1. Except as otherwise provided in subsection 2, bonds issued pursuant to the provisions of this chapter are issued for an essential public and governmental purpose, and together with interest on them and income from them are exempt from all taxes.
2. The provisions of subsection 1 do not apply to the tax on estates imposed pursuant to the provisions of chapter 375A of NRS or the tax on generation-skipping transfers imposed pursuant to the provisions of chapter 375B of NRS.