Download or read book Taxable and Tax exempt Interest Rates written by Joe Peek and published by . This book was released on 1985 with total page 44 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper investigates empirically the effects of personal and corporate taxes on taxable interest rates and on the spread between taxable and tax-exempt rates. Two main sets of results emerge. First, we establish that the effective marginal investors in the Treasury bill market are households, as opposed to tax-exempt institutions or corporations. We find no evidence of corporate tax rate effects on Treasury bill yields. The study is then extended to an examination of the tax-exempt market. The results there contradict the hypothesis that commercial bank arbitrage generally ensures that the taxable-tax-exempt interest rate spread is determined by the corporate tax rate. Our estimates decisively reject the corporate in favor of the personal income tax rate as being the relevant tax rate of the marginal investor in this market as well.
Download or read book Tax exempt Securities and the Surtax written by Charles Oscar Hardy and published by . This book was released on 1926 with total page 256 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Expected Future Tax Policy and Tax Exempt Bond Yields written by James M. Poterba and published by . This book was released on 1986 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper tests several competing models of municipal bond market equilibrium. It analyzes the influence of changes in both personal and corporate tax reforms on the yield spread between taxable and tax-exempt interest rates. The findings suggest that changes in personal income tax rates have pronounced effects on long-term municipal interest rates, but small effects on short-maturity yields. Corporate tax reforms, however, affect both long- and short-term yields. These results are inconsistent with the view that the relative yields on taxable and tax-exempt bonds are set by banks and insurance companies which are taxed at the corporate rate. They support the more traditional view that banks are the primary holders of short-term muncipal securities, while households are the principal investors in the long-term municipal market. This view suggests that proposals to reform municipal financing policies by increasing the use of short-term borrowing, or issuing long-term floating-rate debt, could reduce the real cost of municipal borrowing
Download or read book Taxable Bond Alternative for State and Local Governments written by United States. Congress. Joint Committee on Internal Revenue Taxation and published by . This book was released on 1976 with total page 24 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book General Tax Reform An alternative to tax exempt state and local bonds written by United States. Congress. House. Committee on Ways and Means and published by . This book was released on 1973 with total page 84 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Taxing Municipal Bond Income written by Lyle C. Fitch and published by Univ of California Press. This book was released on 2022-09-23 with total page 178 pages. Available in PDF, EPUB and Kindle. Book excerpt: This title is part of UC Press's Voices Revived program, which commemorates University of California Press’s mission to seek out and cultivate the brightest minds and give them voice, reach, and impact. Drawing on a backlist dating to 1893, Voices Revived makes high-quality, peer-reviewed scholarship accessible once again using print-on-demand technology. This title was originally published in 1950.
Download or read book The Interest Rate Sensitivity of Tax Exempt Bonds Under Tax Neutral Valuation written by Andrew Kalotay and published by . This book was released on 2014 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: We explore the effect of taxes on the prices of municipal bonds. Although interest is tax-exempt, the gain resulting from purchasing a muni at a deep discount below the so-called de minimis threshold is subject to severe tax treatment. The gain is taxed as ordinary income at maturity; currently for a typical investor the applicable rate is roughly 40%. Thus, purchasing a bond at 80 would trigger an 8-point tax liability. The paper develops a rigorous approach to the pricing of munis by incorporating taxes into the industry-standard OAS-based valuation framework. The key concept is tax-neutral value, which is simply the fair value that takes into account potential tax payments. Tax-neutral valuation allows us to explore how muni prices respond to changing interest rates. The basic insight is that due to the interaction of the purchase price and the related tax payment, discount munis are significantly more sensitive to interest rates than taxable bonds. For example, currently the duration of a 10-year taxable bond is roughly 8.5 years, while that of a 10-year muni can exceed 13 years. Tax-neutral valuation provides the foundation for accurately projecting the prices of munis under various interest rate scenarios. The primary application of this approach is risk management, including hedging. It is also essential for determining the optimum time to recognize a loss in order to maximize after-tax performance.
Download or read book Tax exempt Securities written by Tokitaro Suzuki and published by . This book was released on 1924 with total page 294 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Investment Securities and Tax Exemption written by George Ellsworth Putnam and published by . This book was released on 1919 with total page 44 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Understanding Tax exempt Bonds written by Phyllis C. Kaufman and published by . This book was released on 1986 with total page 100 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Interest Rate Risk of Tax exempt Debt written by Leon Gustave Shilton and published by . This book was released on 1984 with total page 284 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Tax exempt Securities written by Lamar Taney Beman and published by . This book was released on 1925 with total page 134 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Case for and Against Tax Exemption of U S Government Bonds and Federal Farm Loan Bonds written by Kingman Nott Robins and published by . This book was released on 1920 with total page 48 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Taxation of Interest on Debt Obligations Issued by State and Local Governments and on Withholding Federal Income Tax on Interest and Dividend Income written by United States. Congress. Senate. Committee on Finance and published by . This book was released on 1976 with total page 232 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Taxation of Governmental Securities and Salaries written by United States. Congress. Senate. Special Committee on Taxation of Governmental Securities and Salaries and published by . This book was released on 1939 with total page 764 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Summary of Testimony on the Tax Treatment of State and Local Bond Interest written by United States. Congress. Joint Committee on Internal Revenue Taxation and published by . This book was released on 1969 with total page 20 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Efficiency in the Municipal Bond Market written by George G. Kaufman and published by JAI Press(NY). This book was released on 1981 with total page 304 pages. Available in PDF, EPUB and Kindle. Book excerpt:
