CASHMERE VALLEY BANK v. STATE, DEPT. OF REVENUE

No. 42514-9-II.

305 P.3d 1123 (2013)

CASHMERE VALLEY BANK, Appellant, v. STATE of Washington DEPARTMENT OF REVENUE, Respondent.

Court of Appeals of Washington, Division 2.

July 9, 2013.


Attorney(s) appearing for the Case

George Carl Mastrodonato , Michael Barr King , Carney Badley Spellman, P.S., Seattle, WA, for Appellant.

Heidi A. Irvin , Brett S. Durbin , Atty. Generals Office/Revenue Div., Charles E. Zalesky , Attorney General of Washington, Olympia, WA, for Respondent.


PENOYAR, J.

¶ 1 The Washington State Department of Revenue (Department) audited Cashmere Valley Bank (Cashmere) for the years 2004 through 2007 and assessed additional business and occupation (B & O) tax for interest income Cashmere had received on investments in real estate mortgage investment conduits (REMICs) and collateralized mortgage obligations (CMOs).

¶ 2 Cashmere paid the additional tax and...

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