Some great recommendations were not collateralizing debt that have taxation-excused bonds; not to shop for tax-excused securities on loan proceeds; and you can deposit lent fund on a separate membership that’s not relevant having income tax-exempt bonds.
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- Even if you use the financing to shop for accredited ties, however your profile has income tax-excused securities, this might direct the fresh Internal revenue service so you can disallow element of the desire bills.