Which taxpayer would benefit the most from a tax-free municipal bond compared to a taxable bond?

Question

Quizplus · Accepted Answer

A taxpayer who won a mega-million-dollar lottery would benefit the most from a tax-free municipal bond compared to a taxable bond because they are likely in a higher tax bracket. Tax-free municipal bonds are more beneficial for individuals in higher tax brackets since the income from these bonds is exempt from federal income taxes, and in some cases, state and local taxes.

Which Taxpayer Would Benefit the Most from a Tax-Free Municipal