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Tax exempt bond |
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Tax exempt bondA bond usually issued by municipal, county, or state governments whose interest payments are not subject to federal and, in some cases, state and local income tax.Tax exempt bond Similar MatchesPersonal exemptionPersonal exemptionIn the US, the amount a person may subtract from personal income when computing federal and state income tax. Tax exempt money market fundTax exempt money market fundA money market fund that invests in short-term tax-exempt municipal securities. Potentially exempt transferPotentially exempt transferA gift from one person to another which is not liable to inheritance tax provided the person making the gift lives for at least seven years after the transfer is made. If he/she dies before seven years elapse, tax will be payable, the amount being related to the number of years following the transfer prior to death according to the table below.Transfer up to 3 years before death: 100% of giftTransfer 3 to 4 years before death: 80% of giftTransfer 4 to 5 years before death: 60% of giftTransfer 5 to 6 years before death: 40% of giftTransfer 6 to 7 years before death: 20% of giftThe tax payable is normally charged to the recipient of the gift but in some circumstances it may revert to the donor's estate. Tax exempt sectorTax exempt sectorThe municipal bond market where state and local governments raise funds. Bonds issued in this sector are exempt from federal income taxes. Tax Exempt Special Savings AccountTax Exempt Special Savings AccountA five year tax free savings scheme for people aged 18 and over, introduced by the government in January 1991 and operated by banks and building societies, but terminated in 1999.The maximum amount which could be paid into such schemes over the five year life of the TESSA was £9,000 according to the following schedule:1st year, £3,0002nd year, £1,8003rd year, £1,8004th year, £1,8005th year £600TESSAs were discontinued on 5th April 1999 although those taken out before then are allowed to run their full five year term. If you own a TESSA, you can do three things with it when it matures:You can withdraw the interest and capital free of tax, and either spend it or invest it elsewhere.You can move the capital into a 'Matured TESSA Account'. The interest earned in the account after the maturity date will be taxable.You can move the capital (but not the income) into an ISA account where it can continue to grow tax free. It can either be paid into a special Tessa-only ISA account (a TOISA) or it can be paid into a cash only mini ISA. The move has to be made within 6 months of the maturity of the TESSA. Further SuggestionsExempt securitiesTax exempt income Triple tax exempt Tax exempt security Small issues exemption Industrial Tax Exemption Short exempt Short term tax exempts Tax exempt income fund annual exemption Exemption Personal exemption exemption |
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