Form 8038-GC

(Rev. January 2012) 

Department of the Treasury 

Internal Revenue Service 

Information Return for Small Tax-Exempt 

Governmental Bond Issues, Leases, and Installment Sales 

▶ Under Internal Revenue Code section 149(e) 

Caution: If the issue price of the issue is $100,000 or more, use Form 8038-G. 

OMB No. 1545-0720 

Part I Reporting Authority Check box if Amended Return ▶

1 Issuer’s name 2 Issuer’s employer identification number (EIN)

3 Number and street (or P.O. box if mail is not delivered to street address) Room/suite 

4 City, town, or post office, state, and ZIP code 5 Report number (For IRS Use Only) 

6 Name and title of officer or other employee of issuer or designated contact person whom the IRS may call for more information 7 Telephone number of officer or legal representative 

Part II Description of Obligations Check one: a single issue or a consolidated return . 

8a Issue price of obligation(s) (see instructions) . . . . . . . . . . . . . . . . . . 8a 

b Issue date (single issue) or calendar date (consolidated). Enter date in mm/dd/yyyy format (for 

example, 01/01/2009) (see instructions) ▶

9 Amount of the reported obligation(s) on line 8a that is: 

a For leases for vehicles . . . . . . . . . . . . . . . . . . . . . . . . . 9a 

b For leases for office equipment . . . . . . . . . . . . . . . . . . . . . . . 9b 

c For leases for real property . . . . . . . . . . . . . . . . . . . . . . . . 9c 

d For leases for other (see instructions) . . . . . . . . . . . . . . . . . . . . . 9d 

e For bank loans for vehicles . . . . . . . . . . . . . . . . . . . . . . . . 9e 

f For bank loans for office equipment . . . . . . . . . . . . . . . . . . . . . 9f 

g For bank loans for real property. . . . . . . . . . . . . . . . . . . . . . . 9g 

h For bank loans for other (see instructions) . . . . . . . . . . . . . . . . . . . 9h 

i Used to refund prior issue(s) . . . . . . . . . . . . . . . . . . . . . . . 9i 

j Representing a loan from the proceeds of another tax-exempt obligation (for example, bond bank) . . 9j 

k Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9k 

10 If the issuer has designated any issue under section 265(b)(3)(B)(i)(III) (small issuer exception), check this box . . . . ▶

11 If the issuer has elected to pay a penalty in lieu of arbitrage rebate, check this box (see instructions) . . . . . . . ▶

12 Vendor’s or bank’s name: 

13 Vendor’s or bank’s employer identification number:

Signature 

and 

Consent 

Under penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge and belief, they are 

true, correct, and complete. I further declare that I consent to the IRS's disclosure of the issuer's return information, as necessary to process this return, to the person(s) 

that I have authorized above. 

▲

Signature of issuer’s authorized representative Date 

▲

Type or print name and title 

Paid 

Preparer 

Use Only

Print/Type preparer’s name Preparer's signature Date Check if 

self-employed

PTIN

Firm’s name ▶

Firm's address ▶

Firm's EIN ▶

Phone no.

General Instructions 

Section references are to the Internal Revenue 

Code unless otherwise noted. 

What's New

The IRS has created a page on IRS.gov for 

information about the Form 8038 series and 

its instructions, at www.irs.gov/form8038. 

Information about any future developments 

affecting the Form 8038 series (such as 

legislation enacted after we release it) will be 

posted on that page.

Purpose of Form 

Form 8038-GC is used by the issuers of taxexempt governmental obligations to provide 

the IRS with the information required by 

section 149(e) and to monitor the 

requirements of sections 141 through 150. 

Who Must File 

Issuers of tax-exempt governmental 

obligations with issue prices of less than 

$100,000 must file Form 8038-GC. 

Issuers of a tax-exempt governmental 

obligation with an issue price of $100,000 or 

more must file Form 8038-G, Information 

Return for Tax-Exempt Governmental 

Obligations.

