InvestorWords.com
taxable municipal bond
Definition
A municipal bond which is not tax-exempt. This type of bond was created as part of the Tax Reform Act of 1986, and is used for the purpose of funding government projects, such as a sports stadium. Because of the way the funds are being used, the bonds are subject to federal taxes, but usually not subject to state taxes.
Recommended Articles from InvestorGuide.com
Related Videos
Featured Advertiser
Get our free Term of the Day newsletter!



