Aim Tax Exempt Funds N-CSR Certified annual shareholder report (management investment company)

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-07890

AIM Tax-Exempt Funds

(Invesco Tax-Exempt Funds)

(Exact name of registrant as specified in charter)

11 Greenway Plaza, Suite 1000 Houston, Texas 77046

(Address of principal executive offices) (Zip code)

Philip A. Taylor 11 Greenway Plaza, Suite 1000 Houston, Texas 77046

(Name and address of agent for service)

Registrant’s telephone number, including area code: (713) 626-1919

Date of fiscal year end: 2/28

Date of reporting period: 2/28/14

Item 1. Report to Stockholders.

Letters to Shareholders

       Philip Taylor Dear Shareholders: This annual report includes information about your Fund, including performance data and a complete list of its investments as of the close of the reporting period. Inside, your Fund’s portfolio managers discuss how they managed your Fund and the factors that affected its performance during the reporting period. I hope you find this report of interest.     During the reporting period covered by this report, major US and global equity market indexes hit multiyear or all-time highs¹, the result of a strengthening US economy and relatively healthy corporate profits. Also helping equities was a return of individual investors to stocks – due in part to monetary policies that kept interest rates (and yields on fixed income securities) low. Despite some volatility in the summer of 2013, overseas equity market indexes in developed and emerging nations generally rose during the reporting period – although

developed markets generally outpaced emerging markets. In January 2014, amid widespread signs of an improving economy, the US Federal Reserve began a long-anticipated reduction in its bond-buying program.

    Extended periods of strong market performance can lull some investors into a false sense of security – just as extended periods of volatility or market weakness can discourage some investors from undertaking disciplined, long-term investment plans. That’s why Invesco believes it can often be helpful to work with a skilled and trusted financial adviser; he or she can emphasize the importance of adhering to an investment plan designed to achieve long-term goals like a first home, a college education for a child or a comfortable retirement. A financial adviser who is familiar with your individual financial situation, investment goals and risk tolerance can be an invaluable partner as you work toward your financial goals. He or she can provide insight and perspective when markets are volatile; encouragement and reassurance when times are uncertain; and advice and guidance when your financial situation or investment goals change.

Timely information when and where you want it

Invesco’s efforts to help investors achieve their financial objectives include providing individual investors and financial professionals with timely information about the markets, the economy and investing – whenever and wherever they want it.

    Our website, invesco.com/us, offers a wide range of market insights and investment perspectives. On the website, you’ll find detailed information about our funds, including prices, performance, holdings and portfolio manager commentaries. You can access information about your individual Invesco account whenever it’s convenient for you; just complete a simple, secure online registration. Use the “Login” box on our home page to get started.

    Invesco’s mobile app for iPad^® (available free from the App Store^SM) allows you to obtain the same detailed information about your Fund and the same investment insights from our investment leaders, market strategists, economists and retirement experts on the go. You also can watch portfolio manager videos and have instant access to Invesco news and updates wherever you may be.

    In addition to the resources accessible on our website and through our mobile app, you can obtain timely updates to help you stay informed about the markets, the economy and investing by connecting with Invesco on Twitter, LinkedIn or Facebook. You can access our blog at blog.invesco.us.com or by visiting the “Intentional Investing Forum” on our home page. Our goal is to provide you the information you want, when and where you want it.

Have questions?

For questions about your account, feel free to contact an Invesco client services representative at 800 959 4246. For Invesco-related questions or comments, please email me directly at phil@invesco.com.

    All of us at Invesco look forward to serving your investment management needs for many years to come. Thank you for investing with us.

Sincerely,

Philip Taylor

Senior Managing Director, Invesco Ltd.

1 Source: Reuters

iPad is a trademark of Apple Inc., registered in the US and other countries. App Store is a service mark of Apple Inc. Invesco Distributors, Inc. is not affiliated with Apple Inc.

2                         Invesco High Yield Municipal Fund

     Bruce Crockett Dear Fellow Shareholders: Members of the Invesco Funds Board work continually to oversee how the Invesco Funds are performing in light of ever-changing and often unpredictable economic and market conditions. One of the ways we do this is by verifying that the teams that manage funds understand the risks associated with the investments they make in the funds they manage.     In light of market conditions over the last few years, the financial news media of late have given increased attention to “alternative investment strategies.” Despite this increased attention, many investors don’t know very much about these types of investment strategies.     Let me put alternative investment strategies and the new focus on them in some perspective. First, these types of investment strategies have been used predominately by institutional investors and investment professionals for decades to increase diversification – in an effort to

dampen portfolio volatility (risk) with the goal of increasing returns. The focal point of the increased news coverage is that these types of strategies are now being made more widely available to individual investors.

    Alternative investment strategies generally seek to provide measured exposure to various asset classes whose performance, historically, has not been highly correlated with one another. These strategies may help mitigate the impact to a portfolio from severe or prolonged market downturns while potentially providing reasonable returns over time. After a careful and thorough examination of the potential risks and potential benefits of alternative investment strategies, the Invesco Funds Board has approved the launch of several new alternative funds for the Invesco product lineup, to be managed by teams we determined have the depth and experience to pursue the funds’ investment objectives.

    While no single investment product can provide complete downside protection in falling markets and full upside participation in rising markets, your Board believes alternative funds can be a prudent tool to work in concert with more traditional mutual funds and other investments to build well diversified portfolios. Your financial adviser can determine whether or not such investments are appropriate for your individual needs, goals and risk tolerance. Also, he or she can explain the risks associated with alternative investment strategies. This type of professional guidance is why Invesco believes it’s so important that individual investors work with trusted, experienced financial advisers.

    Whether you’re invested in equity, fixed income, cash management or alternative investment funds, be assured that the Invesco Funds Board will continue working on your behalf and on behalf of all our fund shareholders, keeping your needs and interests uppermost in our minds.

    As always, please contact me at bruce@brucecrockett.com with any questions or concerns you may have. On behalf of the Board, we look forward to continuing to represent your interests and serving your needs.

Sincerely,

Bruce L. Crockett

Independent Chair

Invesco Funds Board of Trustees

Asset allocation/diversification does not guarantee a profit or eliminate the risk of loss.

Alternative products typically hold more non-traditional investments and employ more complex trading strategies, including hedging and leveraging through derivatives, short selling and opportunistic strategies that change with market conditions. Investors considering alternatives should be aware of their unique characteristics and additional risks from the strategies they use. Like all investments, performance will fluctuate. You can lose money.

3                         Invesco High Yield Municipal Fund

Management’s Discussion of Fund Performance

Performance summary

For the fiscal year ended February 28, 2014, Invesco High Yield Municipal Fund, at net asset value (NAV), posted negative returns. The Fund at NAV underperformed its broad market and style-specific benchmarks, the Barclays High Yield Municipal Bond Index and the Custom High Yield Municipal Index, respectively. The Fund’s leverage during a down year for municipal bonds detracted from relative performance. The Fund’s underweight allocation to Puerto Rico bonds was the largest positive contributor to performance.

    Your Fund’s long-term performance appears later in this report.

Fund vs. Indexes

Total returns, 2/28/13 to 2/28/14, at net asset value (NAV). Performance shown does not include applicable contingent deferred sales charges (CDSC) or front-end sales charges, which would have reduced performance.

Class A Shares	-2.37	%
Class B Shares	-2.44
Class C Shares	-3.15
Class Y Shares	-2.11
Class R5 Shares	-2.10
Barclays High Yield Municipal Bond Index‚ (Broad Market Index)	-1.60
Custom High Yield Municipal Index¢ (Style-Specific Index)	-1.04

Source(s): ^‚Invesco, Barclays; ^¢Invesco, Lipper Inc., Barclays

How we invest

The Fund’s investment objective is to seek federal tax-exempt current income and taxable capital appreciation.

    Under normal market conditions, we generally seek to achieve the Fund’s investment objective by investing primarily in a portfolio of medium- and lower-grade municipal securities. Although not governed by specific rating categories, the Fund generally invests at least 75% of its net assets in municipal securities rated medium- to lower-quality - or if not rated, securities we determine to be of comparable quality - at the time of investment.

    Under normal market conditions, we may invest all or a substantial portion of the Fund’s assets in municipal securities that are subject to the federal alternative minimum tax (AMT). Accordingly, the Fund may not be a suitable investment for investors who are already subject to the AMT or could become subject to it as a result of an investment in the Fund.

    At times, conditions in the municipal securities markets may be such that we

will invest in higher-grade issues, particularly when the difference in returns between quality classifications is very narrow or when we expect interest rates to increase. These investments may lessen the decline in NAV but may affect the amount of current income, since yields of higher-grade securities are usually lower than yields of medium- or lower-grade securities.

    Sell decisions generally are based on:

n A deterioration or likely deterioration of an individual issuer’s capacity to meet its debt obligations on a timely basis.

n A deterioration or likely deterioration of the broader fundamentals of a particular industry or sector.

n Opportunities in the secondary or primary market to purchase a security with better relative value.

Market conditions and your Fund

For the fiscal year ended February 28, 2014, the municipal bond market returned -0.21%¹, as measured by the

Barclays Municipal Bond Index. Record outflows from municipal bond funds, driven by concerns over rising interest rates and high-profile credit events, resulted in a challenging year for municipal bond investors. The $67 billion² in municipal bond fund redemptions between March and December 2013 was in stark contrast to inflows of $65 billion² and strong performance for the asset class over the prior two years.

    Shortly after the fiscal year began, investors became apprehensive that the US Federal Reserve (the Fed) would reduce its asset purchase program, known as quantitative easing (QE), as the US economy improved. Concerned that Fed action would cause interest rates to rise and bond prices to fall, investors began trimming their allocations to fixed income investments, including municipal bonds. The rate of outflows increased dramatically in June following comments made by then-Fed Chairman Ben Bernanke on the timing for tapering QE.

    Over the summer of 2013, several high-profile credit events had an adverse impact on the municipal bond market. These included downgrades to the credit ratings of Chicago debt on pension concerns, Detroit filing the largest municipal bankruptcy in US history³ and increased uncertainty about the financial condition of Puerto Rico.

    The market received a two-month reprieve in September when the Fed decided not to reduce QE, although it reversed that decision in December when it announced that it would decrease its asset purchases by $10 billion per month, beginning in January 2014.⁴ A final head-wind for the municipal bond market was significant tax-loss selling of municipal bonds in December to offset gains from strong equity returns during 2013.

    In the first two months of 2014, the municipal bond market turned positive. Softer economic data reduced expectations for hawkish Fed action. Relatively

Portfolio Composition
By credit sector, based on total investments
Revenue Bonds	94.4	%
General Obligation Bonds	5.0
Pre-Refunded Bonds	0.6

Top Five Fixed Income Issuers
1.	Collier (County of) Industrial Development Authority (The Arlington of Naples); Series 2014 A	0.7	%
2.	King (County of); Series 2011 B	0.7
3.	Massachusetts (State of); Series 2004 A	0.7
4.	Golden State Tobacco Securitization Corp.; Series 2005 A	0.7
5.	Sanger Industrial Development Corp. (Texas Pellets); Series 2012 B	0.7

Total Net Assets	$6.1 billion
Total Number of Holdings	1,340

The Fund’s holdings are subject to change, and there is no assurance that the Fund will continue to hold any particular security.

4                         Invesco High Yield Municipal Fund

high yields on municipal bonds, coupled with higher personal income tax rates and improving municipal fundamentals, drew investors back to the asset class. Net positive fund flows in January and February, combined with limited supply of new issuance, produced strong returns in the final two months of the fiscal year.

    During the fiscal year, a primary driver of the Fund’s underperformance relative to its broad market benchmark was its use of leverage. This had a negative impact on Fund performance as the municipal bond market experienced negative price returns for the period.

    At the sector level, the Fund’s underweight allocation and security selection in Tobacco settlement bonds made a positive contribution to performance. The Fund’s significant underweight position in Puerto Rico was also a large contributor to performance. Returns from bonds rated below investment grade were also additive to Fund performance.

    Prior to the beginning of the fiscal year, the Fund had been closed to new investors for six months due primarily to a lack of supply in the primary and secondary markets that met the managers’ criteria for reaching the Fund’s objectives. During the first three months of the fiscal year, the Fund remained closed. It was reopened to new investors in June 2013 after the market changed due to net outflows from municipal bond funds and investment opportunities became available.

    During the reporting period, leverage detracted from Fund performance. The Fund achieved a leveraged position through the use of inverse floating rate securities or Tender Option Bonds (TOBs). The Fund uses leverage because we believe that, over time, leveraging provides opportunities for additional income and total return for shareholders. However, the use of leverage also can expose shareholders to additional volatility. For more information about the Fund’s use of leverage, see the Notes to Financial Statements later in this report.

    We wish to remind you that the Fund is subject to interest rate risk, meaning when interest rates rise, the value of fixed income securities generally will fall. This risk may be greater in the current market environment because interest rates are at or near historic lows. We are monitoring interest rates and market and economic factors that may impact interest rates, including the potential impact of the Fed’s tapering of QE. If interest

rates rise, markets may experience increased volatility, which may affect the value and/or liquidity of certain of the Fund’s investments.

    Recently published rules implementing section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act may preclude banking entities from sponsoring and/or providing services for TOB trust programs. As a result, the Trust’s ability to utilize TOBs for leverage purposes may be adversely affected.

    Thank you for investing in Invesco High Yield Municipal Fund and for sharing our long-term investment horizon.

1 Source: Barclays

2 Source: Morningstar

3 Source: Moody’s

4 Source: US Federal Reserve

5 Source: Standard & Poor’s. A credit rating is an assessment provided by a nationally recognized statistical rating organization (NRSRO) of the creditworthiness of an issuer with respect to debt obligations, including specific securities, money market instruments or other debts. Ratings are measured on a scale that generally ranges from AAA (highest) to D (lowest); ratings are subject to change without notice. “Non-Rated” indicates the debtor was not rated, and should not be interpreted as indicating low quality. For more information on Standard & Poor’s rating methodology, please visit standard and poors. com and select “Understanding Ratings” under Rating Resources on the homepage.

The views and opinions expressed in management’s discussion of Fund performance are those of Invesco Advisers, Inc. These views and opinions are subject to change at any time based on factors such as market and economic conditions. These views and opinions may not be relied upon as investment advice or recommendations, or as an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but Invesco Advisers, Inc. makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.

See important Fund and, if applicable, index disclosures later in this report.

	Bill Black Chartered Financial Analyst, portfolio manager, is manager of Invesco High Yield Municipal Fund. He
joined Invesco in 2010. Mr. Black earned a BS in engineering and public policy from Washington University in St. Louis and an MBA from Kellogg School of Management, Northwestern University.

	Mark Paris Portfolio manager, is manager of Invesco High Yield Municipal Fund. He joined Invesco in 2010.
Mr. Paris earned a BBA in finance from Baruch College, The City University of New York.

	James Phillips Portfolio manager, is manager of Invesco High Yield Municipal Fund. He joined Invesco in 2010.
Mr. Phillips earned a BA in American literature from Empire State College and an MBA in finance from University at Albany, The State University of New York.

5                         Invesco High Yield Municipal Fund

Your Fund’s Long-Term Performance

Results of a $10,000 Investment – Oldest Share Class(es)

Fund and index data from 2/29/04

1   Source(s): Invesco, Barclays

2   Source(s): Invesco, Lipper Inc., Barclays

Past performance cannot guarantee comparable future results.

    The data shown in the chart include reinvested distributions, applicable sales charges and Fund expenses including management fees. Index results include reinvested dividends, but they do not reflect sales charges. Performance of the

peer group, if applicable, reflects fund expenses and management fees; performance of a market index does not. Performance shown in the chart and table(s) does not reflect deduction of taxes a shareholder would pay on Fund distributions or sale of Fund shares.

6                         Invesco High Yield Municipal Fund

Average Annual Total Returns
As of 2/28/14, including maximum applicable sales charges
Class A Shares
Inception (1/2/86)	5.80	%
10 Years	4.10
5 Years	8.90
1 Year	-6.51
Class B Shares
Inception (7/20/92)	5.24	%
10 Years	4.03
5 Years	9.33
1 Year	-7.05
Class C Shares
Inception (12/10/93)	4.51	%
10 Years	3.76
5 Years	9.03
1 Year	-4.07
Class Y Shares
Inception (3/1/06)	4.24	%
5 Years	10.13
1 Year	-2.11
Class R5 Shares
10 Years	5.34
5 Years	10.56
1 Year	-2.10

Average Annual Total Returns
As of 12/31/13, the most recent calendar quarter end, including maximum applicable sales charges
Class A Shares
Inception (1/2/86)	5.66	%
10 Years	3.88
5 Years	9.33
1 Year	-9.58
Class B Shares
Inception (7/20/92)	5.05	%
10 Years	3.78
5 Years	9.71
1 Year	-9.99
Class C Shares
Inception (12/10/93)	4.31	%
10 Years	3.56
5 Years	9.45
1 Year	-7.14
Class Y Shares
Inception (3/1/06)	3.69	%
5 Years	10.51
1 Year	-5.31
Class R5 Shares
10 Years	5.13
5 Years	11.02
1 Year	-5.30

Effective June 1, 2010, Class A, Class B, Class C and Class I shares of the predecessor fund, Van Kampen High Yield Municipal Fund, advised by Van Kampen Asset Management were reorganized into Class A, Class B, Class C and Class Y shares, respectively, of Invesco Van Kampen High Yield Municipal Fund (renamed Invesco High Yield Municipal Fund). Returns shown above for Class A, Class B, Class C and Class Y shares are blended returns of the predecessor fund and Invesco High Yield Municipal Fund. Share class returns will differ from the predecessor fund because of different expenses.

    Class R5 shares incepted on April 30, 2012. Performance shown prior to that date is that of the Fund’s and the predecessor fund’s Class A shares and includes the 12b-1 fees applicable to Class A shares. Class A share performance reflects any applicable fee waivers or expense reimbursements.

    The performance data quoted represent past performance and cannot guarantee comparable future results; current performance may

be lower or higher. Please visit invesco.com/performance for the most recent month-end performance. Performance figures reflect reinvested distributions, changes in net asset value and the effect of the maximum sales charge unless otherwise stated. Investment return and principal value will fluctuate so that you may have a gain or loss when you sell shares.

    The total annual Fund operating expense ratio set forth in the most recent Fund prospectus as of the date of this report for Class A, Class B, Class C, Class Y and Class R5 shares was 0.90%, 0.90%, 1.65%, 0.65% and 0.69%, respectively. The expense ratios presented above may vary from the expense ratios presented in other sections of this report that are based on expenses incurred during the period covered by this report.

    Class A share performance reflects the maximum 4.25% sales charge, and Class B and Class C share performance reflects the applicable contingent deferred sales charge (CDSC) for the period involved. For shares purchased

prior to June 1, 2010, the CDSC on Class B shares declines from 4% at the time of purchase to 0% at the beginning of the sixth year. For shares purchased on or after June 1, 2010, the CDSC on Class B shares declines from 5% at the time of purchase to 0% at the beginning of the seventh year. The CDSC on Class C shares is 1% for the first year after purchase. Class Y and Class R5 shares do not have a front-end sales charge or a CDSC; therefore, performance is at net asset value.

    The performance of the Fund’s share classes will differ primarily due to different sales charge structures and class expenses.

7                         Invesco High Yield Municipal Fund

Invesco High Yield Municipal Fund’s investment objective is to seek federal tax-exempt current income and taxable capital appreciation.

n Unless otherwise stated, information presented in this report is as of February 28, 2014, and is based on total net assets.

n Unless otherwise noted, all data provided by Invesco.

n To access your Fund’s reports/prospectus, visit invesco.com/fundreports.

About share classes

n Class B shares may not be purchased for new or additional investments. Please see the prospectus for more information.

n Class Y shares are available only to certain investors. Please see the prospectus for more information.

n Class R5 shares are primarily intended for employer sponsored retirement and benefit plans that meet certain standards and for institutional investors. Please see the prospectus for more information.

Principal risks of investing in the Fund

n Alternative minimum tax risk. All or a portion of the Fund’s otherwise tax-exempt income may be taxable to those shareholders subject to the federal alternative minimum tax.

n Call risk. If interest rates fall, it is possible that issuers of debt securities with high interest rates will prepay or call their securities before their maturity dates. In this event, the proceeds from the called securities would likely be reinvested by the Fund in securities bearing the new, lower interest rates, resulting in a possible decline in the Fund’s income and distributions to shareholders.

n Credit risk. The issuer of instruments in which the Fund invests may be unable to meet interest and/or principal payments, thereby causing its instruments to decrease in value and lowering the issuer’s credit rating.

n Derivatives risk. The value of a derivative instrument depends largely on (and is derived from) the value of an underlying security, currency, commodity, interest rate, index or other asset (each referred to as an underlying asset). In addition to risks

relating to the underlying assets, the use of derivatives may include other, possibly greater, risks, including counterparty, leverage and liquidity risks. Counterparty risk is the risk that the counterparty to the derivative contract will default on its obligation to pay the Fund the amount owed or otherwise perform under the derivative contract. Derivatives create leverage risk because they do not require payment up front equal to the economic exposure created by owning the derivative. As a result, an adverse change in the value of the underlying asset could result in the Fund sustaining a loss that is substantially greater than the amount invested in the derivative, which may make the Fund’s returns more volatile and increase the risk of loss. Derivative instruments may also be less liquid than more traditional investments and the Fund may be unable to sell or close out its derivative positions at a desirable time or price. This risk may be more acute under adverse market conditions, during which the Fund may be most in need of liquidating its derivative positions. Derivatives may also be harder to value, less tax efficient and subject to changing government regulation that could impact the Fund’s ability to use certain derivatives or their cost. Also, derivatives used for hedging or to gain or limit exposure to a particular market segment may not provide the expected benefits, particularly during adverse market conditions.

n High yield bond (junk bond) risk. Junk bonds involve a greater risk of default or price changes due to changes in the credit quality of the issuer. The values of junk bonds fluctuate more than those of high-quality bonds in response to company, political, regulatory or economic developments. Values of junk bonds can decline significantly over short periods of time.

n Income risk. The income you receive from the Fund is based primarily on prevailing interest rates, which can vary widely over the short- and long-term. If interest rates drop, your income from the Fund may drop as well.

n Interest rate risk. Interest rate risk refers to the risk that bond prices generally fall as interest rates rise; conversely, bond prices generally

rise as interest rates fall. Specific bonds differ in their sensitivity to changes in interest rates depending on their individual characteristics, including duration.

n Inverse floating rate obligations risk. Inverse floating rate obligations, including tender option bonds, may be subject to greater price volatility than a fixed income security with similar qualities. When short-term interest rates rise, they may decrease in value and produce less or no income. Additionally, these securities may lose principal. Similar to derivatives, inverse floating rate obligations have the following risks: counterparty, leverage, correlation, liquidity, market, interest rate, and management risks.

n Leverage risk. Leverage exists when the Fund purchases or sells an instrument or enters into a transaction without investing cash in an amount equal to the full economic exposure of the asset or transaction and the Fund could lose more than it invested. Leverage created from certain types of transactions or instruments may impair the Fund’s liquidity, cause it to liquidate positions at an unfavorable time, increase volatility or otherwise not achieve its intended objective.

n Liquidity risk. The Fund may hold illiquid securities that it is unable to sell at the preferred time or price and could lose its entire investment in such securities.

n Management risk. The investment techniques and risk analysis used by the Fund’s portfolio managers may not produce the desired results.

n Market risk. The prices of and the income generated by the Fund’s securities may decline in response to, among other things, investor sentiment, general economic and market conditions, regional or global instability, and currency and interest rate fluctuations.

This report must be accompanied or preceded by a currently effective Fund prospectus, which contains more complete information, including sales charges and expenses. Investors should read it carefully before investing.

NOT FDIC INSURED  |  MAY LOSE VALUE  |  NO BANK GUARANTEE

7                Invesco Emerging Market Local Currency Debt Fund

n Medium- and lower-grade municipal securities risk. Securities which are in the medium- and lower-grade categories generally offer higher yields than are offered by higher-grade securities of similar maturity, but they also generally involve more volatility and greater risks, such as greater credit risk, market risk, liquidity risk, management risk, and regulatory risk. Furthermore, many medium- and lower-grade securities are not listed for trading on any national securities exchange and many issuers of medium- and lower-grade securities choose not to have a rating assigned to their obligations by any nationally recognized statistical rating organization. As a result, the Fund’s portfolio may consist of a higher portion of unlisted or unrated securities as compared with an investment company that invests solely in higher-grade securities. Unrated securities are usually not as attractive to as many buyers as are rated securities, a factor which may make unrated securities less marketable. These factors may have the effect of limiting the availability of the securities for purchase by the Fund and may also limit the ability of the Fund to sell such securities at their fair value either to meet redemption requests or in response to changes in the economy or the financial markets.

n Municipal issuer focus risk. The Fund generally considers investments in municipal securities not to be subject to industry concentration policies (issuers of municipal securities as a group is not an industry) and the Fund may invest in municipal securities issued by entities having similar characteristics. The issuers may be located in the same geographic area or may pay their interest obligations from revenue of similar projects, such as hospitals, airports, utility systems and housing finance agencies. This may make the Fund’s investments more susceptible to similar social, economic, political or regulatory occurrences. As the similarity in issuers increases, the potential for fluctuation in the Fund’s net asset value also increases.

n Municipal securities risk. The Fund may invest in municipal securities. Constitutional amendments, legislative enactments, executive orders, administrative regulations, voter initiatives, and the issuer’s regional economic conditions may affect the municipal security’s value, interest payments, repayment of principal and the Fund’s ability to sell it. Failure of a municipal security issuer to comply with applicable tax requirements may make income paid thereon taxable, resulting in a decline in the security’s value. In addition, there could be changes in applicable tax laws or tax treatments that reduce or eliminate the current federal income tax exemption on municipal securities or otherwise adversely affect the current federal or state tax status of municipal securities.

n Reinvestment risk. Reinvestment risk is the risk that a bond’s cash flows (coupon income and principal repayment) will be reinvested at an interest rate below that on the original bond.

n Variable-rate demand notes risk. The absence of an active secondary market for certain variable and floating rate notes could make it difficult to dispose of the instruments, and a portfolio could suffer a loss if the issuer defaults during periods in which a portfolio is not entitled to exercise its demand rights.

n When-issued and delayed delivery risks. When-issued and delayed delivery transactions are subject to market risk as the value or yield of a security at delivery may be more or less than the purchase price or the yield generally available on securities when delivery occurs. In addition, the Fund is subject to counterparty risk because it relies on the buyer or seller, as the case may be, to consummate the transaction, and failure by the other party to complete the transaction may result in the Fund missing the opportunity of obtaining a price or yield considered to be advantageous.

n Zero coupon or pay-in-kind securities risk. The value, interest rates, and liquidity of non-cash paying instruments, such as zero coupon and pay-in-kind securities, are subject to greater fluctuation than other types of securities.

About indexes used in this report

n The Barclays High Yield Municipal Bond Index is an unmanaged index considered representative of non-investment-grade bonds.

n The Custom High Yield Municipal Index, created by Invesco to serve as a benchmark for Invesco High Yield Municipal Fund, comprises 60% Barclays High Yield Municipal Bond Index and 40% Barclays Municipal Bond Index.

n The Barclays Municipal Bond Index is an unmanaged index considered representative of the tax-exempt bond market.

n The Fund is not managed to track the performance of any particular index, including the index(es) described here, and consequently, the performance of the Fund may deviate significantly from the performance of the

 index(es).

n A direct investment cannot be made in an index. Unless otherwise indicated, index results include reinvested dividends, and they do not reflect sales charges. Performance of the peer group, if applicable, reflects fund expenses; performance of a market index does not.

