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"The tax treatment is similar to that of zero-coupon bonds or original-issue discount bonds in that the increased value is taxed as 'phantom' income, even though the holder has not received cash for the inflation adjustment," explained FRC's Dow.

In a sense they are saying the same thing except why does he say the funds like Vanguard pay out a "phantom" income when they pay out a REAL quarterly inflation adjustment and dividend? I thought this "phantom" income only applyed to the actual TIPS?
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