Are accrued market discounts for tax exempted bonds taxable on federal returns?
I researched this topic online and found discussions that are in conflict with each other. Could someone please
clarify this issue as well as providing a reference/source where I can find legal support (e.g. specific IRS guidelines regarding it, etc.) for backing the answer? (Would like to be able to defend myself, if filing my return based on the advice and being audited by IRS later.) Thanks.
