Arbitrage Certificate

A certificate (sometimes called a “Tax Certificate,” a “non-arbitrage certificate” or a “use of proceeds certificate”) is a certificate of a responsible officer of the Issuer and/or Borrower certifying compliance with the limitations on Arbitrage imposed on the Tax-Exempt Bonds by the Code and as to certain facts and circumstances in effect at the time of delivery of the Tax-Exempt Bonds concerning the investment of the Bond proceeds and their use, forming a basis to conclude that the Tax-Exempt Bonds are not Arbitrage BondsBond Counsel relies on this certificate in rendering its opinion.

See Also


Profit from differences in markets. All tax-advantaged bonds are subject in one way or another to the arbitrage requirements, which are contained in Section 148 of the Code and the Treasury Regulations that go along with it.

Arbitrage Bonds

Tax-exempt bonds violating yield restrictions imposed by Section 148 of the Internal Revenue Code (IRC) and Treasury Regulations promulgated thereunder.

Hudson Yards Rail Yards

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Securities Act of 1933

Law designed to ensure that investors are provided with material information about new issues of securities offered for sale to the public.