MunicipalBonds

How Thousands of Wealthy People Pay No Taxes (It's Totally Legal)

Debate all you like about whether the rich pay their fair share in taxes, but this is certain: Some high earners pay no taxes at all. A recent IRS study found that 35,000 U.S. taxpayers earning $200,000 or more paid no income tax in 2009. Curious how they pulled it off? Read on...

Voila! Bankrupt Cities Are Solvent Again! (Or Not)

Last month, Harrisburg, Pa., tried to throw in the financial towel and declare Chapter 9, but a judge threw out the bankruptcy petition. That doesn't mean the city is magically healthy again, though, and it's not the only municipality in similar straits. Here's why it matters to the rest of the country.

Get Ready for Great Recession, Part 2

The capital of Pennsylvania just fell into bankruptcy. What? You didn't hear? Neither did the financial markets -- yet. The day after Harrisburg bit the bullet, the Dow barely trembled, while the Nasdaq actually rose slightly. But two of our smartest investors seem to think this is a very big deal indeed.

Alabama County Avoids Bankruptcy Filing

Jefferson County, Alabama's, sewer debt crisis is coming to a close. Commissioners voted Friday on a deal framework that will let it restructure and partially write off $3.14 billion debt, saving the county from filing for Chapter 9 in what would have been the largest municipal bankruptcy in U.S. history.

What Government Defaults Mean for Muni Bonds

U.S. municipalities have filed five bankruptcies this year, and -- next week -- Jefferson County, Ala., could make a sixth. Could city and county defaults shake the muni-bond market just as investors are fleeing to it amid stock-market declines?

Alabama County on the Brink of Bankruptcy

Investors and officials in Jefferson County, Ala., are trying to negotiate a deal to avoid bankruptcy by Thursday's deadline. If they're unsuccessful, the county could end up with the largest Chapter 9 filing in U.S. history, which could rattle the $2.9 trillion municipal bond market.

Why Municipal Bonds Are Looking Riskier Lately

Despite still-low default rates, munis aren't nearly as solid as they've traditionally been. And thanks to the shrinkage among bond insurers, far fewer bonds are being issued with that extra layer of protection.