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United States, 31 Fed.
Are you an entrepreneur.The reason for such valuation of the sex dating in maxwelton washington flower bonds which cannot be redeemed for payment of death taxes is obvious; that is, they can only be sold on the open market; they cannot be redeemed at par.When the values are equal, the share is said to be at par; if it can be sold for more than its face value, it is above par; if it is sold for less than its nominal value, it is below par.The bonds are known as flower bonds because of the flowering to early maturity upon the owner's death.Following is an example of a case law defining the term flower bond: Flower bonds" have been defined as follows: A type of debt instrument issued by the Department of Treasury pursuant to the Second Liberty Bond Act,.S.C.S.They are long-term bonds that carry an unusual feature with respect to federal estate tax payments.The term par refers to an equality that exists between the nominal or face value of a documentsuch as a bill of exchange or a share of stockand its actual selling value.Preferred stocks state a par value upon which the dividends are calculated, and the par value of bonds establishes the final pay-off amount upon maturity, usually many years in the future.Flower bonds were issued before April 1971 and reached final maturity in 1998.Flower bond is.S treasury bond recoverable before maturity upon payment or fulfilling a condition, if used to settle federal estate taxes.That is because the special use of the bonds establishes a fair market value of par as they are redeemable at par in payment of the federal estate tax liability.Jeff Rose, sBA Business Loans for Funding Your New Start.It is used to denote a state of equality or equal value.Although not otherwise redeemable by the owner prior to maturity, these bonds are redeemable at par value, plus accrued interest, upon the death of the owner for the payment of federal estate taxes on the deceased owner's estate.Par, in, commercial Law, equal; equality.When flower bonds are surrendered in payment of taxes, and accepted as such, that constitutes payment of those taxes for statute of limitations and statutory interest purposes.
2) the face value of a stock or bond, printed on the certificate, which is the amount the original purchaser paid the issuing corporation.