Our Tax Liability Insurance offerings include:

Tax Opinion Insurance, which insures a specific, known tax matter where the resolution is uncertain. When parties in a transactional context cannot agree on the effect or quantum of potential tax liability, this insurance may be used to help move the deal toward execution; and

Tax Credit Recapture Insurance, which insures a tax credit investor against the risk that its tax credits are challenged or clawed back by a governing tax body (whether US federal or state).

 

Benefits of Tax Opinion Insurance	Benefits to Tax Credit Recapture Insurance
Allows for less monies left dormant in escrow Caps financial exposure for specified tax risks Bridges a negotiation impasse	Attracts different or new tax credit investors Allows parties to finance a project with more clarity Reduces over-extensions of counterparty risk

 

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