Tax Exempt Bonds Community Updates
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2016
FY2017 Update: Effect of Sequestration on State & Local Government Filers of Form 8038-CP
Pursuant to the requirements of the Balanced Budget and Emergency Deficit Control Act of 1985, as amended, certain automatic reductions will take place as of October 1, 2016. These required reductions include a reduction to the refundable credit under section 6431 of the Internal Revenue Code applicable to certain qualified bonds.
Understanding the Tax Exempt Bonds Examination Process
New guide discusses general rules and procedures that we follow in examinations and how to correct certain compliance problems.
Form 8038-CP FAQs
How and when to file a Return for Credit Payments to Issuers of Qualified Bonds to claim refundable tax credits payable to issuers of certain bonds.
IRS Revises Publications for Tax-Exempt Bonds
The Office of Tax Exempt Bonds, of the Internal Revenue Service, Tax Exempt and Government Entities Division today announced the release of revised publications for municipalities and other issuers of tax-exempt bonds.
IRS Makes Changes to Its Advisory Committee on Tax Exempt and Government Entities (ACT)
The Internal Revenue Service has announced changes to its Advisory Committee on Tax Exempt and Government Entities (ACT) including a reduction in the number of people on the committee and a revision to its focus.
Published Volume Cap Limit for Tribal Economic Development Bonds
IRS announces the Published Volume Cap Limit for applications for allocations of national bond volume limitation authority to issuers of tribal economic development bonds for periods beginning in 2016.
Published Volume Cap Limits and Available Amounts for New Clean Renewable Energy Bonds
IRS announces the Published Volume Cap Limits and the available volume caps for periods beginning in 2016, for applications for allocations of the national volume cap to issuers of New Clean Renewable Energy Bonds.
2015
FY2016 Update: Effect of Sequestration on State & Local Government Filers of Form 8038-CP
Pursuant to the requirements of the Balanced Budget and Emergency Deficit Control Act of 1985, as amended, certain automatic reductions will take place as of October 1, 2015. These required reductions include a reduction to the refundable credit under section 6431 of the Internal Revenue Code applicable to certain qualified bonds.
Mailing Address for Notices of Defeasance and Certain Elections Required by Treasury Regulations
Mailing address for notices of defeasance under Treasury Regulations 1.141-12(d)(3), Treasury Regulations1.142-2(c)(2), and Notices of Election under Treasury Regulations 1.142(f)(4)-1.
Provide Accurate Routing and Account Numbers on Form 8038-CP to Avoid Delayed Payments
Inaccurate direct deposit information on Form 8038-CP, Return for Credit Payments to Issuers of Qualified Bonds may cause a delay in the payment of a request for a credit payment.
Notice 2015-12 (New Clean Renewable Energy Bonds Volume Cap Application)
This Notice (updated to clarify the definition of qualified facility under section 45(d) of the Internal Revenue Code) solicits applications for allocations of the remaining available amount of the national limitation (volume cap) for new clean renewable energy bonds (New CREBs). The available amounts include certain amounts previously allocated and subsequently forfeited. This Notice also provides related guidance on the following: (1) application requirements and forms for requests for volume cap allocations; and (2) the method that will be used to allocate the volume cap. The IRS will update the Volume Cap Limit and the available amounts by publishing these updates on the IRS website approximately every sixty days until the applicable volume cap is fully allocated.
Notice 2015-11 (Qualified Zone Academy Bond Allocations for 2014)
This notice sets forth the maximum face amount of Qualified Zone Academy Bonds (QZABs) that may be issued for each State for the calendar year 2014 under § 54E(c)(2) of the Internal Revenue Code. Under § 54A(e)(3), the term State includes the District of Columbia and any possession of the United States.
Announcement 2015-2 (Simplified VCAP Process for Issuers of Qualified 501(c)(3) Bonds)
This Announcement provides a simplified VCAP process for issuers of qualified 501(c)(3) bonds, as defined in the Announcement, to request a closing agreement in situations in which the borrower of the proceeds of the bonds received Prospective Reinstatement, as defined in the Announcement, after its tax-exempt status was automatically revoked under section 6033(j)(1) of the Internal Revenue Code (the “Code”).
2014
TEB Legislation Update: Tax Increase Prevention Act of 2014
The Tax Increase Prevention Act of 2014, Div. A of Pub. L. No. 113-295 enacted on December 19, 2014, includes extenders for the exclusion of military housing in determining what is a "qualified building” under Internal Revenue Code section 142(d)(2)(B)(ii) and the national zone academy (QZAB) bond limitation through 2014, and also clarifies the definition of specified tax credit bonds with respect to QZABs.
FY2015 Update: Effect of Sequestration on State & Local Government Filers of Form 8038-CP
Pursuant to the requirements of the Balanced Budget and Emergency Deficit Control Act of 1985, as amended, certain automatic reductions will take place as of October 1, 2014. These required reductions include a reduction to the refundable credit under section 6431 of the Internal Revenue Code applicable to certain qualified bonds.
Chief Counsel Advice (PMTA 2014-04) – Claims For Refundable Credit Under IRC 6431
This CCA (a program manager technical advice) responds to a request from Tax Exempt Bonds to define the period within which issuers of qualified bonds issued under Internal Revenue Code section 54AA(g) may request a payment of the refundable credit determined under section 6431(a).
