Yes, I understand. Thank you.
In a lot of cases, this kind of wipes out the advantage of not being subject to state income tax. Many of the T Notes and Bonds on the secondary market at this time have very low coupon rates and most of their yield comes from the discount.
But with the low interest rates now, the state tax exemption on interest advantage only amounts to about 10 or 20 basis points for most taxpayers anyway.
