If you are in the business of processing, manufacturing, or fabricating in Indiana, a predominant use study can help your business to save money now and in the future. A predominant use study in Indiana is comparable to similar studies in other states. The goal of these studies is to determine if the use of a utility from a meter meets the qualifications for full or partial sales tax exemption.
To Qualify for Current and Future Tax Exemptions
Thepredominant use study in Indiana traces the use of water, electricity, and natural gas from each meter throughout use in the facility. If over 50% of the use qualifies, the full state, city, and county utility sales taxes can be removed from current and future payments.
To Obtain a Refund for Past Sales Tax Paid
The predominant use study in Indiana is also used to apply for a refund for past utility sales tax paid on a per-meter basis by the company. Qualifying meters, those with 50% or more qualified use, will receive a 100% sales tax refund for the previous 36 months.
To Requalify After Changes
After reconfiguring a process or making additions or changes to the use of water, electricity, or natural gas from a meter, a predominant use study is a good idea. This ensures the business gets the tax exemption based on current qualifying use.
To Evaluate Utility Usage
The predominant use study can also be a starting point for a company to develop greater energy and utility efficiency. This is particularly important for companies moving to an eco-friendly approach to processing and manufacturing.
Ordering a predominant use study in Indiana is easy through B. Riley Financial.
