Instructions for F Instructions for Form 8038-CP Return for Credit Payments

Instructions for Form
8038-CP

Department of the Treasury
Internal Revenue Service

(Rev. January 2020)

Return for Credit Payments to Issuers of Qualified Bonds
Section references are to the Internal Revenue
Code unless otherwise noted.

Future Developments

For the latest information about
developments related to Form 8038-CP
and its instructions, such as legislation
enacted after they were published, go to
IRS.gov/Form8038CP.

What's New

The Form 8038-CP includes a new
question, line 24, confirming you have
already paid or reasonably expect to pay
all of the interest payable to bondholders
on or before the reported interest payment
date. There is also a question, line 23, that
now asks whether the debt service
schedule has changed to help determine
whether or not you have provided the IRS
the latest version of the debt service
schedule.

Reminders

A direct deposit box on Form 8038-CP
allows issuers of bonds the choice of
having their credit payment directly
deposited into their account. The issuer
must enter the correct Automated Clearing
House (ACH) routing and account
numbers on Form 8038-CP to receive a
direct deposit.
The IRS issued Rev. Proc. 2018-26,
2018-18 I.R.B. 546, on April 30, 2018,
which provides various remedial actions,
including remedial actions for bonds
providing refundable tax credits under
section 6431 payable to the issuer (“direct
pay bonds”) that allow an issuer to reduce
its claimed refundable tax credit in
proportion to the amount of bonds affected
by nonqualified use. See Rev. Proc.
2018-26, available at IRS.gov/pub/irs-irbs/
irb18-18.pdf.

General Instructions
Purpose of Form

The American Recovery and
Reinvestment Act of 2009 (ARRA) created
build America bonds and recovery zone
economic development bonds. The Hiring
Incentives to Restore Employment Act
(HIRE Act) provided an option for issuers
of new clean renewable energy bonds,
qualified energy conservation bonds,
qualified zone academy bonds, and
qualified school construction bonds to
Dec 18, 2019

elect to issue such bonds as specified tax
credit bonds. The Tax Relief,
Unemployment Insurance
Reauthorization, and Job Creation Act of
2010 (the Tax Relief Act) discontinued the
option to elect to issue qualified zone
academy bonds as specified tax credit
bonds for bonds issued pursuant to an
allocation of the 2011 or later national
zone academy bond limitation. The ARRA,
the HIRE Act, and the Tax Relief Act are
referred to throughout these instructions
as the Acts.
Note. Only issuers of build America
bonds and recovery zone economic
development bonds issued before
January 1, 2011, and specified tax credit
bonds issued before January 1, 2018, that
qualify for, and have elected to receive, a
refundable credit under section 6431 may
file Form 8038-CP. The authority to issue
recovery zone economic development
bonds and build America bonds expired
on January 1, 2011. If an issuer takes
action that results in a significant
modification or reissuance of build
America bonds or recovery zone
economic development bonds after
December 31, 2010, then the bonds may
no longer be qualified bonds under the
applicable section and the issuer may no
longer be entitled to request a payment
using Form 8038-CP.
The Tax Cuts and Jobs Act (P.L.
115-97) repealed the authority to issue tax
credit bonds, including specified tax credit
bonds. The repeal applies to qualified
forestry conservation bonds, new clean
renewable energy bonds, qualified energy
conservation bonds, qualified zone
academy bonds, and qualified school
construction bonds issued after December
31, 2017. If an issuer takes action that
results in a significant modification or
reissuance of specified tax credit bonds
after the effective date of the Tax Cuts and
Jobs Act, then the bonds may no longer
be qualified bonds under the applicable
section and the issuer may no longer be
entitled to request a payment using Form
8038-CP.
Form 8038-CP is used by issuers of
build America bonds, recovery zone
economic development bonds, and
specified tax credit bonds who elect to
receive a direct payment from the federal
government equal to a percentage of the
interest payments on these bonds. For
Cat. No. 52942P

more information, see Notices 2009-26,
2009-16 I.R.B. 833, and 2010-35, 2010-19
I.R.B. 660.
Note. Each type of specified tax credit
bond must be reported on a separate
Form 8038-CP. For qualified energy
conservation bonds and new clean
renewable energy bonds with multiple
maturities, each maturity must be reported
on a separate Form 8038-CP.
Other tax credit bonds, including
qualified zone academy bonds issued
pursuant to an allocation of 2011 (or later)
volume cap, qualified forestry
conservation bonds, clean renewable
energy bonds, and Midwestern tax credit
bonds are not eligible for the election by
the issuer to receive refundable credit
payments under section 6431(f).
This return is to be filed only if, as
of the date filed, the issuer of the
CAUTION outstanding bonds for which this
return is submitted has reasonably
concluded that the bonds meet all
applicable requirements for the payment
of the requested credit.

