Has your entity issued tax-exempt municipal bonds?
If so, your obligations as an issuer includes complying with the arbitrage provisions of the Internal Revenue Code. But this can be difficult. At the very least, it requires a mastery of the federal arbitrage regulations and years of practical experience. Government Capital Securities can help!
Government Capital Securities has specialized in municipal advisory services since 1999 and our professionals have assisted governmental entities with arbitrage compliance for over two decades. Our arbitrage compliance services include:
- Arbitrage Reporting Using a step-by-step approach for each issuance, our report indicates whether a rebate or yield reduction payment is due to the federal government and explains the methodologies used in our determination. To the extent a payment is due, we will prepare the requisite tax form and work with bond counsel to obtain a legal opinion as necessary. In addition, we will maintain a system of tracking future arbitrage reporting dates and make recommendations on record keeping practices.
- Assistance with IRS Examinations The IRS conducts examinations of tax-exempt municipal bonds every year. This process requires the issuer and any conduit borrower to provide all the information necessary to substantiate the tax-exempt status of an issue. We can help ensure that the information is complete and properly organized prior to submission.
- Arbitrage Consulting Issuers and conduit borrowers of tax-exempt bonds typically assign post-issuance responsibilities to a specific staff member. Our arbitrage consulting service provides these individuals with the training necessary to manage arbitrage compliance for their organization and to succeed in their position.
- Post-Issuance Compliance Policy and Procedures IRS Forms 8038 and 8038-G require issuers to indicate whether they have written procedures to ensure compliance with the arbitrage regulations and remediation of nonqualified bonds. Our professionals can assist issuers with drafting and implementing procedures to accomplish that end.
For more information, contact Gail today!
Gail Robertson, Vice President
Municipal Advisor (Series 50 & 54)