Filing a separate return for a single issue. 

Issuers have the option to file a separate 

Form 8038-GC for any tax-exempt 

governmental obligation with an issue price 

of less than $100,000. 

An issuer of a tax-exempt bond used to 

finance construction expenditures must file a 

separate Form 8038-GC for each issue to give 

notice to the IRS that an election was made to 

pay a penalty in lieu of arbitrage rebate (see 

the line 11 instructions). 

Filing a consolidated return for multiple 

issues. For all tax-exempt governmental 

obligations with issue prices of less than 

$100,000 that are not reported on a separate 

Form 8038-GC, an issuer must file a 

consolidated information return including all 

such issues issued within the calendar year. 

Thus, an issuer may file a separate Form 

8038-GC for each of a number of small issues 

and report the remainder of small issues 

issued during the calendar year on one 

consolidated Form 8038-GC. However, if the 

issue is a construction issue, a separate Form 

8038-GC must be filed to give the IRS notice 

of the election to pay a penalty in lieu of 

arbitrage rebate. 

Cat. No. 64108B Form 8038-GC (Rev. 1-2012)
Form 8038-GC (Rev. 1-2012) Page 2 

When To File 

To file a separate return for a single issue, file 

Form 8038-GC on or before the 15th day of 

the second calendar month after the close of 

the calendar quarter in which the issue is 

issued. 

To file a consolidated return for multiple 

issues, file Form 8038-GC on or before 

February 15th of the calendar year following 

the year in which the issue is issued. 

Late filing. An issuer may be granted an 

extension of time to file Form 8038-GC under 

section 3 of Rev. Proc. 2002-48, 2002-37 

I.R.B. 531, if it is determined that the failure to 

file on time is not due to willful neglect. Type 

or print at the top of the form, “Request for 

Relief under section 3 of Rev. Proc. 2002-48.” 

Attach to the Form 8038-GC a letter briefly 

stating why the form was not submitted to the 

IRS on time. Also indicate whether the 

obligation in question is under examination by 

the IRS. Do not submit copies of any bond 

documents, leases, or installment sale 

documents. See Where To File next.

Where To File 

File Form 8038-GC, and any attachments, 

with the Department of the Treasury, Internal 

Revenue Service Center, Ogden, UT 84201.

Private delivery services. You can use 

certain private delivery services designated by 

the IRS to meet the “timely mailing as timely 

filing/paying” rule for tax returns and 

payments. These private delivery services 

include only the following:

• DHL Express (DHL): DHL Same Day Service.

• Federal Express (FedEx): FedEx Priority 

Overnight, FedEx Standard Overnight, FedEx 

2Day, FedEx International Priority, and FedEx 

International First.

• United Parcel Service (UPS): UPS Next Day 

Air, UPS Next Day Air Saver, UPS 2nd Day 

Air, UPS 2nd Day Air A.M., UPS Worldwide 

Express Plus, and UPS Worldwide Express.

The private delivery service can tell you 

how to get written proof of the mailing date. 

Other Forms That May Be 

Required 

For rebating arbitrage (or paying a penalty in 

lieu of arbitrage rebate) to the Federal 

Government, use Form 8038-T, Arbitrage 

Rebate, Yield Reduction and Penalty in Lieu 

of Arbitrage Rebate. For private activity 

bonds, use Form 8038, Information Return for 

Tax-Exempt Private Activity Bond Issues.

For a tax-exempt governmental obligation 

with an issue price of $100,000 or more, use 

Form 8038-G.

Rounding to Whole Dollars 

You may show the money items on this return 

as whole-dollar amounts. To do so, drop any 

amount less than 50 cents and increase any 

amount from 50 to 99 cents to the next higher 

dollar.

Definitions 

Obligations. This refers to a single taxexempt governmental obligation if Form 

8038-GC is used for separate reporting or to

multiple tax-exempt governmental obligations 

if the form is used for consolidated reporting. 