!

Who Must File

Issuers of qualified build America bonds,
recovery zone economic development
bonds, and specified tax credit bonds
must submit this return to request credit
payments payable under the Acts.

What To File

The payment requested on Form 8038-CP
can only relate to the interest paid on a
single bond issue. If the issue has both
fixed rate bonds and variable rate bonds,
file a separate Form 8038-CP for each
type of bond. If a single bond issue
constitutes both build America bonds
(Direct Pay) and recovery zone economic
development bonds, file a separate Form
8038-CP for each type of bond.
File a separate Form 8038-CP for each
issue of qualified school construction
bonds or qualified zone academy bonds
and for each issue of qualified energy
conservation bonds and new clean
renewable energy bonds consisting of a
single maturity. File a separate Form
8038-CP for each bond maturity of an
issue of qualified energy conservation
bonds and new clean renewable energy
bonds with multiple bond maturities. If the
information provided on the return relates

to more than one bond issue, or in the
case of qualified energy conservation
bonds or new clean renewable energy
bonds with multiple maturities relates to
more than one maturity, or if the return is
not completed in full, the credit payment
may be delayed. In order to process the
refundable credit payment, the IRS will
correspond with either the designated
contact person of the entity listed in Part I
at the address listed in Part I, or the issuer
or its designee listed in Part II, as
necessary.

When To File

A Form 8038-CP filed for fixed rate bonds
must be filed no later than 45 days before
the relevant interest payment date. Form
8038-CP may not, however, be submitted
earlier than 90 days before the relevant
interest payment date.
For variable rate bonds, when the
issuer knows the interest payment amount
45 days prior to the interest payment date,
Form 8038-CP may be filed within the
same timelines as fixed rate bonds (45
days before the relevant interest payment
date but no earlier than 90 days before the
relevant interest payment date).
For variable rate bonds when the issuer
does not know the interest payment
amount 45 days prior to the interest
payment date, the issuer must aggregate
all credit payments on a quarterly basis
and file a Form 8038-CP for
reimbursement in arrears no later than 45
days after the last interest payment date
within the quarterly period the
reimbursement is being requested.
Issuers of build America bonds,
recovery zone economic development
bonds, and specified tax credit bonds are
required to submit the most recent revision
of Form 8038-CP to request payment of a
refundable credit. Form 8038-CP will be
processed on receipt for build America
bonds, recovery zone economic
development bonds, and specified tax
credit bonds.

Where To File

File Form 8038-CP with the Department of
the Treasury, Internal Revenue Service
Center, Ogden, UT 84201-0050.

Private delivery services. Filers 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.

PDS can’t deliver items to P.O.
boxes. You must use the U.S.
CAUTION Postal Service to mail any item to
an IRS P.O. box address.

information, see Notices 2009-26 and
2010-35.

Other Forms That May Be
Required

Part I—Information on Entity
That Is To Receive Payment of
Credit and Communications

!

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 reporting the
issuance of all tax credit bonds, including
specified tax credit bonds, use Form
8038-TC, Information Return for Tax
Credit Bonds and Specified Tax Credit
Bonds. For specified tax credit bonds, the
Form 8038-TC associated with a Form
8038-CP filing must be filed at least 30
days prior to the submission of the first
Form 8038-CP of the bond issue. For
more information, see Notice 2010-35.

Rounding to Whole Dollars

You may enter decimal points and cents
when completing your return. However,
you should round off cents to whole
dollars on your return, forms, and
schedules to make completing your return
easier. You must either round off all
amounts on your return to whole dollars,
or use cents for all amounts. To round,
drop amounts under 50 cents and
increase amounts from 50 to 99 cents to
the next dollar. For example, $8.40 rounds
to $8 and $8.50 rounds to $9. If you have
to add two or more amounts to figure the
amount to enter on a line, include cents
when adding the amounts and round off
only the total.