Other information

n The returns shown in management’s discussion of Fund performance are based on net asset values (NAVs) calculated for shareholder transactions. Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes, and as such, the NAVs for shareholder transactions and the returns based on those NAVs may differ from the NAVs and returns reported in the Financial Highlights.

9                         Invesco High Yield Municipal Fund

Schedule of Investments

February 28, 2014

	Interest Rate			Maturity Date			Principal Amount (000)		Value
Municipal Obligations–107.77%
Alabama–1.24%
Huntsville (City of) Special Care Facilities Financing Authority (Redstone Village);
Series 2007, Retirement Facility RB		5.50	%		01/01/28		$	1,000	$	952,440
Series 2007, Retirement Facility RB		5.50	%		01/01/43			13,170		11,281,159
Series 2008 A, Retirement Facility RB		6.88	%		01/01/43			4,470		4,523,372
Series 2011 A, Retirement Facility RB		7.50	%		01/01/47			2,600		2,750,488
Series 2012 A, Retirement Facility RB		5.63	%		01/01/42			7,050		6,215,139
Jefferson (County of);
Series 2013 C, Sr. Lien Sewer Revenue Conv. CAB Wts. (INS–AGM)(a)(b)		6.50	%		10/01/38			10,250		5,818,822
Series 2013 C, Sr. Lien Sewer Revenue Conv. CAB Wts. (INS–AGM)(a)(b)		6.60	%		10/01/42			9,200		5,146,296
Series 2013 F, Sr. Lien Sewer Revenue Conv. CAB Wts.(b)		7.75	%		10/01/46			54,300		28,321,251
Series 2013 F, Sub. Lien Sewer Revenue Conv. CAB Wts.(b)		7.50	%		10/01/39			20,000		10,638,800
Mobile (City of) Industrial Development Board (Mobile Energy Services Co.); Series 1995, Ref. Solid Waste Disposal RB		6.95	%		01/01/20	��		3		0
										75,647,767
Alaska–0.08%
Alaska (State of) Industrial Development & Export Authority (Lake Dorothy Hydroelectric); Series 2006, RB (INS–AMBAC)(a)(c)		5.25	%		12/01/26			3,690		3,703,063
Northern Tobacco Securitization Corp.;
Series 2006 B, First Sub. Asset-Backed CAB RB(d)		0.00	%		06/01/46			25,375		729,531
Series 2006 C, Second Sub. Asset-Backed CAB RB(d)		0.00	%		06/01/46			20,860		609,112
										5,041,706
Arizona–4.32%
Casa Grande (City of) Industrial Development Authority (Casa Grande Regional Medical Center);
Series 2001 A, Ref. Hospital RB		7.25	%		12/01/19			6,850		6,330,838
Series 2001 A, Ref. Hospital RB		7.63	%		12/01/29			13,750		12,741,025
Series 2002 A, Hospital RB		7.13	%		12/01/24			3,000		2,950,800
Flagstaff (City of) Industrial Development Authority (Senior Living Community Northern Arizona); Series 2007, Ref. RB		5.70	%		07/01/42			17,830		16,196,594
Peoria (City of) Industrial Development Authority (Sierra Winds Life Care Community);
Series 1999 A, Ref. RB		6.25	%		08/15/20			500		500,125
Series 1999 A, Ref. RB		6.38	%		08/15/29			9,700		9,283,094
Series 1999 A, Ref. RB		6.50	%		08/15/31			3,500		3,341,975
Phoenix (City of) Industrial Development Authority (Choice Academies); Series 2012, Education RB		5.63	%		09/01/42			2,850		2,478,731
Phoenix (City of) Industrial Development Authority (Phoenix Collegiate Academy); Series 2012, Education RB		5.63	%		07/01/42			2,770		2,527,514
Phoenix Civic Improvement Corp.;
Series 2008 A, Sr. Lien Airport RB(e)		5.00	%		07/01/22			3,500		3,982,055
Series 2008 A, Sr. Lien Airport RB(e)		5.00	%		07/01/24			5,000		5,668,500
Series 2008 A, Sr. Lien Airport RB(e)		5.00	%		07/01/26			5,000		5,610,500
Series 2009 A, Jr. Lien Water System RB(e)		5.00	%		07/01/27			8,935		10,171,247
Series 2009 A, Jr. Lien Water System RB(e)		5.00	%		07/01/28			6,785		7,663,522
Series 2009 A, Jr. Lien Water System RB(e)		5.00	%		07/01/29			5,500		6,132,940
Pima (County of) Industrial Development Authority (Acclaim Charter School);
Series 2006, Education Facility RB		5.70	%		12/01/26			2,200		2,046,902
Series 2006, Education Facility RB		5.80	%		12/01/36			4,385		3,830,166
Pima (County of) Industrial Development Authority (Choice Education & Development Corp.);
Series 2006, Education Facility RB		6.25	%		06/01/26			4,225		4,080,885
Series 2006, Education Facility RB		6.38	%		06/01/36			4,890		4,575,817

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

10                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Arizona–(continued)
Pima (County of) Industrial Development Authority (Constellation Schools); Series 2008, Lease RB		7.00	%		01/01/38	$	16,000	$	16,099,200
Pima (County of) Industrial Development Authority (Coral Academy Science);
Series 2008 A, Education Facilities RB		7.13	%		12/01/28		2,120		2,150,083
Series 2008 A, Education Facilities RB		7.25	%		12/01/38		3,285		3,311,313
Pima (County of) Industrial Development Authority (Desert Heights Charter School);
Series 2003, Education Facility RB		7.25	%		08/01/19		735		750,832
Series 2003, Education Facility RB		7.50	%		08/01/33		4,345		4,389,971
Pima (County of) Industrial Development Authority (Edkey Charter Schools);
Series 2013, Ref. Education Facility RB		6.00	%		07/01/43		250		227,558
Series 2013, Ref. Education Facility RB		6.00	%		07/01/48		2,975		2,677,203
Pima (County of) Industrial Development Authority (Excalibur Charter School); Series 2003, Education RB		7.75	%		08/01/33		2,905		2,411,237
Pima (County of) Industrial Development Authority (Global Water Resources, LLC);
Series 2006, Water & Wastewater RB(c)(f)		5.60	%		12/01/22		2,000		2,014,340
Series 2006, Water & Wastewater RB(c)(f)		5.75	%		12/01/32		7,120		7,147,412
Series 2007, Water & Wastewater RB(c)		6.55	%		12/01/37		1,000		1,007,460
Series 2008, Water & Wastewater RB(c)		7.50	%		12/01/38		12,235		12,747,891
Pima (County of) Industrial Development Authority (Legacy Traditional School); Series 2009, Education RB		8.50	%		07/01/39		1,720		1,880,201
Pima (County of) Industrial Development Authority (Milestones Charter School District);
Series 2003, Education Facility RB		7.50	%		11/01/33		3,030		2,560,108
Series 2005, Education Facility RB		6.75	%		11/01/33		2,865		2,227,251
Pima (County of) Industrial Development Authority (P.L.C. Charter Schools);
Series 2006, Education Facility RB		6.50	%		04/01/26		2,590		2,541,023
Series 2006, Education Facility RB		6.75	%		04/01/36		3,805		3,667,487
Pima (County of) Industrial Development Authority (Paradise Education Center);
Series 2006, Ref. Education RB		5.88	%		06/01/22		535		540,682
Series 2006, Ref. Education RB		6.00	%		06/01/36		830		795,530
Series 2010, Education RB		6.10	%		06/01/45		1,400		1,325,338
Pima (County of) Industrial Development Authority (Premier & Air Co.); Series 2005, Education Facility RB(g)		7.00	%		09/01/35		5,092		1,782,251
Pima (County of) Industrial Development Authority (Riverbend Prep); Series 2010, Education RB		7.00	%		09/01/37		3,358		2,770,350
Pima (County of) Industrial Development Authority (Skyline Technical High School); Series 2004, Education Facility RB		7.50	%		02/01/34		4,300		3,309,151
Quechan Indian Tribe of Fort Yuma (California & Arizona Governmental); Series 2008, RB		7.00	%		12/01/27		5,310		4,920,883
Red Hawk Canyon Community Facilities District No. 2; Series 1998 A, Assessment RB		6.50	%		12/01/17		1,575		1,539,169
Salt Verde Financial Corp.;
Series 2007, Sr. Gas RB		5.00	%		12/01/32		10,000		10,602,100
Series 2007, Sr. Gas RB		5.00	%		12/01/37		12,625		13,274,177
Sundance Community Facilities District (Assessment District No. 2); Series 2003, Special Assessment RB(f)		7.13	%		07/01/27		2,221		2,222,399
Sundance Community Facilities District (Assessment District No. 3); Series 2004, Special Assessment RB		6.50	%		07/01/29		391		391,004
Sundance Community Facilities District; Series 2004, Unlimited Tax GO Bonds(f)(h)(i)		6.25	%		07/15/14		1,000		1,023,170
Tempe (City of) Industrial Development Authority (Friendship Village);
Series 2012 A, Ref. RB		6.25	%		12/01/42		2,700		2,750,274
Series 2012 A, Ref. RB		6.25	%		12/01/46		4,100		4,168,142
Town of Florence, Inc. (The) Industrial Development Authority (Legacy Traditional School–Queen Creek and Casa Grande Campuses);
Series 2013, Education RB		5.75	%		07/01/33		3,000		2,826,300
Series 2013, Education RB		6.00	%		07/01/43		3,625		3,366,175
Tucson (City of) Industrial Development Authority (Catalina Assisted Living Apartments); Series 2013, Ref. MFH RB		6.00	%		10/01/45		4,435		3,235,332

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

11                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Arizona–(continued)
University Medical Center Corp.;
Series 2005, Hospital RB		5.00	%		07/01/35	$	7,280	$	7,321,714
Series 2009, Hospital RB		6.25	%		07/01/29		1,650		1,803,632
Series 2009, Hospital RB		6.50	%		07/01/39		2,100		2,294,187
Series 2011, Hospital RB		6.00	%		07/01/39		2,600		2,756,286
Verrado Community Facilities District No. 1; Series 2006, Unlimited Tax GO Bonds		5.35	%		07/15/31		5,915		5,311,078
Vistancia Community Facilities District; Series 2002, Unlimited Tax GO Bonds		6.75	%		07/15/22		4,000		4,011,600
									262,264,724
California–12.73%
ABAG Finance Authority for Non-profit Corps. (Episcopal Senior Communities); Series 2012 A, Ref. RB		5.00	%		07/01/47		6,000		5,641,380
Alhambra (City of) (Atherton Baptist Homes);
Series 2010 A, RB		7.63	%		01/01/40		4,340		4,502,273
Series 2010 B, RB		6.63	%		01/01/17		225		225,344
Bakersfield (City of); Series 2007 A, Wastewater RB (INS–AGM)(a)(e)		5.00	%		09/15/32		14,990		16,214,533
Bay Area Toll Authority (San Francisco Bay Area); Series 2009 F-1, Toll Bridge RB(e)		5.13	%		04/01/39		22,295		24,368,435
California (State of) Educational Facilities Authority (Stanford University);
Series 2010, RB(e)		5.25	%		04/01/40		6,255		7,862,285
Series 2012 U-2, Ref. RB(e)		5.00	%		10/01/32		8,745		10,819,052
California (State of) Health Facilities Financing Authority (Children’s Hospital of Orange County); Series 2009, RB		6.50	%		11/01/38		3,000		3,473,610
California (State of) Health Facilities Financing Authority (Sutter Health); Series 2013 A, RB		5.00	%		08/15/52		7,000		7,156,100
California (State of) Municipal Finance Authority (American Heritage Education Foundation); Series 2006 A, Education RB		5.25	%		06/01/26		2,000		1,772,180
California (State of) Municipal Finance Authority (Caritas); Series 2012 A, Mobile Home Park RB		5.50	%		08/15/47		1,000		1,023,380
California (State of) Municipal Finance Authority (Goodwill Industries of Sacramento & Nevada);
Series 2012, RB(f)		6.63	%		01/01/32		1,000		1,037,590
Series 2012, RB(f)		6.88	%		01/01/42		1,500		1,558,665
California (State of) Municipal Finance Authority (High Tech High-Chula Vista);
Series 2008 B, Educational Facility RB(f)		6.13	%		07/01/38		2,860		2,836,491
Series 2008 B, Educational Facility RB(f)		6.13	%		07/01/43		2,000		1,969,020
Series 2008 B, Educational Facility RB(f)		6.13	%		07/01/48		3,840		3,750,874
California (State of) Municipal Finance Authority (High Tech High-Media Arts);
Series 2008 A, Educational Facility RB(f)		6.00	%		07/01/38		1,170		1,149,326
Series 2008 A, Educational Facility RB(f)		6.13	%		07/01/48		2,415		2,375,636
California (State of) Municipal Finance Authority (King/Chavez); Series 2009 A, Educational Facilities RB		8.50	%		10/01/29		1,000		1,123,740
California (State of) Municipal Finance Authority (Santa Rosa Academy);
Series 2012 A, Charter School Lease RB		5.75	%		07/01/30		7,290		7,281,689
Series 2012 A, Charter School Lease RB		6.00	%		07/01/42		5,355		5,289,776
California (State of) Pollution Control Finance Authority;
Series 2012, Water Furnishing RB(c)(f)		5.00	%		07/01/37		13,500		13,407,120
Series 2012, Water Furnishing RB(c)(f)		5.00	%		11/21/45		8,000		7,632,640
Series 2012, Water Furnishing RB MBTC(c)(e)(f)		5.00	%		11/21/45		16,000		15,265,280
California (State of) School Finance Authority (Alliance for College-Ready Public Schools); Series 2013 A, School Facility RB		6.40	%		07/01/48		3,000		3,079,830
California (State of) School Finance Authority (New Designs Charter School); Series 2012, Educational Facilities RB		5.50	%		06/01/42		5,000		4,635,650
California (State of) Statewide Communities Development Authority (American Baptist Homes of the West); Series 2010, RB		6.25	%		10/01/39		2,000		2,110,560

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

12                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
California–(continued)
California (State of) Statewide Communities Development Authority (California Baptist University);
Series 2007 A, RB		5.50	%		11/01/38	$	8,000	$	7,400,560
Series 2011, RB		7.25	%		11/01/31		1,500		1,632,540
Series 2011, RB		7.50	%		11/01/41		5,500		6,014,965
Series 2014 A, RB		6.13	%		11/01/33		1,560		1,577,425
California (State of) Statewide Communities Development Authority (Collegiate Housing Foundation–Irvine, L.L.C.–University of California-Irvine East Campus Apartments, Phase II); Series 2008, Student Housing RB		6.00	%		05/15/40		5,000		5,220,200
California (State of) Statewide Communities Development Authority (Eskaton Properties, Inc.); Series 2012, RB		5.25	%		11/15/34		4,350		4,373,795
California (State of) Statewide Communities Development Authority (Hospice of Napa Valley); Series 2004 A, RB		7.00	%		01/01/34		3,020		2,735,516
California (State of) Statewide Communities Development Authority (Huntington Park Charter School); Series 2007 A, Educational Facilities RB		5.25	%		07/01/42		3,500		2,897,440
California (State of) Statewide Communities Development Authority (Lancer Educational Student Housing);
Series 2007, RB		5.40	%		06/01/17		2,420		2,506,660
Series 2007, RB		5.63	%		06/01/33		4,940		4,606,945
Series 2010, RB		7.50	%		06/01/42		1,700		1,796,084
California (State of) Statewide Communities Development Authority (Southern California Presbyterian Homes);
Series 2009, Senior Living RB		7.00	%		11/15/29		1,745		1,941,138
Series 2009, Senior Living RB		7.25	%		11/15/41		3,500		3,863,090
California (State of) Statewide Communities Development Authority (Terraces at San Joaquin Garden);
Series 2012, RB		4.75	%		10/01/19		5,000		5,002,050
Series 2012, RB		6.00	%		10/01/42		2,895		2,879,135
Series 2012, RB		6.00	%		10/01/47		1,785		1,765,954
California (State of) Statewide Communities Development Authority Community Facilities District 2007-1 (Orinda);
Series 2007, Special Tax RB		6.00	%		09/01/29		2,735		2,830,889
Series 2007, Special Tax RB		6.00	%		09/01/37		6,185		6,333,193
California (State of) Statewide Communities Development Authority; Series 2008 A, Special Assessment RB		6.63	%		09/02/38		7,610		7,658,628
California (State of) Statewide Finance Authority (Pooled Tobacco Securitization); Series 2002, Tobacco Settlement Asset-Backed RB		6.00	%		05/01/43		15,000		14,576,400
California (State of); Series 2012, Various Purpose Unlimited Tax GO Bonds		5.00	%		04/01/42		11,180		11,807,422
California County Tobacco Securitization Agency (The) (Sonoma County Securitization Corp.);
Series 2005, Ref. Tobacco Settlement Asset-Backed RB		5.13	%		06/01/38		9,280		7,297,699
Series 2005, Ref. Tobacco Settlement Asset-Backed RB		5.25	%		06/01/45		3,675		2,878,076
Carlsbad (City of) Community Facilities District 3 (Improvement Area 2);
Series 2008, Special Tax RB		6.10	%		09/01/28		2,615		2,664,685
Series 2008, Special Tax RB		6.20	%		09/01/38		5,960		5,996,296
Desert Community College District (Election of 2004); Series 2007 C, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(d)		0.00	%		08/01/46		107,175		17,710,669
Eden (Township of) Healthcare District; Series 2010, COP		6.13	%		06/01/34		2,510		2,626,991
Fairfield (City of) Community Facilities District No. 2007-1 (Fairfield Commons);
Series 2008, Special Tax RB		6.50	%		09/01/23		1,435		1,533,828
Series 2008, Special Tax RB		6.75	%		09/01/28		2,950		3,093,429
Series 2008, Special Tax RB		6.88	%		09/01/38		5,140		5,424,396
Fontana (City of) Community Facilities District No. 22 (Sierra Hills South); Series 2004, Special Tax RB		6.00	%		09/01/34		5,000		5,025,650

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

13                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
California–(continued)
Foothill-Eastern Transportation Corridor Agency;
Series 2013 C, Ref. Jr. Lien Toll Road RB		6.50	%		01/15/43	$	10,750	$	11,391,990
Series 2014 A, Ref. Conv. Toll Road CAB RB(b)		6.85	%		01/15/42		5,000		2,753,750
Series 2014 A, Ref. Toll Road CAB RB(d)		0.00	%		01/15/36		35,000		10,103,100
Series 2014 A, Ref. Toll Road CAB RB(d)		0.00	%		01/15/37		20,000		5,406,200
Series 2014 A, Ref. Toll Road RB		6.00	%		01/15/49		20,000		21,112,000
Golden State Tobacco Securitization Corp.;
Series 2005 A, Enhanced Tobacco Settlement Asset-Backed RB (INS–BHAC)(a)(e)		5.00	%		06/01/45		40,380		40,467,221
Series 2007 A-1, Sr. Tobacco Settlement Asset-Backed RB		4.50	%		06/01/27		35,880		31,331,492
Series 2007 A-1, Sr. Tobacco Settlement Asset-Backed RB		5.00	%		06/01/33		20,000		15,963,800
Series 2007 A-1, Sr. Tobacco Settlement Asset-Backed RB		5.13	%		06/01/47		31,245		23,561,854
Series 2007 A-1, Sr. Tobacco Settlement Asset-Backed RB		5.75	%		06/01/47		18,060		14,882,885
Series 2007 A-2, Sr. Tobacco Settlement Asset-Backed RB		5.30	%		06/01/37		33,500		26,267,685
Hawthorne (City of) Community Facilities District No. 2006-1; Series 2006, Special Tax RB		5.00	%		09/01/30		3,000		3,049,140
Hesperia (City of) Public Financing Authority (Redevelopment & Housing);
Series 2007 A, Tax Allocation RB (INS–SGI)(a)		5.00	%		09/01/31		1,495		1,417,006
Series 2007 A, Tax Allocation RB (INS–SGI)(a)		5.00	%		09/01/37		3,395		3,104,320
Independent Cities Finance Authority (Rancho Del Sol & Grandview); Series 2012, Ref. Mobile Home Park RB		5.50	%		05/15/47		2,000		2,045,960
Indio (City of) Redevelopment Agency (Merged Project Area);
Series 2004 B, Sub. Tax Allocation RB(h)(i)		6.38	%		08/15/14		3,500		3,599,925
Series 2004 B, Sub. Tax Allocation RB(h)(i)		6.50	%		08/15/14		1,320		1,353,449
Inland Empire Tobacco Securitization Authority;
Series 2007 A, Tobacco Settlement RB		4.63	%		06/01/21		6,150		5,686,782
Series 2007 A, Tobacco Settlement RB		5.00	%		06/01/21		4,365		4,131,647
Series 2007 C-1, Asset-Backed Tobacco Settlement CAB RB(d)		0.00	%		06/01/36		39,000		6,898,320
Series 2007 D, Asset-Backed Tobacco Settlement CAB RB(d)		0.00	%		06/01/57		32,090		297,474
La Verne (City of) (Brethren Hillcrest Home); Series 2003 B, Revenue COP		6.63	%		02/15/25		4,025		4,048,224
Los Alamitos Unified School District (Capital); Series 2012, Conv. CAB COP(b)		6.05	%		08/01/42		9,000		5,300,100
Los Angeles (City of) Community Facilities District No. 3 (Cascades Business Park); Series 1997, Special Tax RB		6.40	%		09/01/22		605		612,538
Morongo Band of Mission Indians (The) (Enterprise Casino); Series 2008 B, RB(f)		6.50	%		03/01/28		5,515		6,015,597
Murrieta (City of) Community Facilities District No. 2 (The Oaks Improvement Area);
Series 2004 B, Special Tax RB		6.00	%		09/01/27		1,000		1,010,280
Series 2004 B, Special Tax RB		6.00	%		09/01/34		2,000		2,009,280
National City (City of) Community Development Commission (National City Redevelopment); Series 2011, Tax Allocation RB		7.00	%		08/01/32		4,750		5,682,710
Orange (City of) Community Facilities District No. 06-1 (Del Rio Public Improvements); Series 2010, Special Tax RB		6.00	%		10/01/40		3,500		3,606,575
Perris (City of) Community Facilities District No. 01-2; Series 2002 A, Special Tax RB		6.38	%		09/01/32		5,000		5,028,000
Perris (City of) Public Financing Authority; Series 2006, Tax Allocation RB		5.35	%		10/01/36		1,350		1,350,878
Placentia (City of) Public Financing Authority (Working Capital Financing); Series 2009, Lease RB		7.50	%		06/01/19		4,115		4,128,744
Rancho Cordova (City of) Community Facilities District No. 2003-1 (Sunridge Anatolia); Series 2005, Special Tax RB		5.50	%		09/01/37		2,000		2,012,800
Riverside (County of) Redevelopment Agency (Mid-County Redevelopment Project Area); Series 2010 C, Tax Allocation RB		6.25	%		10/01/40		1,780		1,782,332
Riverside (County of) Transportation Commission; Series 2013 A, Sr. Lien Toll RB		5.75	%		06/01/48		7,000		7,249,760
Roseville (City of) (Fountains Community Facilities District No. 1); Series 2008, Special Tax RB		6.13	%		09/01/38		1,000		1,027,730
Sacramento (County of) Community Facilities District No. 2005-2 (North Vineyard Station No. 1); Series 2007 A, Special Tax RB		6.00	%		09/01/37		11,110		11,122,665

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

14                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
California–(continued)
San Bernardino City Unified School District;
Series 2011 D, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(d)		0.00	%		08/01/36	$	7,650	$	2,273,121
Series 2011 D, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(d)		0.00	%		08/01/37		13,130		3,670,885
Series 2011 D, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(d)		0.00	%		08/01/38		13,515		3,582,556
Series 2011 D, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(d)		0.00	%		08/01/39		13,895		3,471,388
Series 2011 D, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(d)		0.00	%		08/01/40		14,280		3,361,084
Series 2011 D, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(d)		0.00	%		08/01/41		14,080		3,120,691
San Buenaventura (City of) (Community Memorial Health System);
Series 2011, RB		7.50	%		12/01/41		20,980		23,690,406
Series 2011, RB		8.00	%		12/01/31		9,875		11,651,710
San Diego Unified School District (Election of 2008); Series 2012 E, Unlimited Tax Conv. CAB GO Bonds(b)		5.25	%		07/01/42		20,000		7,816,000
San Francisco (City & County of) Redevelopment Financing Authority (Mission Bay South Redevelopment);
Series 2009 D, Tax Allocation RB		6.25	%		08/01/28		1,000		1,107,180
Series 2009 D, Tax Allocation RB		6.50	%		08/01/30		1,000		1,116,930
San Francisco (City & County of) Successor Agency to the Redevelopment Agency Community Facilities District No. 6 (Mission Bay South Public Improvements);
Series 2013 C, Special Tax CAB RB(d)		0.00	%		08/01/36		5,710		1,495,049
Series 2013 C, Special Tax CAB RB(d)		0.00	%		08/01/38		2,000		453,180
Series 2013 C, Special Tax CAB RB(d)		0.00	%		08/01/43		17,000		2,803,470
San Gorgonio Memorial Health Care District (Election 2006); Series 2006 C, Unlimited Tax GO Bonds		7.20	%		08/01/39		13,000		15,166,060
San Jose (City of) (Helzer Courts Apartments); Series 1999 A, MFH RB(c)		6.40	%		12/01/41		14,123		13,217,151
San Jose (City of) Community Facilities District No. 9 (Bailey/Highway 101);
Series 2003, Special Tax RB		6.60	%		09/01/27		2,000		2,001,660
Series 2003, Special Tax RB		6.65	%		09/01/32		2,630		2,631,026
Santa Cruz (County of) Redevelopment Agency (Live Oak/Soquel Community Improvement); Series 2009 A, Tax Allocation RB		7.00	%		09/01/36		3,500		3,927,210
Savanna Elementary School District (Election of 2008); Series 2012 B, Unlimited Tax Conv. CAB GO Bonds (INS–AGM)(a)(b)		6.75	%		02/01/52		7,500		2,806,575
Southern California Logistics Airport Authority;
Series 2007, Tax Allocation RB(j)		6.15	%		12/01/43		4,400		1,409,320
Series 2008 A, Tax Allocation CAB RB(d)		0.00	%		12/01/45		18,085		528,082
Series 2008 A, Tax Allocation CAB RB(d)		0.00	%		12/01/46		18,085		500,955
Series 2008 A, Tax Allocation CAB RB(d)		0.00	%		12/01/47		18,085		432,232
Series 2008 A, Tax Allocation CAB RB(d)		0.00	%		12/01/48		18,085		401,487
Series 2008 A, Tax Allocation CAB RB(d)		0.00	%		12/01/49		18,085		365,317
Series 2008 A, Tax Allocation CAB RB(d)		0.00	%		12/01/50		18,085		338,190
Series 2008 A, Tax Allocation RB		6.00	%		12/01/33		1,475		472,443
Southern California Tobacco Securitization Authority (San Diego County Tobacco Asset Securitization Corp.);
Series 2006, Tobacco Settlement Asset-Backed First Sub. CAB RB(d)		0.00	%		06/01/46		35,000		828,100
Series 2006, Tobacco Settlement Asset-Backed Second Sub. CAB RB(d)		0.00	%		06/01/46		27,200		553,520
Series 2006, Tobacco Settlement Asset-Backed Third Sub. CAB RB(d)		0.00	%		06/01/46		47,000		886,420
Series 2006 A-1, Sr. Tobacco Settlement Asset-Backed RB		5.00	%		06/01/37		21,715		16,822,393
Southern California Tobacco Securitization Authority; Series 2006 A-1, Sr. RB		4.75	%		06/01/25		10		9,786
Val Verde Unified School District Financing Authority; Series 2003, Ref. Jr. Lien Special Tax RB		6.25	%		10/01/28		6,000		6,068,700
Vallejo (City of) Public Financing Authority (Hiddenbrooke Improvement District); Series 2004 A, Local Agency RB		5.80	%		09/01/31		4,015		4,033,790

