BB&T STARS Tax Shelter Loss Costs $660M Plus $112M Penalty

In Salem Financial, Inc. v. United States, the US Court of Federal Claims slapped down BB&T Corporation over $660 million in tax benefits it claimed on the Structured Trust Advantaged Repackaged Securities (STARS) tax shelter. Barclays Bank invented STARS along with noted shelter cook KPMG. Law firm Sidley Austin was also involved in opining on the deal. Their STARS, it appears, have fallen.