Where the Requested Payment
Will Be Sent

The credit payment on line 22 will be sent
by check to the entity that is to receive
payment listed in Part I at the address
designated in Part I, unless the issuer has
elected to have the payment deposited
directly, in which case the payment will be
directly deposited to the routing and
account numbers listed on lines 27a and
27c.
Note. If the entity listed in Part I is not the
issuer, the ACH routing and account
numbers listed on lines 27a and 27c must
be the account information of the entity
listed in Part I. If the entity listed in Part I is
the issuer, the account information must
be the account information of the issuer.
The issuer must enter the correct ACH
routing and account numbers on Form
8038-CP to receive a direct deposit.
If the amount of the credit
payment requested is required to
CAUTION be offset against other
outstanding taxes or obligations, then the
credit payment to be received could be
less than the amount requested. For more

!

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Specific Instructions

Amended return. An amended return
can only be filed to correct information in
Parts I and II for Form 8038-CP (except as
described in the Note below). An issuer
may file an amended return to change or
add to the information reported on a
previously filed return for a single issue or
single maturity, as applicable, for the
same interest payment date. If you are
filing to correct errors or change a
previously filed return, check the
Amended Return box in the heading of the
return.
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 and print or
type across the top, “Amended Return
Explanation.”
Note. Do not check the Amended Return
box if you are correcting prior filings of
Form 8038-CP by using line 21a or 21b.
Any corrections to Part III must be
corrected by using the net adjustment
line 21a or 21b. Such corrections must
only be submitted on a subsequent Form
8038-CP filed to request a credit payment.
An amended return should only be filed:
1. To correct information in Parts I and
II for Form 8038-CP; or
2. If you previously filed a final return
and need to make subsequent corrections
to line 21a or 21b only, then you should
check the Amended Return box.
Line 1. Enter the name of the entity to
which the requested refundable credit
payment is to be paid. If the payment is to
be made to the entity that issued the
bonds, enter the name of that issuer. For
build America bonds and recovery zone
economic development bonds, the
issuer's name should be identical to the
name listed on Form 8038-B, Information
Return for Build America Bonds and
Recovery Zone Economic Development
Bonds, Part I, line 1. For specified tax
credit bonds, the issuer's name should be
identical to the name listed on Form
8038-TC, Part I, line 1. If the issuer
authorized another entity (for example, a
trustee bank) to receive the requested
refundable credit payment on its behalf,
enter the name of that entity.
Note. The IRS will send payment only to
the entity listed in Part I. By entering the
name of an entity other than the issuer, the

issuer consents and authorizes the IRS to
send the requested refundable credit
payment directly to the entity listed in Part
I. The issuer further consents and
authorizes the IRS to communicate
directly with the entity listed in Part I and to
disclose its return information to that
entity, as necessary, in order to process
the refundable credit payment.
Line 2. Enter the employer identification
number (EIN) of the entity identified in
line 1. If the issuer is the entity listed in
Part I, for build America bonds and
recovery zone economic development
bonds, the issuer's EIN should be identical
to the EIN listed on Form 8038-B, Part I,
line 2. If the issuer is the entity listed in
Part I, for specified tax credit bonds, the
issuer's EIN should be identical to the EIN
listed on Form 8038-TC, Part I, line 2. An
entity that does not have an 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.
Lines 5 and 6. If the issuer is not the
entity listed in Part I, enter on line 5 the
name and title and on line 6 the phone
number of the designated contact person
for the entity named in Part I that is to
receive payment of the credit (such as an
employee of the trustee bank) that the IRS
may call for more information. If the issuer
is the entity listed in Part I, enter on line 5
the name and title and on line 6 the phone
number of the designated contact person
(such as an officer of the issuer, the legal
representative of the issuer, or the paid
preparer) whom the IRS may call for more
information.
Note. If the issuer on line 5 authorizes the
IRS to call a person other than an officer of
the issuer for more information, by signing
this return the issuer's authorized
representative consents to the disclosure
of the issuer's return information to such
person, as necessary to process this
return.

