Several Massachusetts banks have agreed to pay approximately 50% of the tax liability, plus interest, imposed by a recent Massachusetts law that made income from real estate investment trust subsidiaries taxable, effective Dec. 31, 1999.This ends a dispute between the banks and the state Department of Revenue. In the late 1990s, 50 to 60 banks in the state took advantage of a tax loophole by receiving tax-free dividends from REITs. Among the banks announcing settlements were Independent Bank Corp., Century Bankcorp, Brookline Bancorp, Falmouth Bancorp, Boston Private, Seacoast Financial Services, Berkshire Hills Bancorp, Capital Crossing Bank, and CCBT.
Processing Content
