The most recent edition of Accounting Today chronicles a lawsuit instituted by Arrowhead Systems Inc., a small Wisconsin manufacturer, against their CPA. Here, the owner of Arrowhead filed a suit against their CPA for fraud, negligence, and other claims after the firm failed to advise him of the IC-DISC tax strategy that potentially could have saved him over a million dollars and then allegedly tried to cover up the error. The Interest Charge Domestic International Sales Corporation (IC-DISC) provisions provide significant and permanent tax savings for producers and distributors of U.S. made products used abroad. The article can be viewed here:
https://www.accountingtoday.com/news/grant-thornton-faces-appeal-on-fraud-and-negligence-lawsuit
ICS is a consulting firm providing innovative tax planning strategies. ICS collaborates with taxpayers and their tax professionals to identify credits and incentives that reduce tax liabilities and increase profitability. ICS provides nationwide service through its offices located throughout the country.
About the author
Alexander Bagne
President · JD, CPA, MBA, CCSP
Alex is the President of ICS Tax, LLC (ICS). His expertise includes fixed asset reviews, cost segregation, the 179D and 45L energy efficiency incentives, accounting methods, research tax credits, and IC-DISC export incentives. Prior to ICS, Alex worked for a decade with several Big Four firms, including Ernst & Young, Deloitte Tax, and PricewaterhouseCoopers. His specialized planning ideas have saved his clients millions in tax dollars. He has given Continuing Professional Education on a variety of tax planning ideas throughout the country. He is published in the AICPA's Tax Adviser magazine and Accounting Today.
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