Cherry Bekaert: Industrial Manufacturing

The Internal Revenue Service (IRS) released Notice 2023-38, which provides more details around domestic content requirements for taxpayers who qualify for bonus energy credit incentives. The additional tax credits are associated with investments in and the production of clean energy under Sections 45, 45Y, 48 and 48E. Dependent on the facilities and equipment used to make clean energy, the domestic content rules are fulfilled when a taxpayer verifies that a qualified facility meets two specific requirements. On this episode of the Industrial Manufacturing Podcast, Jason Hodell, Industrial Manufacturing Leader, and Ron Wainwright, Energy Tax Credits & Incentives Leader, discuss key Inflation Reduction Act of 2022 (IRA) provisions that will help clients maximize their tax credits.This conversation includes:Energy tax credits under the IRAIRA's new credits and bonus credits Increase in tax credit amounts for domestic contentWhatto look for in an energy credit providerNew requirements to qualify for bonus energy credit incentivesRelated GuidanceTake Advantage of New Section 45L Tax Credit Opportunities Under IRAForm 7205: What A&E Firms Need To Know To Claim the Section 179D Tax DeductionEnergy Savings Revolution – Section 179D for Commercial BuildingsNotice 2022-61: Initial Guidance on Prevailing Wage and Apprenticeship Requirements for IRA Clean Energy Tax Credits

When the Inflation Reduction Act (IRA) was signed into law in August of 2022, it enhanced a number of energy credits to incentivize companies to move towards clean energy. One of the credits that was bolstered by the IRA was the 45Q carbon oxide sequestration credit (45Q) surrounding how companies dispose of or capture carbon oxide. The 45Q tax credit can be incredibly advantageous to manufacturers who understand how to take advantage of it.Matt Brady, Industrial Industry Leader, and Ron Wainwright, Leader of the Energy Tax Credits & Incentives Group, join together on this Industrial Manufacturing podcast to cover:Background on Carbon CreditsHow do Carbon Credits Work?Carbon Credit vs. Carbon OffsetWhat is the Carbon Marketplace?How Manufacturers Can Utilize the 45Q Tax CreditRelated Guidance:Deeper Dive into New Ways to Monetize Energy Credits for the Industrial IndustryUnpacking the Complexities of the Many Tax Credits Under the CHIPS Act and the IRA of 2022Deep Dive into the CHIPS Act: Funding for the Industrial and Manufacturing IndustryDeep Dive into the CHIPS Act: Advanced Manufacturing Investment Tax CreditCHIPS Act Provides New Federal Funding for the Industrial Manufacturing Industry

The conversation continues with Matt Brady, Cherry Bekaert's Industrial Industry Leader, and Ron Wainwright, Strategic Tax Partner in our Tax Credits and Incentives Advisory group, as they unpack how to capitalize on industrial energy credits. Tune in for the fifth installment of Cherry Bekaert's Deeper Dive Into New Ways to Monetize Energy Credits for the Industrial Industry regarding industry credit updates and best practicesIn this podcast episode, our knowledgeable team takes a closer look at the American Manufacturing Credit and Manufacturing Production Credit within the CHIPS Act. Listen in to learn more about: CHIPS Act and IRA backgroundImplications to Manufacturers – Investment Tax Credit (48C) and Production Tax Credit (45X) New Direct Pay Option and Eligible CreditsTransferable CreditsDirect Pay and Transferable Credits Related GuidanceCHIPS Act Deep Dive Part 1: New Federal Funding for the Industrial Manufacturing Industry CHIPS Act Deep Dive Part 2: Advanced Manufacturing Investment Tax CreditCHIPS Act Deep Dive Part 3: American Manufacturing Credit and Manufacturing Production CreditCHIPS Act Deep Dive Part 4: Unpacking the Complexities of the Many Tax Credits Under the CHIPS Act and the IRA of 2022

