WASHINGTON — The Internal Revenue Service sent an updated Form 5701 Notice of Proposed Issue to Florida's Village Center Community Development District this week with regard to it not being a political subdivision for tax-exempt financing purposes.

The Form 5701, is a preliminary determination that bonds are taxable and summarizes the facts, applicable law and analysis regarding the issues identified during the examination. The Village Center has 30 days from the date of the Aug. 7 letter to appeal to the IRS' internal administrative appeals office. The Village Center received the document on Aug. 13 and posted it to its website on Aug. 15.

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