Forms, Schedules, and Instructions for U.S. Tax-Exempt Returns

Instructions for Form 8038
(Rev. September 2025)

Information Return for Tax-Exempt Private Activity Bond Issues
Section references are to the Internal Revenue Code
unless otherwise noted.

Future Developments

For the latest information about developments related to
Form 8038 and its instructions, such as legislation
enacted after they were published, go to IRS.gov/
Form8038.

What’s New

Exempt facility bonds for spaceports were added by P.L.
119-21. See Exempt facility bond, later, for more
information. Also, see new instructions for Line 11a and
Line 11q.

General Instructions
Purpose of Form

Form 8038 is used by the issuers of tax-exempt private
activity bonds to provide the IRS with the information
required by section 149 and to monitor compliance with
the requirements of sections 141 through 150.

Who Must File

Issuers must file a separate Form 8038 for each issue of
the following tax-exempt private activity bonds issued after
1986.
• Exempt facility bonds.
• Qualified mortgage bonds.
• Qualified veterans' mortgage bonds.
• Qualified small issue bonds.
• Qualified student loan bonds.
• Qualified redevelopment bonds.
• Qualified hospital bonds.
• Qualified 501(c)(3) bonds.
• Nongovernmental output property bonds.
• All other tax-exempt private activity bonds.

When To File

File Form 8038 by the 15th day of the 2nd calendar month
after the close of the calendar quarter in which the bond
was issued. Form 8038 may not be filed before the issue
date and must be completed based on the facts as of the
issue date.

Late filing. An issuer may be granted an extension of
time to file Form 8038 under section 3 of Rev. Proc.
2002-48, 2002-37 I.R.B. 531, if it is determined that the
failure to file timely is not due to willful neglect. Type or
print at the top of the form, “Request for Relief under
section 3 of Rev. Proc. 2002-48.” Attach to the Form 8038
a letter explaining why Form 8038 was not filed on time.
Also indicate whether the bond issue in question is under
examination by the IRS. Do not submit copies of the trust
indenture or other bond documents. See Where To File
next.
Sep 23, 2025

Where To File

File Form 8038 and any attachments at the following
address.
Department of the Treasury
Internal Revenue Service Center
Ogden, UT 84201

Private delivery services. You can use certain private
delivery services (PDS) designated by the IRS to meet the
“timely mailing as timely filing” rule for tax returns. Go to
IRS.gov/PDS for the current list of designated services.
The PDS can tell you how to get written proof of the
mailing date.
For the IRS mailing address to use if you're using PDS,
go to IRS.gov/PDSstreetAddresses.
Caution: PDS can’t deliver items to P.O. boxes. You must
use the U.S. Postal Service to mail any item to an IRS P.O.
box address.

Other Forms That May Be Required

For tax-exempt bonds other than private activity bonds,
use Form 8038-G, Information Return for Tax-Exempt
Governmental Bonds, or Form 8038-GC, Information
Return for Small Tax-Exempt Governmental Bond Issues,
Leases, and Installment Sales.
Bonds described in section 1312(c) of the Tax Reform
Act of 1986 to which the transitional rules in section 1312
or 1313 apply are not private activity bonds for purposes
of information reporting. Report them on Form 8038-G or
Form 8038-GC.
For rebating arbitrage or paying a penalty in lieu of
arbitrage rebate to the federal government, use Form
8038-T, Arbitrage Rebate, Yield Reduction and Penalty in
Lieu of Arbitrage Rebate.

Rounding Off to Whole Dollars

You may show the money items on this return as
whole-dollar amounts. To round, drop amounts under 50
cents and increase amounts from 50 to 99 cents to the
next dollar (for example, $1.49 becomes $1 and $2.50
becomes $3). If two or more amounts must be added to
figure the amount to enter on a line, include cents when
adding the amounts and round off only the total.

Definitions
Tax-exempt bond. This is any obligation on which the
interest is excluded from gross income under section 103.
Taxable bond. This is any obligation the interest on
which isn’t excludable from gross income under section
103. Taxable bonds include tax credit bonds and direct
pay bonds.

