Issuers of tax credit bonds and direct pay bonds are allowed federal subsidies for a portion of their borrowing costs. The subsidies take the form of either tax credits provided to holders of the bonds (“Tax Credit Bonds”) or refundable tax credits paid directly to state and local governmental issuers of the bonds (“Direct Pay Bonds”). Tax Credit Bonds provide periodic tax credits to the holders of the bonds. Direct Pay Bonds are a type of tax credit bond for which the issuer has elected to receive direct payments from the federal government instead of the tax credits that would otherwise be allowed to holders of the bonds. Holders of “direct pay” tax credit bonds receive taxable interest on the bonds paid by the issuer. Tax credit bonds and specified tax credit bonds – in general General information on tax credit and specified tax credit bonds Qualified zone academy bonds (QZABs) Qualified school construction bonds (QSCBs) Qualified energy conservation bonds (QECBs) Qualified energy conservation bonds (QECBs) Build America Bonds and Recovery Zone Economic Development Bonds Questions and answers on Build America and Recovery Zone Economic Development bonds The types of tax credit bonds mentioned above are not currently eligible for issuance. Filing requirements Form 8038-CP Return for Credit Payments to Issuers of Qualified Bonds Forms 8038-B, 8038-TC and 8038-G Filing rules for Build America, Recovery Zone Economic Development, and specified tax credit bonds