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

15                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
California–(continued)
Victor Valley Union High School District (Election of 2008);
Series 2013 B, Unlimited Tax CAB GO Bonds(d)		0.00	%		08/01/43	$	11,855	$	2,191,634
Series 2013 B, Unlimited Tax CAB GO Bonds(d)		0.00	%		08/01/44		12,475		2,171,274
Series 2013 B, Unlimited Tax CAB GO Bonds(d)		0.00	%		08/01/47		14,550		2,010,374
Series 2013 B, Unlimited Tax CAB GO Bonds(d)		0.00	%		08/01/48		7,000		909,720
Series 2013 B, Unlimited Tax CAB GO Bonds(d)		0.00	%		08/01/49		15,715		1,922,259
Series 2013 B, Unlimited Tax CAB GO Bonds(d)		0.00	%		08/01/52		37,560		3,778,536
Woodland (City of) Community Facilities District 1; Series 2004, Special Tax RB		6.25	%		09/01/34		4,735		4,679,316
Yuba City (City of) Redevelopment Agency (Housing Set-Aside);
Series 2004 B, Tax Allocation RB		6.00	%		09/01/31		1,060		1,062,215
Series 2004 B, Tax Allocation RB		6.00	%		09/01/39		1,880		1,881,598
Yuba City (City of) Redevelopment Agency (Redevelopment); Series 2004, Tax Allocation RB		6.00	%		09/01/31		1,800		1,803,762
									773,473,175
Colorado–3.37%
Arista Metropolitan District; Series 2005, Special Limited Tax GO Bonds		6.75	%		12/01/35		1,964		1,749,315
Beacon Point Metropolitan District;
Series 2005 A, Limited Tax GO Bonds		6.13	%		12/01/25		1,545		1,536,518
Series 2005 A, Limited Tax GO Bonds		6.25	%		12/01/35		3,510		3,420,074
Bradburn Metropolitan District No. 3; Series 2010, Ref. Limited Tax GO Bonds		7.50	%		12/01/39		2,575		2,616,329
Broomfield Village Metropolitan District No. 2; Series 2003, Ref. & Improvement Limited Tax GO Bonds		6.25	%		12/01/32		4,005		3,504,655
Buckhorn Valley Metropolitan District No. 2; Series 2003, Limited Tax GO Bonds		7.00	%		12/01/23		60		33,394
Castle Oaks Metropolitan District;
Series 2005, Limited Tax GO Bonds(h)(i)		6.00	%		12/01/15		865		947,045
Series 2005, Limited Tax GO Bonds(h)(i)		6.13	%		12/01/15		1,286		1,410,781
Colorado (State of) Educational & Cultural Facilities Authority (Banning Lewis Ranch Academy); Series 2006, Charter School RB(f)		6.13	%		12/15/35		2,690		2,572,985
Colorado (State of) Educational & Cultural Facilities Authority (Brighton Charter School); Series 2006, Charter School RB		6.00	%		11/01/36		3,255		2,575,389
Colorado (State of) Educational & Cultural Facilities Authority (Community Leadership Academy);
Series 2008, Charter School RB		6.25	%		07/01/28		1,650		1,590,880
Series 2008, Charter School RB		6.50	%		07/01/38		1,000		945,170
Series 2013, Charter School RB		7.45	%		08/01/48		2,245		2,325,730
Colorado (State of) Educational & Cultural Facilities Authority (Flagstaff Academy); Series 2008 A, Charter School RB		7.00	%		08/01/38		1,500		1,530,645
Colorado (State of) Educational & Cultural Facilities Authority (Monument Academy);
Series 2007, Charter School RB		5.88	%		10/01/27		2,500		2,534,900
Series 2007, Charter School RB		6.00	%		10/01/37		1,635		1,640,641
Series 2008 A, Charter School RB		7.25	%		10/01/39		500		532,860
Colorado (State of) Educational & Cultural Facilities Authority (New Vision Charter School); Series 2008, RB(f)		6.75	%		04/01/40		1,845		1,790,960
Colorado (State of) Educational & Cultural Facilities Authority (North Star Academy); Series 2008 A, Ref. & Improvement RB(f)		8.25	%		11/01/39		2,890		3,102,675
Colorado (State of) Educational & Cultural Facilities Authority (Northeast Academy); Series 2007, Charter School RB (Acquired 07/27/07-03/31/08; Cost $2,302,785)(f)		5.75	%		05/15/37		2,395		1,659,256
Colorado (State of) Educational & Cultural Facilities Authority (The Classical Academy); Series 2008 A, Charter School RB		7.40	%		12/01/38		2,000		2,218,220
Colorado (State of) Health Facilities Authority (American Baptist Homes); Series 2009 A, RB		7.75	%		08/01/39		4,000		4,018,880
Colorado (State of) Health Facilities Authority (Christian Living Communities);
Series 2006 A, RB		5.75	%		01/01/37		9,355		9,438,166
Series 2011, RB		6.38	%		01/01/41		1,615		1,683,524
Colorado (State of) Health Facilities Authority (SCL Health System); Series 2013 A, RB		5.00	%		01/01/44		4,600		4,775,444

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

16                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Colorado–(continued)
Colorado (State of) Health Facilities Authority (Total Longterm Care National Obligated Group);
Series 2010 A, RB		6.00	%		11/15/30	$	1,600	$	1,707,056
Series 2010 A, RB		6.25	%		11/15/40		4,750		5,023,980
Series 2011, RB		5.75	%		11/15/31		1,000		1,048,740
Series 2011, RB		6.00	%		11/15/40		1,195		1,255,097
Colorado (State of) Health Facilities Authority (Volunteers of America Care);
Series 2007 A, Health & Residential Care Facilities RB		5.20	%		07/01/22		800		752,408
Series 2007 A, Health & Residential Care Facilities RB		5.25	%		07/01/27		3,260		2,894,489
Series 2007 A, Health & Residential Care Facilities RB		5.30	%		07/01/37		5,815		4,818,716
Colorado (State of) Regional Transportation District (Denver Transit Partners Eagle P3); Series 2010, Private Activity RB		6.00	%		01/15/41		13,935		14,656,276
Colorado Springs (City of) Urban Renewal Authority (University Village Colorado); Series 2008 A, Tax Increment Allocation RB		7.00	%		12/01/29		2,500		1,622,950
Copperleaf Metropolitan District No. 2;
Series 2006, Limited Tax GO Bonds		5.85	%		12/01/26		1,000		873,140
Series 2006, Limited Tax GO Bonds		5.95	%		12/01/36		9,000		7,445,430
Country Club Village Metropolitan District; Series 2006, Limited Tax GO Bonds		6.00	%		12/01/34		592		485,819
Cross Creek Metropolitan District No. 2; Series 2006, Ref. Limited Tax GO Bonds		5.00	%		12/01/37		2,630		2,014,869
Denver (City & County of) (United Airlines);
Series 2007 A, Ref. Special Facilities Airport RB(c)		5.25	%		10/01/32		17,110		16,195,813
Series 2007 A, Ref. Special Facilities Airport RB(c)		5.75	%		10/01/32		11,400		11,410,260
Elbert (County of) & Highway 86 Commercial Metropolitan District; Series 2008 A, Public Improvement Fee RB(k)		4.13	%		12/01/32		4,500		2,000,250
Fitzsimons Village Metropolitan District No. 1; Series 2010 A, Tax Increment Allocation & Public Improvement Fee Supported RB		7.50	%		03/01/40		5,393		5,668,636
Fossil Ridge Metropolitan District No. 1; Series 2010, Ref. Tax Supported Limited Tax GO Bonds		7.25	%		12/01/40		995		1,013,398
Grandby Ranch Metropolitan District; Series 2006, Limited Tax GO Bonds		6.75	%		12/01/36		2,880		2,881,958
High Plains Metropolitan District;
Series 2005 A, Limited Tax GO Bonds(k)		2.76	%		12/01/25		2,220		1,228,459
Series 2005 A, Limited Tax GO Bonds(k)		2.81	%		12/01/35		4,000		2,212,080
Jordan Crossing Metropolitan District; Series 2006, Limited Tax GO Bonds		5.75	%		12/01/36		1,350		928,030
Lafayette (City of) (Rocky Mountain Instrument);
Series 1998 A, IDR(c)		7.00	%		10/01/18		3,360		2,789,774
Series 1999 A, IDR		6.75	%		10/01/14		90		85,969
Liberty Ranch Metropolitan District; Series 2006, Limited Tax GO Bonds		6.25	%		12/01/36		1,583		1,291,744
Lincoln Park Metropolitan District;
Series 2008, Ref. & Improvement Unlimited Tax GO Bonds		6.13	%		12/01/30		6,250		6,480,187
Series 2008, Ref. & Improvement Unlimited Tax GO Bonds		6.20	%		12/01/37		5,550		5,717,943
Montezuma (County of) Hospital District; Series 2007, Ref. RB		5.90	%		10/01/37		6,360		5,997,162
Montrose (County of) (The Homestead at Montrose, Inc.);
Series 2003 A, Health Care Facilities RB		5.75	%		02/01/15		55		55,015
Series 2003 A, Health Care Facilities RB		6.75	%		02/01/22		300		300,078
Series 2003 A, Health Care Facilities RB		7.00	%		02/01/25		800		800,208
Series 2003 A, Health Care Facilities RB		7.00	%		02/01/38		6,200		6,059,012
Montrose (County of) Memorial Hospital Board of Trustees; Series 2003, Enterprise RB		6.00	%		12/01/33		5,500		5,608,625
Neu Towne Metropolitan District; Series 2004, Limited Tax GO Bonds(k)		5.45	%		12/01/34		1,500		398,820
Northwest Metropolitan District No. 3;
Series 2005, Limited Tax GO Bonds		6.13	%		12/01/25		4,500		4,263,165
Series 2005, Limited Tax GO Bonds		6.25	%		12/01/35		7,450		6,752,531
Plaza Metropolitan District No. 1; Series 2013, Ref. Tax Allocation RB		5.00	%		12/01/40		1,000		971,340
Reata South Metropolitan District; Series 2007 A, Limited Tax GO Bonds		7.25	%		06/01/37		1,000		920,870
Riverdale Peaks II Metropolitan District; Series 2005, Limited Tax GO Bonds		6.50	%		12/01/35		1,000		594,310
Serenity Ridge Metropolitan District No. 2; Series 2004, Limited Tax GO Bonds(k)		3.75	%		12/01/34		2,000		962,100

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

17                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Colorado–(continued)
Tallgrass Metropolitan District; Series 2007, Ref. & Improvement Limited Tax GO Bonds		5.25	%		12/01/37	$	4,712	$	4,244,051
Tallyns Reach Metropolitan District No. 3;
Series 2013, Ref. & Improvement Conv. Limited Tax GO Bonds		5.00	%		12/01/33		505		483,113
Series 2013, Ref. & Improvement Conv. Limited Tax GO Bonds		5.13	%		11/01/38		1,035		980,393
Valagua Metropolitan District; Series 2008, Limited Tax GO Bonds		7.75	%		12/01/37		1,000		401,190
Vista Ridge Metropolitan District; Series 2006 B, Ref. Sub. Limited Tax GO Bonds(d)(j)		0.00	%		12/01/40		1,000		605,160
									205,055,050
Connecticut–0.42%
Connecticut (State of) Health & Educational Facilities Authority (St. Mary’s Hospital); Series 1997 E, RB		5.88	%		07/01/22		3,660		3,662,928
Georgetown (City of) Special Taxing District; Series 2006 A, Unlimited Tax GO Bonds(f)(g)		5.13	%		10/01/36		4,405		1,704,339
Hamden (Town of) (Whitney Center);
Series 2009 A, RB		7.63	%		01/01/30		2,880		2,991,888
Series 2009 A, RB		7.75	%		01/01/43		10,995		11,288,127
Series 2009 C, RB(h)		7.25	%		01/01/16		2,000		2,035,260
Harbor Point Infrastructure Improvement District (Harbor Point); Series 2010 A, Special Obligation Tax Allocation RB		7.88	%		04/01/39		3,000		3,318,930
Manchester (Town of) Redevelopment Agency (Bennet Housing Development); Series 1993, MFH Mortgage RB (Acquired 09/20/99; Cost $519,182)(f)		7.20	%		12/01/18		560		563,662
									25,565,134
Delaware–0.11%
Delaware (State of) Economic Development Authority (Newark Charter School); Series 2012, RB		5.00	%		09/01/42		1,350		1,354,860
New Castle (County of) (Newark Charter School, Inc.); Series 2006, RB		5.00	%		09/01/30		1,610		1,615,071
Wilmington (City of) (Electra Arms Senior Association); Series 1998, MFH Rental RB(c)		6.25	%		06/01/28		4,165		4,034,844
									7,004,775
District of Columbia–0.81%
District of Columbia (Center for Strategic & International Studies, Inc.);
Series 2011, RB		6.38	%		03/01/31		2,000		2,044,680
Series 2011, RB		6.63	%		03/01/41		5,150		5,308,208
District of Columbia (Cesar Chavez Charter School); Series 2011, RB		7.88	%		11/15/40		7,000		7,781,970
District of Columbia (Gallaudet University); Series 2011, University RB		5.50	%		04/01/41		3,000		3,215,070
District of Columbia (Methodist Home);
Series 1999, RB		6.00	%		01/01/29		2,545		2,269,224
Series 2009 A, RB		7.50	%		01/01/39		1,520		1,521,307
District of Columbia (Sibley Memorial Hospital);
Series 2009, Hospital RB		6.38	%		10/01/39		2,000		2,186,560
Series 2009, Hospital RB		6.50	%		10/01/29		5,000		5,554,450
District of Columbia Tobacco Settlement Financing Corp.; Series 2006 C, Asset-Backed CAB RB(d)		0.00	%		06/15/55		60,320		434,304
District of Columbia; Series 2009 B, Ref. Sec. Income Tax RB(e)		5.00	%		12/01/25		16,165		18,727,799
									49,043,572
Florida–9.52%
Alachua (County of) (North Florida Retirement Village, Inc.);
Series 2007, IDR		5.88	%		11/15/36		10,500		9,731,190
Series 2007, IDR		5.88	%		11/15/42		19,000		17,245,350
Alachua (County of) Health Facilities Authority (East Ridge Retirement Village, Inc.);
Series 2014, RB		6.25	%		11/15/44		2,500		2,494,625
Series 2014, RB		6.38	%		11/15/49		5,250		5,203,905
Alachua (County of) Health Facilities Authority (Oak Hammock at the University of Florida);
Series 2012 A, Ref. Continuing Care Retirement Community RB		8.00	%		10/01/32		1,000		1,135,280
Series 2012 A, Ref. Continuing Care Retirement Community RB		8.00	%		10/01/42		2,500		2,800,700
Series 2012 A, Ref. Continuing Care Retirement Community RB		8.00	%		10/01/46		2,000		2,236,060

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

18                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Florida–(continued)
Alachua (County of) Health Facilities Authority (Terraces at Bonita Springs);
Series 2011, TEMPS–70SMRB		7.13	%		11/15/16	$	17,100	$	17,147,367
Series 2011 A, RB		8.00	%		11/15/31		3,000		3,328,650
Series 2011 A, RB		8.13	%		11/15/41		11,000		12,125,300
Series 2011 A, RB		8.13	%		11/15/46		6,000		6,597,660
Anthem Park Community Development District; Series 2004, Capital Improvement Special Assessment RB(j)		5.80	%		05/01/36		8,045		5,793,044
Beacon Lakes Community Development District; Series 2003 A, Special Assessment RB		6.90	%		05/01/35		130		130,343
Bloomingdale (Villages of) Community Development District; Series 2004, Special Assessment RB		5.88	%		05/01/36		2,960		2,774,941
Bluewaters Community Development District; Series 2004, Special Assessment RB		6.00	%		05/01/35		2,615		2,649,335
Bonnet Creek Resort Community Development District;
Series 2002, Special Assessment RB		7.38	%		05/01/34		3,000		2,979,330
Series 2002, Special Assessment RB		7.50	%		05/01/34		6,240		6,239,126
Brevard (County of) Health Facilities Authority (Health First, Inc.); Series 2009, Health Care Facilities RB		7.00	%		04/01/33		1,960		2,178,775
Broward (County of) (Civic Arena);
Series 2006 A, Ref. Professional Sports Facilities Tax RB (INS–AGM)(a)(e)		5.00	%		09/01/24		7,555		8,168,995
Series 2006 A, Ref. Professional Sports Facilities Tax RB (INS–AGM)(a)(e)		5.00	%		09/01/25		7,910		8,552,846
Buckeye Park Community Development District; Series 2008 A, Capital Improvement Special Assessment RB(g)		7.88	%		05/01/38		4,900		2,161,880
Capital Trust Agency (Miami Community Charter School) Series 2010 A, RB		7.00	%		10/15/40		1,500		1,528,425
Capital Trust Agency (Million Air One LLC); Series 2011, RB(c)		7.75	%		01/01/41		14,400		15,502,896
Caribe Palm Community Development District; Series 2005 A, Special Assessment RB		5.85	%		05/01/35		690		697,066
Championsgate Community Development District; Series 1998 A, Capital Improvement Special Assessment RB		6.25	%		05/01/20		2,220		2,109,866
Collier (County of) Industrial Development Authority (The Arlington of Naples);
Series 2014 A, Continuing Care Community RB(f)		8.13	%		05/15/44		5,560		5,614,488
Series 2014 A, Continuing Care Community RB(f)		8.25	%		05/15/49		44,570		45,019,711
Series 2014 B-1, TEMPS-85SMContinuing Care Community RB(f)		6.88	%		05/15/21		8,350		8,360,771
Series 2014 B-2, TEMPS-70SMContinuing Care Community RB(f)		6.50	%		05/15/20		5,000		5,006,300
Cory Lakes Community Development District;
Series 2001 A, Special Assessment RB		8.38	%		05/01/17		170		175,173
Series 2001 B, Special Assessment RB		8.38	%		05/01/17		85		87,587
Cutler Cay Community Development District; Series 2004, Special Assessment RB		6.13	%		05/01/24		3,390		3,433,697
East Homestead Community Development District;
Series 2013, Special Assessment RB		5.00	%		11/01/33		1,000		900,270
Series 2013, Special Assessment RB		5.63	%		11/01/43		2,000		1,899,080
Florida (State of) Mid-Bay Bridge Authority; Series 2011 A, Springing Lien RB		7.25	%		10/01/40		14,000		15,780,380
Florida Development Finance Corp. (Palm Bay Academy, Inc.);
Series 2006 A, RB(j)		6.00	%		05/15/36		2,130		1,363,221
Series 2007 A, RB(j)		6.13	%		05/15/37		1,855		1,187,219
Florida Development Finance Corp. (Renaissance Charter School, Inc.);
Series 2012 A, Educational Facilities RB		6.00	%		06/15/32		4,250		3,934,225
Series 2012 A, Educational Facilities RB		6.13	%		06/15/43		4,250		3,813,142
Florida Development Finance Corp. (Sculptor Charter School);
Series 2008 A, RB		7.25	%		10/01/38		2,710		2,789,891
Series 2012, RB		7.00	%		10/01/26		125		130,435
Series 2012, RB		7.25	%		10/01/41		595		620,091
Florida Housing Finance Corp. (Beacon Hill Apartments); Series 1998 C, RB(c)(h)		6.61	%		07/01/28		7,640		6,988,232
Florida Housing Finance Corp. (Westchase Apartments); Series 1998 B, RB(c)(h)		6.61	%		07/01/28		9,550		6,700,280

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

19                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Florida–(continued)
Gramercy Farms Community Development District;
Series 2007 A-1, Special Assessment RB(g)		5.25	%		05/01/39	$	1,335	$	13
Series 2007 A-2, Special Assessment RB(g)		5.25	%		05/01/39		1,700		17
Series 2007 B, Special Assessment RB(g)		5.10	%		05/01/14		4,385		44
Series 2011, Ref. Special Assessment Conv. CAB RB(b)		6.75	%		05/01/39		29,070		3,830,554
Hammock Bay Community Development District; Series 2004 A, Special Assessment RB		6.13	%		05/01/35		2,420		2,432,681
Harbour Isles Community Development District; Series 2004, Special Assessment RB		6.13	%		05/01/35		1,295		1,314,192
Heritage Harbor Community Development District; Series 1997, Recreational RB		7.75	%		05/01/23		385		379,298
Hillsborough (County of) Industrial Development Authority (Health Facilities); Series 2008 B, IDR(h)(i)		8.00	%		08/15/19		1,000		1,353,880
Jacksonville (City of) Economic Development Commission (Proton Therapy Institute); Series 2007 A, Ref. Health Care Facilities RB(f)		6.25	%		09/01/27		10,500		11,317,845
Kendall Breeze Community Development District; Series 2004, Special Assessment RB		5.88	%		05/01/34		1,325		1,310,226
Lakeland (City of) (Carpenter’s Home Estate Accident Investor); Series 2008, Ref. First Mortgage Retirement Community RB(f)		6.38	%		01/01/43		2,250		2,312,302
Lakeside Landings Community Development District;
Series 2007 A, Special Assessment RB(g)		5.50	%		05/01/38		1,000		435,600
Series 2007 B, Special Assessment RB(g)		5.25	%		05/01/13		1,940		845,064
Lee (County of) Industrial Development Authority (Cypress Cove Healthpark);
Series 2012, Ref. RB		5.25	%		10/01/32		4,500		4,237,515
Series 2012, Ref. RB		5.75	%		10/01/42		10,100		9,756,196
Series 2012, Ref. RB		6.50	%		10/01/47		10,000		10,274,200
Lee (County of) Industrial Development Authority (Lee County Community Charter Schools, LLC);
Series 2012, IDR		5.50	%		06/15/32		1,880		1,869,115
Series 2012, IDR		5.75	%		06/15/42		3,210		3,191,928
Leon (County of) Educational Facilities Authority (Southgate Residence Hall); Series 1998 A, Ref. RB		6.75	%		09/01/28		7,640		7,373,440
Martin (County of) Health Facilities Authority (Martin Memorial Medical Center); Series 2012, RB MBTC(e)		5.50	%		11/15/42		15,000		15,329,400
Miami Beach (City of) Health Facilities Authority (Mount Sinai Medical Center); Series 2004, Ref. RB(f)(h)(i)		6.75	%		11/15/14		840		879,178
Miami-Dade (County of) (Building Better Communities Program); Series 2008 A, Unlimited Tax GO Bonds (INS–AGC)(a)(e)		5.00	%		07/01/30		15,210		16,503,002
Miami-Dade (County of) (Miami International Airport); Series 2008 A, Aviation RB (INS–AGC)(a)(c)(e)		5.25	%		10/01/33		16,500		17,759,445
Miami-Dade (County of) Health Facilities Authority (Miami Children’s Hospital);
Series 2010 A, Ref. Hospital RB		6.00	%		08/01/30		500		552,570
Series 2010 A, Ref. Hospital RB		6.13	%		08/01/42		250		271,712
Series 2011, Ref. Hospital RB		6.00	%		08/01/46		1,000		1,089,800
Miami-Dade (County of) School Board;
Series 2008 B, COP (INS–AGC)(a)(e)		5.25	%		05/01/26		5,000		5,550,100
Series 2008 B, COP (INS–AGC)(a)(e)		5.25	%		05/01/27		10,000		11,152,900
Miami-Dade (County of);
Series 2005 A, Sub. Special Obligation CAB RB (INS–NATL)(a)(d)		0.00	%		10/01/40		10,070		2,373,096
Series 2009, Sub. Special Obligation CAB RB(d)		0.00	%		10/01/35		12,000		3,806,160
Series 2009, Sub. Special Obligation CAB RB(d)		0.00	%		10/01/40		10,000		2,413,900
Series 2009, Sub. Special Obligation CAB RB(d)		0.00	%		10/01/42		72,215		15,581,108
Series 2009, Sub. Special Obligation CAB RB(d)		0.00	%		10/01/44		15,495		2,987,901
Series 2009, Sub. Special Obligation CAB RB(d)		0.00	%		10/01/45		7,710		1,379,088
Midtown Miami Community Development District;
Series 2004 A, Special Assessment RB		6.00	%		05/01/24		1,570		1,572,261
Series 2004 A, Special Assessment RB		6.25	%		05/01/37		8,445		8,448,631
Mount Dora (City of) Health Facilities Authority (Waterman Village);
Series 2002 A, RB		6.75	%		08/15/25		3,000		2,329,740
Series 2004 A, Ref. RB		5.75	%		08/15/18		3,750		3,235,462
Oak Creek Community Development District; Series 2004, Special Assessment RB		5.80	%		05/01/35		1,555		1,556,151

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

20                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Florida–(continued)
Orange (County of) Health Facilities Authority (Orlando Lutheran Towers, Inc.);
Series 2005, Ref. RB		5.70	%		07/01/26	$	4,000	$	4,001,480
Series 2007, First Mortgage RB		5.50	%		07/01/32		3,750		3,503,325
Series 2007, First Mortgage RB		5.50	%		07/01/38		7,450		6,746,571
Orange (County of) Housing Finance Authority (Alhambra Trace Apartments); Series 1998 C, RB		7.00	%		04/01/28		1,750		1,689,222
Orange (County of) Housing Finance Authority (Governors Manor Apartments); Series 2001 F-4, RB		7.25	%		10/01/31		3,580		3,582,864
Orange (County of) Housing Finance Authority (Lake Davis Apartments); Series 2001 F-1, RB		7.25	%		10/01/31		740		740,592
Orange (County of) Housing Finance Authority (Lake Jennie Phase I); Series 2001 F-2, RB		7.25	%		10/01/31		205		205,164
Orange (County of) Housing Finance Authority (Lake Jennie Phase II); Series 2001 F-3, RB		7.25	%		10/01/31		740		740,592
Orange (County of) Housing Finance Authority (Mellonville Trace Apartments); Series 2001 F-5, RB		7.25	%		10/01/31		290		290,232
Orlando (City of) Urban Community Development District; Series 2004, Capital Improvement Special Assessment RB		6.25	%		05/01/34		1,000		1,000,560
Overoaks Community Development District;
Series 2004 A, Capital Improvement Special Assessment RB(r)		6.13	%		05/01/35		410		4
Series 2010 A-2, Capital Improvement RB		6.13	%		05/01/35		425		424,979
Series 2010 B, Capital Improvement RB		5.13	%		05/01/17		750		720,600
Palm Beach (County of) Housing Finance Authority (Lake Delray Apartments); Series 1999 A, MFH RB(c)		6.40	%		01/01/31		8,155		7,907,659
Palm Coast Park Community Development District; Series 2006, Special Assessment RB		5.70	%		05/01/37		4,550		2,941,120
Pier Park Community Development District; Series 2002 1, Capital Improvement RB		7.15	%		05/01/34		14,030		14,032,104
Pine Ridge Plantation Community Development District; Series 2006 A, Capital Improvement Special Assessment RB		5.40	%		05/01/37		1,555		1,246,721
Pinellas (County of) Educational Facilities Authority (Pinellas Preparatory Academy);
Series 2011 A, RB		6.13	%		09/15/21		400		421,312
Series 2011 A, RB		7.13	%		09/15/41		3,250		3,356,307
Poinciana West Community Development District; Series 2007, Special Assessment RB		6.00	%		05/01/37		1,495		1,400,860
Port St. Lucie (City of) (Glassman Special Assessment District); Series 2003 C, Special Assessment RB		6.75	%		07/01/23		3,460		3,461,142
Reunion East Community Development District;
Series 2002 A-1, Special Assessment RB		7.38	%		05/01/33		690		700,302
Series 2002 A-2, Special Assessment RB(j)		7.38	%		05/01/33		310		215,605
Series 2005, Special Assessment RB(g)		5.80	%		05/01/36		4,300		2,990,650
Seminole Indian Tribe of Florida; Series 2007 A, Special Obligation RB(f)		5.50	%		10/01/24		5,350		5,633,175
Seven Oaks Community Development District II;
Series 2003 A, Special Assessment RB		6.40	%		05/01/34		4,505		4,070,943
Series 2004 A, Special Assessment RB		5.88	%		05/01/35		2,535		2,188,972
Silver Palms Community Development District; Series 2004, Special Assessment RB		5.90	%		05/01/34		1,710		1,699,860
South-Dade Venture Community Development District; Series 2004, Special Assessment RB(h)(i)		6.13	%		05/01/14		1,295		1,321,017
St. Johns (County of) Industrial Development Authority (Glenmoor);
Series 2006 A, Health Care RB(g)		5.25	%		01/01/26		6,300		2,741,130
Series 2006 A, Health Care RB(g)		5.38	%		01/01/40		8,850		3,850,635
St. Johns (County of) Industrial Development Authority (Presbyterian Retirement Communities);
Series 2004 A, RB		5.63	%		08/01/34		4,390		4,449,397
Series 2010 A, RB		6.00	%		08/01/45		4,000		4,203,880
St. Petersburg (City of) Health Facilities Authority (All Children’s Hospital, Inc. Obligated Group);
Series 2009 A, Ref. RB		6.25	%		11/15/29		150		167,564
Series 2009 A, Ref. RB		6.50	%		11/15/39		1,000		1,108,720
Sterling Hill Community Development District; Series 2003 A, Capital Improvement Special Assessment RB		6.20	%		05/01/35		1,495		1,127,948
Stonegate Community Development District; Series 2008, Special Assessment RB		8.13	%		05/01/39		4,635		4,897,202
Tampa Bay Water; Series 2001 A, Ref. & Improvement Utility System RB (INS–NATL)(a)(e)		6.00	%		10/01/29		13,440		17,178,739
Town Center at Palm Coast Community Development District; Series 2005, Capital Improvement Special Assessment RB		6.00	%		05/01/36		10,980		9,529,981
Treeline Preserve Community Development District; Series 2007 A, Special Assessment RB(j)		6.80	%		05/01/39		4,895		1,969,846

