tax anticipation note (TAN)

tax anticipation note (TAN) definition - business

tax anticipation note (TAN)

A short-term municipal obligation that is sold to provide funds for government operations until taxes have been received. At that time, the receipts are used to repay the debt. These generally low-risk securities appeal primarily to larger investors.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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