Part II—Reporting Authority

Part II should be completed in full if the
issuer authorized the IRS to pay the
requested refundable credit payment to
another entity on its behalf (for example, a
trustee bank).
Lines 7 and 8. If the issuer's name is the
same as line 1, enter “SAME” and skip
lines 8, 9, 11, 15, and 16. If the issuer's
name is not the same as line 1, enter the
name, EIN, and complete address of the
issuer of the bond issue. For build
America bonds and recovery zone
economic development bonds, the
issuer's name and EIN should be identical
to the name and EIN listed on Form
8038-B, Part I, lines 1 and 2, filed for the
bond issue. For specified tax credit bonds,

the issuer's name and EIN should be
identical to the name and EIN listed on
Form 8038-TC, Part I, lines 1 and 2, filed
for the bond issue.
Line 10. This line is for IRS use only. Do
not make any entries in this box.
Line 12. Enter the issue date of the bond
issue. For build America bonds and
recovery zone economic development
bonds, the issue date should be identical
to the issue date listed on Form 8038-B,
Part I, line 7. For specified tax credit
bonds, the issue date should be identical
to the issue date listed on Form 8038-TC,
Part I, line 7.
Line 13. Enter the name of the bond
issue. If the bond issue is not named, write
“None.” For build America bonds and
recovery zone economic development
bonds, the name of the bond issue should
be identical to the name listed on Form
8038-B, Part I, line 8, filed for the bond
issue. For specified tax credit bonds, the
name of the bond issue should be
identical to the name listed on Form
8038-TC, Part I, line 8, filed for the bond
issue.
Line 14. Enter the Committee on Uniform
Securities Identification Procedures
(CUSIP) number on the bond with the
latest maturity for which a refundable
credit is being requested. For build
America bonds and recovery zone
economic development bonds, the CUSIP
number should be identical to the CUSIP
number listed on Form 8038-B, Part I,
line 9, filed for the bond issue. For
qualified school construction bonds and
qualified zone academy bonds, and for
qualified energy conservation bonds and
new clean renewable energy bonds
consisting of a single maturity, the CUSIP
number should be identical to the CUSIP
number listed on Form 8038-TC, Part I,
line 9, filed for the bond issue. For
qualified energy conservation bonds and
new clean renewable energy bonds with
multiple maturities, the CUSIP number
should be the CUSIP number for the
maturity reported on this form. If the bond
issue was not publicly offered and there is
no assigned CUSIP number, write “None.”
Lines 15 and 16. If the issuer is not the
entity listed in Part I, enter the name, title,
and phone number of the officer of the
issuer or other employee whom the IRS
may call for more information. If the issuer
is the entity listed in Part I, leave lines 15
and 16 blank.
Note. If the issuer authorizes, on line 15,
the IRS to call a person other than an
officer of the issuer for more information,
by signing this form the issuer's authorized
representative consents to the disclosure
of the issuer's return information to such

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person, as necessary to process this
return.
Line 17a. Check the box that applies to
the bonds of the issue for which this return
is submitted.
Line 17b. For build America bonds and
recovery zone economic development
bonds, enter the total issue price for the
bond listed on Form 8038-B, Part III,
line 3, filed for the bond issue. For
specified tax credit bonds, enter the total
issue price for the bond listed on Form
8038-TC, Part III, line 1, filed for the bond
issue.
A failure to provide requested
information will delay processing
CAUTION of this return. For build America
bonds, recovery zone economic
development bonds, and specified tax
credit bonds, do not leave line 12, 13, 14,
17a, or 17b blank.

!

Part III—Payment of Credit
Line 18. Enter the interest payment date
to which the requested refundable credit
payment relates. An interest payment date
is the date on which interest is payable by
the issuer to the holders of the bonds. (For
a variable rate issue, enter the last interest
payment date applicable to the quarterly
period to which this return relates.) For
certain variable rate bonds, the
remarketing date or the date the interest
rate is reset may not be the same date the
interest is paid.
Line 19a. Enter the amount of interest
payable to the holders of the bonds on the
interest payment date. The amount
entered on line 19a can only relate to the
interest payable on a single bond issue
and the amount of interest allocable to a
single bond type (build America bond,
recovery zone economic development
bond, or a single type of specified tax
credit bond). Issuers of new clean
renewable energy bonds or qualified
energy conservation bonds with multiple
maturities must file a separate Form
8038-CP for each bond maturity and
should enter the amount of interest
payable on the maturity for the refundable
credit being requested. (See What To File,
earlier.)
Note. Credit payments are not allowed for
preissuance accrued interest.
Line 19b. For specified tax credit bonds
only, enter the applicable credit rate. The
applicable credit rate is the daily tax credit
bond rate set by the Secretary under
section 54A(b)(3), determined as of the
first day on which there is a binding written
contract for the sale or exchange of the
bond. Carry the percent out to two decimal
places, and do not round (for example, for
credit rate 10.746%, write 10.74%). The
tax credit bond rate is published by the

