The DPAD Group has a nationwide practice focused almost exclusively on the optimization of domestic production activities deductions (“DPAD”) in current-year calculations and claims for refund. They provide DPAD optimization services to a client base that includes companies of all sizes, including several of the largest Fortune 500 multinational companies. They also provide DPAD services as a subcontractor to several CPA firms.
Their industry experience includes traditional manufacturing; oil and gas exploration and refining; consumer foods; power generation; software development; construction; and qualified films and broadcasting.
Their experience in the marketplace indicates that most companies fail to optimize DPAD because (i) in-house tax functions lack sufficient resources to perform thorough DPAD analyses; (ii) as a result, their calculations are too “process-dependent”; and (iii) external service providers, including the Big 4, staff DPAD projects with less-experienced personnel who apply standard methodologies as a substitute for experience and analysis.
The DPAD Group delivers hands-on, company-specific DPAD analysis by staffing projects exclusively with its founding partners, Dan Steele and John Manning. Dan is a 30-year CPA and a former Big 4 partner, and John is a 25+ year tax attorney with extensive law firm and in-house corporate experience. By staffing projects with highly-experienced personnel, The DPAD Group efficiently discovers DPAD optimization opportunities and brings to bear the expertise necessary to claim and defend all recommended DPAD benefits.
- Process And Operational Evaluation- Investing time time to understand each client’s unique operational facts and historical DPAD process.
- Revenue Classification- Utilize thorough understanding of the section 199 regulations to optimize each client’s Domestic Production Gross Receipts.
- Cost of Goods Sold Analysis- Optimize each client’s qualified gross margin by analyzing allocation and apportionment opportunities.
- Application of Section 861- Carefully applying all relevant section 861 rules to optimize DPAD, while maintaining a consistent and optimized position under other operative sections.
- Prior Period Cost Analysis- Utilize experience of interfacing with the IRS on prior period costs to reduce to the fullest extent allowable the expenses allocable to DPGR.
- Workpapers and Technical Memoranda- All tax return positions are well-documented in anticipation of IRS review and approval.
- IRS Exam and Appeals Support- We provide comprehensive support from an initial IDR through issue resolution at the IRS Exam or Appeals level.
Website: DPAD Group Homepage