Why docs the IRS treat the difference between the price of a bond purchased at a discount and its face value as ordinary income to the investor, as opposed to treating it as a capital gain ...

A bonds price is the discounted value of the cash flows that it produces Th ...

Why docs the IRS treat the difference between the price of a bond purchased at a discount

Question:

Why docs the IRS treat the difference between the price of a bond purchased at a discount and its as ordinary income to the investor, as opposed to treating it as a capital gain?
Face Value
Face value is a financial term used to describe the nominal or dollar value of a security, as stated by its issuer. For stocks, the face value is the original cost of the stock, as listed on the certificate. For bonds, it is the amount paid to the...