Instructions for Form 8038 (Rev. 9-2025) Catalog Number 49974V
Department of the Treasury Internal Revenue Service www.irs.gov

Private activity bond. This includes a bond issued as
part of an issue in which:
• More than 10% of the proceeds are to be used for any
private business use; and
• More than 10% of the payment of principal or interest
of the issue is either (a) secured by an interest in
property to be used for a private business use (or
payments for such property), or (b) to be derived from
payments for property (or borrowed money) used for a
private business use.
It also includes a bond, the proceeds of which (a) are to
be used (directly or indirectly) to make or finance loans
(other than loans described in section 141(c)(2)) to
persons other than governmental units, and (b) exceeds
the lesser of 5% of the proceeds or $5 million.
Exempt facility bond. This is part of an issue of which
95% or more of the net proceeds are to be used to finance
an exempt facility listed in sections 142(a)(1) through (17).
Exempt facility bonds include empowerment zone facility
bonds and enterprise zone facility bonds for use in
empowerment zones and enterprise communities,
respectively, and recovery zone facility bonds for use in
recovery zones.
Qualified mortgage bond. This is part of an issue:
1. Of which all proceeds (except issuance costs and
reasonably required reserves) are to be used to
finance owner-occupied residences,
2. That meets the requirements of subsections (c)
through (i) and (m)(7) of section 143,
3. That does not meet the private business tests of
sections 141(b)(1) and (2), and
4. For which repayments of principal on financing
provided by the issue (that are received more than 10
years after the date of issuance) are used to redeem
bonds that are part of the issue. Amounts of less than
$250,000 need not be used to redeem bonds under
this requirement.
Qualified veterans' mortgage bond. This is part of an
issue:
1. Of which 95% or more of the net proceeds are to be
used to provide residences for veterans;
2. For which the payment of the principal and interest is
secured by the general obligation of a state;
3. That meets the requirements of subsections (c), (g),
(i)(1), and (l) of section 143; and
4. That does not meet the private business tests of
sections 141(b)(1) and (2).
Qualified small issue bond. This is part of an issue not
exceeding $1 million of which 95% or more of the net
proceeds are to be used to finance the following.
• Land or depreciable property to be used for
manufacturing, or subject to additional limitations,
farming purposes; or
• A redemption of a prior issue of qualified small issue
bonds.
2

Note: The $1 million limit can be increased to $10 million
if an election is made to take certain capital expenditures
into account. See section 144(a)(4).
Qualified student loan bond. This is part of an issue of
which:
1. 90% or more of the net proceeds are to be used to
make or finance student loans under a program of
general application to which the Higher Education Act
of 1965 applies (see section 144(b)(1)(A) for
additional requirements), or
2. 95% or more of the net proceeds are to be used to
make or finance student loans under a program of
general application approved by the state (see section
144(b)(1)(B) for additional requirements).
Qualified redevelopment bond. This is generally part of
an issue of which 95% or more of the net proceeds are to
be used for one or more redevelopment purposes in any
designated blighted area. See section 144(c) for specific
requirements.
Qualified 501(c)(3) bond. This is any private activity
bond that meets the following conditions.
1. All property financed by the net proceeds of the bond
issue is to be owned by a section 501(c)(3)
organization or a governmental unit.
2. The bond would not be a private activity bond if (a)
section 501(c)(3) organizations were treated as
governmental units with respect to their activities that
do not constitute unrelated trades or businesses
(determined by applying section 513(a)); and (b) the
private activity bond definition was applied using a 5%
threshold (instead of 10%) for the private use,
security, and/or payment tests, and the activities that
constitute unrelated trades or businesses are
aggregated with any other private use, security, or
payment and by substituting “net proceeds” (instead
of proceeds) each place it appears.
A qualified 501(c)(3) bond includes the following.

• Qualified hospital bond that is part of an issue of
•

which 95% or more of the net proceeds are to be used
for a hospital. See section 145(c).
Qualified nonhospital bond that is other than a
qualified hospital bond. In general, an organization
cannot have more than $150 million of qualified 501(c)
(3) nonhospital bonds. However, the limit does not
apply to bonds issued after August 5, 1997, if 95% or
more of the net proceeds of the issue are to be used
solely for capital expenditures incurred after that date.
See section 145(b).

