Pinion Insights: Posts authored by

Pinion Editorial


TEFRA Tax Disallowance

By Pinion Editorial | July 1, 2022
Reading Time: < 1 minutes
We’ve been seeing more activity with community banks purchasing non-bank qualified bonds.  It’s important to remember the tax consequences of purchasing these bonds.  For both S Corps and C Corps, the TEFRA penalty applies.  The penalty results in an interest expense disallowance equal to 100% of the proportionate amount of …

Read moreTEFRA Tax Disallowance