IC-DISC for Manufacturers
Your Manufacturing Exports Are Leaving Tax Savings on the Table
If your company manufactures products in the U.S. and exports them overseas, the IC-DISC program could save you $100,000 or more per year in taxes. It's a legitimate tax incentive that's been in the Internal Revenue Code since 1971, and most manufacturers have never heard of it.
Manufacturer Savings Example
Based on ~2.3% of qualified exports, net of fees. Actual savings vary.
Why Manufacturers Are Ideal IC-DISC Candidates
U.S. manufacturers check every box for IC-DISC eligibility, and the high-value nature of manufactured goods means substantial savings.
Automatic U.S. Content
Products manufactured in the United States automatically meet the 50% U.S. content requirement. Your production process inherently qualifies your exports.
High-Value Goods
Manufactured products (industrial equipment, machinery, components, consumer goods) carry high per-unit values. Higher export revenue means larger IC-DISC savings.
Consistent Export Contracts
Manufacturers often have long-term supply agreements with international buyers. That means IC-DISC savings are predictable and compound year after year.
Privately Held
Most U.S. manufacturers are privately held: family businesses, partnerships, or closely-held corporations. That's exactly the ownership structure where the IC-DISC delivers the greatest tax savings.
What Manufacturing Exports Qualify?
Qualified exports are products containing more than 50% U.S. content, sold to an ultimate destination outside the United States. For manufacturers, this typically includes:
- Finished goods:completed products ready for end use
- Component parts:sub-assemblies and parts sold to foreign manufacturers
- Industrial equipment:machinery, tools, and production equipment
- Custom-built machinery:engineered-to-order equipment for international clients
- Indirect exports:products sold to a domestic buyer who then exports them
Note: Even if you sell to a domestic distributor, trading company, or OEM who then exports the product, those sales may qualify as indirect exports for IC-DISC purposes. This is an area where many manufacturers are leaving money on the table.
Quick Qualification Check
Export (directly or indirectly) $3M+ annually?
Products manufactured in the U.S.?
Company is privately held?
If you checked all three, you're a strong candidate.
How We Work with Manufacturers
Export Advisors has been exclusively focused on the IC-DISC since 2006. We handle everything: setup, administration, commission maximization, and compliance, so you can focus on running your manufacturing business.
We work alongside your existing CPA. No disruption to your current accounting relationships. Your CPA continues handling everything else while we handle the IC-DISC specialization.
Quick Assessment
We review your export activity to confirm eligibility and estimate savings.
IC-DISC Setup
We form the IC-DISC entity and establish the optimal commission structure.
Ongoing Administration
Proprietary systems keep your IC-DISC running smoothly year after year with annual optimization.
“Manufacturers are often surprised how much of their export revenue qualifies. Once they see the numbers, the IC-DISC becomes an obvious decision.”
David Spray
Founder, Export Advisors