debt obligations of the U.S. government that are issued at various intervals and with various
maturities; revenue from these bonds is used
to raise capital and / or refund outstanding debt; since Treasury securities are backed by the full faith and credit of the U.S. government, they are generally considered
to be free from credit risk and thus typically carry lower
yields than other securities; the interest paid by Treasuries is exempt from state and local tax, but is subject
to federal taxes and may be subject
to the federal Alternative
Minimum Tax (AMT); U.S. Treasury securities include Treasury bills, Treasury notes, Treasury bonds, zero - coupon bonds, Treasury Inflation Protected Securities (TIPS), and Treasury Auctions