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

21                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Florida–(continued)
Turnbull Creek Community Development District;
Series 2005, Special Assessment RB		5.80	%		05/01/35	$	2,580	$	2,362,532
Series 2006, Special Assessment RB		5.25	%		05/01/37		3,390		2,836,176
University Square Community Development District; Series 2007 A-1, Capital Improvement Special Assessment RB		5.88	%		05/01/38		2,830		2,806,285
Waterlefe Community Development District; Series 2001, Golf Course RB(g)		8.13	%		10/01/25		2,645		184,489
West Villages Improvement District; Series 2007, Special Assessment RB(g)		5.50	%		05/01/38		9,500		5,646,800
Winter Garden Village at Fowler Groves Community Development District; Series 2006, Special Assessment RB		5.65	%		05/01/37		2,490		2,520,727
World Commerce Community Development District; Series 2004 A-2, Special Assessment RB		6.13	%		05/01/35		1,460		1,340,893
									578,479,741
Georgia–1.24%
Americus (City of) & Sumter (County of) Hospital Authority (Magnolia Manor Obligated Group);
Series 2013 A, Ref. RB		6.25	%		05/15/33		4,000		4,037,160
Series 2013 A, Ref. RB		6.38	%		05/15/43		8,000		8,030,800
Atlanta (City of) (Beltline); Series 2009 B, Tax Allocation RB		7.38	%		01/01/31		12,000		14,015,880
Atlanta (City of) (Eastside); Series 2005 B, Tax Allocation RB		5.60	%		01/01/30		4,700		4,914,179
Clayton (County of) Development Authority (Delta Air Lines, Inc.);
Series 2009 A, Special Facilities RB		8.75	%		06/01/29		4,500		5,410,125
Series 2009 B, Special Facilities RB(c)		9.00	%		06/01/35		9,750		10,352,550
DeKalb (County of) Hospital Authority (DeKalb Medical Center, Inc.);
Series 2010, RAC		6.00	%		09/01/30		2,200		2,249,830
Series 2010, RAC		6.13	%		09/01/40		6,510		6,594,305
Fulton (County of) Residential Care Facilities for the Elderly Authority (RHA Assisted Living);
Series 1999 A, Sr. Lien RB		6.90	%		07/01/19		3,500		3,223,605
Series 1999 A, Sr. Lien RB		7.00	%		07/01/29		8,310		6,774,561
Rockdale (County of) Development Authority (Visy Paper); Series 2007 A, RB(c)		6.13	%		01/01/34		9,615		9,736,245
									75,339,240
Guam–0.12%
Guam (Territory of) Waterworks Authority; Series 2005, Water & Wastewater System RB		5.88	%		07/01/35		7,250		7,310,175
Hawaii–0.43%
Hawaii (State of) Department of Budget & Finance (15 Craigside);
Series 2009 A, Special Purpose Senior Living RB		8.75	%		11/15/29		850		960,823
Series 2009 A, Special Purpose Senior Living RB		9.00	%		11/15/44		6,530		7,357,351
Hawaii (State of) Department of Budget & Finance (Hawaiian Electric Co., Inc. & Subsidiary); Series 2007 A, Special Purpose RB (INS–FGIC)(a)(c)		4.65	%		03/01/37		4,210		3,993,353
Honolulu (City & County of); Series 2009 A, Unlimited Tax GO Bonds(e)		5.25	%		04/01/29		12,000		13,691,640
									26,003,167
Idaho–0.46%
Gooding Industrial Development Corp. (Intrepid Technology & Resources); Series 2006, Solid Waste Disposal RB (Acquired 11/03/06; Cost $7,640,000)(c)(f)(g)		7.50	%		11/01/24		7,640		264,038
Idaho (State of) Health Facilities Authority (Terraces of Boise);
Series 2014 A, RB		8.00	%		10/01/44		4,000		4,047,880
Series 2014 A, RB		8.13	%		10/01/49		9,000		9,110,250
Idaho (State of) Health Facilities Authority (Valley Vista Care Corp.); Series 2007, Ref. RB		6.13	%		11/15/37		8,355		8,225,748
Idaho (State of) Housing & Finance Association (Compass Public Charter School, Inc.); Series 2010 A, Non-profit Facilities RB		6.25	%		07/01/40		1,000		1,027,770
Idaho (State of) Housing & Finance Association (Liberty Charter School); Series 2008 A, Non-profit Facilities RB		6.00	%		06/01/38		750		755,790

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

22                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Idaho–(continued)
Idaho (State of) Housing & Finance Association (North Star Charter School);
Series 2009 A, Non-profit Facilities RB(k)		2.70	%		07/01/21	$	150	$	97,502
Series 2009 A, Non-profit Facilities RB(k)		2.78	%		07/01/29		1,000		650,010
Series 2009 A, Non-profit Facilities RB(k)		2.85	%		07/01/39		2,005		1,303,270
Idaho (State of) Housing & Finance Association (Victory Charter School, Inc.); Series 2009 A, Non-profit Facilities RB		8.25	%		07/01/39		745		827,032
Idaho (State of) Housing & Finance Association; Series 2008 A, Non-profit Facilities RB		6.13	%		07/01/38		1,580		1,593,888
									27,903,178
Illinois–10.61%
Annawan (Village of) (Patriot Renewable Fuels, LLC); Series 2007, Tax Increment Allocation RB		5.63	%		01/01/18		2,620		2,390,698
Antioch (Village of) Special Service Area No. 1 (Deercrest); Series 2003, Special Tax RB		6.63	%		03/01/33		3,569		2,981,471
Aurora (City of) (East River Area TIF No. 6); Series 2008 A, Tax Increment Allocation RB		6.75	%		12/30/27		2,170		2,256,626
Aurora (City of) (River City TIF No. 3); Series 2008 B, Tax Increment Allocation RB		6.50	%		12/30/23		3,395		3,582,947
Bartlett (Village of) (Quarry Redevelopment); Series 2007, Ref. Sr. Lien Tax Increment Allocation RB		5.60	%		01/01/23		5,000		4,927,750
Bolingbrook (Village of) Special Services Area No. 1 (Forest City); Series 2005, Special Tax RB		5.90	%		03/01/27		2,000		1,857,260
Bolingbrook (Village of);
Series 2005, Sales Tax RB(k)		2.30	%		01/01/15		210		198,200
Series 2005, Sales Tax RB(k)		2.40	%		01/01/26		4,500		4,032,720
Series 2005, Sales Tax RB(k)		2.50	%		01/01/24		6,000		5,421,660
Bourbonnais (Village of) (Olivet Nazarene University); Series 2013, Industrial Project RB		5.00	%		11/01/44		2,775		2,671,659
Bradley (Village of) (Bradley Commons); Series 2007, Tax Increment Allocation RB		6.10	%		01/01/27		2,670		2,684,151
Chicago (City of) (Asphalt Operating Services); Series 2010, Recovery Zone Facility RB		6.13	%		12/01/18		5,965		6,403,547
Chicago (City of) (Diversey/Narragansett); Series 2006, COP		7.46	%		02/15/26		2,655		2,041,217
Chicago (City of) (Lakeshore East); Series 2003, Special Assessment Improvement RB		6.63	%		12/01/22		3,432		3,481,249
Chicago (City of) (O’Hare International Airport); Series 2008 A, Third Lien General Airport RB (INS–AGM)(a)(e)		5.00	%		01/01/33		14,000		14,355,320
Chicago (City of) Board of Education; Series 2008 C, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)(e)		5.00	%		12/01/32		13,050		13,250,448
Chicago (City of);
Series 2011, COP		7.13	%		05/01/21		1,000		1,105,870
Series 2011, COP		7.13	%		05/01/25		9,700		10,688,624
Series 2011, COP		7.13	%		05/01/25		9,185		10,121,135
Cook (County of) (Navistar International Corp.); Series 2010, Recovery Zone Facility RB		6.50	%		10/15/40		13,665		13,644,776
Cortland (Town of) (Sheaffer System); Series 2006, Special Tax RB(f)(g)		5.50	%		03/01/17		3,439		1,032,732
Deerfield (Village of);
Series 2011, Ref. CAB RB(d)		0.00	%		10/01/31		1,803		389,700
Series 2011, Ref. RB		6.00	%		10/01/42		3,362		2,705,032
Du Page (County of) Special Service Area No. 31 (Monarch Landing); Series 2006, Special Tax RB		5.40	%		03/01/16		78		79,498
East Dundee (Village of) (Route 25 South Redevelopment); Series 2012, Limited Obligation Tax Increment Allocation RB		5.63	%		12/01/31		1,530		1,402,811
Gilberts (Village of) Special Service Area No. 19 (The Conservancy); Series 2006-1, Special Tax RB(g)		5.38	%		03/01/16		2,500		862,350
Hillside (Village of) (Mannheim Redevelopment);
Series 2008, Sr. Lien Tax Increment Allocation RB		6.55	%		01/01/20		745		762,746
Series 2008, Sr. Lien Tax Increment Allocation RB		7.00	%		01/01/28		8,000		8,125,600
Illinois (State of) Finance Authority (Beacon Hill); Series 2005 A, Ref. RB		5.35	%		02/15/15		225		225,497
Illinois (State of) Finance Authority (Christian Homes, Inc.);
Series 2007 A, Ref. RB		5.75	%		05/15/26		5,575		5,690,625
Series 2007 A, Ref. RB		5.75	%		05/15/31		2,825		2,868,533

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

23                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Illinois–(continued)
Illinois (State of) Finance Authority (Clare Oaks);
Series 2012 A-1, RB		7.00	%		11/15/27	$	1,080	$	977,886
Series 2012 A-2, RB		7.00	%		11/15/27		1,355		1,247,386
Series 2012 A-3, RB		7.00	%		11/15/17		710		688,310
Series 2012 B, Ref. Sub. RB		4.00	%		11/15/52		6,240		3,157,256
Series 2012 C-1, Ref. Sub. RB(d)		0.00	%		11/15/52		3,902		146,557
Series 2012 C-2, Ref. Sub. RB(d)		0.00	%		11/15/52		780		250,334
Series 2012 C-3, Ref. Sub. Conv. RB(d)		0.00	%		11/15/52		780		163,180
Illinois (State of) Finance Authority (Clare Water Tower);
Series 2010 A-6, Ref. RB(g)		6.00	%		05/15/28		1,249		12
Series 2010 A-7, Ref. RB(g)		6.13	%		05/15/41		11,264		113
Series 2010 B, Ref. CAB RB(d)(g)		0.00	%		05/15/50		5,966		60
Illinois (State of) Finance Authority (Clinic Altgeld); Series 1996, Community Facilities RB		8.00	%		11/15/16		1,215		1,215,753
Illinois (State of) Finance Authority (Collegiate Housing Foundation–DeKalb II, LLC–Northern Illinois University); Series 2011, Student Housing RB		6.88	%		10/01/43		7,000		7,553,070
Illinois (State of) Finance Authority (Fairview Obligated Group);
Series 2008 A, Ref. RB(g)		6.13	%		08/15/28		1,000		7,410
Series 2008 A, Ref. RB(g)		6.25	%		08/15/35		3,500		25,935
Series 2008 A, Ref. RB(g)		6.25	%		08/15/40		5,500		40,755
Illinois (State of) Finance Authority (Friendship Village of Schaumburg);
Series 2005 A, RB		5.38	%		02/15/25		1,000		959,980
Series 2010, RB		7.13	%		02/15/39		1,710		1,747,911
Series 2010, RB		7.25	%		02/15/45		8,900		9,108,616
Illinois (State of) Finance Authority (Greenfields of Geneva);
Series 2010 A, RB		7.90	%		02/15/25		3,285		3,342,028
Series 2010 A, RB		8.00	%		02/15/28		3,000		3,036,300
Series 2010 A, RB		8.13	%		02/15/40		14,140		14,355,069
Series 2010 A, RB		8.25	%		02/15/46		27,685		28,180,561
Series 2010 C-2, TEMPS-65SMRB		6.75	%		02/15/16		2,510		2,510,803
Illinois (State of) Finance Authority (Luther Oaks);
Series 2006 A, RB		5.70	%		08/15/28		500		487,690
Series 2006 A, RB		6.00	%		08/15/26		3,850		3,869,520
Series 2006 A, RB		6.00	%		08/15/39		10,460		9,739,306
Illinois (State of) Finance Authority (Lutheran Home & Services);
Series 2012, Ref. RB		5.50	%		05/15/30		1,500		1,437,780
Series 2012, Ref. RB		5.63	%		05/15/42		6,000		5,501,340
Series 2012, Ref. RB		5.75	%		05/15/46		1,500		1,390,335
Illinois (State of) Finance Authority (Montgomery Place); Series 2006 A, RB		5.75	%		05/15/38		3,000		3,004,920
Illinois (State of) Finance Authority (Navistar International); Series 2010, Recovery Zone Facility RB		6.50	%		10/15/40		20,000		19,970,400
Illinois (State of) Finance Authority (Norwegian American Hospital Inc.);
Series 2008, RB		7.63	%		09/15/28		2,000		1,992,060
Series 2008, RB		7.75	%		09/15/38		3,000		2,897,910
Illinois (State of) Finance Authority (Park Place of Elmhurst);
Series 2010 A, RB		8.00	%		05/15/30		1,300		715,130
Series 2010 A, RB		8.13	%		05/15/40		9,370		5,154,437
Series 2010 A, RB		8.25	%		05/15/45		14,000		7,701,400
Series 2010 D-1, TEMPS-75SMRB		7.25	%		08/15/16		8,230		4,938,823
Series 2010 D-2, TEMPS-65SMRB		7.00	%		11/15/15		550		330,055
Series 2010 D-3, TEMPS-50SMRB		6.25	%		08/15/15		3,450		2,070,345
Illinois (State of) Finance Authority (Peace Village); Series 2013, RB		7.00	%		08/15/43		8,230		8,360,363
Illinois (State of) Finance Authority (Plymouth Place); Series 2013, Ref. RB		6.00	%		05/15/43		10,600		9,467,178
Illinois (State of) Finance Authority (Provena Health); Series 2009 A, RB		7.75	%		08/15/34		12,800		15,674,112

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

24                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Illinois–(continued)
Illinois (State of) Finance Authority (Rush University Medical Center Obligated Group); Series 2009 A, RB		7.25	%		11/01/38	$	24,235	$	28,708,539
Illinois (State of) Finance Authority (Silver Cross Hospital & Medical Centers);
Series 2008, Ref. RB		5.50	%		08/15/30		5,000		5,122,900
Series 2009, RB		6.88	%		08/15/38		21,875		24,055,500
Illinois (State of) Finance Authority (Smith Village);
Series 2005 A, RB		5.70	%		11/15/20		500		508,495
Series 2005 A, RB		6.13	%		11/15/25		1,100		1,105,456
Series 2005 A, RB		6.25	%		11/15/35		1,500		1,455,660
Illinois (State of) Finance Authority (The Admiral at the Lake);
Series 2010 A, RB		7.25	%		05/15/20		1,905		1,945,996
Series 2010 D-1, TEMPS-75SMRB		7.00	%		05/15/18		1,550		1,552,666
Series 2010 D-2, TEMPS-65SMRB		6.38	%		05/15/17		8,105		8,116,752
Illinois (State of) Finance Authority (The Landing at Plymouth Place);
Series 2005 A, RB		6.00	%		05/15/25		5,500		5,446,375
Series 2005 A, RB		6.00	%		05/15/37		19,685		17,942,287
Illinois (State of) Finance Authority (Three Crowns Park Plaza);
Series 2006 A, RB		5.88	%		02/15/26		1,000		1,006,630
Series 2006 A, RB		5.88	%		02/15/38		1,500		1,449,495
Illinois (State of) Finance Authority (United Neighborhood Organization Charter School Network, Inc.);
Series 2011, Ref. Charter School RB		6.88	%		10/01/31		3,485		3,878,840
Series 2011, Ref. Charter School RB		7.13	%		10/01/41		1,000		1,119,580
Illinois (State of) Finance Authority (University of Chicago); Series 2013 A, RB		5.25	%		10/01/52		27,000		28,443,960
Illinois (State of) Finance Authority (Villa St. Benedict); Series 2003 A-1, RB(g)		6.90	%		11/15/33		8,750		5,929,875
Illinois (State of) Finance Authority (Waste Management Inc.); Series 2005 A, Solid Waste Disposal RB(c)		5.05	%		08/01/29		1,320		1,360,537
Illinois (State of) Metropolitan Pier & Exposition Authority (McCormick Place Expansion); Series 2010 A, RB(e)		5.50	%		06/15/50		18,000		18,582,660
Illinois (State of) Real Estate Lease; Series 1998, Ctfs. RB (INS–ACA)(a)(f)		6.20	%		06/15/18		3,523		3,560,177
Illinois (State of) Toll Highway Authority; Series 2008 B, RB(e)		5.50	%		01/01/33		29,000		31,748,910
Lombard Public Facilities Corp.; Series 2005 A-1, First Tier Conference Center & Hotel RB		6.38	%		01/01/15		270		176,839
Long Grove (Village of) (Sunset Grove); Series 2010, Limited Obligation Tax Increment Allocation RB		7.50	%		01/01/30		3,390		3,548,686
Malta (Village of) (Prairie Springs); Series 2006, Tax Increment Allocation RB (Acquired 09/14/06; Cost $1,800,000)(f)(j)		5.75	%		12/30/25		1,800		888,264
Manhattan (Village of) Special Service Area No. 04-1 (Brookstone Springs); Series 2005, Special Tax RB		6.10	%		03/01/35		4,266		4,181,917
Minooka (Village of) (Lakewood Trails Unit No. 2); Series 2004, Special Assessment Improvement RB		6.38	%		03/01/34		5,288		5,302,225
Minooka (Village of) (Lakewood Trails); Series 2003, Special Assessment Improvement RB		6.63	%		03/01/33		3,553		3,566,821
Minooka (Village of) (Prairie Ridge); Series 2003, Special Assessment Improvement RB		6.88	%		03/01/33		2,629		2,644,406
Pingree Grove (Village of) (Cambridge Lakes Learning Center);
Series 2007, RB		6.00	%		06/01/36		4,980		4,233,647
Series 2011, RB		8.50	%		06/01/41		3,290		3,506,910
Pingree Grove (Village of) (Cambridge Lakes); Series 2006-1, Special Service Area No. 7 Special Tax RB		6.00	%		03/01/36		8,354		8,226,685
Pingree Grove (Village of) Special Service Area No. 2 (Cambridge Lakes); Series 2005-2, Special Tax RB		6.00	%		03/01/35		6,773		6,792,980
Plano (City of) Special Service Area No. 1 (Lakewood Springs); Series 2004 A, Special Tax RB		6.20	%		03/01/34		3,962		3,981,216
Plano (City of) Special Service Area No. 10 (Lakewood Springs Club); Series 2007, Special Tax RB(j)		5.80	%		03/01/37		5,615		1,869,963
Quad Cities Regional Economic Development Authority (Heritage Woods Moline Supportive Living Facility); Series 2006, MFH RB(c)		6.00	%		12/01/41		1,270		1,093,267
Railsplitter Tobacco Settlement Authority; Series 2010, RB		6.00	%		06/01/28		17,050		19,519,351
Regional Transportation Authority; Series 1994 B, RB (INS–AMBAC)(a)		8.00	%		06/01/17		2,095		2,455,151

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

25                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Illinois–(continued)
Southwestern Illinois Development Authority (Eden Retirement Center, Inc.);
Series 2006, Senior Care Facilities RB		5.50	%		12/01/26	$	800	$	649,520
Series 2006, Senior Care Facilities RB		5.85	%		12/01/36		3,000		2,295,420
Southwestern Illinois Development Authority (U.S. Steel Corp.) Series 2012, RB(c)		5.75	%		08/01/42		8,000		6,877,680
St. Charles (City of) (Zylstra);
Series 2008, Sr. Lien Limited Incremental Sales Tax RB		6.95	%		01/01/21		1,535		1,541,094
Series 2008, Sr. Lien Limited Incremental Sales Tax RB		6.95	%		01/01/25		1,980		1,969,348
St. Charles (City of) Special Service Area No. 21; Series 1998, RB		6.63	%		03/01/28		1,760		1,757,606
United City of Yorkville (City of) (Storm Water/Water Improvement);
Series 2007, Business District RB		6.00	%		01/01/26		3,045		2,104,734
Series 2007, Business District RB		6.00	%		01/01/27		285		197,126
United City of Yorkville (City of) Special Service Area No. 2004-107 (Raintree Village II); Series 2005, Special Tax RB(g)		6.25	%		03/01/35		5,408		2,737,043
United City of Yorkville (City of) Special Service Area No. 2005-108 (Autumn Creek); Series 2006, Special Tax RB(j)		6.00	%		03/01/36		2,695		2,375,508
United City of Yorkville (City of) Special Service Area No. 2006-113 (Cannonball/Beecher Road); Series 2007, Special Tax RB		5.75	%		03/01/28		4,175		4,012,092
Upper Illinois River Valley Development Authority (Living Springs McHenry Supportive Living Facility); Series 2007, MFH RB(c)		6.10	%		12/01/41		3,900		3,404,037
Upper Illinois River Valley Development Authority (Pleasant View Luther Home);
Series 2010, RB		7.00	%		11/15/30		2,000		2,046,900
Series 2010, RB		7.25	%		11/15/40		3,200		3,273,536
Series 2010, RB		7.38	%		11/15/45		1,700		1,737,757
Series 2012, RB		6.00	%		05/15/42		6,550		5,755,027
Volo (Village of) Special Service Area No. 3 (Symphony Meadows); Series 2006-1, Special Tax RB		6.00	%		03/01/36		3,708		3,619,564
Western Illinois Economic Development Authority (Carthage Memorial Hospital);
Series 2008 B, Hospital RB		7.00	%		06/01/33		2,295		2,366,512
Series 2008 B, Hospital RB		7.05	%		06/01/37		4,700		4,840,013
Wheeling (Village of) (N. Milwaukee/Lake-Cook TIF); Series 2005, Tax Increment Allocation RB		6.00	%		01/01/25		8,030		7,922,478
Will (County of) & Kankakee (City of) Regional Development Authority (Senior Estates Supportive Living); Series 2007, MFH RB(c)		7.00	%		12/01/42		2,970		2,940,538
									645,113,992
Indiana–2.33%
Carmel (City of) (Barrington Carmel);
Series 2012 A, RB		7.00	%		11/15/27		1,550		1,619,068
Series 2012 A, RB		7.00	%		11/15/32		2,980		3,062,606
Series 2012 A, RB		7.13	%		11/15/42		12,200		12,485,480
Series 2012 A, RB		7.13	%		11/15/47		9,940		10,144,466
Series 2012 C-1, TEMPS-75SMRB		5.75	%		11/15/19		2,000		2,001,160
Series 2012 C-2, TEMPS-65SMRB		5.25	%		11/15/18		2,750		2,749,890
Crown Point (City of) (Wittenberg Village);
Series 2009 A, Economic Development RB		8.00	%		11/15/29		3,100		3,443,759
Series 2009 A, Economic Development RB		8.00	%		11/15/39		9,250		10,127,825
Indiana (State of) Finance Authority (Irvington Community School);
Series 2009 A, Educational Facilities RB		7.75	%		07/01/23		1,040		1,027,780
Series 2009 A, Educational Facilities RB		8.00	%		07/01/29		1,385		1,334,004
Series 2009 A, Educational Facilities RB		9.00	%		07/01/39		3,575		3,647,322
Indiana (State of) Finance Authority (Ohio River Bridges East End Crossing);
Series 2013, Private Activity RB(c)		5.25	%		01/01/51		8,000		8,084,160
Series 2013, Private Activity RB MBTC(e)		5.25	%		01/01/51		16,000		16,168,320
Indiana (State of) Finance Authority (Ohio Valley Electric Corp.); Series 2012 A, Midwestern Disaster Relief RB		5.00	%		06/01/39		13,545		13,128,356
Indiana (State of) Finance Authority (U.S. Steel Corp); Series 2011, Ref. Environmental RB		6.00	%		12/01/19		8,000		8,318,240

