CASHMERE VALLEY BANK v. STATE, DEPT. OF REV

No. 89367-5.

334 P.3d 1100 (2014)

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

Supreme Court of Washington, En Banc.

September 25, 2014.


Attorney(s) appearing for the Case

George Carl Mastrodonato , Michael Barr King , Carney Badley Spellman PS, Seattle, WA, for Petitioner.

Heidi A. Irvin , Atty Generals Office/Revenue Div, Charles E. Zalesky , Attorney General of Washington, Dept of Revenue A.G. Office, Attorney at Law, Olympia, WA, for Respondent.

Dirk Jay Giseburt , Michele G. Radosevich , Davis Wright Tremaine LLP, Seattle, WA, for Amicus Curiae on behalf of Washington Bankers Association.


WIGGINS, J.

¶ 1 This case turns on interpretation of a state tax deduction statute. Former RCW 82.04.4292 (1980) provided that in computing their business and occupation (B & O) tax, banks and financial institutions could deduct from their income "amounts derived from interest received on investments or loans primarily secured by first mortgages or trust deeds on nontransient residential properties."1 Between 2004 and 2007, Cashmere...

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