Restrictions apply to the use of qualified 501(c)(3)
bonds (both hospital and nonhospital) to provide
residential rental housing. See section 145(d).
Note: Interest on any bond issued after December 31,
2017, to advance refund a tax-exempt bond is not
excluded from gross income.
Issue price. The issue price of bonds is generally
determined under Regulations section 1.148-1(f). Thus,
when issued for cash, the issue price is the first price at
which a substantial amount of the bonds are sold to the
Instructions for Form 8038 (Rev. 9-2025)

public. To determine the issue price of a bond issued for
property, see sections 1273 and 1274 and the related
regulations.
Note: The issue price does not include interest from the
date the bonds are dated to the date of issue.
Issue. Generally, bonds are treated as part of the same
issue if they are issued by the same issuer, on the same
date, and in a single transaction, or series of related
transactions. See Regulations section 1.149(e)-1(e)(2).
Arbitrage rebate. Generally, interest on a state or local
bond is not tax exempt unless the issuer of the bond
rebates to the United States arbitrage profits earned from
investing proceeds of the bond in higher yielding
nonpurpose investments. See section 148(f).
Construction issue. This is an issue of tax-exempt
bonds that meets both of the following conditions.
1. At least 75% of the available construction proceeds
are to be used for construction expenditures with
respect to property to be owned by a governmental
unit or a section 501(c)(3) organization.
2. All the bonds that are part of the issue are qualified
501(c)(3) bonds, bonds that are not private activity
bonds, or private activity bonds issued to finance
property to be owned by a governmental unit or a
section 501(c)(3) organization.
In lieu of rebating any arbitrage that may be owed to the
United States, the issuer of a construction issue may
make an irrevocable election to pay a penalty. The penalty
is equal to 11/2% of the amount of construction proceeds
that do not meet certain spending requirements. See
section 148(f)(4)(C)(vii) and the Instructions for Form
8038-T.

the IRS and whom the IRS may contact with respect to
this return (including in writing or by telephone), enter the
name of such person here. The person listed in line 3a
must be an individual. Do not enter the name and title of
an officer or other employee of the issuer here (use
line 10a for that purpose).
Note: By authorizing a person other than an authorized
officer or other employee of the issuer to communicate
with the IRS and whom the IRS may contact with respect
to this return, the issuer authorizes the IRS to
communicate directly with the individual entered on
line 3a and consents to disclose the issuer's return
information to that individual, as necessary, in order to
process this return.
Lines 4 and 6. If you listed in line 3a a person other than
an officer or other employee of the issuer (including a
legal representative or paid preparer) to communicate with
the IRS and whom the IRS may contact with respect to
this return, enter the number and street (or P.O. box if mail
is not delivered to street address), city, town, or post
office, state, and ZIP code of that person. Otherwise,
enter the issuer's number and street (or P.O. box if mail is
not delivered to street address), city, town, or post office,
state, and ZIP code.
Note: The address entered on lines 4 and 6 is the
address the IRS will use for all written communications
regarding the processing of this return, including any
notices.
Line 5. This line is for IRS use only. Do not make an entry.
Line 7. The date of issue is generally the first date on
which the issuer physically exchanges any bond included
in the issue for the underwriter's (or other purchaser's)
funds.

Specific Instructions

Line 8. If there is no name of the issue, please provide
other identification of the issue.

Part I—Reporting Authority

Line 9. Enter the CUSIP (Committee on Uniform
Securities Identification Procedures) number of the bond
with the latest maturity. If the issue does not have a CUSIP
number, write “None.”

