All Definitions »Special Tax Bond

Special Tax Bond Meaning & Definition

Pass Rate

Over 25 years and 400,000 exams

Assured Success

If you use our practice exams

Chat & Call Support

We are with you every step of the way

Definition of Special Tax Bond

Special Tax Bond is a type of municipal revenue bond that is supported only by revenue from certain taxes.

Applying "Special Tax Bond" to Securities Exams:

If a state or a town needs to build or repair a facility such as a reservoir a bond will often be issued to finance that facility. A special tax may then be assessed upon the properties who use that facility. The bond interest and principal payments will be supported by revenue generated from that special tax.

Choose Your Exam