With the change of the Bank Shares Tax – has anything been discussed about credits purchased based upon the old calculation of tax – a bank may have credits that may be unable to be used since they calculated the estimated tax liability under the old methodology and the purchased credits can’t be carry-forward. A:
It is the buyer’s responsibility to be aware of its potential tax liability prior to any purchase. Currently, there are no provisions in the language of each restricted tax credit to accommodate changes in the bank shares tax language. Please see Corporate Tax Bulletin 2011-03 for additional information on restricted credits.