Retail and Consumer Product Services

BDO Seidman knows that retail and consumer product companies face many challenges in a crowded, segmented--and highly competitive--market. These businesses grapple everyday with issues such as: How can traditional department stores and retailers avoid being forced out by specialist categories and category killers? How do marketers adapt to the increasing polarization of income levels and changing bases of ethnic buying power? Can real estate be relied on more heavily as a strategic asset? What accounting and business complexities come into play as affinity programs expand? How can retailers and vendors better share information?

When it comes to industry accounting issues, BDO Seidman's professionals can help retail and consumer product companies navigate:

  • Inventory valuation
  • Lease accounting
  • Gift certificates
  • Sales and use taxes
  • Property taxes
  • Asset impairments
  • State and local income taxes
  • Unclaimed property and ESCHEAT laws
  • Discontinued operations
  • Realization of deferred tax
  • Landlord allowances
  • Vendor allowances
  • Charitable contributions
  • Construction period interest
  • Markdowns
  • Segment reporting
  • Goodwill impairment

Retail Tax Services

Our professionals also can provide value-adding tax saving ideas related to:

  • Intellectual Property
  • SALT restructuring
  • Prepaid planning
  • Cost segregation
  • Advance revenue
  • Retail inventory
  • Section 263A
  • IBNR

Our professionals have experience analyzing various tax issues throughout the life cycle of a store or business, such as:

  • Method of inventory selection to help optimize tax savings and possible change in method of inventory accounting to achieve such savings
  • Review shrinkage losses for achieving tax deductibility of shrinkage reserves
  • Review lease accounting and terms to help minimize taxable income on landlord inducement payments
  • Properly accounting for differences between book and tax treatment of inventory components to help maximize tax deductions
  • Using cost segregation studies designed to maximize depreciation deductions
  • Review compliance with state Escheat laws
  • Review sale of gift certificates and layaway plans to help maximize deferral of income
  • Review charitable contributions of inventory to help maximize tax deduction

Other representative retail tax services include:

State and Local Tax

  • Intellectual Property companies/197
  • Purchasing companies
  • Gift card companies

International Tax

  • Supply chain restructuring
  • Purchasing companies
  • Financing companies
  • Intellectual property
  • Transfer pricing, management services, IT, etc.
  • Holding company planning
  • Financing company planning
  • Repatriation planning
  • Treasury management planning

Federal Tax

  • M&E planning
  • Deferred revenue planning
  • Prepaid planning
  • IBNR planning
  • Tenant allowance issues
  • M&A planning
  • Expensing capitalized advertising and catalogue cost
  • Product design cost
  • Service warranty contracts
  • Rent leveling and Section 467 issues
  • Charitable contributions of inventory
  • Sale lease back analysis