Bureau of Fiscal Service on its Internet
site for State and Local Government
Series Securities at TreasuryDirect.gov.
See Notice 2009-15, which is on page 449
of Internal Revenue Bulletin 2009-6 at
IRS.gov/pub/irs-irbs/irb09-06.pdf.
Line 19c. For specified tax credit bonds
with a single maturity only, enter the
amount of interest that would be payable
to the holders of the bonds on the interest
payment date if figured using the
applicable credit rate in the box on
line 19b.
Issuers of qualified school construction
bonds or qualified zone academy bonds
with multiple maturities should enter the
sum of all of the amounts each of which
was determined for each bond to be the
lesser of interest payable under the bond
on the interest payment date or interest
that would be payable under the bond on
such date if such interest were determined
at the applicable credit rate for such bond.
This sum amount is the maximum
allowable credit for all qualified school
construction bonds or qualified zone
academy bonds of the issue for the
interest payment date.
Issuers of qualified energy
conservation bonds and new clean
renewable energy bonds with multiple
maturities should enter the amount of
interest payable to the holders of the
bonds on the interest payment date
figured using the applicable credit rate in
the box on line 19b for the maturity for
which a refundable credit is being
requested on this Form 8038-CP under
line 19a.
Lines 20a and 20b. For build America
bonds and recovery zone economic
development bonds, enter the amount of
the requested credit payment relating to
the interest paid on the interest payment
date. The amount reported on line 20a
must equal 35% (0.35) of the amount
reported on line 19a, or the amount on
line 20b must equal 45% (0.45) of the
amount reported on line 19a.
For specified tax credit bonds, the
amount of the refundable credit payment
allowed under section 6431(f) for qualified
zone academy bonds and qualified school
construction bonds is the lesser of 100%
of the amount of interest payable under
the bond on such interest payment date or
100% of the amount of interest which
would have been payable under such
bond on such date if such interest were
determined at the applicable tax credit
bond rate determined under section
54A(b)(3). For new clean renewable
energy bonds and qualified energy
conservation bonds, the amount of the
refundable credit payment allowed under
section 6431(f) is the lesser of 100% of the
amount of interest payable under the bond
on such interest payment date or 70%

