(866) TAX-1139 info@itctax.com

frac sand specialist

Cost-Effective, Results-Oriented, Property Tax Representation.

States

Counties

Mines

Million In Sand Mining Market Value Represented

Industrial Tax Consulting is the premier provider of ad valorem tax reduction solutions and exemption consulting services to taxpayers operating within and supporting the U.S. frac sand industry.

“Nationwide Experience, Local Expertise”

Meet our team

At Industrial Tax Consulting (ITC), our people are what make us different. Our in-house team of, CPAs, CMIs, MAIs, Licensed Senior Property Tax Consultants, and Certified Appraisers, in conjunction with our industry-specific Tax Analysts, and legal professionals, have over 40+ years of property tax consulting experience.

The ITC Property Tax Professionals are versed in the different multi-state property tax laws and the different factors that affect the value of your mine, such as economic, technological, and function obsolescence factors.

“cost-effective, results-oriented”

property tax minimization strategies

Since 2003, ITC has brought together some of the most recognized resources from within the public, private, consulting, and appraisal fields to ensure our clients are able to secure maximum tax relief from unnecessary taxation in the most cost-effective and proactive manner.

Frac Sand Mine Case Study

The increasingly competitive marketplace for frac sand and diminished sales price reduced profitability and income-generating capacity of the underlying fixed assets only recently acquired or still under construction.  The challenge was to identify and quantify the impact of reduced demand and income on the frac sand plants and to develop an effective presentation  for local tax authorities that reflected these market conditions and diminished fair market value.

Changing Economic Condition

The migration to local sand rather than Northern White Sand and construction of numerous new state of the art frac sand facilities created capacity far in excess of available demand.  In addition, reduced demand and excess capacity resulted in frac sand prices much lower than anticipated and that had been relied on in the investment profile to justify the economics of the facilities.

The Challenge

ITC worked closely with recognized third-party appraisal experts to quantify external economic obsolescence applicable to new frac sand mines.  In addition to determining the impact of the overexpansion and price reductions on the new mines, ITC pursued TCEQ exemption for those assets meeting the test as pollution control-related.

The Solution

Our expertise with mining industry facilities and oilfield service taxpayers proved to be very-well received by the taxing authorities.  We successfully reduced the tax liability by an average of $1,090,707 for the sand plants owned by this taxpayer.  The pollution control portion of the tax savings will remain in effect according to state of Texas statutes and the economic obsolescence will be revisited on an annual basis in order to maximize potential tax savings and preserve our client’s bottom line.

TAX SAVINGS ARE JUST AROUND THE CORNER

THE ITC PROCESS

discovery meeting

Our team will meet with you and your team one-on-one, to learn more about you and your business, and what concerns you might have regarding your current or future property tax liability.

Research and analysis

Our industry-specific property tax analyst will perform an in-depth analysis of your current property tax assessment and identify any opportunities for tax savings as well as potential tax exemptions that might be currently being overlooked.

Consulting and tax reduction solutions

After an analysis of your property is performed, our senior property tax consultant will provide you with a summary of real-time tax liability, future forecasting, and potential exemption and incentive discoveries. At this point, we recommend the best course of action for minimizing any potential property tax liabilities moving forward.

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ITC will provide you with a confidential in-depth property tax assessment liability analysis and tax exemption discovery that will show you where you might currently be overpaying in your taxes, or subject to future overtaxation, at no-cost.

ITC is a nationally recognized provider of property tax and sales and use tax consulting services.