My father bought what I thought were tax free bonds for my daughter in
1990. The bonds matured in 2007. He bought "65,000 California Zero CPN 10-1-07 (Cpn eagles II) Ser 6 OAR 7%, Orig 10% 4-1-10 Book Entry, MTY value $1000 per 1M-G.0. Yld to mat 7.00. No periodic payment." He paid $19,649.55 for the bonds. They matured at $65,000. We do not live in California, if that makes a difference. Do I owe taxes on the difference between 65,000 and 19,649.55, or is there more to it? We have not paid any taxes in any year on these bonds. Thank you very much for any help.- posted
16 years ago