Municipal Debt Offerings: General Obligation Bonds and Revenue Bonds

Summary

This practice note provides an overview of municipal bonds—that is, bonds issued by municipalities (e.g., political subdivisions including cities, counties, states, their agencies and special districts, and U.S. territories and possessions) and certain 501(c)(3) nonprofit organizations under the federal tax code. This practice note focuses on the features of general obligation bonds and revenue bonds, and reviews some basic features and conditions of debt that is tax-exempt under the Internal Revenue Code of 1986, as amended (the Code).