Tax-exempt obligation. This is any obligation 

including a bond, installment purchase 

agreement, or financial lease, on which the 

interest is excluded from income under 

section 103.

Tax-exempt governmental obligation. A 

tax-exempt obligation that is not a private 

activity bond (see below) is a tax-exempt 

governmental obligation. This includes a bond 

issued by a qualified volunteer fire department 

under section 150(e).

Private activity bond. This includes an 

obligation issued as part of an issue in which: 

• More than 10% of the proceeds are to be 

used for any private activity business use, and 

• More than 10% of the payment of principal 

or interest of the issue is either (a) secured by 

an interest in property to be used for a private 

business use (or payments for such property) 

or (b) to be derived from payments for 

property (or borrowed money) used for a 

private business use. 

It also includes a bond, the proceeds of 

which (a) are to be used to make or finance 

loans (other than loans described in section 

141(c)(2)) to persons other than governmental 

units and (b) exceeds the lesser of 5% of the 

proceeds or $5 million. 

Issue. Generally, obligations are treated as 

part of the same issue only if they are issued 

by the same issuer, on the same date, and as 

part of a single transaction, or a series of 

related transactions. However, obligations 

issued during the same calendar year (a) 

under a loan agreement under which amounts 

are to be advanced periodically (a “drawdown loan”) or (b) with a term not exceeding 

270 days, may be treated as part of the same 

issue if the obligations are equally and ratably 

secured under a single indenture or loan 

agreement and are issued under a common 

financing arrangement (for example, under the 

same official statement periodically updated 

to reflect changing factual circumstances). 

Also, for obligations issued under a drawdown loan that meets the requirements of the 

preceding sentence, obligations issued during 

different calendar years may be treated as 

part of the same issue if all of the amounts to 

be advanced under the draw-down loan are 

reasonably expected to be advanced within 3 

years of the date of issue of the first 

obligation. Likewise, obligations (other than 

private activity bonds) issued under a single 

agreement that is in the form of a lease or 

installment sale may be treated as part of the 

same issue if all of the property covered by 

that agreement is reasonably expected to be 

delivered within 3 years of the date of issue of 

the first obligation.

Arbitrage rebate. Generally, interest on a 

state or local bond is not tax-exempt unless 

the issuer of the bond rebates to the United 

States arbitrage profits earned from investing 

proceeds of the bond in higher yielding 

nonpurpose investments. See section 148(f). 

Construction issue. This is an issue of taxexempt bonds that meets both of the 

following conditions: 

1. At least 75% of the available construction 

proceeds of the issue are to be used for 

construction expenditures with respect to 

property to be owned by a governmental unit 

or a 501(c)(3) organization, and 

2. All of the bonds that are part of the issue 

are qualified 501(c)(3) bonds, bonds that are 

not private activity bonds, or private activity 

bonds issued to finance property to be owned 

by a governmental unit or a 501(c)(3) 

organization. 

In lieu of rebating any arbitrage that may be 

owed to the United States, the issuer of a 

construction issue may make an irrevocable 

election to pay a penalty. The penalty is equal 

to 1-1/2% of the amount of construction 

proceeds that do not meet certain spending 

requirements. See section 148(f)(4)(C) and the 

Instructions for Form 8038-T.

Specific Instructions 

In general, a Form 8038-GC must be 

completed on the basis of available 

information and reasonable expectations as of 

the date of issue. However, forms that are 

filed on a consolidated basis may be 

completed on the basis of information readily 

available to the issuer at the close of the 

calendar year to which the form relates, 

supplemented by estimates made in good 

faith. 

Part I—Reporting Authority 

Amended return. An issuer may file an 

amended return to change or add to the 

information reported on a previously filed 

return for the same date of issue. If you are 

filing to correct errors or change a previously 

filed return, check the “Amended Return” box 

in the heading of the form. 

The amended return must provide all the 

information reported on the original return, in 

addition to the new corrected information. 

Attach an explanation of the reason for the 

amended return and write across the top 

"Amended Return Explanation."

