For instance, coupon payments for muni bonds sold to fund those activities are federally taxed, with one common example is a bond issued to fund a state's pension plan obligation.6 When this type of bond is for sale, brokers selling the bond should readily know whether it is taxable. Th...
Find out how Treasury, agency, and municipal bonds are taxed by the federal, state, and local governments.
If you're covered by Medicare, the federally tax-exempt interest from municipal bonds may increase the amount you pay for Medicare Part B or Medicare prescription drug coverage. If you're married and filing jointly and your MAGI is more than $206,000 ($103,000 for single filers), you wil...