Form 8038-GC (Rev. 1-2012)
Page 2
When To File
To file a separate return for a single issue, file
Form 8038-GC on or before the 15th day of
the second calendar month after the close of
the calendar quarter in which the issue is
issued.
To file a consolidated return for multiple
issues, file Form 8038-GC on or before
February 15th of the calendar year following
the year in which the issue is issued.
Late filing. An issuer may be granted an
extension of time to file Form 8038-GC under
section 3 of Rev. Proc. 2002-48, 2002-37
I.R.B. 531, if it is determined that the failure to
file on time 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-GC a letter briefly
stating why the form was not submitted to the
IRS on time. Also indicate whether the
obligation in question is under examination by
the IRS. Do not submit copies of any bond
documents, leases, or installment sale
documents. See Where To File next.
Where To File
File Form 8038-GC, and any attachments,
with the Department of the Treasury, Internal
Revenue Service Center, Ogden, UT 84201.
Private delivery services. You can use
certain private delivery services designated by
the IRS to meet the “timely mailing as timely
filing/paying” rule for tax returns and
payments. These private delivery services
include only the following:
• DHL Express (DHL): DHL Same Day Service.
• Federal Express (FedEx): FedEx Priority
Overnight, FedEx Standard Overnight, FedEx
2Day, FedEx International Priority, and FedEx
International First.
• United Parcel Service (UPS): UPS Next Day
Air, UPS Next Day Air Saver, UPS 2nd Day
Air, UPS 2nd Day Air A.M., UPS Worldwide
Express Plus, and UPS Worldwide Express.
The private delivery service can tell you
how to get written proof of the mailing date.
Other Forms That May Be
Required
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. For private activity
bonds, use Form 8038, Information Return for
Tax-Exempt Private Activity Bond Issues.
For a tax-exempt governmental obligation
with an issue price of $100,000 or more, use
Form 8038-G.
Rounding to Whole Dollars
You may show the money items on this return
as whole-dollar amounts. To do so, drop any
amount less than 50 cents and increase any
amount from 50 to 99 cents to the next higher
dollar.
Definitions
Obligations. This refers to a single tax-
exempt governmental obligation if Form
8038-GC is used for separate reporting or to
multiple tax-exempt governmental obligations
if the form is used for consolidated reporting.
Tax-exempt obligation. This is any obligation
including a bond, installment purchase
agreement, or financial lease, on which the
interest is excluded from income under
section 103.
Tax-exempt governmental obligation. A
tax-exempt obligation that is not a private
activity bond (see below) is a tax-exempt
governmental obligation. This includes a bond
issued by a qualified volunteer fire department
under section 150(e).
Private activity bond. This includes an
obligation issued as part of an issue in which:
• More than 10% of the proceeds are to be
used for any private activity 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 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.
Issue. Generally, obligations are treated as
part of the same issue only if they are issued
by the same issuer, on the same date, and as
part of a single transaction, or a series of
related transactions. However, obligations
issued during the same calendar year (a)
under a loan agreement under which amounts
are to be advanced periodically (a “draw-
down loan”) or (b) with a term not exceeding
270 days, may be treated as part of the same
issue if the obligations are equally and ratably
secured under a single indenture or loan
agreement and are issued under a common
financing arrangement (for example, under the
same official statement periodically updated
to reflect changing factual circumstances).
Also, for obligations issued under a draw-
down loan that meets the requirements of the
preceding sentence, obligations issued during
different calendar years may be treated as
part of the same issue if all of the amounts to
be advanced under the draw-down loan are
reasonably expected to be advanced within 3
years of the date of issue of the first
obligation. Likewise, obligations (other than
private activity bonds) issued under a single
agreement that is in the form of a lease or
installment sale may be treated as part of the
same issue if all of the property covered by
that agreement is reasonably expected to be
delivered within 3 years of the date of issue of
the first obligation.
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 of the issue are to be used for
construction expenditures with respect to
property to be owned by a governmental unit
or a 501(c)(3) organization, and
2. All of 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 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 1-1/2% of the amount of construction
proceeds that do not meet certain spending
requirements. See section 148(f)(4)(C) and the
Instructions for Form 8038-T.
Specific Instructions
In general, a Form 8038-GC must be
completed on the basis of available
information and reasonable expectations as of
the date of issue. However, forms that are
filed on a consolidated basis may be
completed on the basis of information readily
available to the issuer at the close of the
calendar year to which the form relates,
supplemented by estimates made in good
faith.
Part I—Reporting Authority
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 corrected information.
Attach an explanation of the reason for the
amended return and write across the top
"Amended Return Explanation."
Line 1. The issuer’s name is the name of the
entity issuing the obligations, not the name of
the entity receiving the benefit of the
financing. In the case of a lease or installment
sale, the issuer is the lessee or purchaser.
Line 2. An issuer that does not have an
employer identification number (EIN) should
apply for one on Form SS-4, Application for
Employer Identification Number. You can get
this form on the IRS website at IRS.gov or by
calling 1-800-TAX-FORM (1-800-829-3676).
You may receive an EIN by telephone by
following the instructions for Form SS-4.
Lines 3 and 4. Enter the issuer’s address or
the address of the designated contact person
listed on line 6. If the issuer wishes to use its
own address and the issuer receives its mail
in care of a third party authorized
representative (such as an accountant or
attorney), enter on the street address line
“C/O” followed by the third party's name and
street address or P.O. box. Include the suite,
room, or other unit number after the street
address. If the post office does not deliver
mail to the street address and the issuer has a
P.O. box, show the box number instead of the