Amended return. An issuer may file an amended return
to change or add to the information reported on a
previously filed return for the same date of issue. If you are
filing to correct errors or change a previously filed return,
check the “Amended Return” box in the heading of the
form.
The amended return must provide all the information
reported on the original return, in addition to the new or
corrected information. Attach an explanation of the reason
for the amended return.
Line 1. The issuer's name is the name of the entity
issuing the bonds, not the name of the entity receiving the
benefit of the financing.
Line 2. An issuer that does not have an employer
identification number (EIN) should apply online by visiting
the IRS website at IRS.gov/EIN. The organization may
also apply for an EIN by faxing or mailing Form SS-4 to the
IRS.
Line 3a. If the issuer wishes to authorize a person other
than an officer or other employee of the issuer (including a
legal representative or paid preparer) to communicate with
Instructions for Form 8038 (Rev. 9-2025)

Line 10a. Enter the name and title of the officer or other
employee of the issuer whom the IRS may call for more
information. If the issuer wishes to designate a person
other than an officer or other employee of the issuer
(including a legal representative or paid preparer) whom
the IRS may call for more information with respect to the
return, enter the name, title, and telephone number of
such person on lines 3a and 3b.
Caution: Complete lines 10a and 10b even if you
complete lines 3a and 3b.

Part II—Type of Issue
Caution: Elections referred to in Part II are made on the
original bond documents, not on this form.
You must identify the type of bonds issued by entering
the issue price in the box corresponding to the type of
bond (see Issue price under Definitions, earlier). Also
enter information on line 20b, Reissuance, if applicable.
3

Line 11a. Only the issue price of bonds financing an
airport is reported on this line. Spaceport bonds
authorized by section 142(a)(1) must be reported on
line 11q. See instructions for Line 11q.
Line 11f. After entering the issue price, check the
appropriate box for the percentage test elected by the
issuer at the time of issuance of the bonds. Then, check
the appropriate box to show whether an election was
made for deep rent skewing. See Rev. Rul. 94-57, 1994-2
C.B. 5, for guidance on figuring the income limits
applicable to these bonds.
Line 11h. Bonds issued to finance certain facilities may
also qualify as exempt facility bonds if they were (a)
permitted as exempt facility bonds under prior law, and (b)
issued under one of the transitional rules of the Tax
Reform Act of 1986 (the 1986 Act).
These facilities include . . .

As described in
former section . . .

A sports facility

103(b)(4)(B)

A convention or trade show facility

103(b)(4)(C)

A parking facility

103(b)(4)(D)

A pollution control facility

103(b)(4)(F)

A hydroelectric facility

103(b)(4)(H)

An industrial park

103(b)(5)

If one of the above applies, indicate the facility type and
then give the specific provision of the 1986 Act pertaining
to the facility on line 11h.

Facility types include . . .

As described in
section . . .

Environmental enhancements of
hydroelectric generating facilities

142(a)(12) and 142(j)

High-speed intercity rail facilities*

142(a)(11), 142(c), and
142(i)

*Note: Proceeds of an exempt facility bond may not be used for this type of
facility if there is a nongovernmental owner of the facility unless that owner
makes an irrevocable election not to claim (1) depreciation under section 167
or 168, or (2) any credit against its income tax with respect to the property
financed with the net proceeds of the issue.

Line 12b. This line is for IRS use only. Do not make an
entry.
Line 13. Check the box if the issuer has elected, in the
bond indenture or related document, to pay to the United
States the amount described in section 143(g)(3)(D).
Line 14. Enter the issue price if the bond issue is an
exempt issue of $10 million or less for which an election
under section 144(a)(4) has been made by the issuer at or
before the time of issuance on the bonds or in its records.
See section 144(a). Check the box if the $10 million small
issue exemption applies.
Line 17. Attach a schedule listing the name and EIN for
each section 501(c)(3) organization benefiting from these
qualified hospital bonds.
Line 18. Enter the total amount of qualified nonhospital
bonds described in section 145(b)(2) that are a part of this
issue. For each section 501(c)(3) organization benefiting
from these qualified nonhospital bonds, attach a schedule
listing:

Line 11i. Enter the issue price if the bonds are part of any
issue 95% or more of the net proceeds of which are to be
used to provide any enterprise zone facility in an
empowerment zone or enterprise community. See section
1394.

1. The name of the organization;

Line 11j. Enter the issue price if the bonds are (a) issued
after August 5, 1997, and (b) part of any issue 95% or
more of the net proceeds of which are to be used to
provide any empowerment zone facility. See section
1394(f).
The updated information on the designated urban
empowerment zones is available at www.hud.gov; for the
designated rural empowerment zones, go to
www.rd.usda.gov.

