Issuance
1
Exemption of all bonds from income taxation by State and local governments
In general
The interest on any bond or other obligation issued by or on behalf of the Government of American Samoa shall be exempt from taxation by the Government of American Samoa and the governments of any of the several States, the District of Columbia, any territory or possession of the United States, and any subdivision thereof.
Exemption applicable only to income taxes
The exemption provided by paragraph (1) shall not apply to gift, estate, inheritance, legacy, succession, or other wealth transfer taxes.
Cross reference
section 103 of title 26For exclusion of interest for purposes of Federal income taxation, see .
Pub. L. 98–454, title II, § 20298 Stat. 1733Pub. L. 99–514, § 2100 Stat. 2095Pub. L. 108–326, § 1(a)118 Stat. 1270(, , ; , , ; , , .)
Editorial Notes
References in Text
Pub. L. 99–514, title XIII, § 1301(a)100 Stat. 2602Section 103, referred to in subsec. (a), which related to interest on certain governmental obligations was amended generally by , , , and as so amended relates to interest on State and local bonds. Section 103(b)(2), which prior to the general amendment defined industrial development bond, relates to the applicability of the interest exclusion to arbitrage bonds.
Amendments
Pub. L. 108–3262004—Subsec. (b). amended heading and text generally, substituting provisions relating to exemption of all bonds from income taxation by State and local governments for provisions relating to exemption from taxation and definition of State.
Pub. L. 99–5141986—Subsecs. (a), (c). substituted “Internal Revenue Code of 1986” for “Internal Revenue Code of 1954”, which for purposes of codification was translated as “title 26” thus requiring no change in text.
Statutory Notes and Related Subsidiaries
Effective Date of 2004 Amendment
Pub. L. 108–326, § 2118 Stat. 1270