WASHINGTON -- The Internal Revenue Service believes that interest on $720 million of bonds issued by the New Hampshire Health and Education Facilities Authority from 1998 to 2011 should not be tax-exempt.

An audit of the bonds began this summer, soon after the authority became the first issuer to withdraw from the IRS’ voluntary closing agreement program for student-loan bonds. The conduit borrower, the New Hampshire Higher Education Loan Corp., disclosed the IRS’ claim in an event notice posted on the Municipal Securities Rulemaking Board’s EMMA system on Tuesday.

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