### Question
How does NORMAL TAXES AND SURTAXES define higher yielding investments?


### Answer
Under *26 U.S.C. § 148*, **higher yielding investments** is defined as:

> any investment property which produces a yield over the term of the issue which is materially higher than the yield on the issue

#### Citation:
  - *26 U.S.C. § 148*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter B-Computation of Taxable Income > PART IV-TAX EXEMPTION REQUIREMENTS FOR STATE AND LOCAL BONDS > Subpart B-Requirements Applicable to All State and Local Bonds**