4. If the box for line 18 is not checked, the amount of all
other nonhospital bonds outstanding as of the date of
this issue that benefit the organization.

Line 11q. On the space provided, enter the facility type, if
applicable, and enter the issue price of the bonds in the
issue price column. If the bond issue finances a spaceport
under section 142(a)(1), enter the issue price and type
“Spaceport” in the description box.

2. Its EIN;
3. The amount of this issue of bonds benefiting the
organization; and

Note: The amount in item 4 above plus line 18 cannot
exceed $150 million with respect to bonds issued (a) prior
to August 6, 1997, and (b) after August 5, 1997, if used for
noncapital expenditures. The $150 million limit does not
apply to bonds issued after August 5, 1997, if 95% or
more of the net proceeds are used solely for capital
expenditures incurred after that date.
Line 19. Enter the issue price if the bonds are used to
acquire nongovernmental output property, which is
property used by a nongovernmental person in connection
with an output facility (such as an electric or gas power
project).
Line 20a. For IRS use only. Do not make an entry.
Line 20b. If the Form 8038 is filed because the bonds are
treated as reissued (i) pursuant to Regulations section
1.141-12 or other applicable authority concerning
remedial actions, or (ii) because of a significant

4

Instructions for Form 8038 (Rev. 9-2025)

modification described in Regulations section 1.1001-3 or
other applicable authority, complete line 20b, Reissuance,
by writing a description of the original type of issue (for
example, tax-exempt governmental bonds, qualified
501(c)(3) bonds, Build America bonds, qualified energy
conservation bonds, exempt facility bonds, qualified small
issue bonds, etc.) in the space provided and entering the
amount of bonds treated as reissued in the issue price
column.
Line 20c. Enter the issue price only if none of the lines
above apply and you are required to file an information
return for a private activity bond. Enter a description of the
bond type.

Part III—Description of Bonds
Line 21. For column (a), the final maturity date is the last
date the issuer must redeem the entire issue.
For column (b), see Issue price under Definitions,
earlier.
For column (c), the stated redemption price at maturity
of the entire issue is the sum of the stated redemption
prices at maturity of each bond issued as part of the issue.
For column (d), the weighted average maturity is the
sum of the products of the issue price of each maturity
and the number of years to maturity (determined
separately for each maturity and by taking into account
mandatory redemptions), divided by the issue price of the
entire issue (from line 21, column (b)).
For column (e), the yield, as defined in section 148(h),
is the discount rate that, when used to figure the present
value of all payments of principal and interest to be paid
on the bond, produces an amount equal to the purchase
price, including accrued interest. See Regulations section
1.148-4 for specific rules to figure the yield on an issue. If
the issue is a variable rate issue, write “VR” as the yield of
the issue. For other than variable rate issues, carry the
yield out to four decimal places (for example, 5.3125%).

Part IV—Uses of Proceeds of Issue
Line 22. Enter the amount of proceeds that will be used
to pay interest on the issue accruing prior to the date of
issue. For definition of date of issue, see these
instructions, Line 7.
Line 24. Enter the amount of the proceeds that will be
used to pay bond issuance costs, including fees for
trustees and bond counsel. If no bond proceeds have
been used to pay bond issuance costs, enter zero. Do not
leave this line blank.
Line 25. Enter the amount of the proceeds that will be
used to pay fees for credit enhancement that are taken
into account in determining the yield on the issue for
purposes of section 148(h) (for example, bond insurance
premiums and certain fees for letters of credit).
Line 26. Enter the amount of the proceeds that will be
allocated to such a fund.
Line 27. Enter the amount of the proceeds that will be
used to pay principal, interest, or call premium on any
tax-exempt bonds, including proceeds that will be used to
fund an escrow account for this purpose.
Instructions for Form 8038 (Rev. 9-2025)

Line 28. Enter the amount of the proceeds that will be
used to pay principal, interest, or call premium on any
taxable bonds, including proceeds that will be used to
fund an escrow account for this purpose.

