For immediate release

The Federal Reserve Board, along with the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation, and the Office of Thrift Supervision (the Agencies) have issued a uniform interagency policy statement regarding intercompany tax allocation agreements for banking organizations and savings associations that file an income tax return as members of a consolidated group. The policy statement is effective immediately. The statement is intended to provide guidance to institutions regarding the allocation and payment of taxes among a bank holding and its depository institution subsidiaries. In general, intercorporate tax settlements between an institution and its parent company should be conducted in a manner that is no less favorable to the institution than if it were a separate taxpayer. The policy statement is the result of the Agencies's ongoing effort to implement section 303 of the Riegle Community Development and Regulatory Improvement Act of 1994, which requires the Agencies to work jointly to make uniform their regulations and guidelines implementing common statutory or supervisory policies. The interagency statement is attached.

Summary only | Summary and notice of interagency policy statement (26 KB PDF)

1998 Banking and consumer regulatory policy