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

26                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Indiana–(continued)
North Manchester (Town of) Economic Development Authority (Peabody Retirement Community);
Series 2013, Ref. RB		5.13	%		12/01/45	$	1,558	$	1,217,324
Series 2013, Ref. Sub. RB		1.00	%		12/01/45		1,341		13
St. Joseph (County of) (Holy Cross Village at Notre Dame); Series 2006 A, Economic Development RB		6.00	%		05/15/38		1,150		1,152,346
St. Joseph (County of) Redevelopment District;
Series 1997 B, Tax Increment Allocation CAB RB(d)		0.00	%		12/30/14		125		117,810
Series 1997 B, Tax Increment Allocation CAB RB(d)		0.00	%		12/30/15		125		109,096
Series 1997 B, Tax Increment Allocation CAB RB(d)		0.00	%		12/30/16		125		101,036
Valparaiso (City of) (Pratt Paper, LLC);
Series 2013, Exempt Facilities RB(c)		6.75	%		01/01/34		10,785		11,378,499
Series 2013, Exempt Facilities RB(c)		7.00	%		01/01/44		11,000		11,681,450
Vigo (County of) Hospital Authority (Union Hospital, Inc.);
Series 2007, RB(f)		5.70	%		09/01/37		8,000		7,629,920
Series 2007, RB(f)		5.75	%		09/01/42		5,780		5,470,886
Series 2007, RB(f)		5.80	%		09/01/47		5,645		5,341,355
									141,542,171
Iowa–3.50%
Altoona (City of);
Series 2008, Annual Appropriation Urban Renewal Tax Increment RB		6.00	%		06/01/28		1,250		1,325,300
Series 2008, Annual Appropriation Urban Renewal Tax Increment RB		6.00	%		06/01/39		5,000		5,183,400
Series 2008, Annual Appropriation Urban Renewal Tax Increment RB		6.00	%		06/01/43		5,500		5,686,835
Ames (City of) (Mary Greeley Medical Center);
Series 2011, Hospital RB		5.25	%		06/15/36		1,250		1,295,275
Series 2011, Hospital RB		5.50	%		06/15/30		1,000		1,059,860
Cass (County of) (Cass County Memorial Hospital); Series 2010 A, Hospital RB		7.25	%		06/01/35		5,755		6,164,814
Des Moines (City of) (Luther Park Apartments, Inc.);
Series 2004, Senior Housing RB		6.00	%		12/01/23		500		502,260
Series 2004, Senior Housing RB		6.25	%		12/01/34		2,245		2,245,471
Series 2007 A, Ref. MFH RB(f)		5.30	%		12/01/36		3,500		3,037,720
Iowa (State of) Finance Authority (Alcoa Inc.); Series 2012, Midwestern Disaster Area RB		4.75	%		08/01/42		22,530		20,233,066
Iowa (State of) Finance Authority (Bethany Life Communities);
Series 2006 A, Ref. Senior Housing RB		5.45	%		11/01/26		1,395		1,387,816
Series 2006 A, Ref. Senior Housing RB		5.55	%		11/01/41		3,795		3,542,215
Iowa (State of) Finance Authority (Iowa Fertilizer Co.);
Series 2013, Midwestern Disaster Area RB		5.00	%		12/01/19		10,000		10,043,900
Series 2013, Midwestern Disaster Area RB		5.25	%		12/01/25		8,000		7,767,120
Series 2013, Midwestern Disaster Area RB		5.50	%		12/01/22		27,195		27,203,702
Series 2013, Midwestern Disaster Area RB MBTC(e)		5.25	%		12/01/25		17,800		17,281,842
Iowa (State of) Finance Authority (Madrid Home);
Series 2007, Ref. Health Care Facility RB		5.75	%		11/15/24		1,000		978,420
Series 2007, Ref. Health Care Facility RB		5.80	%		11/15/29		1,930		1,791,194
Series 2007, Ref. Health Care Facility RB		5.90	%		11/15/37		2,750		2,456,107
Iowa (State of) Tobacco Settlement Authority;
Series 2005 B, Asset-Backed RB		5.60	%		06/01/34		27,450		23,704,173
Series 2005 C, Asset-Backed RB		5.50	%		06/01/42		19,685		15,664,536
Series 2005 C, Asset-Backed RB		5.63	%		06/01/46		25,380		20,352,222
Series 2005 D, Asset-Backed CAB RB(d)		0.00	%		06/01/46		180,800		13,343,040
Jefferson (County of) Hospital; Series 2007 C, RB		5.95	%		08/01/37		1,435		1,444,328
Marion (City of) (Village Place at Marion);
Series 2005 A, MFH RB		5.65	%		09/01/25		155		140,469
Series 2005 A, MFH RB		6.00	%		09/01/35		400		341,700
Orange City (City of); Series 2008, Ref. Hospital Capital Loan RN		5.60	%		09/01/32		7,415		7,415,890

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

27                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Iowa–(continued)
Polk (County of) (Luther Park Health Center, Inc.);
Series 2004, Health Care Facilities RB		6.00	%		10/01/24	$	290	$	290,139
Series 2004, Health Care Facilities RB		6.15	%		10/01/36		3,100		3,099,721
Series 2007 A, Ref. Health Care Facilities RB		5.30	%		04/01/37		4,770		4,277,545
Series 2007 C, Health Care Facilities RB		6.00	%		04/01/37		3,365		3,319,270
									212,579,350
Kansas–0.70%
Kansas (State of) Development Finance Authority (Adventist Health System/Sunbelt Obligated Group); Series 2009 C, Hospital RB		5.75	%		11/15/38		1,900		2,097,296
Lenexa (City of) (Lakeview Village, Inc.);
Series 2009, Health Care Facilities RB		7.13	%		05/15/29		500		530,260
Series 2009, Health Care Facilities RB		7.25	%		05/15/39		1,500		1,578,930
Olathe (City of) (Aberdeen Village, Inc.);
Series 2005, Ref. Senior Living Facility RB		6.13	%		05/15/30		1,000		988,010
Series 2005 A, Ref. Senior Living Facility RB		5.60	%		05/15/28		1,500		1,441,905
Olathe (City of) (Catholic Care Campus, Inc.); Series 2006 A, Senior Living Facility RB		6.00	%		11/15/38		2,500		2,500,350
Olathe (City of) (West Village Center);
Series 2007, Special Obligation Tax Increment Allocation RB		5.30	%		09/01/17		500		408,935
Series 2007, Special Obligation Tax Increment Allocation RB		5.45	%		09/01/22		3,315		2,371,385
Series 2007, Special Obligation Tax Increment Allocation RB		5.50	%		09/01/26		2,835		1,880,399
Overland Park (City of) Transportation Development District (Grass Creek); Series 2006, Special Assessment RB		5.13	%		09/01/28		1,485		1,410,349
Roeland Park (City of) (Roeland Park Redevelopment, LLC); Series 2005, Special Obligation Tax Increment Allocation RB		5.75	%		08/01/24		920		913,551
Roeland Park (City of) (TDD No. 1);
Series 2005, Transportation Development District Sales Tax RB		5.75	%		12/01/25		445		329,527
Series 2006 A, Transportation Development District Sales Tax RB		5.88	%		12/01/25		865		648,110
Roeland Park (City of) (TDD No. 2); Series 2006 B, Transportation Development District Sales Tax RB		5.88	%		12/01/25		1,000		600,780
Wichita (City of) (Larksfield Place); Series 2013 III, Ref. Health Care Facilities & Improvement RB		7.38	%		12/15/43		5,000		5,136,800
Wichita (City of) (Presbyterian Manors, Inc.);
Series 2013 IV-A, Health Care Facilities RB		6.38	%		05/15/43		5,000		5,092,600
Series 2013 IV-A, Health Care Facilities RB		6.50	%		05/15/48		14,000		14,353,080
									42,282,267
Kentucky–0.55%
Kentucky (State of) Economic Development Finance Authority (Masonic Home Independent Living II);
Series 2011, RB		7.00	%		05/15/30		2,500		2,682,125
Series 2011, RB		7.25	%		05/15/41		3,050		3,265,605
Series 2011, RB		7.38	%		05/15/46		1,000		1,076,200
Kentucky (State of) Economic Development Finance Authority (Masonic Homes of Kent);
Series 2012, Ref. Health Care Facilities RB		5.38	%		11/15/32		2,000		1,880,180
Series 2012, Ref. Health Care Facilities RB		5.38	%		11/15/42		1,750		1,575,070
Series 2012, Ref. Health Care Facilities RB		5.50	%		11/15/45		1,645		1,498,562
Kentucky (State of) Economic Development Finance Authority (Owensboro Medical Health System, Inc.); Series 2010 A, Hospital RB		6.50	%		03/01/45		6,000		6,381,900
Kentucky (State of) Public Transportation Infrastructure Authority (Downtown Crossing);
Series 2013 C, First Tier Toll Conv. CAB RB(b)		6.88	%		07/01/46		8,000		4,573,360
Series 2013 C, First Tier Toll Cov. CAB RB(b)		6.60	%		07/01/39		10,000		5,898,000
Series 2013 C, First Tier Toll Cov. CAB RB(b)		6.75	%		07/01/43		5,000		2,886,800
Louisville (City of) & Jefferson (County of) Metropolitan Government (Bellarmie University Inc.); Series 2009, College Improvement RB		6.13	%		05/01/39		1,820		1,929,600
									33,647,402

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

28                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Louisiana–1.03%
Calcasieu (Parish of) Memorial Hospital Service District (Lake Charles Memorial Hospital); Series 1992 A, Hospital RB (INS–Connie Lee)(a)		6.50	%		12/01/18	$	3,890	$	4,025,683
Lakeshore Villages Master Community Development District; Series 2007, Special Assessment RB(g)		5.25	%		07/01/17		14,685		5,799,106
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (Eunice Student Housing Foundation); Series 2002, RB		7.38	%		09/01/33		2,865		2,446,567
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (Westlake Chemical Corp.);
Series 2009 A, RB		6.50	%		08/01/29		4,250		4,754,688
Series 2010 A-1, RB		6.50	%		11/01/35		9,245		10,160,440
Louisiana (State of) Public Facilities Authority (Belle Chasse Educational Foundation); Series 2011, RB		6.75	%		05/01/41		3,000		3,199,140
Louisiana (State of) Public Facilities Authority (Lake Charles Memorial Hospital); Series 2007, Ref. Hospital RB(f)		6.38	%		12/01/34		24,750		25,166,542
Louisiana State University & Agricultural & Mechanical College (Master Lease M98362); Series 1998, RB (Acquired 11/30/98; Cost $1,445,558)(f)		5.75	%		10/30/18		1,446		1,449,129
New Orleans (City of) Aviation Board; Series 2009 A-2, Ref. & Restructuring General Airport RB (INS–AGC)(a)		6.00	%		01/01/23		3,000		3,419,310
St. Tammany (Parish of) Public Trust Financing Authority (Christwood); Series 1998, Ref. RB		5.70	%		11/15/28		2,210		2,188,961
									62,609,566
Maine–0.31%
Maine (State of) Health & Higher Educational Facilities Authority (Maine General Medical Center);
Series 2011, RB		6.75	%		07/01/36		3,175		3,457,734
Series 2011, RB		6.75	%		07/01/41		11,505		12,464,057
Series 2011, RB		7.50	%		07/01/32		2,500		2,863,375
									18,785,166
Maryland–1.71%
Anne Arundel (County of) (National Business Park-North);
Series 2010, Special Obligation Tax Allocation RB		5.63	%		07/01/25		1,000		1,045,190
Series 2010, Special Obligation Tax Allocation RB		6.10	%		07/01/40		3,250		3,400,865
Baltimore (City of) (East Baltimore Research Park); Series 2008 A, Special Obligation Tax Allocation RB		7.00	%		09/01/38		15,605		16,454,224
Baltimore (City of) (Strathdale Manor); Series 2003, Special Obligation Tax Allocation RB		7.00	%		07/01/33		961		972,791
Brunswick (City of) (Brunswick Crossing); Series 2006, Special Obligation Tax RB		5.50	%		07/01/36		17,900		16,566,808
Frederick (County of) (Jefferson Technology Park);
Series 2013 A, Special Tax RB		7.25	%		07/01/43		3,640		3,724,921
Series 2013 B, Tax Increment & Special Tax RB		7.13	%		07/01/43		5,290		5,537,942
Frederick (County of) (Urbana Community Development Authority); Series 2010 B, Sub. Special Obligation Tax RB		5.50	%		07/01/40		9,020		8,578,020
Harford (County of); Series 2011, Special Obligation Tax Allocation RB		7.50	%		07/01/40		6,000		6,512,280
Howard (County of) (Vantage House Facility); Series 2007 B, Ref. Retirement Community RB		5.25	%		04/01/37		620		521,780
Maryland (State of) Health & Higher Educational Facilities Authority (Adventist Healthcare); Series 2011 A, RB		6.13	%		01/01/36		1,500		1,629,510
Maryland (State of) Health & Higher Educational Facilities Authority (King Farm Presbyterian Retirement Community);
Series 2007 A, RB		5.25	%		01/01/27		4,475		4,475,850
Series 2007 A, RB		5.30	%		01/01/37		3,050		2,886,825
Maryland (State of) Health & Higher Educational Facilities Authority (Washington County Hospital); Series 2008, RB		6.00	%		01/01/43		16,105		16,451,580
Maryland (State of) Industrial Development Financing Authority (Our Lady of Good Counsel High School Facility); Series 2005 A, Economic Development RB(h)(i)		6.00	%		05/01/15		1,500		1,538,865
Maryland Economic Development Corp. (AFCO Cargo BWI II, LLC);
Series 1999, Air Cargo RB(c)		6.50	%		07/01/24		5,525		4,987,418
Series 2003, Ref. Air Cargo RB(c)		7.34	%		07/01/24		1,090		1,046,792

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

29                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Maryland–(continued)
Maryland Economic Development Corp. (Chesapeake Bay); Series 2006 B, Sr. Lien RB		5.25	%		12/01/31	$	1,500	$	749,625
Montgomery (County of) (West Germantown Development District); Series 2004 B, Special Obligation Limited Tax GO Bonds		6.70	%		07/01/27		1,200		1,201,800
Salisbury (City of) (Villages at Aydelotte Farm); Series 2007, Special Obligation Tax Allocation RB(g)		5.25	%		01/01/37		4,000		1,452,920
Westminster (City of) (Carroll Lutheran Village);
Series 2004 A, Economic Development RB		6.00	%		05/01/24		2,000		2,001,780
Series 2004 A, Economic Development RB		6.25	%		05/01/34		2,500		2,500,100
									104,237,886
Massachusetts–2.48%
Massachusetts (State of) Development Finance Agency (Alliance); Series 1999 A, Health Care Facility RB		7.10	%		07/01/32		6,740		6,739,798
Massachusetts (State of) Development Finance Agency (Covanta Energy); Series 2012, Ref. Resource Recovery RB(c)		5.25	%		11/01/42		12,870		12,443,359
Massachusetts (State of) Development Finance Agency (Criterion Child Enrichment); Series 2003, RB		6.75	%		01/01/34		5,360		5,256,123
Massachusetts (State of) Development Finance Agency (Evergreen Center Inc.);
Series 2005, RB		5.00	%		01/01/24		250		250,320
Series 2005, RB		5.50	%		01/01/35		500		488,150
Massachusetts (State of) Development Finance Agency (GF/Pilgrim, Inc.);
Series 1998, First Mortgage RB		6.50	%		10/01/15		235		235,155
Series 1998, First Mortgage RB		6.75	%		10/01/28		4,000		3,877,240
Massachusetts (State of) Development Finance Agency (Hampshire College); Series 2004, RB		5.70	%		10/01/34		1,500		1,509,195
Massachusetts (State of) Development Finance Agency (Harvard University); Series 2009 A, RB(e)		5.50	%		11/15/36		23,660		26,782,883
Massachusetts (State of) Development Finance Agency (Hillcrest Educational Centers Inc.); Series 1999, RB		6.38	%		07/01/29		5,655		5,655,905
Massachusetts (State of) Development Finance Agency (Linden Ponds, Inc. Facility);
Series 2011 A-1, RB		6.25	%		11/15/17		732		722,290
Series 2011 A-1, RB		6.25	%		11/15/39		705		582,516
Series 2011 A-1, RB		6.25	%		11/15/46		975		784,469
Series 2011 A-2, RB		5.50	%		11/15/46		89		64,142
Series 2011 B, CAB RB(d)		0.00	%		11/15/56		911		4,272
Massachusetts (State of) Development Finance Agency (Massachusetts Institute of Technology); Series 2002 K, RB(e)		5.50	%		07/01/32		5,015		6,503,552
Massachusetts (State of) Development Finance Agency (Quincy Medical Center); Series 2008 A, RB(g)		5.85	%		01/15/18		5,565		15,638
Massachusetts (State of) Development Finance Agency (Sabis International Charter School);
Series 2009 A, RB		6.85	%		04/15/23		745		830,511
Series 2009 A, RB		6.90	%		04/15/25		895		991,033
Series 2009 A, RB		8.00	%		04/15/31		1,000		1,158,470
Series 2009 A, RB		8.00	%		04/15/39		4,850		5,574,687
Massachusetts (State of) Development Finance Agency (Tufts Medical Center);
Series 2011 I, RB		6.75	%		01/01/36		1,000		1,148,280
Series 2011 I, RB		6.88	%		01/01/41		4,610		5,289,145
Massachusetts (State of) Development Finance Agency (Whitney Academy); Series 2000, RB		7.50	%		09/01/30		2,545		2,542,582
Massachusetts (State of) Port Authority (Delta Air Lines Inc.); Series 2001 C, Special Facilities RB (INS–AMBAC)(a)(c)(l)		0.12	%		01/01/31		15,000		11,100,000
Massachusetts (State of) Port Authority (Delta Airlines Inc.); Series 2001 A, RB (INS–AMBAC)(a)(c)		5.00	%		01/01/27		10,105		9,652,296
Massachusetts (State of); Series 2004 A, Ref. Limited Tax GO Bonds (INS–AMBAC)(a)(e)		5.00	%		08/01/30		32,040		40,523,551
									150,725,562
Michigan–1.14%
Dearborn Economic Development Corp. (Henry Ford Village, Inc.);
Series 2008, Ref. Limited Obligation RB		7.00	%		11/15/28		5,500		5,584,920
Series 2008, Ref. Limited Obligation RB		7.13	%		11/15/43		7,700		7,734,650

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

30                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Michigan–(continued)
Detroit (City of) Water and Sewerage Department;
Series 2012 A, Ref. Sr. Lien Sewage Disposal System RB		5.00	%		07/01/32	$	12,725	$	12,287,005
Series 2012 A, Ref. Sr. Lien Sewage Disposal System RB		5.25	%		07/01/39		6,620		6,434,309
Detroit Community High School;
Series 2005, Public School Academy RB		5.65	%		11/01/25		1,260		1,017,261
Series 2005, Public School Academy RB		5.75	%		11/01/30		1,000		753,450
Grand Blanc Academy; Series 2000, COP		7.75	%		02/01/30		1,590		1,028,507
Iron River (City of) Hospital Finance Authority (Iron County Community Hospitals);
Series 2008, Ref. Hospital RB		6.50	%		05/15/33		3,275		3,232,196
Series 2008, Ref. Hospital RB		6.50	%		05/15/40		3,380		3,264,269
Kentwood Economic Development Corp. (Holland Home);
Series 2012, Ref. Limited Obligation RB		5.63	%		11/15/32		3,500		3,451,875
Series 2012, Ref. Limited Obligation RB		5.63	%		11/15/41		4,160		3,979,830
Michigan (State of) Finance Authority (Public School Academy–Cesar Chavez Academy); Series 2012, Ref. Limited Obligation RB		5.75	%		02/01/33		4,750		4,513,545
Michigan (State of) Strategic Fund (Genesee Power Station); Series 1994, Ref. Solid Waste Disposal RB(c)		7.50	%		01/01/21		2,470		2,321,553
Saline Economic Development Corp. (Evangelical Homes of Michigan); Series 2013, Ref. RB		5.50	%		06/01/47		4,000		3,742,840
Star International Academy; Series 2012, Ref. Public School Academy RB		5.00	%		03/01/33		3,100		2,867,004
Wayne Charter County Economic Development Corp. (Rivers of Grosse Point); Series 2013, First Mortgage RB		7.88	%		12/01/43		4,000		4,044,240
Wenonah Park Properties, Inc. (Bay City Hotel);
Series 2002, RB(k)		3.75	%		04/01/33		11,620		2,201,758
Series 2002, RB(k)		3.94	%		04/01/22		3,485		660,338
									69,119,550
Minnesota–3.40%
Albertville (City of) (Group for Affordable Housing); Series 2007, Ref. MFH RB		5.55	%		09/01/42		3,320		3,100,017
Anoka (City of) (The Homestead at Anoka, Inc.); Series 2011 A, Health Care Facilities RB		7.00	%		11/01/46		4,070		3,992,629
Anoka (County of) Housing & Redevelopment Authority (Fridley Medical Center);
Series 2010 A, RB		6.63	%		05/01/30		500		521,100
Series 2010 A, RB		6.88	%		05/01/40		1,000		1,041,350
Apple Valley (City of) (Ecumen-Seasons at Apple Valley); Series 2010, Housing & Health Care RB		6.75	%		03/01/40		2,500		2,548,050
Baytown (Township of) (St. Croix Preparatory Academy);
Series 2008 A, Lease RB		6.75	%		08/01/28		1,000		1,036,750
Series 2008 A, Lease RB		7.00	%		08/01/38		700		725,438
Becker (City of) (Shepherd of Grace);
Series 2006, Senior Housing RB		5.88	%		05/01/29		1,000		998,910
Series 2006, Senior Housing RB		6.00	%		05/01/41		1,000		969,950
Bloomington (City of) Port Authority (Radisson Blu Mall of America, LLC);
Series 2010, Recovery Zone Facility RB		6.25	%		12/01/16		1,500		1,520,430
Series 2010, Recovery Zone Facility RB		6.75	%		12/01/18		1,755		1,801,648
Series 2010, Recovery Zone Facility RB		8.00	%		12/01/25		1,625		1,747,639
Series 2010, Recovery Zone Facility RB		9.00	%		12/01/35		8,000		8,817,280
Brooklyn Park (City of) (Prairie Seeds Academy);
Series 2009 A, Lease RB		8.38	%		03/01/23		100		108,194
Series 2009 A, Lease RB		9.00	%		03/01/29		2,620		2,867,407
Series 2009 A, Lease RB		9.25	%		03/01/39		8,000		8,830,560
Carlton (City of) (Inter-Faith Care Center); Series 2006, Ref. Health Care & Housing Facilities RB		5.70	%		04/01/36		2,000		1,891,460
Cold Spring (City of) (Assumption Home, Inc.);
Series 2005, Nursing Home & Senior Housing RB		5.50	%		03/01/25		10		10,059
Series 2005, Nursing Home & Senior Housing RB		5.75	%		03/01/35		10		10,042
Series 2008, Health Care Facilities RB		7.50	%		03/01/38		1,000		1,047,710
Columbia Heights (City of) (Crest View Corp.); Series 2007 A, Ref. MFH & Health Care Facilities RB		5.70	%		07/01/42		5,000		3,770,000

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

31                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Minnesota–(continued)
Dakota (County of) Community Development Agency (Highview Hills Senior Housing); Series 2008 A, MFH RB		7.00	%		08/01/45	$	18,000	$	18,243,720
Lake Crystal (City of) (Ecumen-Second Century); Series 2006 A, Ref. Housing RB		5.70	%		09/01/36		2,000		2,007,580
Maplewood (City of) (Ecumen Headquarters & The Seasons at Maplewood); Series 2010, Housing & Health Care RB		6.38	%		03/01/40		1,045		1,091,785
Minneapolis (City of) (Ivy Tower); Series 2005, Tax Increment Allocation RB		5.70	%		02/01/29		1,000		898,940
Minneapolis (City of) (Providence);
Series 2007 A, Ref. Housing & Health Care Facilities RB		5.63	%		10/01/27		4,000		4,019,240
Series 2007 A, Ref. Housing & Health Care Facilities RB		5.75	%		10/01/37		4,345		4,333,616
Minneapolis (City of) (Riverton Community Housing); Series 2006 A, Ref. Student Housing RB		5.60	%		08/01/26		1,400		1,399,888
Moorhead (City of) (Sheyenne Crossing); Series 2006, Sr. Housing RB		5.65	%		04/01/41		5,000		4,969,500
Northwest Multi-County Housing & Redevelopment Authority (Pooled Housing Program);
Series 2005 A, Ref. Governmental Housing RB		5.35	%		07/01/15		70		71,338
Series 2005 A, Ref. Governmental Housing RB		6.20	%		07/01/30		2,000		2,000,820
Series 2005 A, Ref. Governmental Housing RB		6.25	%		07/01/40		5,000		4,892,150
Series 2006, Ref. Governmental Housing RB		5.25	%		07/01/26		850		809,132
Series 2006, Ref. Governmental Housing RB		5.45	%		07/01/41		2,340		2,087,537
Oak Park Heights (City of) (Oakgreen Commons);
Series 2010, Housing RB		6.75	%		08/01/31		1,500		1,585,305
Series 2010, Housing RB		7.00	%		08/01/45		3,000		3,151,290
Orono (City of) (Orono Woods Apartments); Series 2006 A, Ref. Senior Housing RB		5.40	%		11/01/41		4,700		3,318,529
Oronoco (City of) (Wedum Shorewood Campus); Series 2006, Ref. MFH RB		5.40	%		06/01/41		7,500		7,183,875
Perham (City of) Hospital District (Perham Memorial Hospital & Home); Series 2010, Health Care Facilities RB		6.35	%		03/01/35		2,000		2,117,900
Pine City (City of) (Lakes International Language Academy); Series 2006 A, Lease RB		6.25	%		05/01/35		2,650		2,730,798
Ramsey (City of) (Pact Charter School); Series 2004 A, Lease RB(h)(i)		6.75	%		06/01/14		3,000		3,109,860
Rochester (City of) (Homestead at Rochester, Inc.); Series 2013 A, Health Care & Housing RB		6.88	%		12/01/48		6,000		6,244,620
Rochester (City of) (Samaritan Bethany, Inc.);
Series 2009 A, Ref. Health Care & Housing RB		7.38	%		12/01/41		2,000		2,105,900
Series 2009 B, Ref. Health Care & Housing RB		7.38	%		12/01/36		1,555		1,644,257
Sartell (City of) (Country Manor Campus LLC);
Series 2010 A, Health Care Facilities RB		6.25	%		09/01/36		925		957,061
Series 2013, Health Care & Housing Facilities RB		5.38	%		09/01/43		5,000		4,617,050
Sauk Rapids (City of) (Good Shepherd Lutheran Home); Series 2009, Health Care & Housing Facilities RB(h)(i)		7.50	%		01/01/16		7,000		7,868,700
St. Paul (City of) Housing & Redevelopment Authority (Emerald Gardens);
Series 2010, Ref. Tax Increment Allocation RB		5.63	%		03/01/20		705		744,092
Series 2010, Ref. Tax Increment Allocation RB		6.50	%		03/01/29		915		945,927
St. Paul (City of) Housing & Redevelopment Authority (HealthEast); Series 2005, Hospital RB		6.00	%		11/15/30		3,360		3,440,842
St. Paul (City of) Housing & Redevelopment Authority (Higher Ground Academy); Series 2009, Lease RB(h)(i)		8.50	%		06/01/14		1,900		1,978,774
St. Paul (City of) Housing & Redevelopment Authority (Hmong Academy);
Series 2006 A, Lease RB		5.75	%		09/01/26		700		704,774
Series 2006 A, Lease RB		6.00	%		09/01/36		3,390		3,397,390
Series 2012 A, Charter School Lease RB		5.50	%		09/01/43		5,000		4,662,650
St. Paul (City of) Housing & Redevelopment Authority (Hope Community Academy);
Series 2004 A, Lease RB		6.75	%		12/01/33		2,415		2,417,149
Series 2005 A, Lease RB		6.25	%		12/01/33		2,185		2,082,458
St. Paul (City of) Housing & Redevelopment Authority (Marian Center); Series 2007 A, Ref. MFH RB		5.38	%		05/01/43		5,000		4,819,650
St. Paul (City of) Housing & Redevelopment Authority (Model Cities Health Center); Series 2001 A, Health Care RB		7.25	%		11/01/26		4,035		3,537,081
St. Paul (City of) Housing & Redevelopment Authority (New Spirit Charter School); Series 2002 A, Lease RB		7.50	%		12/01/31		4,390		4,425,822