TEB State Newsletter - January 2014
A message from our new Director of Tax Exempt Bonds, Rebecca Harrigal; overviews of our recent phone forums and previews of upcoming phone forums; highlights our new Publication 5091, Voluntary Compliance for Tax-Exempt and Tax-Credit Bonds and the Advisory Committee on Tax Exempt and Government Entities' Annual Report; and an update on the effects of sequestration on tax-advantaged bonds.
2013
IRS Report on Avoiding Troubled Tax-Advantaged Bonds
This report produced by the TEB Compliance Practice Research Team seeks to provide aid to issuers of tax-advantaged municipal bonds. It identifies some considerations for issuers of such bonds and is TEB’s initial step toward producing public resource products that assist issuers in avoiding troubled transactions.
Reallocation Process Announced for Tribal Economic Development Bonds (Notice 2012-48)
The IRS has announced a process for reallocation of available amounts of volume cap for Tribal Economic Development Bonds.
2011
IRS and MSRB Issue a Memorandum of Understanding (October 2011)
On October 19, 2011, the IRS and the Municipal Securities Rulemaking Board (MSRB) issued a memorandum of understanding allowing IRS access to certain MSRB proprietary information products.
TIGTA Finds that Compliance Check Questionnaires by TEB were Appropriate (August 1, 2011)
The compliance check questionnaires issued by the TEB office were appropriate for identifying indications of a high risk of potential noncompliance for BABs and were not examinations.
Alternate Permitted Method for Filing Form 8038-CP for Certain Specified Tax Credit Bonds
The Internal Revenue Service will process certain Forms 8038-CP filed using an alternate permitted method that allows issuers to file one Form 8038-CP covering all maturities of qualified school construction bonds or qualified zone academy bonds of an issue for each interest payment date. Notifications of the alternate permitted method are being mailed to identified eligible issuers.
IRS Announces VCAP Relief from Debt Extinguishment for Certain Issuers of Tax-Exempt Bonds
Announcement 2011-19 describes conditions under which the IRS will consider VCAP requests for relief from debt extinguishment for certain issuers.
Future Guidance on Debt Extinguishment and Volume Cap Issues
The IRS and Treasury Department are considering providing future guidance as soon as reasonably possible on certain issues relating to both the extinguishment of tax-exempt obligations for federal tax purposes and the treatment of draws under a draw-down loan or commercial paper program for purposes of the application of the private activity bond volume cap under IRC section 146.
IRS Invites Public to Comment on TEDB Allocation Process
The IRS also announced a 3-month extension to issue unexpired TEDB allocations.
2010
IRS Extends Deadline to Issue Tribal Economic Development Bonds Under First Allocation (Announcement 2010-88)
The new deadline for issuance of tribal economic development bonds by Indian tribal governments that received allocations of volume cap from the first tranche of allocations is June 30, 2011. An additional extension to December 31, 2011 is available upon written request submitted to, and confirmed by, the IRS.
IRS Announces Supplemental Round of New CREBS Allocation Requests
The Internal Revenue Service is soliciting applications for a supplemental allocation round of New Clean Renewable Energy Bonds. This supplemental round will award nearly $190.8 million in unallocated cooperative electric company national volume cap under section 54C of the Internal Revenue Code.
IRS Promotes Compliance by Direct Pay Bond Issuers
the Tax Exempt Bonds office (TEB) of the Tax Exempt and Government Entities division initiated examinations on several issues of build America bonds (BABs) issued in 2009 and 2010. TEB is committed to further developing its compliance programs for direct pay bonds similar to its compliance programs for tax-exempt bonds.
TIGTA Audit Report Finds BABs Payment Processing is Timely and Accurate
TIGTA finds initial build America bond subsidy payments were processed accurately and timely.
Application of the Treasury Offset Program to Payments to Issuers of Direct Pay Bonds
Issuers of certain qualified build America bonds (including recovery zone economic development bonds) referred to in Notice 2009-26 and other specified tax credit bonds referred to in Notice 2010-35 (“Direct Pay Bonds”) may elect to receive a direct payment subsidy. In general, these payments are treated as overpayments of tax.
Form 8038 Series Receipt Acknowledgements
Form 8038 series receipt acknowledgement procedures.
2009
IRS Announces Tribal Economic Development Bonds Allocations (Notice 2009-51)
The IRS has announced the allocation, in two tranches, of $2 billion of volume cap to tribal governments under the new TEDBs program.
IRS Announces New Clean Renewable Energy Bonds Allocations
The IRS announced the allocation of the volume cap to public power providers, cooperative electric companies, and governmental bodies under the new CREBs program.
IRS Announces New Clean Renewable Energy Bonds Supplemental Allocations for Cooperative Electric Companies
The Internal Revenue Service has announced the allocation of $190,795,445 in volume cap authority for 13 projects owned by cooperative electric companies eligible to be financed with tax credit bonds under the New Clean Renewable Energy Bonds ("New CREBs") program.
IRS Releases Guidance on ARRA Bond Provisions
The latest guidance, forms and information on bond provisions enacted by the American Recovery & Reinvestment Act of 2009.
2007
After the Bonds are Issued: Then What?
TE/GE Advisory Committee summary of what happens after the bonds are issued.
2006
Indian Tribal Government Bonds (Announcement 2006-59)
Bonds issued by or on behalf of Indian tribal governments are excluded from gross income only if the proceeds of such bonds are used for an "essential governmental function."