including credits that can be claimed against federal income taxes as well as federal excise taxes.
- representing OEM and Tier suppliers in sales and use tax disputes involving production and manufacturing-type industries.
- securing economic incentives for OEMs and Tier suppliers investing and/or reinvesting in manufacturing facilities, including obtaining rulings from state departments of revenue to enable the maximum utilization of credits by using related entities.
- representing OEM and Tier suppliers in real property tax disputes regarding the proper valuation of manufacturing facilities.
- structuring and obtaining recycling income tax credits for OEMs and Tier suppliers.
- establishing a foreign trade zone for manufacturing facilities and warehouse/distribution centers to lower their property tax liability.
- obtaining rulings from state departments of revenue to allow taxpayers the use of the alternative apportionment formula for corporation income tax purposes.