Part V—Description of Property Financed
Line 31. Enter the amount of nonrefunding proceeds
used to finance real and depreciable personal property
and if the bonds are qualified 501(c)(3) bonds, the
proceeds used to refund taxable bonds used to finance
real and depreciable property. If the amounts are not
available at the time of issuance, make a reasonable
proration between the land, buildings, and equipment.
Note: Under section 147(c), a private activity bond is not
a qualified bond if 25% or more of the proceeds are used
for the acquisition of land or if any of the proceeds are
used to acquire farm land (other than an amount of
proceeds not in excess of $450,000 to be used by a
first-time farmer). An exception to this general rule is for
land acquired for certain environmental purposes. See
section 147(c)(3). Also, a bond is not a qualified bond if
the proceeds are used for the acquisition of used property
(other than land), except in the case of certain
rehabilitations. See section 147(d).
For items that do not readily fit within categories 31a, b,
c, or d, enter the amount of those proceeds in category
31e, Other, and briefly describe them on the line.
Line 32. For each project to be financed with proceeds
entered on line 31a, b, c, d, or e, enter the corresponding:
• Six-digit North American Industry Classification
System (NAICS) code that best describes the project,
and
• Face amount of the project.

If there are more than four projects to be financed by
the issue, attach a separate sheet of paper stating the
NAICS codes and face amount of each project.
For the purpose of determining NAICS codes where the
project fits into more than one category, the ultimate use
of the facility determines the NAICS code number. For
example, an investment partnership financing a
manufacturing facility should use the relevant
manufacturing NAICS code, not the partnership's financial
activities code.
The NAICS codes are available on the U.S. Census
Bureau website at www.census.gov/naics.

Part VI—Description of Refunded Bonds

Complete this part only if the bonds are to be used to
refund a prior issue of tax-exempt bonds or taxable bonds.
Lines 33 and 34. The remaining weighted average
maturity is determined without regard to the refunding.
The weighted average maturity is determined in the same
manner as for line 21, column (d). See Line 21, column
(d), earlier.
Line 35. Enter the last date on which any of the bonds
being refunded will be called.
Line 36. If more than a single issue of tax-exempt bonds
or taxable bonds will be refunded, enter the date of issue
for each refunded issue.
5

Part VII—Miscellaneous
Line 37. Under the rules of section 147(f), private activity
bonds are not tax exempt unless they receive public
approval by certain officials or voter referendums. Enter
the name of the governmental unit(s) approving the issue.
Enter also the date of approval by the applicable elected
representatives and the date of the public hearing. In the
alternative, enter the date of the voter referendum.
If, under the rules of section 147(f), no approval is
needed because the issue meets an exception to the
public approval requirement, write “No approval needed”
on line 37. Also enter on line 37 the provision of section
147(f) under which the issue is excepted (for example,
“section 147(f)(2)(D)”), or if under any transitional rule,
write “Transitional rule” and the applicable Act (for
example, “Tax Reform Act of 1986”) and section.
Line 39. Check this box if the issue is a construction
issue and an irrevocable election to pay a penalty in lieu of
arbitrage rebate has been made on or before the date the
bonds were issued. The penalty is payable with a Form
8038-T for each 6-month period after the date the bonds
are issued. Do not make any payment of penalty in lieu of
arbitrage rebate with this form. See Rev. Proc. 92-22,
1992-1 C.B. 736, for rules regarding the “election
document.”
Line 40a. Check this box if the issuer has identified a
hedge on its books and records in accordance with
Regulations sections 1.148-4(h)(2)(viii) and 1.148-4(h)(5)
that permit an issuer of tax-exempt bonds to identify a
hedge for it to be included in yield calculations for figuring
arbitrage.
Line 41. In determining if the issuer has super-integrated
a hedge, apply the rules of Regulations section 1.148-4(h)
(4). If the hedge is super-integrated, check the box.
Line 42a. If any portion of the gross proceeds of the
issue are or will be invested in a guaranteed investment
contract (GIC), as defined in Regulations section
1.148-1(b), enter the amount of the gross proceeds so
invested.
Line 42b. Enter the final maturity date of the GIC.
Line 42c. Enter the name of the GIC provider.
Line 43. If there are applicable provisions under either
the Code or Regulations to ensure that all nonqualified
bonds of this issue are remediated and the issuer has
established written procedures to comply with such
remedial provisions, check the box. For example, remedial
provisions under Regulations section 1.142-2 apply to
exempt facility bonds; Regulations section 1.144-2 applies
section 1.142-2 to qualified small issue bonds;
Regulations section 1.145-2 applies section 1.141-12 to
qualified 501(c)(3) bonds; and section 142(f)(2)(B) applies
to bonds issued to finance facilities for the local furnishing
of electric energy or gas.
Line 44. Check the box if the issuer has established
written procedures to monitor compliance with the
arbitrage, yield restriction, and rebate requirements of
section 148.

