### Question
How does TAX EXEMPTION REQUIREMENTS FOR STATE AND LOCAL BONDS define nongovernmental output property?


### Answer
Under *26 U.S.C. § 141*, **nongovernmental output property** is defined as:

> any property (or interest therein) which before such acquisition was used (or held for use) by a person other than a governmental unit in connection with an output facility (within the meaning of subsection (b)(4)) (other than a facility for the furnishing of water)

#### Citation:
  - *26 U.S.C. § 141*
  - 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 A-Private Activity Bonds**