Line 1. The issuer’s name is the name of the 

entity issuing the obligations, not the name of 

the entity receiving the benefit of the 

financing. In the case of a lease or installment 

sale, the issuer is the lessee or purchaser. 

Line 2. An issuer that does not have an 

employer identification number (EIN) should 

apply for one on Form SS-4, Application for 

Employer Identification Number. You can get 

this form on the IRS website at IRS.gov or by 

calling 1-800-TAX-FORM (1-800-829-3676). 

You may receive an EIN by telephone by 

following the instructions for Form SS-4. 

Lines 3 and 4. Enter the issuer’s address or 

the address of the designated contact person 

listed on line 6. If the issuer wishes to use its 

own address and the issuer receives its mail 

in care of a third party authorized 

representative (such as an accountant or

attorney), enter on the street address line 

“C/O” followed by the third party's name and 

street address or P.O. box. Include the suite, 

room, or other unit number after the street 

address. If the post office does not deliver 

mail to the street address and the issuer has a 

P.O. box, show the box number instead of the 
Form 8038-GC (Rev. 1-2012) Page 3 

street address. If a change in address occurs 

after the return is filed, use Form 8822, 

Change of Address, to notify the IRS of the 

new address.

Note. The address entered on lines 3 and 4 is 

the address the IRS will use for all written 

communications regarding the processing of 

this return, including any notices. By 

authorizing a person other than an authorized 

officer or other employee of the issuer to 

communicate with the IRS and whom the IRS 

may contact about this return, the issuer 

authorizes the IRS to communicate directly 

with the individual listed on line 6, whose 

address is entered on lines 3 and 4 and 

consents to disclose the issuer's return 

information to that individual, as necessary, to 

process this return.

Line 5. This line is for IRS use only. Do not 

make any entries in this box. 

Part II—Description of Obligations 

Check the appropriate box designating this as 

a return on a single issue basis or a 

consolidated return basis.

Line 8a. The issue price of obligations is 

generally determined under Regulations 

section 1.148-1(b). Thus, when issued for 

cash, the issue price is the price at which a 

substantial amount of the obligations are sold 

to the public. To determine the issue price of 

an obligation issued for property, see sections 

1273 and 1274 and the related regulations. 

Line 8b. For a single issue, enter the date of 

issue (for example, 03/15/2010 for a single 

issue issued on March 15, 2010), generally 

the date on which the issuer physically 

exchanges the bonds that are part of the 

issue for the underwriter’s (or other 

purchaser’s) funds; for a lease or installment 

sale, enter the date interest starts to accrue. 

For issues reported on a consolidated basis, 

enter the first day of the calendar year during 

which the obligations were issued (for 

example, for calendar year 2010, enter 

01/01/2010). 

Lines 9a through 9h. Complete this section if 

property other than cash is exchanged for the 

obligation, for example, acquiring a police car, 

a fire truck, or telephone equipment through a 

series of monthly payments. (This type of 

obligation is sometimes referred to as a 

“municipal lease.”) Also complete this section 

if real property is directly acquired in 

exchange for an obligation to make periodic 

payments of interest and principal.

Do not complete lines 9a through 9d if the 

proceeds of an obligation are received in the 

form of cash even if the term “lease” is used 

in the title of the issue. For lines 9a through 

9d, enter the amount on the appropriate line 

that represents a lease or installment 

purchase. For line 9d, enter the type of item 

that is leased. For lines 9e through 9h, enter 

the amount on the appropriate line that 

represents a bank loan. For line 9h, enter the 

type of bank loan. 

Lines 9i and 9j. For line 9i, enter the amount 

of the proceeds that will be used to pay 

principal, interest, or call premium on any 

other issue of bonds, including proceeds that 

will be used to fund an escrow account for 

this purpose. Several lines may apply to a 

particular obligation. For example, report on 

lines 9i and 9j obligations used to refund prior 

issues which represent loans from the 

proceeds of another tax-exempt obligation. 