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

32                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Minnesota–(continued)
St. Paul (City of) Housing & Redevelopment Authority (Nova Classical Academy);
Series 2011 A, Charter School Lease RB		6.38	%		09/01/31	$	1,000	$	1,047,280
Series 2011 A, Charter School Lease RB		6.63	%		09/01/42		1,500		1,578,420
St. Paul (City of) Housing & Redevelopment Authority (Rossy & Richard Shaller Family Sholom East Campus);
Series 2007 A, RB		5.05	%		10/01/27		1,750		1,684,287
Series 2007 A, RB		5.25	%		10/01/42		2,000		1,802,280
St. Paul (Port of) (HealthEast Midway Campus-03);
Series 2005 A, Lease RB		5.75	%		05/01/25		1,700		1,741,463
Series 2005 A, Lease RB		5.88	%		05/01/30		1,250		1,276,125
Series 2005 B, Lease RB		6.00	%		05/01/30		1,700		1,738,148
Vadnais Heights (City of) (Agriculture & Food Sciences Academy);
Series 2004 A, Lease RB(g)		6.38	%		12/01/24		1,900		1,457,129
Series 2004 A, Lease RB(g)		6.60	%		12/01/34		5,275		3,654,995
Washington (County of) Housing & Redevelopment Authority (Birchwood & Woodbury); Series 2007 A, Health Care & Housing RB		5.00	%		12/01/14		355		359,306
Wayzata (City of) (Folkestone Senior Living Community);
Series 2012 A, Senior Housing RB		5.75	%		11/01/39		4,000		4,089,160
Series 2012 A, Senior Housing RB		6.00	%		05/01/47		7,500		7,753,575
West St. Paul (City of) (Walker Thompson Hill, LLC); Series 2011A, Health Care Facilities RB		7.00	%		09/01/46		1,530		1,565,527
Winsted (City of) (St. Mary’s Care Center);
Series 2010 A, Health Care RB		6.25	%		09/01/30		500		499,485
Series 2010 A, Health Care RB		6.88	%		09/01/42		2,000		2,008,600
Worthington (City of) (Ecumen Corp. Guaranty-Meadows); Series 2009 A, Housing & Health Care RB(h)		6.38	%		05/01/19		650		658,853
									206,888,256
Mississippi–0.16%
Mississippi Business Finance Corp.; Series 2004, Air Cargo RB(c)		7.25	%		07/01/34		1,560		748,722
Mississippi Home Corp. (Grove Apartments); Series 2007-1, RB(c)(g)		3.13	%		04/01/37		5,650		4,241,737
Mississippi Home Corp. (Kirkwood Apartments); Series 2007, RB(c)(k)		3.40	%		11/01/37		7,000		4,768,400
									9,758,859
Missouri–2.63%
370/Missouri Bottom Road/Taussig Road Transportation Development District (Hazelwood);
Series 2002, RB		7.00	%		05/01/22		1,750		1,752,888
Series 2002, RB		7.20	%		05/01/33		5,250		5,253,255
Arnold (City of) (Arnold Triangle Redevelopment Project);
Series 2009 A, Real Property Tax Increment Allocation RB		7.75	%		05/01/28		765		829,512
Series 2009 B, Sales Tax Increment Allocation RB		6.50	%		05/01/20		3,170		3,408,859
Arnold Retail Corridor Transportation Development District; Series 2010, Transportation Sales Tax RB		6.65	%		05/01/38		2,000		2,065,080
Ballwin (City of) (Ballwin Town Center); Series 2002 A, Ref. & Improvement Tax Increment Allocation RB		6.50	%		10/01/22		3,600		2,960,784
Branson (City of) Industrial Development Authority (Branson Landing-Retail); Series 2005, Tax Increment Allocation RB(k)		5.25	%		06/01/21		965		957,772
Branson (City of) Regional Airport Transportation Development District; Series 2007 B, Airport RB(c)(g)		6.00	%		07/01/37		28,600		4,077,788
Branson Hills Infrastructure Facilities Community Improvement District;
Series 2007 A, Special Assessment RB		5.00	%		04/01/15		500		358,550
Series 2007 A, Special Assessment RB		5.50	%		04/01/22		2,440		1,396,510
Series 2007 A, Special Assessment RB		5.50	%		04/01/27		5,055		2,730,458
Bridgeton (City of) Industrial Development Authority (Sarah Community); Series 2011 A, Ref. & Improvement Senior Housing RB		6.38	%		05/01/35		3,400		3,489,250

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

33                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Missouri–(continued)
Cass (County of);
Series 2007, Hospital RB		5.00	%		05/01/16	$	1,000	$	1,057,370
Series 2007, Hospital RB		5.63	%		05/01/38		2,890		2,899,335
Chillicothe (City of) (South U.S. 65); Series 2006, Tax Increment Allocation RB		5.50	%		04/01/21		1,000		947,950
Cole (County of) Industrial Development Authority (Lutheran Senior Services-Heisinger); Series 2004, Senior Living Facilities RB		5.50	%		02/01/35		130		130,040
Dardenne Town Square Transportation Development District; Series 2006 A, Transportation Sales Tax RB(k)		3.75	%		05/01/36		3,190		1,218,580
Ellisville (City of) Industrial Development Authority (Gambrill Gardens Phase I); Series 2003 A, IDR		6.75	%		04/01/33		2,390		2,390,024
Ellisville (City of) Industrial Development Authority (Gambrill Gardens); Series 1999, Ref. & Improvement RB		6.20	%		06/01/29		2,755		2,707,559
Ferguson (City of) (Crossing at Halls Ferry); Series 2005, Ref. Tax Increment Allocation RB		5.00	%		04/01/17		1,015		1,016,786
Good Shepherd Nursing Home District; Series 1998, Ref. Nursing Home Facilities RB		5.90	%		08/15/23		2,695		2,694,811
Grandview (City of) Industrial Development Authority (Grandview Crossing); Series 2006, Tax Increment Allocation RB(k)		3.75	%		12/01/28		1,250		307,188
Grundy (County of) Industrial Development Authority (Wright Memorial Hospital);
Series 2009, Health Facilities RB		6.45	%		09/01/29		1,000		1,066,090
Series 2009, Health Facilities RB		6.75	%		09/01/34		1,250		1,333,150
Joplin (City of) Industrial Development Authority (Christian Homes, Inc. Obligated Group); Series 2007 F, Ref. RB		5.75	%		05/15/26		1,260		1,287,254
Kansas City (City of) (Shoal Creek Parkway); Series 2011, Tax Increment Allocation RB		6.50	%		06/01/25		3,000		3,023,430
Kansas City (City of) Industrial Development Authority (Brentwood Manor Apartments);
Series 2002 A, MFH RB(c)		6.95	%		04/15/15		103		104,077
Series 2002 B, MFH RB(c)		5.25	%		10/15/38		2,270		1,714,191
Kansas City (City of) Industrial Development Authority (Northwoods Apartments); Series 2004 A, MFH RB(c)		6.45	%		05/01/40		2,213		2,053,598
Kansas City (City of) Industrial Development Authority (Plaza Library); Series 2004, RB		5.90	%		03/01/24		5,000		5,005,800
Kansas City (City of) Industrial Development Authority (Walnut Grove Apartments);
Series 2000 B, MFH RB(c)		7.55	%		06/15/22		920		920,681
Series 2000 B, MFH RB(c)		7.55	%		06/15/35		3,430		3,431,029
Kirkwood (City of) Industrial Development Authority (Aberdeen Heights);
Series 2010 A, Retirement Community RB		8.00	%		05/15/29		7,000		7,880,320
Series 2010 A, Retirement Community RB		8.25	%		05/15/39		3,500		3,925,110
Series 2010 A, Retirement Community RB		8.25	%		05/15/45		8,500		9,518,385
Series 2010 A, Retirement Community RB MBTC(e)		8.25	%		05/15/45		13,500		15,117,435
Manchester (City of) (Highway 141/Manchester Road);
Series 2010, Ref. Transportation Tax Increment Allocation RB		6.00	%		11/01/25		865		892,810
Series 2010, Ref. Transportation Tax Increment Allocation RB		6.88	%		11/01/39		1,500		1,555,905
Maplewood (City of) (Maplewood South Redevelopment Area); Series 2005, Ref. Tax Increment RB		5.75	%		11/01/26		1,350		1,345,842
Missouri (State of) Health & Educational Facilities Authority (Washington University);
Series 2004 B, VRD RB(m)		0.03	%		02/15/34		4,675		4,675,000
Series 2011 A, RB(e)		5.00	%		11/15/41		6,210		6,757,970
Series 2011 B, RB(e)		5.00	%		11/15/37		10,500		11,552,415
Platte (County of) Industrial Development Authority (Zona Rosa Phase II Retail); Series 2007, Transportation RB		6.85	%		04/01/29		3,200		3,326,528
Polk (County of) Industrial Development Authority (Citizens Memorial Health Care Foundation); Series 2008, Health Facilities RB		6.50	%		01/01/33		2,000		2,002,340
St. Joseph (City of) Industrial Development Authority (Living Community of St. Joseph); Series 2002, Health Care RB		7.00	%		08/15/32		6,750		6,756,142
St. Joseph (City of) Industrial Development Authority (The Shoppes at North Village);
Series 2005 A, Tax Increment Allocation RB		5.50	%		11/01/27		750		750,623
Series 2005 B, Tax Increment Allocation RB		5.50	%		11/01/27		1,000		1,000,240
St. Louis (County of) Industrial Development Authority (Friendship Village Chesterfield); Series 2012, Senior Living Facilities RB		5.00	%		09/01/42		3,000		2,809,860

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

34                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Missouri–(continued)
St. Louis (County of) Industrial Development Authority (Grand Center Redevelopment); Series 2011, Tax Increment Allocation Improvement RB		6.38	%		12/01/25	$	3,490	$	3,581,996
St. Louis (County of) Industrial Development Authority (St. Andrew’s Resources for Seniors);
Series 2007 A, Senior Living Facilities RB		6.38	%		12/01/30		3,770		3,785,419
Series 2007 A, Senior Living Facilities RB		6.38	%		12/01/41		8,030		7,862,815
									159,686,804
Nebraska–0.59%
Central Plains Energy Project (No. 3);
Series 2012, Gas RB		5.00	%		09/01/42		18,815		19,049,059
Series 2012, Gas RB		5.25	%		09/01/37		5,000		5,183,900
Gage (County of) Hospital Authority No. 1 (Beatrice Community Hospital & Health Center);
Series 2010 B, Health Care Facilities RB		6.50	%		06/01/30		5,000		5,341,550
Series 2010 B, Health Care Facilities RB		6.75	%		06/01/35		6,000		6,364,260
									35,938,769
Nevada–0.44%
Clark (County of) (Homestead Boulder City); Series 1997, Assisted Living Facility RB		6.50	%		12/01/27		4,435		4,406,572
Henderson (City of) (Local Improvement District No. T-18); Series 2006, Special Assessment RB		5.30	%		09/01/35		2,235		1,719,810
Las Vegas (City of) Redevelopment Agency; Series 2009 A, Tax Increment Allocation RB		8.00	%		06/15/30		10,800		11,899,008
Mesquite (City of) (Special Improvement District No. 07-01-Anthem at Mesquite); Series 2007, Special Assessment Local Improvement RB		6.15	%		08/01/37		2,420		2,263,160
Reno (City of) Special Assessment District No. 4 (Somersett Parkway); Series 2003, Special Assessment RB		6.63	%		12/01/22		3,500		3,543,540
Sparks (City of) (Local Improvement District No. 3–Legends at Sparks Marina);
Series 2008, Special Assessment Limited Obligation Improvement RB		6.50	%		09/01/20		710		765,841
Series 2008, Special Assessment Limited Obligation Improvement RB		6.75	%		09/01/27		2,000		2,048,180
									26,646,111
New Hampshire–0.21%
New Hampshire (State of) Business Finance Authority (Huggins Hospital); Series 2009, First Mortgage RB		6.88	%		10/01/39		9,235		9,655,654
New Hampshire (State of) Health & Education Facilities Authority (Rivermead);
Series 2011 A, RB		6.63	%		07/01/31		620		662,377
Series 2011 A, RB		6.88	%		07/01/41		2,125		2,272,879
									12,590,910
New Jersey–3.78%
Burlington (County of) Bridge Commission (The Evergreens); Series 2007, Economic Development RB		5.63	%		01/01/38		1,500		1,351,905
New Jersey (State of) Economic Development Authority (Arbor); Series 1998 A, Sr. Mortgage RB		6.00	%		05/15/28		6,695		5,356,201
New Jersey (State of) Economic Development Authority (Continental Airlines, Inc.);
Series 1999, Special Facility RB(c)		5.25	%		09/15/29		20,300		19,891,970
Series 2000 B, Special Facility RB(c)		5.63	%		11/15/30		10,000		10,024,400
Series 2003, Special Facility RB(c)		5.50	%		06/01/33		16,480		16,002,410
Series 2012, RB(c)		5.75	%		09/15/27		33,500		33,343,220
New Jersey (State of) Economic Development Authority (Cranes Mill);
Series 2008, First Mortgage RB		5.88	%		07/01/28		500		515,865
Series 2008, First Mortgage RB		6.00	%		07/01/38		1,500		1,531,965
New Jersey (State of) Economic Development Authority (Lions Gate);
Series 2005 A, First Mortgage RB		5.75	%		01/01/25		1,630		1,632,168
Series 2005 A, First Mortgage RB		5.88	%		01/01/37		2,590		2,483,059
New Jersey (State of) Economic Development Authority (Seashore Gardens Living Center);
Series 2006, First Mortgage RB		5.30	%		11/01/26		2,850		2,549,753
Series 2006, First Mortgage RB		5.38	%		11/01/36		1,725		1,397,250

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

35                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
New Jersey–(continued)
New Jersey (State of) Economic Development Authority (The Goethals Bridge Replacement);
Series 2013, Private Activity RB(c)		5.38	%		01/01/43	$	11,000	$	11,271,260
Series 2013, Private Activity RB(c)		5.63	%		01/01/52		10,750		11,013,590
New Jersey (State of) Economic Development Authority (United Methodist Homes);
Series 1999, RB		5.75	%		07/01/29		7,000		6,978,230
Series 2003 A-1, RB(h)(i)		6.13	%		07/01/14		3,450		3,588,655
New Jersey (State of) Economic Development Authority (Winchester Gardens at Ward Homestead); Series 2004 A, Ref. First Mortgage RB		5.80	%		11/01/31		2,000		2,007,880
New Jersey (State of) Health Care Facilities Financing Authority (St. Joseph’s Health Care System); Series 2008, RB		6.63	%		07/01/38		10,000		10,238,600
Tobacco Settlement Financing Corp.;
Series 2007 1-A, RB		4.63	%		06/01/26		34,790		30,732,442
Series 2007 1-A, RB		4.75	%		06/01/34		26,075		19,886,620
Series 2007 1A, Asset-Backed RB		4.50	%		06/01/23		2,000		1,938,100
Series 2007 1A, Asset-Backed RB		5.00	%		06/01/29		18,500		15,837,665
Series 2007 1A, Asset-Backed RB		5.00	%		06/01/41		26,400		20,298,168
									229,871,376
New Mexico–0.80%
Bernalillo (County of) (Solar Villas Apartments); Series 1997 F, Sr. MFH RB		7.25	%		10/15/22		1,050		1,051,355
Cabezon Public Improvement District;
Series 2005, Special Levy Tax RB		6.00	%		09/01/24		1,505		1,554,454
Series 2005, Special Levy Tax RB		6.30	%		09/01/34		1,495		1,515,691
Farmington (City of) (Public Service Co. of New Mexico San Juan); Series 2010 C, Ref. PCR		5.90	%		06/01/40		5,000		5,307,750
New Mexico (State of) Eastern Regional Housing Authority (Wildewood Apartments); Series 2000 A, MFH RB		7.50	%		12/01/30		1,990		1,992,229
New Mexico (State of) Hospital Equipment Loan Council (Gerald Champion); Series 2012, Ref. & Improvement RB		5.50	%		07/01/42		14,500		12,033,260
New Mexico (State of) Hospital Equipment Loan Council (Haverland Charter Lifestyle Group);
Series 2013, First Mortgage RB		5.00	%		07/01/32		2,500		2,311,675
Series 2013, First Mortgage RB		5.00	%		07/01/42		4,000		3,484,720
New Mexico (State of) Hospital Equipment Loan Council (La Vida Llena); Series 2010 A, First Mortgage RB		6.13	%		07/01/40		8,000		8,339,920
New Mexico (State of) Income Housing Authority (Brentwood Gardens Apartments); Series 2001 A, MFH RB(c)		6.85	%		12/01/31		4,165		4,187,199
RHA Housing Development Corp. (Woodleaf Apartments); Series 1997 A, Ref. MFH Mortgage RB (CEP–GNMA)		7.13	%		12/15/27		2,265		2,266,404
San Juan (County of) (Apple Ridge Apartments); Series 2002 A, MFH RB(c)		7.25	%		12/01/31		2,910		2,910,698
Ventana West Public Improvement District; Series 2004, Special Levy Tax RB		6.88	%		08/01/33		1,500		1,503,315
									48,458,670
New York–3.33%
Amherst (Town of) Industrial Development Agency (Shaary Zedek); Series 2006 A, Ref. Civic Facility RB		7.00	%		06/15/36		2,135		2,083,013
Brooklyn Arena Local Development Corp. (Barclays Center);
Series 2009, PILOT CAB RB(d)		0.00	%		07/15/34		14,345		4,438,056
Series 2009, PILOT CAB RB(d)		0.00	%		07/15/44		25,805		4,295,242
Dutchess (County of) Industrial Development Agency (St. Francis Hospital); Series 2004 A, Ref. Civic Facility RB		7.50	%		03/01/29		5,615		4,324,112
East Rochester (Village of) Housing Authority (Woodland Village, Inc.); Series 2006, Ref. Senior Living RB		5.50	%		08/01/33		1,700		1,570,205
Erie (County of) Industrial Development Agency (Orchard Park CCRC, Inc.);
Series 2006 A, RB		6.00	%		11/15/26		10,900		10,946,107
Series 2006 A, RB		6.00	%		11/15/36		3,530		3,365,784

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

36                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
New York–(continued)
Mount Vernon (City of) Industrial Development Agency (Wartburg Senior Housing, Inc./Meadowview); Series 1999, Civic Facility RB		6.20	%		06/01/29	$	1,000	$	1,000,010
Nassau (County of) Industrial Development Agency (Amsterdam at Harborside);
Series 2007 A, Continuing Care Retirement Community RB		6.50	%		01/01/27		3,750		2,044,500
Series 2007 A, Continuing Care Retirement Community RB		6.70	%		01/01/43		29,700		16,192,440
New York & New Jersey (States of) Port Authority (JFK International Air Terminal LLC); Series 2010, Special Obligation RB		6.00	%		12/01/42		8,500		9,276,560
New York & New Jersey (States of) Port Authority;
One Hundred Sixty-Ninth Series 2011, Consolidated RB(c)(e)		5.00	%		10/15/27		15,400		16,841,132
One Hundred Sixty-Ninth Series 2011, Consolidated RB(c)(e)		5.00	%		10/15/28		10,760		11,679,980
New York (City of) Industrial Development Agency (American Civil Liberties Union Foundation, Inc.) Series 2005, VRD Ref. & Improvement Civic Facility RB (LOC-JPMorgan Chase Bank, N.A.)(m)(n)		0.03	%		06/01/35		1,100		1,100,000
New York (City of) Industrial Development Agency (Polytechnic University); Series 2007, Ref. Civic Facility RB (INS–ACA)(a)		5.25	%		11/01/37		5,850		6,106,405
New York (City of) Industrial Development Agency (Queens Baseball Stadium);
Series 2006, PILOT RB (INS–AMBAC)(a)		5.00	%		01/01/36		3,590		3,356,650
Series 2006, PILOT RB (INS–AMBAC)(a)		5.00	%		01/01/39		5,180		4,762,129
New York (City of) Industrial Development Agency (Visy Paper Inc.); Series 1995, RB(c)		7.95	%		01/01/28		7,500		7,512,225
New York (City of) Transitional Finance Authority; Subseries 2012 F-1, Future Tax Sec. RB(e)		5.00	%		05/01/39		14,000		15,043,000
New York (City of) Trust for Cultural Resources (Lincoln Center); Series 2008 A-1, Ref. VRD RB (LOC–JPMorgan Chase Bank, N.A.)(m)(n)		0.04	%		12/01/35		1,235		1,235,000
New York (City of); Subseries 2012 A-3, VRD Unlimited Tax GO Bonds (LOC-Mizuho Corporate Bank, Ltd.)(m)(n)		0.03	%		10/01/40		2,650		2,650,000
New York (State of) Dormitory Authority (General Purpose); Series 2011 C, State Personal Income Tax RB(e)		5.00	%		03/15/31		15,000		16,566,600
New York (State of) Energy Research & Development Authority; Series 1993, Regular Residual Interest RB(o)		12.38	%		04/01/20		2,500		2,508,050
New York Liberty Development Corp. (National Sports Museum); Series 2006 A, RB (Acquired 08/07/06; Cost $2,121,407)(f)(g)		6.13	%		02/15/19		2,500		25
New York State Environmental Facilities Corp; Series 2009 A, State Clean Water & Drinking Water RB(e)		5.00	%		06/15/34		20,000		22,137,800
Niagara Area Development Corp. (Covanta Energy); Series 2012, Ref. Solid Waste Disposal Facilities RB(c)		5.25	%		11/01/42		15,475		14,962,004
Suffolk (County of) Industrial Development Agency (Eastern Long Island Hospital Association); Series 2007, Civic Facility RB(f)		5.50	%		01/01/37		2,500		2,264,900
Suffolk (County of) Industrial Development Agency (Gurwin Jewish-Phase II); Series 2004, Civic Facility RB(i)		6.70	%		05/01/39		1,875		1,933,988
Suffolk (County of) Industrial Development Agency (Medford Hamlet Assisted Living); Series 2005, Assisted Living Facility RB(c)		6.38	%		01/01/39		7,440		7,244,923
Syracuse (City of) Industrial Development Agency (Jewish Home of Central New York, Inc.);
Series 2001 A, First Mortgage RB		7.38	%		03/01/21		1,315		1,247,988
Series 2001 A, First Mortgage RB		7.38	%		03/01/31		3,825		3,407,119
									202,095,947
North Carolina–0.46%
Johnston (County of) Memorial Hospital Authority (Johnston Memorial Hospital);
Series 2008, RB (INS–AGM)(a)(e)		5.25	%		10/01/28		5,016		5,493,323
Series 2008, RB (INS–AGM)(a)(e)		5.25	%		10/01/36		7,835		8,404,213
North Carolina (State of) Medical Care Commission (Aldersgate); Series 2013, Ref. First Mortgage Retirement Facilities RB		6.25	%		07/01/35		3,750		3,790,575
North Carolina (State of) Medical Care Commission (Galloway Ridge);
Series 2010 A, First Mortgage Retirement Facilities RB		5.88	%		01/01/31		865		875,138
Series 2010 A, First Mortgage Retirement Facilities RB		6.00	%		01/01/39		1,520		1,531,005
North Carolina (State of) Medical Care Commission (Lutheran Services);
Series 2012, Ref. First Mortgage Health Care Facilities RB		5.00	%		03/01/37		1,000		931,470
Series 2012, Ref. First Mortgage Health Care Facilities RB		5.00	%		03/01/42		1,000		918,300

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

37                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
North Carolina–(continued)
North Carolina (State of) Medical Care Commission (Southminster); Series 2007 A, First Mortgage Retirement Facilities RB		5.75	%		10/01/37	$	3,000	$	2,935,410
North Carolina (State of) Medical Care Commission (The Presbyterian Homes Obligated Group); Series 2006, First Mortgage Health Care Facilities RB		5.60	%		10/01/36		1,000		961,560
North Carolina (State of) Medical Care Commission (WhiteStone); Series 2011 A, First Mortgage Retirement Facilities RB		7.75	%		03/01/31		2,000		2,168,740
									28,009,734
North Dakota–0.17%
Grand Forks (City of) (4000 Valley Square);
Series 2006, Ref. Senior Housing RB		5.13	%		12/01/21		1,315		1,326,440
Series 2006, Ref. Senior Housing RB		5.30	%		12/01/34		3,255		3,089,060
Traill (County of) (Hillsboro Medical Center);
Series 2007, Health Care RB		5.25	%		05/01/20		500		514,425
Series 2007, Health Care RB		5.50	%		05/01/26		1,520		1,530,853
Series 2007, Health Care RB		5.50	%		05/01/42		3,820		3,606,004
									10,066,782
Ohio–3.81%
Adams (County of) (Adams County Hospital); Series 2005, Hospital Facility Improvement RB		6.50	%		09/01/36		15,955		12,245,941
Buckeye Tobacco Settlement Financing Authority;
Series 2007 A-2, Sr. Asset-Backed RB		5.88	%		06/01/30		4,000		3,351,720
Series 2007 A-3, Sr. Asset-Backed Turbo RB		6.25	%		06/01/37		14,025		12,176,084
Series 2007 B, First Sub. Asset-Backed CAB RB(d)		0.00	%		06/01/47		431,000		25,661,740
Centerville (City of) (Bethany Lutheran Village Continuing Care Facility Expansion);
Series 2007 A, Health Care RB		5.75	%		11/01/22		2,000		2,054,020
Series 2007 A, Health Care RB		6.00	%		11/01/27		2,000		2,036,680
Series 2007 A, Health Care RB		6.00	%		11/01/38		2,550		2,554,743
Cleveland (City of) & Cuyahoga (County of) Port Authority (St. Clarence-Governmental & Educational Assistance Corp., LLC); Series 2006 A, Senior Housing RB		6.25	%		05/01/38		2,210		2,011,851
Cleveland (City of) (Continental Airlines, Inc.); Series 1998, Airport Special RB(c)		5.38	%		09/15/27		4,190		4,043,392
Cuyahoga (County of) (Eliza Jennings Senior Care Network);
Series 2007 A, Health Care & Independent Living Facilities RB		5.75	%		05/15/27		2,355		2,362,630
Series 2007 A, Health Care & Independent Living Facilities RB		6.00	%		05/15/37		6,000		5,954,820
Series 2007 A, Health Care & Independent Living Facilities RB		6.00	%		05/15/42		3,645		3,576,583
Cuyahoga (County of) (Franciscan Community Inc.); Series 2004 C, Health Care Facilities RB		6.25	%		05/15/32		3,500		3,500,980
Franklin (County of) (First Community Village Obligated Group); Series 2013, Ref. Health Care Facilities RB		5.63	%		07/01/47		7,750		6,519,842
Gallia (County of) (Holzer Health System Obligated Group); Series 2012, Ref. & Improvement Hospital Facilities RB		8.00	%		07/01/42		29,255		31,208,941
Hamilton (County of) (Christ Hospital); Series 2012, Health Care Facilities RB		5.50	%		06/01/42		7,200		7,504,848
Hamilton (County of) (Life Enriching Communities);
Series 2006 A, Ref. Health Care RB		5.00	%		01/01/37		6,870		6,750,187
Series 2012, Health Care RB		5.00	%		01/01/32		2,250		2,283,593
Hancock (County of) (Blanchard Valley Regional Health Center); Series 2011 A, Hospital Facilities RB		6.25	%		12/01/34		5,850		6,473,668
Lorain (County of) Port Authority (U.S. Steel Corp.); Series 2010, Recovery Zone Facility RB		6.75	%		12/01/40		9,500		9,810,175
Montgomery (County of) (St. Leonard);
Series 2010, Ref. & Improvement Health Care & MFH RB		6.38	%		04/01/30		2,000		2,120,160
Series 2010, Ref. & Improvement Health Care & MFH RB		6.63	%		04/01/40		6,500		6,914,310
Muskingum (County of) (Genesis Healthcare System);
Series 2013, Hospital Facilities RB		5.00	%		02/15/44		14,795		12,031,590
Series 2013, Hospital Facilities RB		5.00	%		02/15/48		10,535		8,117,850

