Group Calls for Continued Tax Exemption of Municipal Bonds
A number of suggestions calling for a pull back on the tax exemption of municipal bonds in the interest of raising federal taxes have spawned a call to action. Municipal Bonds for America (MBFA) is a recently formed advocacy group comprised of municipal bond issuers, state and local government officials, and municipal bond professionals working together to preserve the tax exempt status for municipal bonds.
Members of this coalition met with Congressional leaders in Washington D.C. earlier this week to deliver their message: Protecting the tax-exempt status of municipal bonds ensures an affordable means to fund state and local infrastructure projects – a vital component to remaining globally competitive.
In a letter to top-ranking members of House and Senate Committees on tax policy, the Executive Committee of the MBFA wrote, “The stability of municipal bonds fuels a robust market that reduces financing costs for issuers, who pass the savings along to taxpayers.”
“It is imperative that Congress protect the ability the ability of state and local governments to access cost-effective capital through the use of tax-exempt municipal bonds.”
To follow the activities of the coalition, the MBFA has launched a website, intended to serve as a one-stop-shop for members of Congress, congressional staff, DC policy makers, state and local elected leaders, media, MBFA coalition members and generally anyone with an interest in public finance and the nation’s infrastructure.
The website features updates on “D.C. Action,” examples of how municipal bonds are being used to finance infrastructure projects around the country (“Munis at Work”), white papers, op-eds, and analyses (“Point of View”), and links to related Congressional, regulatory, and member websites (“Resources”).
View the article in MuniNet Guide [here.]