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How are corporate and Treasury bonds taxed? A. Both are taxed at the federal and state level. B. Both are taxed at the federal and local level. C. Both are taxed at the local level. D. Both are tax free. E. Both are taxed at the federal level.

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Martebi

The corporate and Treasury bonds  are taxed at Both federal and state level.

How are corporate and Treasury bonds taxed?

There are different kinds of taxes. A corporate bond is said to be taxed in a lot of ways such as;

  • Through interest that is earned on the bond,
  • Through capital gains or losses that is earned in the beginning sale of the bond.
  • Through  an original issue discount.

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