Tax exemption for principal and interest on bonds.
Memphis Charter, art. 78, § 881
in effectSec. 881. - Tax exemption for principal and interest on bonds.
In the event the faith and credit of the City of Memphis are pledged to payment of the principal and interest of said bonds, neither the principal of nor the interest on the bonds issued shall be taxed by the State of Tennessee, or by any County or municipality thereof; and it shall be so stated on the face of the bonds in conformity to the provisions of section 1088 of the Code of Tennessee of 1932.*
If by the provisions of the Public Works Acts of 1935 or any other law passed by this or any later general assembly the incorporated cities and towns of the State are empowered to issue bonds to finance public works projects made non-taxable by the State of Tennessee, or any County or municipality thereof, whether the faith and credit of such municipality be pledged to the payment of principal and/or interest thereof or not, then neither the principal of, nor the interest on, the bonds issued under the provisions of this Act shall be taxed by the State of Tennessee, or by any County or municipality thereof; and it shall be so stated on the face of the bonds.
(Priv. Acts 1935, ch. 108, § 14, 1st Spec. Sess.)
Source: City of Memphis, Code of Ordinances and Charter and Related Laws (Municode Library, library.municode.com)URL: https://library.municode.com/tn/memphis/codes/charter?nodeId=PTICHRELA_ART78PUWOAC_S881TAEXPRINBOFetched: 10/28/2026