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

38                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Ohio–(continued)
Norwood (City of) (Cornerstone at Norwood);
Series 2006, Tax Increment Allocation Financing RB		5.25	%		12/01/15	$	480	$	499,186
Series 2006, Tax Increment Allocation Financing RB		5.75	%		12/01/20		1,300		1,346,410
Series 2006, Tax Increment Allocation Financing RB		6.20	%		12/01/31		7,340		7,378,829
Ohio (State of) (USG Corp.);
Series 1997, Solid Waste Disposal RB(c)		5.60	%		08/01/32		14,765		14,514,586
Series 1998, Solid Waste Disposal RB(c)		5.65	%		03/01/33		13,000		12,850,760
Ohio (State of) Higher Educational Facility Commission (University Hospitals Health System, Inc.); Series 2009 A, Hospital RB(h)(i)		6.75	%		01/15/15		6,000		6,350,100
Toledo-Lucas (County of) Port Authority (Crocker Park Public Improvement); Series 2003, Special Assessment RB		5.38	%		12/01/35		7,630		7,635,036
									231,841,255
Oklahoma–2.06%
Atoka (County of) Health Care Authority (Atoka Memorial Hospital); Series 2007, Hospital RB		6.63	%		10/01/37		3,405		3,101,751
Citizen Potawatomi Nation; Series 2004 A, Sr. Obligation Tax RB		6.50	%		09/01/16		1,595		1,551,090
Cleveland (County of) Justice Authority (Detention Facility); Series 2009 B, Sales Tax RB		5.75	%		03/01/29		295		304,222
Oklahoma (State of) Development Finance Authority (Great Plains Regional Medical Center);
Series 2007, Hospital RB		5.00	%		12/01/27		3,500		3,335,605
Series 2007, Hospital RB		5.13	%		12/01/36		9,430		8,539,336
Oklahoma (State of) Development Finance Authority (Inverness Village Community);
Series 2012, Ref. Continuing Care Retirement Community RB		5.75	%		01/01/27		2,430		2,454,980
Series 2012, Ref. Continuing Care Retirement Community RB		6.00	%		01/01/32		9,935		9,977,124
Series 2013, Ref. Continuing Care Retirement Community RB		5.75	%		01/01/37		8,500		8,165,440
Oklahoma (State of) Turnpike Authority; Series 2006 F, Ref. VRD Second Sr. RB(m)		0.03	%		01/01/28		27,770		27,770,000
Tulsa (City of) Municipal Airport Trust;
Series 2001 B, Ref. RB(c)		5.50	%		12/01/35		15,000		14,627,100
Series 2001 C, Ref. RB(c)		5.50	%		12/01/35		38,250		37,299,105
Tulsa (County of) Industrial Authority (Montereau, Inc.);
Series 2010 A, Senior Living Community RB		7.25	%		11/01/40		5,350		5,714,389
Series 2010 A, Senior Living Community RB		7.25	%		11/01/45		2,100		2,237,445
									125,077,587
Oregon–0.38%
Douglas (County of) Hospital Facility Authority (Forest Glen); Series 1997 A, Elderly Housing RB(g)		7.50	%		09/01/27		1,600		878,400
Gilliam (County of) (Waste Management); Series 2002, Solid Waste Disposal RB(c)		5.25	%		07/01/29		7,845		8,175,589
Oregon (State of) Health, Housing, Educational & Cultural Facilities Authority (St. Anthony Village Housing); Series 1998 A, RB(c)		7.25	%		06/01/28		7,130		7,130,784
Salem (City of) Hospital Facility Authority (Capital Manor, Inc.);
Series 2012, Ref. RB		5.63	%		05/15/32		250		251,445
Series 2012, Ref. RB		6.00	%		05/15/42		1,990		2,024,606
Series 2012, Ref. RB		6.00	%		05/15/47		3,250		3,299,400
Warm Springs Reservation Confederated Tribes of Oregon (Pelton Round Butte); Series 2009 B, Tribal Economic Development Hydroelectric RB(f)		6.38	%		11/01/33		1,000		1,084,580
									22,844,804
Pennsylvania–2.60%
Allegheny (County of) Industrial Development Authority (Propel Charter School-McKeesport); Series 2010 B, Charter School RB		6.38	%		08/15/35		1,220		1,252,379
Allegheny (County of) Industrial Development Authority (Propel Charter School-Montour); Series 2010 A, Charter School RB		6.75	%		08/15/35		1,225		1,284,523
Allegheny (County of) Industrial Development Authority (Propel Schools-Homestead); Series 2004 A, Charter School RB		7.00	%		12/15/15		230		234,306
Berks (County of) Industrial Development Authority (One Douglassville); Series 2007 A, Ref. RB(c)		6.13	%		11/01/34		4,535		4,192,562

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

39                         Invesco High Yield Municipal Fund

	Interest Rate				Maturity Date		Principal Amount (000)		Value
Pennsylvania–(continued)
Butler (County of) Hospital Authority (Butler Health System);
Series 2009 B, RB		7.13	%			07/01/29	$	2,145	$	2,504,781
Series 2009 B, RB		7.25	%			07/01/39		1,590		1,817,322
Chartiers Valley Industrial & Commercial Development Authority (Asbury Health Center);
Series 2006, Ref. First Mortgage RB		5.25	%			12/01/15		260		268,962
Series 2006, Ref. First Mortgage RB		5.38	%			12/01/16		500		524,520
Series 2006, Ref. First Mortgage RB		5.75	%			12/01/22		935		956,645
Chester (County of) Industrial Development Authority (Avon Grove Charter School);
Series 2007 A, RB		6.25	%			12/15/27		1,000		1,025,630
Series 2007 A, RB		6.38	%			12/15/37		1,500		1,525,035
Chester (County of) Industrial Development Authority (Collegium Charter School);
Series 2012 A, Ref. RB		5.25	%			10/15/32		2,320		2,150,756
Series 2012 A, Ref. RB		5.38	%			10/15/42		4,230		3,795,917
Cumberland (County of) Municipal Authority (Asbury Pennsylvania Obligated Group);
Series 2010, RB		6.13	%			01/01/45		8,000		8,117,600
Series 2012, Ref. RB		5.25	%			01/01/32		1,265		1,213,287
Series 2012, Ref. RB		5.25	%			01/01/41		3,000		2,733,030
Cumberland (County of) Municipal Authority (Diakon Lutheran Ministries); Series 2007, RB		5.00	%			01/01/36		9,080		9,112,779
Cumberland (County of) Municipal Authority (Messiah Village); Series 2008 A, RB		6.00	%			07/01/35		1,000		1,028,500
Dauphin (County of) General Authority (Riverfront Office); Series 1998, Office & Parking RB		6.00	%			01/01/25		4,225		4,225,296
Fulton (County of) Industrial Development Authority (The Fulton County Medical Center);
Series 2006, Hospital RB		5.88	%			07/01/31		4,000		4,006,120
Series 2006, Hospital RB		5.90	%			07/01/40		4,300		4,229,609
Geisinger Authority (Geisinger Health System Foundation); Series 2005 A, VRD Health System RB(m)		0.03	%			05/15/35		1,400		1,400,000
Harrisburg (City of) Authority (Harrisburg University of Science); Series 2007 B, University RB(j)		6.00	%			09/01/36		8,500		4,248,640
Lehigh (County of) General Purpose Authority (Bible Fellowship Church Homes, Inc.); Series 2013, RB		5.25	%			07/01/42		4,430		3,831,596
Lehigh (County of) General Purpose Authority (KidsPeace Obligated Group);				��
Series 1998, RB(g)		6.00	%			11/01/18		2,750		1,100,275
Series 1998, RB(g)		6.00	%			11/01/23		9,085		3,634,909
Series 1999, RB(g)		6.20	%			11/01/14		2,280		912,228
Montgomery (County of) Higher Education & Health Authority (AHF/Montgomery Inc.); Series 2006, Ref. & Improvement RB		6.88	%			04/01/36		7,885		8,201,740
Montgomery (County of) Industrial Development Authority (Philadelphia Presbytery Homes, Inc.); Series 2010, RB		7.00	%			12/01/35		6,000		6,639,300
Montgomery (County of) Industrial Development Authority (Whitemarsh Continuing Care);
Series 2005, Mortgage RB		6.13	%			02/01/28		1,875		1,892,400
Series 2005, Mortgage RB		6.25	%			02/01/35		8,755		8,825,565
Northeastern Pennsylvania Hospital & Education Authority (Oakwood Terrace);
Series 1999, Health Care RB		7.13	%			10/01/29		3,065		3,066,410
Series 2005, Health Care RB (Acquired 12/27/05; Cost $1,465,000)(f)		6.50	%			10/01/32		1,465		1,450,863
Pennsylvania (State of) Economic Development Financing Authority (USG Corp.); Series 1999, Solid Waste Disposal RB(c)		6.00	%			06/01/31		15,000		15,000,750
Pennsylvania (State of) Higher Educational Facilities Authority (Student Association, Inc. at California University of Pennsylvania); Series 2000 A, Student Housing RB		6.75	%			09/01/32		2,285		2,291,238
Philadelphia (City of) Hospitals & Higher Education Facilities Authority (Centralized Comprehensive Human Services, Inc.); Series 2002 A, RB		7.25	%			01/01/21		3,670		3,712,755
Philadelphia (City of) Industrial Development Authority (Cathedral Village); Series 2003 A, RB		6.88	%			04/01/34		35		35,383
Philadelphia (City of) Industrial Development Authority (First Philadelphia Preparatory Charter School); Series 2014 A, RB		7.25	%			06/15/43		5,500		5,540,755
Philadelphia (City of) Industrial Development Authority (Global Leadership Academy Charter School); Series 2010, RB		6.38	%			11/15/40		1,000		1,014,570
Philadelphia (City of) Industrial Development Authority (Independence Charter School); Series 2007 A, RB		5.50	%			09/15/37		4,070		3,747,737
Philadelphia (City of) Industrial Development Authority (MaST Charter School); Series 2010, RB		6.00	%			08/01/35		500		532,390

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

40                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Pennsylvania–(continued)
Philadelphia (City of) Industrial Development Authority (New Foundations Charter School); Series 2012, RB		6.63	%		12/15/41	$	1,500	$	1,537,695
Philadelphia (City of) Industrial Development Authority (Performing Arts Charter School);
Series 2013, RB(f)		6.50	%		06/15/33		2,000		2,015,120
Series 2013, RB(f)		6.75	%		06/15/43		8,000		8,053,840
Philadelphia (City of) Industrial Development Authority; Series 1990, Commercial Development RB(c)		7.75	%		12/01/17		8,550		8,573,683
Susquehanna Area Regional Airport Authority; Series 2008 A, Airport System RB(c)		6.50	%		01/01/38		4,300		4,652,772
									158,112,173
Puerto Rico–1.47%
Puerto Rico (Commonwealth of) Aqueduct & Sewer Authority;
Series 2008 A, Sr. Lien RB		5.00	%		07/01/14		12,050		11,867,684
Series 2008 A, Sr. Lien RB		6.00	%		07/01/44		16,800		12,788,496
Series 2012 A, Sr. Lien RB		5.00	%		07/01/33		25,295		18,022,940
Puerto Rico (Commonwealth of) Electric Power Authority;
Series 2007 UU, Ref. Floating Rate Power RB(l)		1.27	%		07/01/17		9,150		6,024,098
Series 2010 AAA, RB		5.25	%		07/01/30		5,440		3,829,597
Series 2013 A, RB		6.75	%		07/01/36		19,800		14,528,646
Puerto Rico (Commonwealth of) Public Buildings Authority; Series 2004 I, Government Facilities RB(h)(i)		5.25	%		07/01/14		75		76,265
Puerto Rico Sales Tax Financing Corp.;
First Sr. Series 2009 C, RB		5.75	%		08/01/57		13,000		11,358,880
Series 2007 A, CAB RB(d)		0.00	%		08/01/56		100,000		6,156,000
Series 2011 C, CAB RB(d)		0.00	%		08/01/38		24,245		4,463,262
									89,115,868
Rhode Island–0.31%
Rhode Island Economic Development Corp. (Providence Place); Series 2000, Sub. Obligation RB		7.25	%		07/01/20		2,940		2,907,513
Rhode Island Health & Educational Building Corp. (Lifespan Obligated Group);
Series 2009 A, Hospital Financing RB		7.00	%		05/15/39		2,500		2,741,150
Series 2009 A, Hospital Financing RB (INS–AGC)(a)		6.25	%		05/15/30		2,000		2,222,660
Tobacco Settlement Financing Corp.; Series 2002 A, Asset-Backed RB		6.25	%		06/01/42		10,965		10,963,575
									18,834,898
South Carolina–0.39%
Laurens County School District No. 055; Series 2005, Installment Purchase RB		5.25	%		12/01/30		3,080		3,178,160
Myrtle Beach (City of) (Myrtle Beach Air Force Base);
Series 2006 A, Tax Increment Allocation RB		5.25	%		10/01/26		835		768,025
Series 2006 A, Tax Increment Allocation RB		5.30	%		10/01/35		1,250		1,074,238
South Carolina (State of) Jobs-Economic Development Authority (Episcopal Home at Still Hopes); Series 2004 B, Residential Care Facilities First Mortgage RB		5.90	%		05/15/34		1,000		1,001,400
South Carolina (State of) Jobs-Economic Development Authority (Lutheran Homes);
Series 2007, Ref. First Mortgage Health Care Facilities RB		5.00	%		05/01/14		1,035		1,038,695
Series 2007, Ref. First Mortgage Health Care Facilities RB		5.38	%		05/01/21		1,500		1,532,985
Series 2007, Ref. First Mortgage Health Care Facilities RB		5.50	%		05/01/28		1,100		1,101,496
Series 2013, Health Facilities RB		5.00	%		05/01/43		1,000		852,030
Series 2013, Health Facilities RB		5.13	%		05/01/48		2,000		1,706,540
South Carolina (State of) Jobs-Economic Development Authority (South Carolina Episcopal Home at Still Hopes);
Series 2004 A, First Mortgage Residential Care Facilities RB		6.25	%		05/15/25		750		751,500
Series 2004 A, First Mortgage Residential Care Facilities RB		6.38	%		05/15/32		1,250		1,251,262

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

41                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
South Carolina–(continued)
South Carolina (State of) Jobs-Economic Development Authority (The Woodlands at Furman);
Series 2012, Ref. RB		6.00	%		11/15/32	$	1,426	$	904,805
Series 2012, Ref. RB		6.00	%		11/15/42		4,777		2,937,185
Series 2012, Ref. RB		6.00	%		11/15/47		5,437		3,323,015
Series 2012, Ref. Sub. CAB RB(d)		0.00	%		11/15/47		2,383		23,833
Series 2012, Ref. Sub. CAB RB(d)		0.00	%		11/15/47		611		6,111
Series 2012, Ref. Sub. CAB RB(d)		0.00	%		11/15/47		1,742		17,416
South Carolina (State of) Jobs-Economic Development Authority (Wesley Commons); Series 2006, Ref. First Mortgage Health Facilities RB		5.13	%		10/01/26		2,500		2,405,600
									23,874,296
Tennessee–0.63%
Shelby (County of) Health, Educational & Housing Facilities Board (Kirby Pines); Series 1997 A, Health Care Facility RB		6.38	%		11/15/25		3,000		3,002,610
Shelby (County of) Health, Educational & Housing Facilities Board (The Village at Germantown);
Series 2012, Ref. Residential Care Facility Mortgage RB		5.00	%		12/01/32		2,100		1,902,579
Series 2012, Ref. Residential Care Facility Mortgage RB		5.25	%		12/01/42		1,500		1,323,360
Series 2012, Ref. Residential Care Facility Mortgage RB		5.38	%		12/01/47		2,000		1,754,280
Shelby (County of) Health, Educational & Housing Facilities Board (Trezevant Manor);
Series 2006 A, RB		5.63	%		09/01/26		1,000		1,008,530
Series 2006 A, RB		5.75	%		09/01/37		1,900		1,801,656
Series 2013 A, Ref. RB		5.50	%		09/01/47		15,000		13,344,600
Trenton (City of) Health & Educational Facilities Board (RHA/Trenton MR, Inc.); Series 2009, RB		9.25	%		04/01/39		12,655		14,314,197
									38,451,812
Texas–13.08%
Angelina & Neches River Authority Industrial Development Corp. (Aspen Power LLC); Series 2007 A, Environmental Facilities RB(c)(j)		6.50	%		11/01/29		9,265		5,188,029
Arlington Higher Education Finance Corp. (Arlington Classics Academy); Series 2010 B, Ref. RB		7.65	%		08/15/40		2,500		2,676,175
Austin Convention Enterprises, Inc.; Series 2006 B, Ref. Second Tier Convention Center RB(f)		5.75	%		01/01/34		5,060		5,056,559
Bexar County Health Facilities Development Corp. (Army Retirement Residence); Series 2010, RB		6.20	%		07/01/45		2,000		2,135,620
Bexar County Housing Finance Corp. (Woodland Ridge Apartments); Series 2002 A, MFH RB(c)		7.00	%		01/01/39		3,980		3,924,200
Brazoria County Health Facilities Development Corp. (Brazosport Regional Health System);
Series 2012, Ref. RB		5.25	%		07/01/32		4,600		4,260,014
Series 2012, Ref. RB		5.50	%		07/01/42		10,000		9,182,100
Capital Area Cultural Education Facilities Finance Corp. (The Roman Catholic Diocese of Austin); Series 2005 B, RB		6.13	%		04/01/45		7,465		8,061,379
Central Texas Regional Mobility Authority; Series 2011, Sub. Lien RB		6.75	%		01/01/41		17,500		19,350,625
Clifton Higher Education Finance Corp. (Idea Public Schools); Series 2011, Education RB		5.75	%		08/15/41		1,130		1,177,776
Clifton Higher Education Finance Corp. (Uplift Education); Series 2010 A, Education RB		6.25	%		12/01/45		5,000		5,366,000
Dallas (County of) Flood Control District No. 1; Series 2002, Ref. Unlimited Tax GO Bonds		7.25	%		04/01/32		9,445		9,470,218
Decatur (City of) Hospital Authority (Wise Regional Health System);
Series 2004 A, RB		7.00	%		09/01/25		13,775		13,983,691
Series 2004 A, RB		7.13	%		09/01/34		8,155		8,261,749
Grand Parkway Transportation Corp.;
Series 2013 A, First Tier Toll RB MBTC(e)		5.50	%		04/01/53		12,000		12,200,520
Series 2013 B, Sub. Tier Conv. Toll System CAB RB(b)		5.85	%		10/01/48		17,000		10,654,750
Series 2013 B, Sub. Tier Toll RB		5.00	%		04/01/53		25,000		25,699,000
Grand Prairie Housing Finance Corp.;
Series 2003, Priority Lien Independent Senior Living Center RB		7.50	%		07/01/17		645		658,326
Series 2003, Priority Lien Independent Senior Living Center RB		7.63	%		01/01/20		655		678,567
Series 2003, Priority Lien Independent Senior Living Center RB		7.75	%		01/01/34		6,795		6,936,268
Series 2003, Sub. Lien Independent Senior Living Center RB(r)		7.50	%		07/01/17		610		29,347
Series 2003, Sub. Lien Independent Senior Living Center RB(r)		7.63	%		01/01/20		345		16,598
Series 2003, Sub. Lien Independent Senior Living Center RB(r)		7.75	%		01/01/34		3,595		172,955

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

42                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Texas–(continued)
HFDC of Central Texas, Inc. (Legacy at Willow Bend);
Series 2006 A, Retirement Facilities RB		5.50	%		11/01/31	$	500	$	499,945
Series 2006 A, Retirement Facilities RB		5.63	%		11/01/26		5,100		5,164,821
HFDC of Central Texas, Inc. (Sears Tyler Methodist);
Series 2009 A, RB		7.75	%		11/15/29		4,910		3,337,818
Series 2009 A, RB		7.75	%		11/15/44		15,345		10,264,424
Series 2009 B, RB		6.38	%		11/15/19		1,210		822,558
HFDC of Central Texas, Inc. (Village at Gleannloch Farms);
Series 2006 A, Retirement Facilities RB		5.50	%		02/15/27		4,800		4,610,784
Series 2006 A, Retirement Facilities RB		5.50	%		02/15/37		15,265		13,572,875
HFDC of Central Texas, Inc.; Series 2006 A, Retirement Facilities RB		5.75	%		11/01/36		6,355		6,370,760
Hopkins (County of) Hospital District;
Series 2008, RB		6.00	%		02/15/33		2,500		2,414,900
Series 2008, RB		6.00	%		02/15/38		5,155		4,879,723
Houston (City of) (Continental Airlines, Inc.);
Series 1997 C, Airport System Special Facilities RB(c)		6.13	%		07/15/27		17,745		17,748,194
Series 1998 C, Airport System Special Facilities RB(c)		5.70	%		07/15/29		4,730		4,691,451
Series 2001 E, Airport System Special Facilities RB(c)		6.75	%		07/01/29		14,880		14,882,678
Series 2001 E, Airport System Special Facilities RB(c)		7.00	%		07/01/29		4,000		4,000,600
Series 2011 A, Ref. Airport System Special Facilities RB(c)		6.63	%		07/15/38		14,000		14,616,140
Houston (City of);
Series 2009 A, Ref. Sr. Lien Airport System RB(e)		5.00	%		07/01/23		6,580		7,409,804
Series 2009 A, Ref. Sr. Lien Airport System RB(e)		5.00	%		07/01/24		3,670		4,121,447
Series 2009 A, Ref. Sr. Lien Airport System RB(e)		5.00	%		07/01/25		6,800		7,606,820
Series 2009 A, Ref. Sr. Lien Airport System RB(e)		5.00	%		07/01/26		3,000		3,369,030
Series 2011 A, Ref. First Lien Utility System RB(e)		5.25	%		11/15/31		18,360		20,953,717
Houston Higher Education Finance Corp. (Cosmos Foundation, Inc.);
Series 2011 A, RB		6.50	%		05/15/31		500		557,340
Series 2011 A, RB		6.88	%		05/15/41		790		893,427
La Vernia Higher Education Finance Corp. (Amigos Por Vida/Friends for Life); Series 2008, RB		6.38	%		02/15/37		1,635		1,615,544
La Vernia Higher Education Finance Corp. (Cosmos Foundation, Inc.);
Series 2008 A, RB		6.25	%		02/15/17		790		852,766
Series 2008 A, RB		7.13	%		02/15/38		2,000		2,249,320
La Vernia Higher Education Finance Corp. (Knowledge is Power Program, Inc.);
Series 2009 A, RB		6.25	%		08/15/39		1,210		1,327,709
Series 2009 A, RB		6.38	%		08/15/44		7,225		7,952,991
Leander Independent School District; Series 2014 C, Unlimited Tax CAB GO Bonds(d)		0.00	%		08/15/48		26,330		4,057,980
Lone Star College System; Series 2009, Limited Tax GO Bonds(e)		5.00	%		08/15/34		23,200		25,738,080
Lubbock Health Facilities Development Corp. (Carillon Senior LifeCare Community);
Series 2005 A, Ref. First Mortgage RB		6.50	%		07/01/26		2,500		2,579,350
Series 2005 A, Ref. First Mortgage RB		6.63	%		07/01/36		9,000		9,169,830
Matagorda (County of) Navigation District No. 1 (Central Power & Light Co.); Series 2001 A, Ref. PCR		6.30	%		11/01/29		1,000		1,126,530
Mesquite Health Facility Development Corp. (Christian Care Centers, Inc.); Series 2005, Retirement Facility RB		5.63	%		02/15/35		1,500		1,503,690
Midlothian (City of) Development Authority; Series 2004, Tax Increment Allocation Contract RB(f)		6.20	%		11/15/29		4,500		4,515,885
New Hope Cultural Education Facilities Corp. (Morningside Ministries);
Series 2013, First Mortgage RB		6.50	%		01/01/43		4,325		4,468,287
Series 2013, First Mortgage RB		6.50	%		01/01/48		5,675		5,814,151
North Texas Education Finance Corp. (Uplift Education);
Series 2012 A, RB		5.13	%		12/01/42		3,000		2,993,040
Series 2012 A, RB		5.25	%		12/01/47		2,100		2,101,218

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

43                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Texas–(continued)
North Texas Tollway Authority;
Series 2008 A, Ref. First Tier System RB (INS–BHAC)(a)(e)		5.75	%		01/01/48	$	30,545	$	34,105,020
Series 2011 B, Special Project System CAB RB(d)		0.00	%		09/01/37		15,500		4,153,380
Orange Housing Development Corp. (Villages at Pine Hollow); Series 1998, MFH RB		8.00	%		03/01/28		3,020		2,899,230
Pearland (City of) Development Authority; Series 2009, Tax Increment Allocation Contract RB(h)(i)		5.88	%		09/01/18		805		981,319
Pharr (City of) Higher Education Finance Authority (Idea Public Schools);
Series 2009 A, Education RB		6.25	%		08/15/29		570		611,382
Series 2009 A, Education RB		6.50	%		08/15/39		6,320		6,806,893
Red River Health Facilities Development Corp. (MRC the Crossings); Series 2012, Continuing Care Retirement Community BAN(f)		12.00	%		12/14/17		3,000		3,005,160
Red River Health Facilities Development Corp. (Parkview on Hollybrook);
Series 2013 A, First Mortgage RB		7.25	%		07/01/43		6,425		6,047,017
Series 2013 A, First Mortgage RB		7.38	%		07/01/48		11,995		11,305,407
Red River Health Facilities Development Corp. (Sears Methodist Retirement System);
Series 2013, Retirement Facility RB		5.45	%		11/15/38		2,100		1,680,231
Series 2013, Retirement Facility RB		5.75	%		11/15/39		1,730		1,430,935
Series 2013, Retirement Facility RB		6.05	%		11/15/46		1,323		1,119,417
Series 2013, Retirement Facility RB		6.05	%		11/15/46		6,130		5,186,716
Series 2013, Retirement Facility RB		6.15	%		11/15/49		2,968		2,523,067
Series 2013, Retirement Facility RB		6.25	%		05/09/53		673		575,126
San Antonio Convention Hotel Finance Corp. (Empowerment Zone); Series 2005 A, Contract RB MBTC (INS–AMBAC)(a)(c)(e)		5.00	%		07/15/39		13,500		13,038,030
San Juan (City of) Higher Education Finance Authority (Idea Public Schools); Series 2010 A, Education RB		6.70	%		08/15/40		1,000		1,099,870
Sanger Industrial Development Corp. (Texas Pellets); Series 2012 B, RB(c)		8.00	%		07/01/38		39,000		40,063,140
Tarrant County Cultural Education Facilities Finance Corp. (Air Force Village Obligated Group);
Series 2009, Retirement Facility RB		6.13	%		11/15/29		1,000		1,059,810
Series 2009, Retirement Facility RB		6.38	%		11/15/44		12,150		12,585,699
Tarrant County Cultural Education Facilities Finance Corp. (Buckingham Senior Living Community, Inc.);
Series 2007, Retirement Facility RB		5.63	%		11/15/27		1,500		1,516,980
Series 2007, Retirement Facility RB		5.75	%		11/15/37		2,500		2,493,325
Tarrant County Cultural Education Facilities Finance Corp. (C.C. Young Memorial Home);
Series 2007, Retirement Facility RB		5.25	%		02/15/17		880		906,101
Series 2007, Retirement Facility RB		5.75	%		02/15/25		1,500		1,504,425
Series 2007, Retirement Facility RB		5.75	%		02/15/29		1,600		1,554,672
Series 2009 A, Retirement Facility RB		8.00	%		02/15/38		12,350		13,418,275
Series 2009 B-1, Retirement Facility RB		7.25	%		02/15/16		750		752,085
Tarrant County Cultural Education Facilities Finance Corp. (Mirador);
Series 2010 A, Retirement Facility RB		8.00	%		11/15/29		1,500		1,469,580
Series 2010 A, Retirement Facility RB		8.13	%		11/15/39		7,000		6,740,160
Series 2010 A, Retirement Facility RB		8.25	%		11/15/44		8,000		7,755,920
Tarrant County Cultural Education Facilities Finance Corp. (Stayton at Museum Way);
Series 2009 A, Retirement Facility RB		8.25	%		11/15/29		2,135		1,976,007
Series 2009 A, Retirement Facility RB		8.25	%		11/15/39		2,140		1,907,981
Series 2009 A, Retirement Facility RB		8.25	%		11/15/44		13,770		12,182,457
Series 2009 C-1, TEMPS-80SMRetirement Facility RB		7.50	%		11/15/16		9,870		9,527,511
Texas (State of) Department of Housing & Community Affairs (Linked Select Auction Variable Rate Securities & Residual Interest Bonds); Series 1992 C, Home Mortgage RB (CEP–GNMA)(c)		6.90	%		07/02/24		300		309,540
Texas (State of) Turnpike Authority (Central Texas Turnpike System);
Series 2002, CAB RB (INS–AMBAC)(a)(d)		0.00	%		08/15/32		22,115		7,346,161
Series 2002, CAB RB (INS–AMBAC)(a)(d)		0.00	%		08/15/33		37,225		11,624,623
Series 2002, CAB RB (INS–AMBAC)(a)(d)		0.00	%		08/15/36		19,000		4,945,130
Series 2002, CAB RB (INS–AMBAC)(a)(d)		0.00	%		08/15/37		30,000		7,337,400

