Export-oriented biz pays commission to a sister IC-DISC — commission taxed as qualified dividends (23.8%) not ordinary (37%).
The Interest Charge Domestic International Sales Corporation (IC-DISC) is a paper C-corp your operating business pays commissions to for export sales. Commission (up to 4% of gross export receipts or 50% of export profits) is a deduction to the operating business (37% marginal rate) but flows to owners as qualified dividends from the IC-DISC (23.8% including NIIT). Net: 13.2 percentage-point rate arbitrage on every export dollar. Requires 95% export-related assets/receipts + $1M+ export sales to justify setup cost.
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Multiply the $10M §1202 exclusion across multiple trusts.
4% corporate tax + 0% capital gains for bona fide residents.
Stack the $500K primary-home exclusion on top of a 1031 deferral.
Convert Traditional to Roth during sabbaticals or business-loss years.
Capitalize property taxes and interest on undeveloped land.
Deduct now, control forever, employ heirs.
Ordinary loss (not capital loss) on failed small biz — up to $100K.
Buy leveraged real estate inside your IRA — tax-deferred or tax-free.