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In addition to these Treasury securities, specific federal companies likewise issue bonds. The Government National Home Loan Association (Ginnie Mae), the Federal National Home Loan Association (Fannie Mae), and the Federal Home Mortgage Home Mortgage Corp. (Freddie Mac) problem bonds for particular purposes, primarily related to funding home purchases - what is a gt bond (finance). These bonds are also backed by the complete faith and credit of the U.S.
Community bonds (" munis") are provided by state and city governments to money the construction of schools, highways, real estate, drain systems, and other important public jobs. These bonds tend to be exempt from federal income tax and, in some cases, from state and regional taxes for financiers who live in the jurisdiction where the bond is provided.
Keep in mind that, in some states, financiers will need to pay state earnings tax if they acquire shares of a local mutual fund that buys bonds issued by states other than the one in which they pay taxes. In addition, although some local bonds in the fund might not go through regular earnings tax, they may undergo federal, state, and regional alternative minimum tax, if a financier sells a tax-exempt bond fund at a profit, there are capital gains taxes to think about. http://isf-gymnastic.ir/user/ryalassuft |
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