Research Report Tax-Exempt Bonds
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From The Encyclopedia of Taxation and Tax Policy
Dennis Zimmerman
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Tax-exempt bonds are issued by a state or local government, and the interest on them are exempt from taxation. These bonds have several fundamental characteristics: length of maturity, security, new issue versus refunding, arbitrage earnings, and public versus private purposes for issuing the bonds. Moreover, the bonds are an important factor in four economic policy issues: intergovernmental fiscal relations, the federal budget deficit, resource allocation, and tax equity.
Research Areas Taxes and budgets
Tags State and local tax issues Federal budget and economy
Policy Centers Income and Benefits Policy Center