A detailed look at the Biden administration’s proposed tax measures.
Brewing & Distilling
Brewers and distillers work in a complex economic environment, challenged by high start-up costs, substantial learning time, extensive government regulations, consumer demands, industry trends, and the need to develop a quality product.
Although outside variables can have a strong impact on your business, there are areas you can control and direct. A strong framework of systems and processes, combined with proactive strategic planning and an understanding of tax and accounting issues can positively affect your financial success and profitability as a brewer or distiller.
We understand the unique concerns of brewers and distillers, and work closely with these businesses to create practical, personalized services. Sassetti advisers comprehend the relevance of accurate product costing and inventory valuation, from application of direct and indirect costs to allocation of overhead expenses, inventory tracking, and distribution issues.
We use our expertise in the manufacturing, food, and restaurant industries to provide strategic tax and business planning to our clients. For example, we benchmark financial performance against the industry and develop key performance indicators to monitor financials and track trends to make informed business decisions.
Our knowledge of complex tax compliance issues and money-saving industry specific deductions and credits provides our clients with valuable financial opportunities. Areas of importance include:
- Alcohol, sales and excise taxes: We know the tax reporting and compliance requirements at the local, state, and federal levels regarding retail alcoholic beverage sales and resale situations.
- Research and development tax credit: This encourages investment of resources for the research, development, and experimentation of brewery or distillery products. We help clients to ensure they receive the full tax benefits that apply.
- Domestic production activities deduction: This deduction offers brewers and distillers with U.S.-based manufacturing an opportunity for significant tax savings. Our technical expertise helps clients maximize tax savings.
Sassetti is also an independent member of the BDO Alliance USA program. What that means is that we have the unlimited resources of the 6th largest accounting firm but the personal attention of a local firm.