Bond
Evidence of the borrowing by an issuer and a debt instrument for tax purposes.
An “issue” of Bonds is a grouping of Bonds for purposes of the federal tax rules. Bonds that are part of different Issues will be analyzed separately. Two or more Tax-Exempt Bonds are part of the same Issue if all of the following conditions are met: (i) the Tax-Exempt Bonds are issued at substantially the same time (sold less than 15 days apart), (ii) the Tax-Exempt Bonds are sold pursuant to the same plan of financing, and (iii) the Tax-Exempt Bonds are reasonably expected to be paid from the same source of funds, determined without regard to guarantees from parties unrelated to the obligor. Taxable Bonds and Tax-Exempt Bonds are never part of the same Issue.
Learn about over various terms and concepts that may arise while preparing a bond issue.
Evidence of the borrowing by an issuer and a debt instrument for tax purposes.
A bond, the interest on which is excludable from gross income for federal income tax purposes.
A method of selling bonds in which one or more underwriters submit proposals for the purchase of the bonds.