Tax Exempt Municipal Bonds.

This article is discussing whether municipal bonds should remain in the tax-exempt status. The Government Finance Officers Association (GFOA) believes that municipal bonds should remain tax-exempt because it reinforces our nation's federal system and provides major advantages to communicate across America. Tax-exempt municipal bonds provide lower costs funds to state and local government to fund infrastructure and services. If local and state government had to pay tax on municipal bonds it would hindrance their ability …

…is an inappropriate use of federal regulating power. These restrictions would only jeopardize state and local projects and increase project costs. In conclusion, this article discussed the GFOA, in concert with other local and state government associations to fight changes in the tax code. They believe that the federal government should work in partnership with state and local government to achieve mutually beneficial outcomes, with minimum disruption to these entities and the tax-exempt bond marketplace.