CCH Tax Day Report In a case of first impression, the U.S. Court of Appeals for the Eighth Circuit concluded that the sham transaction doctrine was not conjunctive. Thus, a bank could deduct interest it paid on a loan that had economic substance, even though the loan lacked any business purpose outside of the tax […]

The post Bank Could Deduct Interest on Loan in STARS Transaction; Loan With Economic Substance But No Business Purpose Was Not Sham Transaction; Penalty Imposed (Wells Fargo & Co., DC Minn.) appeared first on Tax & Accounting Blog.