As we wrap up the CHIPS Act Series, we briefly cover the Inflation Reduction Act of 2022 (IRA) and credits associated with CHIPS and IRA and their many impacts on the manufacturing industry. The focus of the discussion centers on a high-level view of the New Advanced Manufacturing Credit, Section 45X – the Advanced Manufacturing Production Credit, which take effect in 2023 and will provide a tax credit for eligible components. Listen in as Matt Brady, our Industrial Manufacturing Industry Leader, and Ron Wainwright, a Partner in our Tax Credits and Incentives Advisory practice, unpack the fourth and final installment of Cherry Bekaert's Creating Helpful Incentives to Produce Semiconductors (CHIPS) Act podcast series. Wainwright also covers the advanced energy project credit, which falls under Section 48C, an investment credit with a base credit of 6%, with a potential increase up to 30% if the qualifying wage requirements are met. Given the intricacies of the legislation and tax credits and provisions, our industry advisors plan to expand the series to address how industrial manufacturers can find new ways to monetize energy credits, dive into the 45Q credit around carbon oxide sequestrated and examine the “Technology Neutral” credits that may impact the industry. See our previous podcasts in this series that you may have missed:CHIPS Act Deep Dive Part 1: New Federal Funding for the Industrial Manufacturing Industry CHIPS Act Deep Dive Part 2: Advanced Manufacturing Investment Tax CreditCHIPS Act Deep Dive Part 3: American Manufacturing Credit and Manufacturing Production Credit

Part III: Digital Solutions for Recession Preparedness While manufacturers continue to battle inflation, increased interest rates, workforce shortages and supply chain challenges, it is becoming increasingly evident that leaders must also review their strategic and financial plans to ensure they are prepared for this recession risk. Join Joe Haehner, Industrial Manufacturing Partner, in this podcast series as he explores a variety of strategies manufactures can implement now to proactively rein in costs while simultaneously reinvesting in growth. In Part III of this series, Jim Holman, Director of Digital Advisory Services, provides insight into key process optimizations manufacturers can utilize to reduce operating costs, lower margins and subsequently increase revenue. In addition, he reviews best practices for partnering with vendors and suppliers, and he analyzes inventory sampling strategies to maximize labor utilization. We invite you to tune in to all podcasts in this series: Part I: Industry Economic Outlook – Chad Moutray, Chief Economist | National Association of ManufacturersPart II: Identify and Implement Technology and Business Process Improvements – Steve Holliday, Director, Digital Advisory Services | Cherry Bekaert

Part II: Identify and Implement Technology and Business Process ImprovementsWhile manufacturers continue to battle inflation, increased interest rates, workforce shortages and supply chain challenges, it is becoming increasingly evident that leaders must also review their strategic and financial plans to ensure they are prepared for this recession risk. Join Joe Haehner, Industrial Manufacturing Partner, in this podcast series as he explores a variety of strategies manufactures can implement now to proactively rein in costs while simultaneously reinvesting in growth. In Part II of this series, Steve Holliday, Director of Digital Advisory Services, provides insight into analyses manufacturers can utilize to understand the changing economic conditions and details helpful tools to both track areas of concern and trigger action. In addition, he will review best practices to prioritize cost opportunities and focus to the removal of costsWe invite you to tune in to all podcasts in this series: Part I: Industry Economic Outlook – Chad Moutray, Chief Economist | National Association of ManufacturersPart III: Digital Solutions for Recession Preparedness – Jim Holman, Director, Digital Advisory Services | Cherry Bekaert 

Join Matt Brady, our Industrial Industry Leader, and Ron Wainwright, a Strategic Tax Partner in our Tax Credits and Incentives Advisory group, for the third installment of Cherry Bekaert's Creating Helpful Incentives to Produce Semiconductors (CHIPS) Act podcast series. In this podcast, our knowledgeable team take a closer look at the American Manufacturing Credit and Manufacturing Production Credit within the CHIPS Act.The podcast covers the following areas:Background on the CHIPS ActWhat funding is in the CHIPS Act?CHIPS for America Fund Department of Commerce Programs/Funding and Other ProgramsWhat does this mean for the U.S. with semiconductor manufacturing?Department of Commerce Programs/Funding and Other ProgramsStay tuned for Cherry Bekaert's next CHIPS Act podcast that dives deeper into the American Manufacturing Credit and Manufacturing Production Credit.See our previous podcasts in this series that you may have missed:CHIPS Act Deep Dive Part 1: New Federal Funding for the Industrial Manufacturing Industry CHIPS Act Deep Dive Part 2: Advanced Manufacturing Investment Tax Credit

