WASHINGTON — Some transaction participants appear to be rushing to market questionable Build America Bond, bank-qualified or other municipal bond deals before tax incentives expire at the end of the year and risking Internal Revenue Service enforcement action for violations of tax requirements, according to market sources.

They are trying to get deals done before the Dec. 31 expiration date of programs or tax incentives authorized by the American Recovery and Reinvestment Act in 2009. They are doing so even though the deal structures raise date-of-issuance questions, or the projects to be financed with the proceeds are not far enough along or even feasible enough to warrant bond financing, the sources said.

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