Alert July 16, 2010

IRS Releases New 8038 Forms

The Internal Revenue Service (“IRS”) recently released revised Forms 8038, 8038-G, 8038-TC and 8038-CP. Issuers are required to complete and file the revised Form 8038 to report the issuance of private activity bonds and the revised Form 8038-G to report the issuance of tax-exempt governmental obligations. The revised Form 8038-TC must be filed in connection with the issuance of tax credit bonds, including qualified forestry conservation bonds, new clean renewable energy bonds, qualified energy conservation bonds, qualified zone academy bonds, qualified school construction bonds, clean renewable energy bonds, Midwestern tax credit bonds and all other qualified tax credit bonds, including specified tax credit bonds.

Build America Bonds (“BABs”) are still required to be reported on Form 8038-B, which was revised in January 2010. The revised Form 8038-CP is required to be used by issuers of BABs, recovery zone economic development bonds and specified tax credit bonds who elect to receive a direct payment from the federal government equal to a percentage of the interest payments on such bonds. Form 8038-CP must be filed no later than 45 days prior to each interest payment date.