The Internal Revenue Service has issued legal guidance on bond provisions in the American Recovery and Reinvestment Act.
Build America Bonds and Recovery Zone Economic Development Bonds
Notice 2009-26 provides information on new tax incentives for Build America Bonds and the implementation plans for the refundable credit payment procedures for these bonds. This notice also includes guidance on the modified Build America Bond program for Recovery Zone Economic Development Bonds.
News release 2009-33, IRS Issues Guidance on New Build America Bonds, contains more detail.
Governmental issuers of Build America Bonds and Recovery Zone Economic Development Bonds must submit Form 8038-CP, Return for Credit Payments to Issuers of Qualified Bonds, to request refundable credit payments payable under Section 6431. Also see Form 8038-CP Instructions.
Education-Related Bond Provisions
Notice 2009-30, Qualified Zone Academy Bond Allocations for 2008 and 2009, sets the maximum face amounts of the Qualified Zone Academy Bonds that may be issued within each state. These bonds may be issued to finance certain expenses relating to a qualified zone academy established by a local education agency.
Notice 2009-35, Qualified School Construction Bond Allocations for 2009, sets the maximum face amounts of the Qualified School Construction Bonds that may be issued by each state and large local education agency. These bonds may be issued to finance certain construction and land acquisition expenses relating to public school facilities.
Energy-Related Bond Provisions
Notice 2009-29, Qualified Energy Conservation Bond Allocations for 2009, sets the maximum amount of Qualified Energy Conservation Bonds that may be issued by each state and large local government and provides certain interim guidance for these bonds.
Notice 2009-33, New Clean Renewable Energy Bonds Application and Requirements, solicits applications for allocations of the present total national bond volume limitation authority of $2.4 billion to issue new Clean Renewable Energy Bonds. The notice also provides eligibility requirements that a project must meet to be considered for a volume cap allocation and other details.
The tax-exempt bond section of this Web site also contains information on bond provisions in ARRA.