NU Online News Service, March 5, 2004, 11:45 a.m. EST – Standard & Poor’s Ratings Services says a potential tax liability recently cited by Teachers Insurance & Annuity Assoc. of America would not affects its ratings.
TIAA disclosed in a footnote to its 2003 annual financial filing that it might be liable for federal taxes that would cause it to suffer a reduction in its surplus.
S&P says it has determined that the potential liability would not affect its ratings on TIAA or its subsidiary, TIAA-CREF Life Insurance Company.
In its statutory filing, TIAA stated that the IRS is considering whether to reject certain tax deductions on company tax returns going back to 1998 and 1999, the first two years that all the business was subject to federal taxation.