(0.70) of the amount of interest which
would have been payable under such
bond on such date if such interest were
determined at the applicable tax credit
bond rate determined under section
54A(b)(3).
For specified tax credit bonds, enter
the amount of the requested credit
payment as follows.
• Line 20c—New clean renewable
energy bonds, enter the lesser of 100% of
line 19a or 70% (0.70) of line 19c.
• Line 20d—Qualified energy
conservation bonds, enter the lesser of
100% of line 19a or 70% (0.70) of line 19c.
• Line 20e—For qualified zone academy
bonds consisting of a single maturity,
enter 100% of the lesser of line 19a or
19c; and for qualified zone academy
bonds consisting of multiple maturities,
enter 100% of line 19c.
Note. Issuers issuing qualified zone
academy bonds pursuant to an allocation
of 2011 or later national zone academy
bond limitation (volume cap) cannot make
a valid election to issue such bonds as
specified tax credit bonds and may not
claim a refundable credit under section
6431 by filing Form 8038-CP.
• Line 20f—For qualified school
construction bonds consisting of a single
maturity, enter 100% of the lesser of
line 19a or 19c; and for qualified school
construction bonds consisting of multiple
maturities, enter 100% of line 19c.
Note. You may not have more than one
entry on line 20a, 20b, 20c, 20d, 20e, or
20f.
If the amount shown on line 20a, 20b,
20c, 20d, 20e, or 20f does not equal the
amount of the credit payment shown on
the debt service schedule attached to the
information return for the bonds filed
separately with the IRS (Form 8038-TC or
Form 8038-B), or the latest revised debt
service schedule subsequently filed with
the IRS, you must attach an explanation
and a revised debt service schedule
(described below), and print or type
“Revised Debt Service Schedule” across
the top of the Form 8038-CP. For variable
rate bonds, no explanation is required
unless there is a change in previously
reported interest payments or principal
amortization. If the changes result from the
issuer’s nonqualified use of bond
proceeds and taking a remedial action
under section 6 of Rev. Proc. 2018-26, the
issuer must provide an explanation and
revised information to the IRS with the
Form 8038-CP filed for the first interest
payment date after the nonqualified use of
the bond proceeds occurs. The issuer
must print or type “Remedial Action under
Section 6 of Rev. Proc. 2018-26” across
the top of the Form 8038-CP. The issuer
must also include an attachment that
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provides (i) an explanation stating that a
nonqualified use occurred and the date of
the nonqualified use, and (ii) a revised
debt service schedule (described below)
reflecting the exclusion of amounts
allocable to the nonqualified bonds
beginning with the date of the nonqualified
use.
The revised debt service schedule
must contain the information described
below for the bond issue. See the
instructions for line 23 describing
circumstances requiring a revised debt
service schedule.
1. For fixed rate bonds, attach a
revised debt service schedule through
final maturity that provides a list of each
interest payment date, the total interest
payable on such date, the total principal
amount of qualified bonds expected to be
outstanding on such date, the interest
rate(s), the refundable credit payment
expected to be requested from the IRS as
allowed under section 6431(f) on such
date, and the earliest date that the
qualified bonds can be called.
2. For variable rate bonds, attach a
revised debt service schedule through
final maturity that provides a list of each
interest payment date, the total principal
amount of qualified bonds expected to be
outstanding on such date, and a
description of how interest on the qualified
bonds is figured. However, if the issuer
knows the interest amount for a certain
period, for that period the issuer should
provide the refundable credit payment
expected to be requested from the IRS as
allowed under section 6431(f).
Lines 21a and 21b. Lines 21a and 21b
are available to correct prior mistakes to
credit payments related to prior filings of
Form 8038-CP for the respective issue.
• If a prior credit payment amount was
received that was less than the correct
amount, then enter the amount on line 21a
that relates to the corresponding increase
to this payment request.
• If a prior credit payment amount was
received that exceeded the correct
amount for that payment, then enter the
amount on line 21b that relates to the
corresponding decrease to this payment
request.
• If there are both increase and decrease
adjustments related to multiple prior
payments, then net the amounts and
include the corresponding amount on
either line 21a or 21b, as appropriate.
If any amount is entered on either
line 21a or 21b, attach an explanation and
print or type across the top, “Explanation
for Adjustment - Line 21a/21b.” The
attachment must explain how the error
occurred and what steps were taken to
prevent similar errors from recurring. If an
explanation is not attached, credit
payment may be delayed.

Line 22. Enter the amount of the credit
payment to be received. Combine the
amount on line 20a, 20b, 20c, 20d, 20e, or
20f with the amount on either line 21a or
21b, as applicable.
Note. If an amount of the credit payment
requested is required to be offset against
other outstanding taxes or obligations,
then the credit payment to be received
could be less than the amount on line 22.
For more information, see Notices
2009-26 and 2010-35.
Line 23. Check “Yes” or “No.” If the debt
service schedule has changed or been
altered so that the debt service schedule
you most recently filed with the IRS is
incorrect, you must check "Yes" and
attach a revised debt service schedule.
The issuer must generally provide a
revised debt service schedule when the
amount of qualified principal outstanding
or qualified interest payable on future
dates will vary from amounts previously
reported to the IRS, for example, as a
result of an issuer retiring or defeasing
bonds, treating a portion of the bonds as
nonqualified under Rev. Proc. 2018-26, or
due to reissuance because of a significant
modification under Regulations section
1.1001-3 or other guidance applicable to
the bonds. See the instructions under the
second Note under Lines 20a and 20b,
earlier, about how to submit a revised debt
service schedule.
Line 24. Check “Yes” or “No.” Check
“Yes” if, as of the filing of this form, you
have paid or reasonably expect to pay all
of the interest payable to bondholders
reported on line 19a on or before the date
reported on line 18, representing the
interest payment date to which this
payment of credit relates. If you have paid
or reasonably expect to pay all of the
interest payable on the next business day
because the interest payment date falls on
a weekend or holiday, you should check
“Yes” on the form. Check “No” if you do
not reasonably expect to pay all of the
interest payable to bondholders reported
on line 19a on or before the date reported
on line 18. Attach an explanation detailing
the circumstances surrounding the
nonpayment of interest, provide
information on when you expect to resume
interest payments, and print or type across
the top, “Nonpayment Explanation.”

