Serving the needs of the Sub S Bank Community since 1998

We are the only association specifically created to help financial institutions maximize the benefits of their S Corporation election.

IRS Withdraws Proposed TEFRA Rule

Earlier this month,  the IRS finally withdrew its proposed rule relating to the TEFRA disallowance. The rule, which dates back to August 2006, would have forced Subchapter S banks to apply the 20% TEFRA disallowance not just for the first three years after the bank’s S election, but every year thereafter in which it had interest expense attributable to certain tax-exempt municipal securities. Withdrawal of the proposed rule represents the final chapter in what became a hotly-contested dispute between the Sub S bank community and the IRS—one that ultimately went as far as the U.S. Seventh Circuit Court of Appeals in Chicago.  Read more

Recent Articles view all

  • Is S Corporation Status Still Right for You?

    Mar 30, 2011

    A variety of economic issues and the threat of increased personal tax rates have some financial institutions questioning whether S status is still right for them.

    Read more

  • Subchapter S Election for Financial Institutions

    Mar 30, 2011

    Almost one third of the financial institutions in the United States are now organized as S corporations.  Is S corporation taxation right for you?

    Read more

  • Shareholder Management: Members of a Family

    Mar 29, 2011

    How do "members of a family" fit into the one hundred shareholder limit for S corporations?

    Read more


Benefits of Membership

  • Education
    Although some time has passed since financial institutions were first allowed to be organized as S corporations, S taxation is still an entirely new world to many. Let us help your shareholders and senior management better understand the many benefits of S taxation and how you can use them to maximize your financial institution’s performance.

  • Representation
    In recent years, virtually every aspect of the community banking industry has been under scrutiny by legislators and regulators. Unfortunately, S corporation taxation is no exception. The Subchapter S Bank Association is the only organization specifically focused on protecting the benefits you enjoy as an S corporation.

  • Information
    How are the changing legislative and regulatory landscapes going to affect the way you do business as an S corporation? That is the primary question that the Subchapter S Bank Association strives to answer with its publications. Via the web, member emails and print publications, we are committed to giving you the resources you need to stay informed and in front of new challenges.


Latest Newsletter

  • The Tax Reform Spectacle of 2011
  • Treasury Considering Redefining "Small Business"
  • Weakening Economic Activity Warrants a Closer Look at Municipal Credit

View Now

Member Login

Auto-login on future visits

Upcoming Events

Search