Triple tax-exempt


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Triple tax-exempt

Municipal bonds featuring federal, state, and local tax-free interest payments.

Triple Tax-Exempt

Describing a municipal bond that is exempt from federal, state, and local taxes. The United States Constitution forbids the federal government from taxing any state and local bonds. Most states and municipalities offer tax exemptions for residents who invest in their bonds; thus, to be eligible for triple-tax-free status, a bondholder must be resident in the municipality and/or state issuing the bond. Triple-tax exempt bonds almost always offer low returns, exposing bondholders to inflation risk. See also: After-Tax Basis.
References in periodicals archive ?
Metro Terminals Corp, a real estate holding company for the benefit of Metro Biofuels, LLC received authorization for $9,950,000 million in triple tax-exempt bond financing, about $278,601 in mortgage recording tax benefits and $632,313 in sales tax exemptions.
Jamaica Hospital Medical Center, established in 1891, is scheduled to be approved for $16 million in triple tax-exempt bonds that will be used to refinance the hospital's expansion of its Labor, Delivery and Recovery Suite and Pediatric Emergency Department.
4 million in mortgage recording tax waivers and sales tax exemptions for the project in addition to providing access to the triple tax-exempt bond market.
Robert Morel, director of financial services and co-founder of City One Real Estate and Financing has completed a $1,580,000 triple tax-exempt bond private placement with the New York City Industrial Development Agency.
He pointed out that benefit packages for a qualifying company can include access to triple tax-exempt bonds via the IDA, reduced real estate taxes, elimination of sales taxes on construction materials, and a waiver of mortgage recording taxes.
Building 20 percent subsidized housing units allows you the availability of triple tax-exempt financing, the cost of which is about 6 percent fixed for 40 years," said Silverstein.