Line 25. Check “Yes” or “No.” Check
“Yes” if the requested payment is the final
payment of interest for the bond issue.
The final payment of interest for either the
single maturity or the bond issue, as
applicable, relating to this request, is the
last payment of interest prior to, or in
conjunction with, the maturity, redemption,
or significant modification of the bond
issue. If a box is not checked, credit
payments may be delayed.
Line 26. If the issuer completed Part I
authorizing another entity (for example, a
trustee bank) to receive the requested
refundable credit payment on its behalf,
check this box.
Line 27. Complete lines 27a through 27c
if you want the amount shown on line 22
directly deposited into your checking or
savings account. Otherwise, we will send
a check to the entity listed in Part I.
The IRS is not responsible for a
lost credit payment if you enter the
CAUTION wrong account information. Check
with your financial institution to get the
correct ACH routing and account numbers
and to make sure your direct deposit will
be accepted. Other wire instructions or
routing or account numbers other than
ACH routing or account numbers are not
acceptable substitutes for ACH routing
and account numbers on Form 8038-CP.

!

If the direct deposit to your account is
different from the amount you expected,
you will receive an explanation in the mail
about 2 weeks after your credit payment is
deposited.
Line 27a. The routing number must be
nine digits. The first two digits must be 01
through 12 or 21 through 32. Otherwise,
the direct deposit will be rejected and a
check will be sent instead. If the entity
listed in Part I is not the issuer (such as a
trustee bank), ask that entity for the
correct routing number. (See Where the
Requested Payment Will Be Sent, earlier.)
Line 27b. Check the appropriate box for
the type of account. Do not check more
than one box. If unknown, leave blank.
Line 27c. The account number can be up
to 17 characters (both numbers and
letters). Include hyphens but omit spaces
and special symbols. Enter the number

-5-

from left to right and leave any unused
boxes blank.

Signature and Consent
An officer of the issuer with authority to
bind the issuer must sign Form 8038-CP
and any applicable certification. If the
entity listed in Part I is not the issuer, the
authority of the person signing this return
must include the authority to bind the
issuer, the authority to request that the IRS
send the refundable credit payment to the
entity identified in Part I, and the authority
to consent to the disclosure of return
information necessary to process the
refundable credit payment to the
designated contact person(s) listed in
Parts I and II on Form 8038-CP, as
applicable. Also print the name and title of
the person signing Form 8038-CP.
Note. If the issuer designates on line 5 of
Part I or line 15 of Part II a person other
than an officer of the issuer as a contact
person for the IRS to call for more
information, by signing this return the
issuer's authorized representative
consents to the disclosure of the issuer's
return information to such person, as
necessary to process the refundable
credit payment.

Paid Preparer
If an authorized officer of the issuer filled in
this return, the paid preparer block should
remain blank. Anyone who prepares the
return but does not charge the issuer
should not sign the return. Certain others
who prepare the return should not sign.
For example, a regular, full-time employee
of the organization, 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. A paid preparer cannot
use a social security number in the
preparer tax identification number (PTIN)
box. The paid preparer must use a PTIN. If
the paid preparer is self-employed, the
preparer should enter his or her address in
the box.
The paid preparer must:

• Sign the return in the space provided

for the preparer's signature, 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.

However, certain returns and return
information of tax-exempt organizations
and trusts are subject to public disclosure
and inspection, as provided by section
6104.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 comments concerning the
accuracy of these time estimates or
suggestions for making this form simpler,
we would be happy to hear from you. You
can send us comments through IRS.gov/
FormComments.

-6-

Or you can write to:
Internal Revenue Service
Tax Forms and Publications
1111 Constitution Ave. NW, IR-6526
Washington, DC 20224
Although we can't respond individually
to each comment received, we do
appreciate your feedback and will
consider your comments as we revise our
tax forms, instructions, and publications.
We can't answer tax questions sent to the
above address. Do not send the form to
this address. Instead, see Where To File,
earlier.