Joint Release/Agencies Invite Comment on Proposed Rule for Income Tax Allocation Agreements — 2021-04-22

Joint Release Board of Governors of the Federal Reserve System Office of the Comptroller of the Currency Agencies Invite Comment on Proposed Rule for Income Tax Allocation Agreements The federal bank regulatory agencies today invited comment on a proposed rule that updates and codifies existing guidance on income tax allocation agreements involving depository institutions and their affiliates. Under the proposed rule, banks that file tax returns as part of a consolidated tax filing group would be required to enter into tax allocation agreements with their holding companies and other members of their consolidated group. The proposed rule also describes the provisions required to be included in those agreements and specifies regulatory reporting treatment. Comments must be received within 60 days of the proposed rule’s publication in the Federal Register.