Description of S. 1245 (Tax-Exempt Bonds for High-Speed Rail Projects) : Scheduled for a Hearing Before the Senate Committee On Finance On March 24, 1988 Jcx-6-88
Description of S. 1245 (Tax-Exempt Bonds for High-Speed Rail Projects) : Scheduled for a Hearing Before the Senate Committee On Finance On March 24, 1988 Jcx-6-88
United States. Congress. Joint Committee On Taxation
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In the legislative history accompanying the Tax Reform Act of 1986, the House and Senate conferees noted that there was no intent to prejudge the possible need in the future to allow tax-exempt financing for high-speed rail systems. Vehicles are not included in the definition of mass commuting facilities, and do not otherwise qualify for exempt-facility bond financing. Accordingly, rolling stock, airplanes, and ships are ineligible for tax-exempt financing. ^ State private activity bond volume ...limitations In general, the amount of tax-exempt private activity bonds that may be issued annually by any State (including local governments within the State) is limited to the greater of (1) $50 for every individual who is a resident of the State or (2) $150 million. Bonds subject to this limitation include most private activity bonds for which tax-exemption is permitted, and the private use portion (in excess of $15 million) of govermnental issues. Although the annual volume limitation applies to exempt-facility bonds issued to finance mass commuting facilities, it does not apply to bonds used to finance airports and docks and wharves.
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