Treasury Bill Law and Legal Definition

A treasury bill is a negotiable debt obligation issued by the U.S. government and backed by its full faith and credit, having a maturity of one year or less. Treasury bills are exempt from state and local taxes. It is also called a Bill or T-Bill or U.S. Treasury Bill.

A treasury bill is a short-term obligation issued by the U.S. government, sold at a discount from its face value and redeemed at its face value upon maturity. Treasury bills, treasury notes, treasury bonds, and savings bonds are all different types of treasury securities.