Form 8038-T Arbitrage Rebate Yield Reduction And Penalty In Lieu Of Arbitrage Rebate {8038-T}

Form 8038-T (Rev. October 2021), Arbitrage Rebate, Yield Reduction and Penalty in Lieu of Arbitrage Rebate (Under sections 143(g)(3) and 148(f) and section 103(c)(6)(D) of the Internal Revenue Code of 1954), Under Internal Revenue Code section 148(f), interest on a state or local bond is not tax-exempt unless the issuer of the bond rebates to the United States arbitrage profits earned from investing proceeds of the bond in higher yielding non-purpose investments. Issuers of tax-exempt bonds and any other bonds subject to the provisions of Internal Revenue Code section 148 must use this form to make arbitrage rebate and related payments. www.FormsWorkflow.com