Matt Brady, our Industrial Industry Leader, and Ron Wainwright, a Strategic Tax Partner in our Tax Credits and Incentives Advisory group, are continuing their conversation on the benefits of the Creating Helpful Incentives to Produce Semiconductors (CHIPS) Act for the industrial industry.This podcast will be highlighting the various funding programs that are now established and available for manufacturers producing semiconductors to take advantage of and how they are able to do so.The podcast covers the following topics:Background on the CHIPS ActNew Advanced Manufacturing Investment Tax Credit (AMITC)AMITC Eligibility and RequirementsAMITC and Qualified Property How to Incentivize Semiconductor Production in the U.S.Stay tuned for Cherry Bekaert's next CHIPS Act podcasts that will dive deeper into CHIPS funding and Manufacturing Production Credit and the Advanced Manufacturing Credit.See our previous podcasts in this series that you may have missed:CHIPS Act Deep Dive Part 1: New Federal Funding for the Industrial Manufacturing Industry 

The Creating Helpful Incentives to Produce Semiconductors (CHIPS) Act was recently signed into law as part of the CHIPS and Science Act of 2022. The bill provides manufactures greater incentives to produce semiconductors (e.g., chips) domestically in the U.S. Join Matt Brady, our Industrial Industry Leader, and Ron Wainwright, a Strategic Tax Partner in our Tax Credits and Incentives Advisory group, as they explore the benefits the industrial industry is able to take advantage of through this new legislation.The podcast covers:Background on the CHIPS ActImportance of Semiconductors in the Industrial IndustryWhat is the CHIPS Act and Tax PolicyOverview of the New Advanced Manufacturing CreditStay tuned for Cherry Bekaert's future podcasts that dive deeper into the Advanced Manufacturing Credit, funding in the CHIPS Act, and the American Manufacturing Credit and Manufacturing Product Credit.

Part I: Industry Economic Outlook Over half of manufacturing leaders say inflationary pressures are making a recession more likely within the next year, according to a survey released in June by the National Association of Manufacturers. According to the survey report, “while a recession is not inevitable—and we continue to forecast growth for 2022 and 2023—the risk of a downturn has increased significantly.” While manufacturers continue to battle inflation, increased interest rates, workforce shortages and supply chain challenges, it is becoming increasingly evident that leaders must also review their strategic and financial plans to ensure they are prepared for this recession risk. Join Joe Haehner, Industrial Manufacturing Partner, in this podcast series as he explores a variety of strategies manufactures can implement now to proactively rein in costs while simultaneously reinvesting in growth. Chad Moutray, Chief Economist for the National Association of Manufacturers, joins us for Part I to provide insight into the current economic landscape, discuss employment growth and wages, outline the biggest challenges for manufacturers and offer an outlook on inflation. We invite you to tune in to our upcoming podcasts in this series: Part II: Identify and Implement Technology and Business Process Improvements – Steve Holliday, Director, Digital Advisory Services | Cherry Bekaert Part III: Digital Solutions for Recession Preparedness –  Jim Holman, Director, Digital Advisory Services | Cherry Bekaert  Sources: NAM Manufacturers' Outlook Survey, Second Quarter 2022

Numerous middle-market organizations need a Chief Information Officer (CIO), but they don't know where to start. Some companies have started seeking out fractional, or interim CIOs to assist their organizations in times of need. Fractional CIOs can help organizations with business processes, systems, infrastructure, and more.In our most recent podcast, Steve Holliday, Director at Cherry Bekaert, discusses why CIO services are important for an organization and how to get successfully started. Listen in to find out about:Why it's important to be proactive when it comes to investing in technologyWhen it makes sense to bring on a fractional CIOSteps that Cherry Bekaert takes to support a client on their journeyCherry Bekaert offers fractional CIOs who are seasoned IT executives and can be contracted full time or any variable of monthly hours depending upon your unique needs.

