The Section 199 deduction has become even more significant now that the deduction rate has increased to 6 percent for tax years beginning after December 31, 2006, and will increase to 9 percent for tax years beginning after December 31, 2009. For companies with domestic production activities, including those in manufacturing, software production, film production, print media, construction, engineering and power generation, now is the time to assess your eligibility for this benefit.

Our Deloitte Tax professionals have helped companies across many industries examine their opportunities for Section 199 and implement recurring compliance solutions. Our services include:

• Identifying and documenting qualifying revenue
• Assisting with pre-filing agreements and safe harbor testing
• Analyzing cost allocations
• Conducting scenario planning and validation
• Performing tax rate impact analysis
• Providing transfer pricing services
• Assisting with tax compliance and Internal Revenue Service exams
  

For more information on Section 199, see the PDF attached below.

Related Content:
Services: Section 199 Deduction Opportunities for Media Companies
Services: Section 199 Deduction Opportunities for Software Developers