Bonds

Are Bonds Taxable?

The majority of bonds are taxed. Only municipal bonds (bonds issued by local and state governments) are generally tax-exempt, and even then, specific regulations may apply. If you redeem a bond before its maturity date, you must pay tax on both interest and capital gains. Is it necessary to pay taxes on bonds? You owe

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Are Bonds Taxed?

State and local taxes may not apply to bonds issued by the federal government. Federal, state, and local taxes may not apply to bonds issued by state or local governments. Is it necessary to pay taxes on bonds? You owe tax on the interest the bond earns after it was reissued, but the 1099-INT (see

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