In this industrial manufacturing podcast, we are diving into the complexities of the Infrastructure Investment and Jobs Act (“IIJA”) and specifically how every Infrastructure program will impact the industrial manufacturing industry. Ron Wainwright, a Partner in our Tax Credits & Incentives Advisory practice is joined by Nita Sanger, a Director in our Digital Advisory practice, to dissect this once-in-a-generation $1.2 trillion package aimed at providing continuity and stability crucial to the development and investment in our communities. Topics covered in this episode include:The impact the IIJA will have on the industrial industry A potential resurgence of reshoring to shorten existing supply chainsTangible strategies industrial businesses can implement in order to strategically access the funds and effectively align the investment with their growth strategyThe act of enabling the use of technology to maximize your full growth potential and to take advantage of infrastructure dollarsThe role of modernizing technology in your overall business strategy More Resources:  Building a Better Roadmap: Are You Ready to Capitalize on Infrastructure Investment?

Join Cherry Bekaert's Industrial Manufacturing industry for our latest podcast series, “Building a Competitive Recovery,” where we discuss the challenges of this COVID-recovery landscape and provide strategies to position your manufacturing business for future success.   In Part V of our series, Matt Brady, Partner & Industrial Practice Leader, talks with Ron Wainwright, Partner & Credits & Accounting Methods Leader, about how manufacturers can utilize various tax strategies to off-set expansion costs. We will discuss the basics of cost segregation and 179D and breakdown the proposed changes to both credits due to pending legislation. In addition, we will review the new 10% on-shoring credit and the impacts that it may have on structuring plans for manufacturers.  Also, we will breakdown what companies should be considering before year-end in relation to their facilities capex and overall spend.  Related Guidance:Podcast: Highlights and Surprises in $3.5 Trillion Budget Reconciliation BillWebinar: Understanding Manufacturing Sales Tax ExemptionsArticle: Five Hot Spots for Manufacturing Sales Tax ExemptionsArticle: Managed Compliance Agreement for Manufacturers View All Podcasts from this Series:Part I: Using Digital Strategies to Optimize Your Supply ChainPart II: International Tax Changes are on the Horizon: Will Your Supply Chain Remain Tax Efficient? Part III: Is Vertical Integration the Right Solution to Ease Supply Chain Woes?Part IV: Leveraging New Market Tax Credits in Your Growth Strategy Related Services:Cost Segregation Studies Credits & Incentives Related Industries:Industrial Manufacturing

Join Cherry Bekaert's Industrial Manufacturing industry for our latest podcast series, “Building a Competitive Recovery,” where we discuss the challenges of this COVID-recovery landscape and provide strategies to position your manufacturing business for future success.   In Part IV of our series, Matt Brady, Partner & Industrial Practice Leader, talks with Peter Byford, Director, Tax Advantage Group by Cherry Bekaert, about how manufacturers can leverage New Market Tax Credits in to accelerate their growth strategy. We will review the basics of the program and highlight the types of industrial projects that can be financed with New Market Tax Credits and the sweet spot size to benefit.  Related Guidance:Case Study: Ampro IndustriesCase Study: Swiss KronoCase Study: Jones LumberCase Study: Vestil ManufacturingWebinar: Is Nearshoring the Solution for Supply Chain Resiliency?View All Podcasts from this Series:Part I: Using Digital Strategies to Optimize Your Supply ChainPart II: International Tax Changes are on the Horizon: Will Your Supply Chain Remain Tax Efficient? Part III: Is Vertical Integration the Right Solution to Ease Supply Chain Woes?Part V: Utilization of Tax Strategies to Off-set Expansion CostsRelated Services:New Markets Tax Credits Finance Deal Advisory ServicesRelated Industries:Industrial Manufacturing

