1.141-3 (e) Special rule for tax assesment bonds.

In the case of a tax assessment bond that satisfies the requirements of section 1.141- 5(d), the loan (or deemed loan) of the proceeds to the borrower paying the assessment is disregarded in determining whether the private business use test is met. However, the use of the loan proceeds is not disregarded in determining whether the private business use test is met.