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Exporting goods or services from the United States doesn’t just open the door to global markets; it also unlocks powerful tax-saving opportunities. In 2026, U.S.-based exporters can still take advantage of key federal incentives like the Interest Charge Domestic International Sales Corporation (IC-DISC) and the Foreign-Derived Intangible Income (FDII) deduction to reduce their tax liabilities […]

The Interest Charge Domestic International Sales Corporation (IC-DISC) is one of the most powerful tax incentives available to U.S. exporters, but only when it’s implemented and maintained correctly. Despite its benefits, many businesses unknowingly make costly mistakes in setup, compliance, reporting, or commission calculation, which can lead to disqualification, lost tax savings, or worse, IRS […]

If your business is structured as a C corporation, filing IRS Form 1120 is a key annual requirement, and a critical part of your federal tax compliance strategy. Form 1120 reports your company’s taxable income, deductions, credits, and total tax liability. It also provides the IRS with a complete financial picture of your corporate operations […]

The 1120-IC-DISC Schedule K is a required component of Form 1120-IC-DISC, the annual federal tax return filed by IC-DISCs to report export-related income and distributions to shareholders. For companies preparing their 2025 tax returns in 2026, Schedule K serves a critical role in documenting how profits are distributed, whether actually paid, deemed distributed, or deferred […]

The Interest Charge Domestic International Sales Corporation (IC-DISC) regime offers significant tax benefits for U.S. exporters, but it comes with strict compliance requirements. One area that often raises questions is how commissions paid by a related supplier to an IC-DISC can be satisfied, particularly through offsetting accounting entries. Treas. Reg. §1.994-1(e)(3)(ii) provides important guidance on […]

For U.S. exporters, the Interest Charge Domestic International Sales Corporation (IC-DISC) is a powerful but often underutilized tax savings tool.  Originally enacted by Congress in 1971, IC-DISC remains the last significant federal tax incentive designed to support businesses that sell goods or services outside the United States. By leveraging IC-DISC, eligible companies can significantly reduce […]

If your business exports goods or services from the United States, you may be overlooking a powerful federal income tax incentive: the Interest Charge Domestic International Sales Corporation, or IC-DISC. Established by Congress in 1971, the IC-DISC remains the only statutory export tax incentive available today. It allows U.S. companies to reduce federal income taxes […]

If your company exports goods or services and you’re not taking advantage of the IC-DISC for U.S. Exporters, you’re likely missing out on substantial and legal federal tax savings. What is IC-DISC for U.S. Exporters? Why it matters: An Interest Charge Domestic International Sales Corporation (IC-DISC) is the only remaining federal export tax incentive in […]

One overlooked rule can wipe out your IC-DISC tax savings. For U.S. exporters using the Interest Charge Domestic International Sales Corporation (IC-DISC) structure, the opportunity for federal tax savings is significant. But so are the compliance risks.  The IC-DISC No Loss Rule is one such risk, and it’s often misunderstood or entirely overlooked until it’s […]

The Interest Charge Domestic International Sales Corporation (IC-DISC) regime remains a powerful tool for U.S. exporters, offering significant tax benefits by allowing a portion of export income to be taxed at favorable rates. A critical component of the IC-DISC calculation is the treatment of “export promotion expenses,” which can increase the amount of income allocated […]