An issuer that wants to refund post-2003 commercial paper before the end of the year can take advantage of a stimulus provision that allows those refunding notes to be exempt from the alternative minimum tax, the Internal Revenue Service recently ruled.

In a recent private-letter ruling, the IRS informed the unidentified issuer that since it established the master legal document governing the commercial paper after Dec. 31, 2003, and since it planned to refund all the outstanding notes between Dec. 31, 2008, and Jan. 1, 2011, the refunding would be exempt from the AMT under the American Recovery and Reinvestment Act.

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