Judge Block cannot rule until form 8594 is filed. From docket 338
2. Nevertheless, Anchor concurs that a deferral of the gross-up award is
appropriate.
Anchor does, however, acknowledge that final determination of the appropriate tax grossup
on the judgment in this case should be deferred until such time as JPMorgan retroactively
amends its Form 8594 for the 2008 tax year to allocate a portion of the purchase price paid for
Washington Mutual Bank’s assets to the Anchor judgment. The portion of Anchor’s award that
Case 1:95-cv-00039-LB Document 338 Filed 10/07/10 Page 2 of 9
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ultimately will be subject to tax will be lowered by JPMorgan’s tax basis in the judgment, as
measured by reference to the portion of the purchase price allocated to the judgment. Because
the timing of any retroactive amendment of JPMorgan’s 2008 Form 8594 is dependent on other
issues unrelated to this litigation, it is not possible to establish that basis now, and Anchor agrees
with the defendant that?for this limited reason only?the amount of taxes JPMorgan ultimately
will pay on the Anchor judgment is not yet certain.
For that reason, calculation of the gross-up should once again be deferred, as it was after
this Court’s initial judgment in 2008.
We
