BB&T Loses Court Bid to Recoup $688 Million in Taxes
This article is for subscribers only.
BB&T Corp. lost a bid to recover at least $688 million in taxes and penalties as a federal judge ruled a series of transactions with Barclays Plc, aimed at generating tax credits, lacked economic substance.
U.S. Court of Federal Claims Judge Thomas Wheeler in Washington yesterday slammed BB&T, Barclays and other participants in the transactions, including the KPMG consultancy and the Sidley Austin LLP law firm, for conduct he said was “nothing short of reprehensible.” BB&T “engaged in an economically meaningless tax shelter” Wheeler said.