City of Columbus, Ohio v. Commissioner

106 T.C. No. 17

UNITED STATES TAX COURT CITY OF COLUMBUS, OHIO, Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent Docket No. 3301-95B. Filed May 14, 1996. P, a home rule municipal corporation and political subdivision of the State of Ohio, seeks a declaratory judgment that interest on bonds it proposes to issue will be exempt from taxation under sec. 103(a), I.R.C. In 1967, in exchange for the assumption of P's accrued unfunded pension obligation by a fund established for that purpose by the State of Ohio, P incurred a long- term obligation to the State Fund. In 1994, P made a…