For the second time in two months, the Internal Revenue Service has disclosed it is broadening an audit of student loan securities, focusing on the position that student loans should not be reallocated to different bond issues.

The Pennsylvania Higher Education Assistance Agency said in a material-event notice filed on the Municipal Securities Rulemaking Board’s EMMA system that the IRS has formally opened an audit with respect to the agency’s outstanding tax-exempt auction-rate securities on top of an existing one of an ARS issue. The IRS has not requested additional information, the agency said.

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