### Question
How does the law define taxable bond?


### Answer
Under *26 U.S.C. § 171*, **taxable bond** is defined as:

> any bond the interest of which is not excludable from gross income

#### Citation:
  - *26 U.S.C. § 171*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter B-Computation of Taxable Income > PART VI-ITEMIZED DEDUCTIONS FOR INDIVIDUALS AND CORPORATIONS**