Join Cherry Bekaert's Industrial Manufacturing industry for our latest podcast series, “Building a Competitive Recovery,” where we discuss the challenges of this COVID-recovery landscape and provide strategies to position your manufacturing business for future success.   In Part III of our series, Matt Brady, Partner & Industrial Practice Leader, talks with Jeffrey Bengtson, Principal & National Leader, Deal Advisory Services, about the pros and cons of integration and M&A activity. We will review the general industry trends that are driving the M&A demand for manufacturing companies and dive into motivations behind the surge in activity. In addition, we will highlight important considerations for manufacturers looking to buy or sell in the next 12 months.  Related Guidance:Brochure: Transaction Advisory Services for Industrial Companies View All Podcasts from this Series:Part I: Using Digital Strategies to Optimize Your Supply ChainPart II: International Tax Changes are on the Horizon: Will Your Supply Chain Remain Tax Efficient? Part IV: Leveraging New Market Tax Credits in Your Growth StrategyPart V: Utilization of Tax Strategies to Off-set Expansion CostsRelated Services:Transaction Advisory Services Deal Advisory Services Transaction Tax Services Related Industries:Industrial Manufacturing

Join Cherry Bekaert's Industrial Manufacturing industry for our latest podcast series, “Building a Competitive Recovery,” where we discuss the challenges of this COVID-recovery landscape and provide strategies to position your manufacturing business for future success.   In Part II of our series, Matt Brady, Partner & Industrial Practice Leader, talks with Brian Dill, Principal & International Tax Leader, about the impact upcoming international tax changes will have on your supply chain efficiency. We will review the status and importance of the current international tax proposals and evaluate where manufacturers should focus their attention. In addition, we will discuss recommendations for actions you can take now to prepare for the changes ahead. Related Guidance:Podcast: Highlights and Surprises in $3.5 Trillion Budget Reconciliation Bill Podcast: Waves of Change for International TaxArticle: Export Tax Incentives – What Happens NextView All Podcasts from this Series:Part I: Using Digital Strategies to Optimize Your Supply ChainPart III: Is Vertical Integration the Right Solution to Ease Supply Chain Woes?Part IV: Leveraging New Market Tax Credits in Your Growth StrategyPart V: Utilization of Tax Strategies to Off-set Expansion CostsRelated Services:International TaxRelated Industries:Industrial Manufacturing

Join Cherry Bekaert's Industrial Manufacturing industry for our latest podcast series, “Building a Competitive Recovery,” where we discuss the challenges of this COVID-recovery landscape and provide strategies to position your manufacturing business for future success.  In Part I of our series, Matt Brady, Partner & Industrial Practice Leader, talks with Joe Haehner, Director, Assurance Services, and McKenna Beddingfield, Senior Manager, Digital Advisory, about how manufacturers can use digital strategies to optimize their supply chain. We will start with an overview of the supply chain current state and review the current developments surrounding industrial supply chain strategy. Then, we will highlight several digital strategies that can be considered to manage supply chain challenges and evaluate key trends driving change in the industry. Related Guidance:Video Testimonial: Colonna's Shipyard Digital Transformation JourneyCase Study: Cree's Data-Driven Journey to Insights and Real ReturnsBrochure: Digital Transformation Services: Go-to-Market Optimization and Growth Article: R&D Cash Savings Opportunities for eCommerce SellersCase Study: R&D Tax Credit for Manufacturing CompaniesCase Study: R&D Tax Credit for the Marine IndustryCase Study: R&D Tax Credit for Manufacturer and Waste Water Services ProviderWebinar: Is Nearshoring the Solution for Supply Chain Resiliency?View All Podcasts from this Series:Part II: International Tax Changes are on the Horizon: Will Your Supply Chain Remain Tax Efficient? Part III: Is Vertical Integration the Right Solution to Ease Supply Chain Woes?Part IV: Leveraging New Market Tax Credits in Your Growth StrategyPart V: Utilization of Tax Strategies to Off-set Expansion CostsRelated Services:Digital Advisory R&D Tax CreditsRelated Industries:Industrial Manufacturing