Finance
IRS says it will refund taxes extracted from Ohioans who got financial assistance after Norfolk Southern derailment disaster
Most people who received money from Norfolk Southern in the wake of last year’s fiery train derailment in eastern Ohio won’t have to pay taxes on millions of dollars in aid payments after all.
The Internal Revenue Service said Wednesday that most of the payments people who live near East Palestine, Ohio, received to help them pay for temporary housing or replace their belongings aren’t taxable because the Feb. 3, 2023, derailment that forced thousands of people to evacuate their homes qualified as “an event of a catastrophic nature.”
The railroad estimates that it has paid more than $21 million to residents after the derailment as part of more than $107 million in assistance it has offered to the communities affected by the catastrophic train crash.
The fact that residents were told they had to pay taxes on the money from the railroad was a sore spot for the people who are still struggling to recover from the derailment.
“I don’t know why they didn’t do that from the very beginning,” East Palestine resident Misti Allison said. “The IRS ruling is a positive step in the right direction, but it’s menial in the big picture. I do hope that President Biden holds true to his promise that what Norfolk Southern ‘cannot make whole’ that ‘the government will make whole.’”
Residents are weighing whether to accept a share of a $600 million class action settlement Norfolk Southern agreed to or opt out of that deal so they can file their own individual lawsuits. Later this month, they’ll be able to hear the result of the National Transportation Safety Board’s investigation into the derailment at a hearing in East Palestine. Previously, the safety board said the crash was likely caused by an overheating bearing on one of the railcars that wasn’t caught soon enough by trackside sensors to prevent the derailment.
U.S. Sen. Sherrod Brown of Ohio said it shouldn’t have taken the IRS this long to realize the derailment was a disaster.
“This is a long overdue step — the people of East Palestine should never have had to pay taxes on assistance they needed in the wake of the train derailment,” Brown said.
Norfolk Southern also praised the IRS decision.
“We’re proud of the investments we’ve made in East Palestine and commend the IRS for taking action to relieve residents of an additional federal tax burden,” the railroad said in a statement.
The IRS said some payments would be taxable if they were for lost income or payments to businesses or payments the railroad made to get access to land during the ongoing cleanup.
Residents who filed their taxes already before the normal April 15 deadline will have to amend their returns and request a refund for the taxes they paid on payments from the railroad.
Finance
Simply Asset Finance reaches $2.6bn loan origination milestone in 2025
Simply Asset Finance has reported that its total loan origination reached £2bn ($2.6bn) in 2025, following its growth and lending activity during the period.
During 2025, the company’s gross loan book increased to £543m and its customer base grew to 13,000.
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Additional digital platforms came online, and commercial loans were added to the range of available finance solutions.
Improvements in the company’s own technology and stronger results in various regions contributed to increased efficiency in lending operations and a broader local presence for SME clients.
In July, Simply Asset Finance introduced Kara, an AI-powered virtual agent.
Kara uses the company’s past data to enhance user interactions, streamline internal processes, and speed up decisions on lending applications.
Simply Asset Finance CEO Mike Randall said: “Our growth this year has built on the momentum of 2024, and reaching £2bn is a clear milestone for the business. All our channels have driven that progress, with rising demand for specialist lending helping us expand our footprint and support even more SMEs across the UK.
“Despite a year of challenging economic conditions, small businesses have remained resilient and ready to invest. Kara has been central to meeting demand quickly and efficiently – and we expect her value to our customers will only grow.
“As we head into 2026, we’re focused on carrying this momentum forward and working with even more brilliant businesses to unlock their potential.”
Last month, Simply Asset Finance became a Patron lender of the National Association of Commercial Finance Brokers (NACFB).
This partnership is aimed at supporting the broker community in the UK and increasing access to asset finance and leasing products through wider distribution.
The NACFB is known as an independent UK trade association for commercial finance intermediaries, promoting cooperation between lenders and brokers across the sector.
Finance
Baker McKenzie Welcomes Finance & Projects Principal Matthias Schemuth in Singapore | Newsroom | Baker McKenzie
Baker McKenzie today announced that leading project finance lawyer Matthias Schemuth has joined the Firm’s Singapore office* as a Principal and Asia Pacific Co-Head of Projects in its Finance & Projects practice, alongside Partner Jon Ornolffson in Tokyo.
Matthias joins the Firm from DLA Piper, bringing more than 20 years of experience in the energy and infrastructure sectors across Asia Pacific. He advises sponsors, developers, commercial banks, multilateral lending agencies, and export credit agencies on the structuring and financing of large-scale projects. His practice also spans international banking, structured commodity and trade finance, with a strong focus on emerging markets. Matthias has been consistently recognised by Chambers Asia Pacific and Who’s Who Legal as a leading project finance practitioner.
James Huang, Managing Principal of Baker McKenzie Wong & Leow in Singapore, said: “We are excited to welcome Matthias to our team. His expertise and proven record in managing teams will be invaluable as we expand our regional and global finance offerings for clients.”
Emmanuel Hadjidakis, Asia Pacific Chair of Baker McKenzie’s Banking & Finance Practice, commented: “Asia Pacific is seeing strong momentum in infrastructure development, energy transition investments, and cross-border project financing, much of it centred in Singapore. Having Matthias on board will further enhance our ability to help clients seize opportunities in the region’s evolving energy and infrastructure markets.”
Steven Sieker, Baker McKenzie’s Asia Chief Executive, added: “Matthias’s appointment underscores Baker McKenzie’s continued commitment to investing in exceptional talent across key markets to support our clients in navigating today’s increasingly complex business and regulatory environment.”
Matthias said: “I’m thrilled to join Baker McKenzie and contribute to its strong growth in Asia Pacific. The Firm’s global reach and local depth provide an unparalleled platform for delivering innovative projects and financing solutions to clients in this dynamic region.”
With more than 2,700 deal practitioners in more than 40 jurisdictions, Baker McKenzie is a transactional powerhouse. The Firm excels in complex, cross-border transactions; over 65% of our deals are multijurisdictional. The teams are a hybrid of ‘local’ and ‘global’, combining money-market sophistication with local excellence. The Firm’s Banking & Finance lawyers are ranked in more jurisdictions than any other firm by Chambers.
Matthias’s hire continues the expansion of Baker McKenzie’s global team. His joining follows the recent arrivals of Carole Turcotte in Toronto; Tom Oslovar in Palo Alto; Jenny Liu in New York and Palo Alto; Helen Johnson, Mark Thompson, Nick Benson, Kevin Heverin, James Wyatt and Michal Berkner in London; Jan Schubert in Frankfurt; Todd Beauchamp and Charles Weinstein in Washington DC; Dan Ouyang, Winfield Lau, and Ke (Ronnie) Li in Beijing, Shanghai, and Hong Kong; and Alexander Stathopoulos in Singapore.
*Baker McKenzie Wong & Leow is the member firm of Baker McKenzie in Singapore
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