Case Studies Defense

TCC hired to support previously claimed credits for Fortune 100 manufacturer, saves millions with swing from assessment to refund.

Service: Audit Support

Segment: Fortune 500

Industry: Defense

Tax Credit Program: Tax Incentive Zones

Engagement: This Fortune 100 company designs, develops and manufactures some of the most advanced technology in the world. Under FTB audit for a California tax credit claim (not prepared by TCC), the client lacked the data and documentation needed to support the claim. Facing a multi-million dollar assessment, TCC was hired to rebuild the credits and capture any additional available benefits. Working with the tax department, IS group and HR/payroll staff, TCC's team successfully identified, calculated and documented the credit claim, as well as millions of dollars in increased credits. The credits were accepted in audit and the client received an additional seven-figure refund based on the additional credits.

Approach: TCC's team faced a significant challenge in finding the appropriate sources of data and documentation necessary to rebuild the credit. TCC decided on an on-site approach that involved visits to multiple client locations in multiple states.

Result: Multi-million dollar swing from assessment to refund and an eight-figure state tax credit for future tax years.