Taxable Bond
A bond, the interest on which is not excludable from gross income for federal income tax purposes.
bond-basics
Tax Credit Bond
A Taxable Bond that provides a tax credit to the holder in lieu of tax-exempt interest.
Dive Deeper on Tax Issues
Learn more about how various aspects of tax law intersect with municipal securities.
See Also
Tax-Advantaged Bonds
Includes tax-exempt bonds, tax credit bonds and direct pay bonds.
Start with the Bond Basics
Hundreds of Terms and Concepts
Volume Cap
A requirement contained in Section 146 of the Code that private activity bonds (PAB) (with certain exceptions) issued as tax-exempt bonds obtain an allocation of volume cap from the state in which the project is located prior to the issuance of the bonds.