6

Line 45a. Determine and enter the amount of the
proceeds of the issue used to reimburse the issuer for
amounts paid for a qualified purpose prior to the issuance
of the bonds. See Regulations section 1.150-2.
Line 45b. Subject to certain exceptions under
Regulations section 1.150-2(f), an issuer must adopt an
official intent, as described in Regulations section
1.150-2(e), to reimburse itself for preissuance
expenditures within 60 days after payment of the original
expenditure. Enter the date the official intent was adopted.
Line 46. Check this box if:
The issue is comprised of . . .

As described in section . . .

Qualified redevelopment bonds

144(c)

Qualified small issue bonds

144(a)

Exempt facilities bonds

142(a)(4) through 142(a)(11),
142(a)(13) through 142(a)(17),
1394, and 1400U-3

If one of the above applies, then enter the name and
EIN of the primary private user. A “primary private user” is
the nongovernmental entity that meets the private
business tests of section 141(b) or private loan financing
test of section 141(c).

Part VIII—Volume Caps
Line 47. Enter the amount of volume cap allocated to the
issuer. Attach a copy of the state certification, if
applicable. The appropriate state official must certify that
the issue meets the requirements of section 146 (relating
to volume cap on private activity bonds). See the
regulations under section 149(e). The certification must
also include the information requested by lines 1, 2, and 7
through 9 on page 1 of Form 8038, as well as the title of
the certifying official.
Failure to attach the certification with the information
described in the paragraph above may result in a delay in
processing this form.
Line 48. Enter the amount of the issue subject to the
unified state volume cap for private activity bonds under
section 146. If, under section 141(b)(5), the nonqualified
amount of an issue exceeds $15 million, but does not
exceed the amount that would cause a bond which is part
of an issue to be treated as a private activity bond, the
issuer must allocate a part of its volume cap to the
nonqualified amount over $15 million. Include amounts
subject to volume cap under section 146(g)(4), (5), and
(6). However, for high-speed intercity rail facilities and
qualified broadband projects, if all the bond-financed
property is governmentally owned, no volume cap applies.
See sections 146(g) and 142(b)(1)(B).
Line 49. This line is for the IRS use only. Do not make an
entry.
Line 49a. Enter the amount of any bond issued as part of
an issue to finance exempt facilities that are not subject to
the unified state volume cap. These facilities include the
following.
• Airports and spaceports.
Instructions for Form 8038 (Rev. 9-2025)

• Docks.
• Wharves.
• Environmental enhancements of hydroelectric
generating facilities.

• Qualified public educational facilities.
• Qualified green building and sustainable design
projects.

Signature and Consent

Note: These facilities may have to be governmentally
owned. See section 146(h) and section 142(b)(1).
High-speed intercity rail facilities.
Qualified broadband projects.
Qualified carbon dioxide capture facilities.
Note: Only 75% of any exempt facility bond for
high-speed intercity rail facilities, qualified broadband
projects, and qualified carbon dioxide capture facilities
are not subject to the volume cap; however, for
high-speed intercity rail facilities and qualified
broadband projects, no volume cap applies if all the
bond-financed property is governmentally owned. See
sections 146(g) and 142(b)(1)(B).

Note: If the issuer in Part I, lines 3a and 3b, authorizes the
IRS to communicate (including in writing and by
telephone) with a person other than an officer or other
employee of the issuer, by signing this form, the issuer's
authorized representative consents to the disclosure of
the issuer's return information, as necessary to process
this return, to such person.

