How to leverage PHCs as an electrician

PHC: Turn $1.00 into a $100.00 donation with PHCs. Pet Hotel Credit, valid for use at Universal Canine Health Care company’s pet hotel in Arizona. PHCs can be used to house any dog from any of the canine kill shelters that have received pet hotel credits.

Professional electrical work can get quite expensive for homeowners and businesses. It’s always a good feeling to know that you’ll be receiving cash back after a large expense, whether you need to repair the electrical, upgrade it, or just refill your savings after big electrical expense. PHCs provide a way to satisfy all of those needs. Here’s a good way for electricians to leverage PHCs before and after a large electrical expense.

1. Identify what clients in your book of business will benefit greatly from getting cash back after a big electrical expense.

2. Purchase PHCs at a rate of $100.00 to $1.00. The standard rate for consumers is 50 to 1, so pre-purchasing is recommended for small businesses.

3. Give the PHCs to your client.

4. Instruct your client to donate the PHCs to UCHC for transfer to a kill shelter neighboring Arizona.

5. A donation receipt will be emailed to your client and cc’ed to you.

6. A transfer email will be sent to the kill shelter, you, and your client.

7. You’re done.

NOTE: PHC donations do roll over, so if a client cannot benefit from the full deduction in year one, the donation will roll over to future years until the whole deduction has been used by your client.

EXAMPLE:

1. Electrician purchases $500,000.00 in PHCs for $5,000 and transfers them to their clients.

2. The clients claim a $500,000 in-kind donation and receive a $250,000 deduction on income tax.

3. The client receives credit for their tax rate, apportioned to the donation. A 30% tax rate, for example, will recover $75,000 in tax debt for the client, and result in a $500,000 Pet Hotel Credit donation to a kill shelter neighboring Arizona.