Businesses across the country are facing increasing costs for the utilities needed to operate their companies. In some industry sectors throughout the USA, a utility tax service can assist manufacturing, fabricating, and processing companies to decrease their operations costs.
A provider offering utility tax service can compete for a predominant use study for the facility. A predominant use study is completed at each plant or workplace. Each utility meter is assessed in the study. Depending on the state and local statutes, the utilities included are electricity, natural gas, and water.
The Benefits of the Study
In addition to the study assessing qualifying use of the specific utility on each meter, the study also generates the necessary reports and data to apply for a sales tax exemption and possible refund.
Most companies will find the refund and the future tax savings more than pay for the predominant use study. The utility tax service will manage all reporting, documentation and submit all the necessary reports for your business.
In many states, the tax savings can be 100% on qualifying meters. Should the company add processes or make changes to its processing facilities, the study can be completed again to match current qualified utility use on a per meter basis. Hiring a specialized service to complete the predominant use study as needed makes it easy for the business to manage the process.
Energy Use and Savings
The process of a predominant use study can also assist a company in determining current energy use. It can be a clear reflection of the level of efficiency or inefficiency in a plant or facility. This information is beneficial in establishing new energy-saving incentives or processes that further assist the facility in reducing operating overhead.
As an experienced utility tax service, B. Riley Financial provides predominant use studies as well as assistance in utility assessments.