Manufacturer receives tax credits to support expansion

Our client’s need

A Wisconsin based manufacturer and distributor of industrial metal products was exploring expansion with a second facility in the state. Their existing facility had surpassed its operational capacity and in turn, led to missed market growth opportunities. The new Wisconsin based facility would serve as a national manufacturing and distribution hub and would provide additional capacity facilitating their continued growth.

Baker Tilly Capital solution

Baker Tilly Capital developed and executed a strategy that included applying for, negotiating and structuring discretionary business development tax credits from the Wisconsin Economic Development Corporation (WEDC). The refundable tax credits will be earned over three years as new jobs are created in Wisconsin.

Results

The Baker Tilly Capital team secured over $500,000 in refundable tax credits on behalf of our client. This enabled the company to expedite their investment and hiring plans while helping to mitigate startup costs associated with establishing a new facility. Due to the refundability of the tax credit, any portion of the credit not used to offset their Wisconsin corporate income tax liability will be paid directly to our client annually. 

For more information on this topic, or to learn how Baker Tilly Capital specialists can help, contact our team.