The Pennsylvania Higher Education Assistance Agency has paid $12.3 million to settle tax-law violations and protect the tax-exempt status of its student loan bonds.An article worth your time.
Municipal market participants said the closing agreement with the Internal Revenue Service is the first publicly dislosed settlement related to charges that an issuer violated tax requirements by swapping or transferring student loans to different bond issues.
The PHEAA described the agreement in a recent event notice filed with the Municipal Securities Rulemaking Board.
Observers said the agreement could have a domino effect and lead other issuers to reach similar settlements with the IRS.
Friday, November 25, 2011
Paying for Student Loan Debt: Deal With IRS Saves Tax-Exempt Status
The Bond Buyer reports:
