The IRS requires companies to issue coupon bonds in order to track taxable interest payments made to the bond holders.

Question

Quizplus · Accepted Answer

The IRS does not require companies to issue coupon bonds specifically for tracking taxable interest payments. Companies may issue bonds in different forms, such as zero-coupon bonds or floating rate bonds, and they must report all interest payments made to bond holders to the IRS for taxation purposes.

The IRS Requires Companies to Issue Coupon Bonds in Order