Line 9k. Enter on line 9k the amount on line 

8a that does not represent an obligation 

described on lines 9a through 9j. 

Line 10. Check this box if the issuer has 

designated any issue as a “small issuer 

exception” under section 265(b)(3)(B)(i)(III). 

Line 11. Check this box if the issue is a 

construction issue and an irrevocable election 

to pay a penalty in lieu of arbitrage rebate has 

been made on or before the date the bonds 

were issued. The penalty is payable with a 

Form 8038-T for each 6-month period after 

the date the bonds are issued. Do not make 

any payment of penalty in lieu of rebate with 

Form 8038-GC. See Rev. Proc. 92-22, 

1992-1 C.B. 736, for rules regarding the 

“election document.” 

Line 12. Enter the name of the vendor or bank 

who is a party to the installment purchase 

agreement, loan, or financial lease. If there 

are multiple vendors or banks, the issuer 

should attach a schedule. 

Line 13. Enter the employer identification 

number of the vendor or bank who is a party 

to the installment purchase agreement, loan, 

or financial lease. If there are multiple vendors 

or banks, the issuer should attach a schedule. 

Signature and Consent 

An authorized representative of the issuer 

must sign Form 8038-GC and any applicable 

certification. Also print the name and title of 

the person signing Form 8038-GC. The 

authorized representative of the issuer signing 

this form must have the authority to consent 

to the disclosure of the issuer's return 

information, as necessary to process this 

return, to the person(s) that has been 

designated in this form.

Note. If the issuer authorizes in line 6 the IRS 

to communicate with a person other than an 

officer or other employee of the issuer, (such 

authorization shall include contact both in 

writing regardless of the address entered in 

lines 3 and 4, and by telephone) by signing 

this form, the issuer's authorized 

representative consents to the disclosure of 

the issuer's return information, as necessary 

to process this return, to such person. 

Paid Preparer 

If an authorized representative of the issuer 

filled in its return, the paid preparer’s space 

should remain blank. Anyone who prepares 

the return but does not charge the 

organization should not sign the return. 

Certain others who prepare the return should 

not sign. For example, a regular, full-time 

employee of the issuer, such as a clerk, 

secretary, etc., should not sign.

Generally, anyone who is paid to prepare a 

return must sign it and fill in the other blanks 

in the Paid Preparer Use Only area of the 

return. A paid preparer cannot use a social 

security number in the Paid Preparer Use Only 

box. The paid preparer must use a preparer 

tax identification number (PTIN). If the paid 

preparer is self-employed, the preparer 

should enter his or her address in the box.

The paid preparer must:

• Sign the return in the space provided for the 

preparer’s signature, and

• Give a copy of the return to the issuer. 

Paperwork Reduction Act Notice 

We ask for the information on this form to 

carry out the Internal Revenue laws of the 

United States. You are required to give us the 

information. We need it to ensure that you are 

complying with these laws. 

You are not required to provide the 

information requested on a form that is 

subject to the Paperwork Reduction Act 

unless the form displays a valid OMB control 

number. Books or records relating to a form 

or its instructions must be retained as long as 

their contents may become material in the 

administration of any Internal Revenue law. 

Generally, tax returns and return information 

are confidential, as required by section 6103. 

The time needed to complete and file this 

form will vary depending on individual 

circumstances. The estimated average time is:

Learning about the 

law or the form . . . . 4 hr., 46 min.

Preparing the form . . . . 2 hr., 22 min.

Copying, assembling, and 

sending the form to the IRS . 2 hr., 34 min.

If you have comments concerning the 

accuracy of these time estimates or 

suggestions for making this form simpler, we 

would be happy to hear from you. You can 

write to the Internal Revenue Service, Tax 

Products Coordinating Committee, 

SE:W:CAR:MP:T:M:S, 1111 Constitution Ave. 

NW, IR-6526, Washington, DC 20224. Do not 

send the form to this address. Instead, see 

Where To File.