• Qualified highway or surface freight transfer facilities.
• Solid waste facilities.
•
•
•

the issue meets the volume cap requirements of section
142(k)(5). The certification must also include the
information requested by lines 1, 2, and 7 through 9 on
page 1 of Form 8038, as well as the title of the certifying
official.

Line 49b. If any part of the issue is issued under a
carryforward election, enter the amount of the bonds
being issued under that election. Attach a copy of the
applicable Form 8328, Carryforward Election of Unused
Private Activity Bond Volume Cap.
Line 49c. If any part of the issue is not subject to the
volume cap under a transitional rule of the Tax Reform Act
of 1986, enter the appropriate section of the Act and then
the amount of the bonds excepted from the volume cap by
that rule.
Line 49d. Any bond that is issued to currently refund
another bond is not subject to the volume cap to the
extent that the amount of such bond does not exceed the
outstanding amount of the refunded bond. See section
146(i) and section 1313(a) of the Tax Reform Act of 1986.
Enter the amount not subject to the volume cap. Also
enter the amount issued to currently refund another bond
pursuant to authority provided in Notice 2019-39, 2019-24
I.R.B. 1322, Current Refundings for Certain Targeted
State, Local, and Indian Tribal Government Bond
Programs.
Line 50b. Enter the state limit on qualified veterans'
mortgage bonds for the calendar year under section 143(l)
(3).
Line 51a. Enter the amount of volume cap allocated to
the issuer. Attach a copy of the government's certification.
The official must certify that the issue meets the
requirements, including the applicable volume cap under
section 1394(f). The certification must also include the
information requested by lines 1, 2, and 7 through 9 on
page 1 of Form 8038, as well as the title of the certifying
official.
Line 51b. Enter the name of the empowerment zone. See
the instructions for Line 11j on where to get the names of
the empowerment zones.
Line 52. Enter the amount of volume cap allocated to the
issuer. Attach a copy of the state certification, if
applicable. The appropriate state official must certify that
Instructions for Form 8038 (Rev. 9-2025)

An authorized representative of the issuer must sign Form
8038 and any applicable certification. Also print the name
and title of the person signing Form 8038. The authorized
representative of the issuer signing this form must have
the authority to consent to the disclosure of the issuer's
return information, as necessary to process this return, to
the person(s) that has been designated in Form 8038.

Paid Preparer
If an authorized officer of the issuer filled in this return, the
paid preparer's space should remain blank. Anyone who
prepares the return but does not charge the organization
should not sign the return. Certain others who prepare the
return should not sign. For example, a regular, full-time
employee of the issuer, such as a clerk, secretary, etc.,
should not sign.
Generally, anyone who is paid to prepare a return must
sign it and fill in the other blanks in the Paid Preparer Use
Only area of the return. The paid preparer must:
• Sign the return in the space provided for the preparer's
signature,
• Enter the preparer information, and
• Give a copy of the return to the issuer.
Paperwork Reduction Act Notice. We ask for the
information on this form to carry out the Internal Revenue
laws of the United States. You are required to give us the
information. We need it to ensure that you are complying
with these laws and to allow us to figure and collect the
right amount of tax.
You are not required to provide the information
requested on a form that is subject to the Paperwork
Reduction Act unless the form displays a valid OMB
control number. Books or records relating to a form or its
instructions must be retained as long as their contents
may become material in the administration of any Internal
Revenue law. Generally, tax returns and return information
are confidential, as required by section 6103.
The time needed to complete and file this form will vary
depending on individual circumstances. The estimated
burden for tax-exempt organizations filing this form is
approved under OMB control number 1545-0047 and is
included in the estimates shown in the instructions for their
information return.
If you have suggestions for making this form simpler,
we would be happy to hear from you. You can send us
7

comments through IRS.gov/FormComments. Or you can
write to:

Do not send Form 8038 to this address. Instead, see
Where To File, earlier.

Internal Revenue Service
Tax Forms and Publications
1111 Constitution Ave. NW, IR-6526
Washington, DC 20224

8

Instructions for Form 8038 (Rev. 9-2025)