Businesses qualify for many tax breaks, helping them reduce operating costs and function more efficiently. The tax breaks vary based on what type of company you run and what programs cover your industry. A predominant use study in Indiana can reduce your energy bills and get the tax exemption your business deserves when it comes to utility bills.
How Does It Work?
When you request a predominant use study in Indiana, an evaluator will visit your business and check your equipment and the energy it uses. Suppose they determine qualifying equipment uses more than 50 percent of your business’s energy. In that case, you will qualify for a tax exemption on your entire utility bill, saving you money on your energy costs. In addition to providing a tax exemption for future bills, this study can qualify you for a refund for taxes paid back up to 36 months, based on meeting the appropriate criteria.
Is 50 Percent Energy Use Required?
While your business must show more than 50 percent energy use by qualifying equipment as part of your predominant use study in Indiana, that doesn’t mean that’s the only way to get a tax exemption under the law. Energy usage greater than 50 percent is necessary for a full exemption, but companies that use less than 50 percent on permitted equipment may be entitled to a partial exemption. Your study provider can answer any questions and help you understand how your energy use applies under the law.
Available for Various Industries
Many companies across various industries qualify for tax exemption through a predominant use study in Indiana. Some examples of industries that may be entitled to this tax exemption include agriculture, mining, manufacturing, production, refining, and more. In short, any business providing retail transactions that use various types of energy may qualify for a full or partial tax exemption on their utility bills.
Resource Box: If you think you may qualify for tax breaks, visit the B. Riley Financial, Inc. website to schedule your predominant use study in Indiana.