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

44                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Texas–(continued)
Texas (State of) Water Development Board;
Series 2008 A, Sub. Lien State Revolving Fund RB(e)		5.00	%		07/15/25	$	15,000	$	16,894,050
Series 2008 B, Sub. Lien State Revolving Fund RB(e)		5.00	%		07/15/28		11,425		12,543,964
Series 2008 B, Sub. Lien State Revolving Fund RB(e)		5.00	%		07/15/29		5,000		5,489,700
Texas Municipal Gas Acquisition & Supply Corp. I; Series 2008 D, Sr. Lien Gas Supply RB		6.25	%		12/15/26		7,660		9,193,303
Texas Municipal Gas Acquisition & Supply Corp. III; Series 2012, Gas Supply RB		5.00	%		12/15/31		19,000		19,433,010
Texas Private Activity Bond Surface Transportation Corp. (LBJ Infrastructure);
Series 2010, Sr. Lien RB		7.00	%		06/30/40		25,575		28,956,782
Series 2010, Sr. Lien RB MBTC(e)		7.00	%		06/30/40		9,000		10,190,070
Texas Private Activity Bond Surface Transportation Corp. (NTE Mobility Partners LLC North Tarrant Express Management Lanes); Series 2009, Sr. Lien RB		6.88	%		12/31/39		13,415		14,942,968
Texas Private Activity Bond Surface Transportation Corp. (NTE Mobility Partners LLC);
Series 2013, Sr. Lien RB(c)		6.75	%		06/30/43		18,450		20,211,421
Series 2013, Sr. Lien RB(c)		7.00	%		12/31/38		4,000		4,471,080
Texas State Public Finance Authority Charter School Finance Corp. (New Frontiers Charter School); Series 2010 A, Education RB		5.80	%		08/15/40		1,000		1,032,590
Texas State Public Finance Authority Charter School Finance Corp. (Odyssey Academy, Inc.);
Series 2010 A, Education RB		6.88	%		02/15/30		1,455		1,550,768
Series 2010 A, Education RB		7.13	%		02/15/40		1,810		1,949,461
Texas State Public Finance Authority Charter School Finance Corp. (School Excellence Education); Series 2004 A, RB(f)		7.00	%		12/01/34		3,385		3,386,726
Travis County Cultural Education Facilities Finance Corp. (Wayside Schools); Series 2012 A, Education RB		5.25	%		08/15/42		2,375		2,154,196
Travis County Health Facilities Development Corp. (Westminster Manor); Series 2010, RB		7.00	%		11/01/30		2,500		2,738,275
Tyler Health Facilities Development Corp. (Mother Frances Hospital Regional Health Care Center); Series 2007, Ref. Hospital RB		5.00	%		07/01/33		5,300		5,315,794
Uptown Development Authority (Infrastructure Improvement Facilities);
Series 2009, Tax Increment Allocation Contract RB		5.38	%		09/01/25		465		497,276
Series 2009, Tax Increment Allocation Contract RB		5.50	%		09/01/29		2,250		2,377,778
									794,870,487
Utah–0.44%
Provo (City of) (Freedom Academy Foundation); Series 2007, Charter School RB		5.50	%		06/15/37		2,345		2,040,009
Utah (County of) (Renaissance Academy);
Series 2007 A, Charter School RB		5.35	%		07/15/17		540		555,752
Series 2007 A, Charter School RB		5.63	%		07/15/37		2,700		2,402,973
Utah (State of) Charter School Finance Authority (George Washington Academy);
Series 2008 A, Charter School RB		6.75	%		07/15/28		1,340		1,352,207
Series 2008 A, Charter School RB		7.00	%		07/15/40		6,690		6,754,358
Utah (State of) Charter School Finance Authority (Navigator Pointe Academy);
Series 2010 A, Charter School RB		5.38	%		07/15/30		1,650		1,617,346
Series 2010 A, Charter School RB		5.63	%		07/15/40		710		691,398
Utah (State of) Charter School Finance Authority (North Davis Preparatory Academy);
Series 2010, Charter School RB		6.25	%		07/15/30		1,250		1,295,700
Series 2010, Charter School RB		6.38	%		07/15/40		2,500		2,561,500
Utah (State of) Charter School Finance Authority (Vista Entrada School of Performing Arts);
Series 2012, RB		5.60	%		07/15/22		900		914,373
Series 2012, RB		6.30	%		07/15/32		850		852,992
Series 2012, RB		6.55	%		07/15/42		2,000		2,003,760
Utah (State of) Housing Finance Agency (RHA Community Services); Series 1997 A, RB		6.88	%		07/01/27		3,910		3,911,838
									26,954,206

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

45                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Vermont–0.05%
Vermont (State of) Economic Development Authority (Wake Robin Corp.); Series 2006 A, Mortgage RB		5.38	%		05/01/36	$	2,750	$	2,566,823
Vermont (State of) Educational & Health Buildings Financing Agency (Developmental & Mental Health);
Series 2002 A, RB		6.38	%		06/15/22		40		40,530
Series 2002 A, RB		6.50	%		06/15/32		175		176,934
									2,784,287
Virgin Islands–0.08%
Virgin Islands (Government of) (Matching Fund Loan Note–Diago); Series 2009 A, RB		6.75	%		10/01/37		4,500		4,956,165
Virginia–2.16%
Celebrate North Community Development Authority (Celebrate Virginia North);
Series 2003 B, Special Assessment RB(g)		4.95	%		03/01/25		1,324		853,781
Series 2003 B, Special Assessment RB(g)		5.06	%		03/01/34		7,248		4,674,888
Celebrate South Community Development Authority (Celebrate Virginia South); Series 2006, Special Assessment RB(g)		6.25	%		03/01/37		9,500		5,435,140
Chesterfield (County of) Economic Development Authority (Brandermill Woods); Series 2012, First Mortgage Retirement Facilities RB		5.13	%		01/01/43		3,000		2,720,670
Chesterfield (County of) Health Center Commission (Lucy Corr Village);
Series 2008 A, Residential Care Facilities RB		6.13	%		12/01/30		5,000		3,762,000
Series 2008 A, Residential Care Facilities RB		6.25	%		12/01/38		5,500		3,875,245
Fairfax (County of) Economic Development Authority (Vinson Hall, LLC); Series 2013 A, Residential Care Facility RB		5.00	%		12/01/47		3,000		2,726,100
Hanover (County of) Economic Development Authority (Covenant Woods);
Series 2012 A, Residential Care Facility RB		5.00	%		07/01/42		2,000		1,707,260
Series 2012 A, Residential Care Facility RB		5.00	%		07/01/47		1,985		1,669,325
Lexington (City of) Industrial Development Authority (Kendal at Lexington);
Series 2007 A, Residential Care Facilities Mortgage RB		5.25	%		01/01/21		395		401,952
Series 2007 A, Residential Care Facilities Mortgage RB		5.38	%		01/01/22		780		791,934
Series 2007 A, Residential Care Facilities Mortgage RB		5.38	%		01/01/23		425		431,052
Series 2007 A, Residential Care Facilities Mortgage RB		5.38	%		01/01/28		500		499,720
New Port Community Development Authority;
Series 2006, Special Assessment RB		5.50	%		09/01/26		918		599,445
Series 2006, Special Assessment RB		5.60	%		09/01/36		2,500		1,545,950
Norfolk (City of) Redevelopment & Housing Authority (Fort Norfolk Retirement Community, Inc.–Harbor’s Edge); Series 2004 A, First Mortgage RB		6.00	%		01/01/25		500		500,140
Peninsula Town Center Community Development Authority;
Series 2007, Special Obligation RB		6.25	%		09/01/24		6,715		7,077,409
Series 2007, Special Obligation RB		6.35	%		09/01/28		7,818		8,159,490
Series 2007, Special Obligation RB		6.45	%		09/01/37		5,219		5,421,080
Route 460 Funding Corp.;
Series 2012 A, Sr. Lien Toll Road RB		5.00	%		07/01/52		25,370		25,424,545
Series 2012 B, Sr. Lien Toll Road CAB RB(d)		0.00	%		07/01/36		5,310		1,447,984
Series 2012 B, Sr. Lien Toll Road CAB RB(d)		0.00	%		07/01/38		6,250		1,496,313
The Farms of New Kent Community Development Authority;
Series 2006 B, Special Assessment RB(k)		2.73	%		03/01/36		7,000		3,636,570
Series 2006 C, Special Assessment RB(k)		2.90	%		03/01/36		7,250		3,766,085
Virginia (State of) Small Business Financing Authority (Carilion Clinic Obligated Group); Series 2008 A, VRD Hospital RB(m)		0.05	%		07/01/42		3,400		3,400,000
Virginia (State of) Small Business Financing Authority (Elizabeth River Crossings Opco, LLC); Series 2012, Sr. Lien RB MBTC(c)(e)		5.50	%		01/01/42		24,000		24,709,680
Virginia (State of) Small Business Financing Authority (Hampton Roads Proton Beam Therapy Institute at Hampton University, LLC); Series 2009, RB(f)(h)(i)		9.00	%		07/01/14		8,300		8,710,518
Washington (County of) Industrial Development Authority (Mountain States Health Alliance); Series 2009 C, Hospital Facility RB		7.75	%		07/01/38		5,000		5,748,700
									131,192,976

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

46                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Washington–3.01%
Greater Wenatchee (City of) Regional Events Center Public Facilities District; Series 2012 A, RB		5.50	%		09/01/42	$	3,420	$	3,328,857
Kalispel Tribe of Indians; Series 2008, RB		6.75	%		01/01/38		8,000		6,949,040
Kennewick (City of) Public Hospital District; Series 2001, Ref. & Improvement RB		6.30	%		01/01/25		2,000		2,001,040
King (County of) Public Hospital District No. 4 (Snoqualmie Valley Hospital);
Series 2009, Ref. & Improvement Limited Tax GO Bonds		7.25	%		12/01/38		9,625		9,680,055
Series 2011, Ref. & Improvement Limited Tax GO Bonds		6.75	%		12/01/31		500		514,195
Series 2011, Ref. & Improvement Limited Tax GO Bonds		7.00	%		12/01/40		4,000		4,122,280
King (County of); Series 2011 B, Ref. Sewer RB(e)		5.00	%		01/01/34		38,540		41,820,910
Klickitat (County of) Public Hospital District No. 2 (Skyline Hospital);
Series 2007, Hospital RB		6.50	%		12/01/38		2,000		1,939,980
Series 2007, RB		6.25	%		12/01/28		3,645		3,613,398
Port of Seattle Industrial Development Corp. (Delta Airlines); Series 2012, Ref. Special Facilities RB(c)		5.00	%		04/01/30		19,500		17,823,975
Skagit (County of) Public Hospital District No. 1 (Skagit Valley Hospital);
Series 2007, RB		5.75	%		12/01/28		1,250		1,300,313
Series 2010, RB		5.75	%		12/01/35		6,000		6,279,360
Series 2010, RB		6.00	%		12/01/30		3,160		3,400,918
Washington (State of) Health Care Facilities Authority (Central Washington Health Services Association); Series 2009, RB		7.00	%		07/01/39		9,145		9,978,933
Washington (State of) Health Care Facilities Authority (Kadlec Regional Medical Center); Series 2010, RB MBTC(e)		5.50	%		12/01/39		7,800		7,873,710
Washington (State of) Health Care Facilities Authority (Seattle Cancer Care Alliance); Series 2009, RB		7.38	%		03/01/38		11,300		13,604,748
Washington (State of) Health Care Facilities Authority (Swedish Health Services); Series 2009 A, RB(h)(i)		6.50	%		11/15/14		1,500		1,567,845
Washington (State of) Health Care Facilities Authority; Series 2007 C, RB (INS–Radian)(a)		5.50	%		08/15/42		3,000		3,043,290
Washington (State of) Higher Education Facilities Authority (Whitworth University); Series 2009, Ref. RB		5.63	%		10/01/40		3,415		3,550,303
Washington (State of) Housing Finance Commission (Custodial Receipts Wesley Homes); Series 2008 A, Non-Profit RB(f)		6.20	%		01/01/36		19,025		19,344,049
Washington (State of); Series 2009 E, Various Purpose Unlimited Tax GO Bonds(e)		5.00	%		02/01/29		18,450		20,965,288
									182,702,487
West Virginia–0.71%
Harrison (County of) Commission (Allegheny Energy); Series 2007 D, Ref. Solid Waste Disposal RB(c)		5.50	%		10/15/37		5,250		5,281,342
Harrison (County of) Commission (Charles Pointe No. 2);
Series 2008 A, Ref. Tax Increment Allocation RB		6.50	%		06/01/23		1,230		1,299,151
Series 2008 A, Ref. Tax Increment Allocation RB		7.00	%		06/01/35		1,500		1,541,715
Series 2013, Ref. Tax Increment Allocation RB(f)		7.00	%		06/01/35		1,000		802,730
Kanawha (County of) (The West Virginia State University Foundation); Series 2013, Student Housing RB		6.75	%		07/01/45		5,650		5,812,776
West Virginia (State of) Hospital Finance Authority (Thomas Health System);
Series 2008, RB		6.00	%		10/01/20		1,500		1,572,060
Series 2008, RB		6.50	%		10/01/38		14,000		13,829,760
Series 2008, RB		6.75	%		10/01/43		13,150		13,205,361
									43,344,895
Wisconsin–1.30%
Hudson (City of) (Christian Community Home, Inc.); Series 2003, Health Care Facility RB		6.50	%		04/01/33		3,380		3,380,000
Milwaukee (City of) Redevelopment Authority (Academy of Learning & Leadership, Inc.); Series 2007 A, Education RB(g)		5.50	%		08/01/22		300		89,889
Superior (City of) (Superior Water, Light & Power Co.); Series 2007 B, Collateralized Utility RB(c)		5.75	%		11/01/37		4,000		4,097,240
Wisconsin (State of) Health & Educational Facilities Authority (AE Nursing Centers);
Series 2008, RB		7.15	%		06/01/28		1,000		1,038,290
Series 2008, RB		7.25	%		06/01/38		1,000		1,030,750
Wisconsin (State of) Health & Educational Facilities Authority (Eastcastle Place, Inc.); Series 2004, RB		6.13	%		12/01/34		5,400		3,785,940

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

47                         Invesco High Yield Municipal Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Wisconsin–(continued)
Wisconsin (State of) Health & Educational Facilities Authority (Middleton Glen, Inc.);
Series 1998, RB		5.75	%		10/01/18	$	840	$	841,075
Series 1998, RB		5.75	%		10/01/28		2,485		2,484,801
Series 1998, Special Term RB		5.90	%		10/01/28		335		335,017
Wisconsin (State of) Health & Educational Facilities Authority (Southwest Health Center);
Series 2004 A, RB(h)(i)		6.13	%		04/01/14		1,760		1,769,680
Series 2004 A, RB(h)(i)		6.25	%		04/01/14		2,775		2,790,595
Wisconsin (State of) Health & Educational Facilities Authority (St. John’s Community, Inc.);
Series 2009 A, RB		7.25	%		09/15/29		4,000		4,352,440
Series 2009 A, RB		7.63	%		09/15/39		1,000		1,100,620
Wisconsin (State of) Health & Educational Facilities Authority (Wisconsin Illinois Senior Housing, Inc.);
Series 2006, Ref. RB		5.50	%		08/01/16		1,280		1,293,197
Series 2006, Ref. RB		5.80	%		08/01/29		4,785		4,601,878
Series 2010, RB		7.00	%		08/01/33		2,000		2,031,340
Series 2012, RB		5.75	%		08/01/35		3,215		2,900,348
Series 2012, RB		5.88	%		08/01/42		2,660		2,323,616
Series 2013, RB		7.00	%		08/01/43		6,500		6,526,130
Wisconsin (State of) Public Finance Authority (Glenridge Palmer Ranch);
Series 2011 A, Continuing Care Retirement Community RB		7.00	%		06/01/20		650		723,483
Series 2011 A, Continuing Care Retirement Community RB		7.75	%		06/01/28		7,980		8,877,351
Series 2011 A, Continuing Care Retirement Community RB		8.00	%		06/01/35		10,150		11,302,228
Series 2011 A, Continuing Care Retirement Community RB		8.25	%		06/01/46		4,000		4,474,040
Wisconsin (State of) Public Finance Authority (Roseman University of Health Sciences); Series 2012, RB		5.75	%		04/01/42		3,590		3,473,325
Wisconsin (State of) Public Finance Authority (Voyager Foundation Inc.);
Series 2012 A, Charter School RB		5.50	%		10/01/22		775		776,535
Series 2012 A, Charter School RB		6.00	%		10/01/32		1,475		1,409,746
Series 2012 A, Charter School RB		6.20	%		10/01/42		1,300		1,225,484
									79,035,038
Wyoming–0.11%
West Park Hospital District (West Park Hospital);
Series 2011, Ref. RB		7.00	%		06/01/35		1,085		1,226,896
Series 2011 A, RB		7.00	%		06/01/40		4,890		5,504,038
									6,730,934
Total Municipal Obligations (Cost $6,622,988,928)									6,549,510,702
U.S. Dollar Denominated Bonds and Notes–0.00%
Specialized Consumer Services–0.00%
Sear Tyler Methodist Retirement Corp., Sub. Notes (Acquired 02/25/13; Cost $0)(f)		2.00	%		02/25/48		135		0
TOTAL INVESTMENTS(p)–107.77% (Cost $6,622,988,928)									6,549,510,702
FLOATING RATE NOTE OBLIGATIONS–(8.38)%
Notes with interest and fee rates ranging from 0.55% to 1.30% at 02/28/14 and contractual maturities of collateral ranging from 07/01/22 to 04/01/53 (See Note 1J)(q)									(509,605,000	)
OTHER ASSETS LESS LIABILITIES–0.61%									37,279,186
NET ASSETS–100.00%								$	6,077,184,888

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

48                         Invesco High Yield Municipal Fund

Investment Abbreviations:

ACA	– ACA Financial Guaranty Corp.
AGC	– Assured Guaranty Corp.
AGM	– Assured Guaranty Municipal Corp.
AMBAC	– American Municipal Bond Assurance Corp.
BAN	– Bond Anticipation Notes
BHAC	– Berkshire Hathaway Assurance Corp.
CAB	– Capital Appreciation Bonds
CEP	– Credit Enhancement Provider
Connie Lee	– Connie Lee Insurance Co.
Conv.	– Convertible
COP	– Certificates of Participation
Ctfs.	– Certificates
FGIC	– Financial Guaranty Insurance Co.
GNMA	– Government National Mortgage Association
GO	– General Obligation
IDR	– Industrial Development Revenue Bonds
INS	– Insurer
Jr.	– Junior
LOC	– Letter of Credit
MBTC	– Municipal Bond Trust Certificates
MFH	– Multi-Family Housing
NATL	– National Public Finance Guarantee Corp.
PCR	– Pollution Control Revenue Bonds
PILOT	– Payment-in-Lieu-of-Tax
RAC	– Revenue Anticipation Certificates
Radian	– Radian Asset Assurance, Inc.
RB	– Revenue Bonds
Ref.	– Refunding
RN	– Revenue Notes
Sec.	– Secured
SGI	– Syncora Guarantee, Inc.
Sr.	– Senior
Sub.	– Subordinated
TEMPS	– Tax-Exempt Mandatory Paydown Securities
VRD	– Variable Rate Demand
Wts.	– Warrants

Notes to Schedule of Investments:

^(a)  Principal and/or interest payments are secured by the bond insurance company listed.

^(b)  Convertible CAB. The interest rate shown represents the coupon rate at which the bond will accrue at a specified future date.

^(c)  Security subject to the alternative minimum tax.

^(d)  Zero coupon bond issued at a discount.

^(e)  Underlying security related to Dealer Trusts entered into by the Fund. See Note 1J.

^(f)  Security purchased or received in a transaction exempt from registration under the Securities Act of 1933, as amended (the “1933 Act”). The security may be resold pursuant to an exemption from registration under the 1933 Act, typically to qualified institutional buyers. The aggregate value of these securities at February 28, 2014 was $278,474,925, which represented 4.58% of the Fund’s Net Assets.

^(g)  Defaulted security. Currently, the issuer is in default with respect to principal and interest payments. The aggregate value of these securities at February 28, 2014 was $71,522,083, which represented 1.18% of the Fund’s Net Assets.

^(h)  Security has an irrevocable call by the issuer or mandatory put by the holder. Maturity date reflects such call or put.

⁽ⁱ⁾  Advance refunded; secured by an escrow fund of U.S. Government obligations or other highly rated collateral.

^(j)  Defaulted security. Currently, the issuer is partially or fully in default with respect to interest payments. The aggregate value of these securities at February 28, 2014 was $27,113,819, which represented less than 1% of the Fund’s Net Assets.

^(k)  The issuer is paying less than stated interest, but is not in default on principal because scheduled principal payments have not yet begun.

^(l)  Interest or dividend rate is redetermined periodically. Rate shown is the rate in effect on February 28, 2014.

^(m)  Demand security payable upon demand by the Fund at specified time intervals no greater than thirteen months. Interest rate is redetermined periodically. Rate shown is the rate in effect on February 28, 2014.

⁽ⁿ⁾  Principal and interest payments are fully enhanced by a letter of credit from the bank listed or a predecessor bank, branch or subsidiary.

^(o)  Current coupon rate for an inverse floating rate municipal obligation. This rate resets periodically as the rate on the related security changes. Positions in an inverse floating rate municipal obligation have a total value of $2,508,050 which represents less than 1% of the Fund’s Net Assets.

^(p)  Entities may either issue, guarantee, back or otherwise enhance the credit quality of a security. The entities are not primarily responsible for the issuer’s obligation but may be called upon to satisfy issuer’s obligations. No concentration of any single entity was greater than 5%.

^(q)  Floating rate note obligations related to securities held. The interest and fee rates shown reflect the rates in effect at February 28, 2014. At February 28, 2014, the Fund’s investments with a value of $870,661,630 are held by Dealer Trusts and serve as collateral for the $509,605,000 in the floating rate note obligations outstanding at that date.

^(r)  Restructured security not accruing interest income.

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

49                         Invesco High Yield Municipal Fund

Statement of Assets and Liabilities

February 28, 2014

Assets:
Investments, at value (Cost $6,622,988,928)	$	6,549,510,702
Receivable for:
Investments sold		56,129,322
Fund shares sold		32,720,760
Interest		103,463,384
Investment for trustee deferred compensation and retirement plans		573,421
Other assets		76,750
Total assets		6,742,474,339
Liabilities:
Floating rate note obligations		509,605,000
Payable for:
Investments purchased		110,719,015
Fund shares reacquired		8,162,820
Amount due custodian		20,808,416
Dividends		12,379,482
Accrued fees to affiliates		2,395,981
Accrued trustees’ and officers’ fees and benefits		12,006
Accrued other operating expenses		524,224
Trustee deferred compensation and retirement plans		682,507
Total liabilities		665,289,451
Net assets applicable to shares outstanding	$	6,077,184,888
Net assets consist of:
Shares of beneficial interest	$	6,980,940,494
Undistributed net investment income		14,235,017
Undistributed net realized gain (loss)		(844,512,397	)
Net unrealized appreciation (depreciation)		(73,478,226	)
	$	6,077,184,888

Net Assets:
Class A	$	4,317,516,202
Class B	$	85,968,755
Class C	$	991,078,565
Class Y	$	679,827,035
Class R5	$	2,794,331
Shares outstanding, $0.001 par value per share, with an unlimited number of shares authorized:
Class A		459,856,042
Class B		9,114,311
Class C		105,844,690
Class Y		72,276,941
Class R5		297,054
Class A:
Net asset value per share	$	9.39
Maximum offering price per share
(Net asset value of $9.39 ¸ 95.75%)	$	9.81
Class B:
Net asset value and offering price per share	$	9.43
Class C:
Net asset value and offering price per share	$	9.36
Class Y:
Net asset value and offering price per share	$	9.41
Class R5:
Net asset value and offering price per share	$	9.41

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

50                         Invesco High Yield Municipal Fund

Statement of Operations

For the year ended February 28, 2014

Investment income:
Interest	$	404,165,968
Expenses:
Advisory fees		31,555,670
Administrative services fees		656,634
Custodian fees		131,745
Distribution fees:
Class A		11,064,743
Class B		258,168
Class C		10,486,468
Interest, facilities and maintenance fees		3,209,039
Transfer agent fees — A, B, C and Y		3,176,250
Transfer agent fees — R5		2,417
Trustees’ and officers’ fees and benefits		329,251
Other		2,832,344
Total expenses		63,702,729
Less: Expense offset arrangement(s)		(1,480	)
Net expenses		63,701,249
Net investment income		340,464,719
Realized and unrealized gain (loss) from:
Net realized gain (loss) from investment securities		(138,476,585	)
Change in net unrealized appreciation (depreciation) of investment securities		(388,175,506	)
Net realized and unrealized gain (loss)		(526,652,091	)
Net increase (decrease) in net assets resulting from operations	$	(186,187,372	)

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

51                         Invesco High Yield Municipal Fund

Statement of Changes in Net Assets

For the years ended February 28, 2014 and 2013

	2014			2013
Operations:
Net investment income	$	340,464,719		$	348,142,655
Net realized gain (loss)		(138,476,585	)		(29,019,109	)
Change in net unrealized appreciation (depreciation)		(388,175,506	)		350,208,027
Net increase (decrease) in net assets resulting from operations		(186,187,372	)		669,331,573
Distributions to shareholders from net investment income:
Class A		(246,029,075	)		(258,944,546	)
Class B		(5,721,666	)		(8,723,241	)
Class C		(51,045,412	)		(55,954,425	)
Class Y		(36,784,054	)		(43,158,720	)
Class R5		(348,251	)		(893,935	)
Total distributions from net investment income		(339,928,458	)		(367,674,867	)
Share transactions–net:
Class A		(285,028,270	)		1,006,461,833
Class B		(37,113,640	)		(37,640,385	)
Class C		(152,696,047	)		304,209,275
Class Y		(198,103,303	)		456,744,618
Class R5		(4,937,915	)		7,430,359
Net increase (decrease) in net assets resulting from share transactions		(677,879,175	)		1,737,205,700
Net increase (decrease) in net assets		(1,203,995,005	)		2,038,862,406
Net assets:
Beginning of year		7,281,179,893			5,242,317,487
End of year (includes undistributed net investment income of $14,235,017 and $15,862,455, respectively)	$	6,077,184,888		$	7,281,179,893

Notes to Financial Statements

February 28, 2014

NOTE 1—Significant Accounting Policies

Invesco High Yield Municipal Fund (the “Fund”) is a series portfolio of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”). The Trust is a Delaware statutory trust registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end series management investment company consisting of six separate portfolios, each authorized to issue an unlimited number of shares of beneficial interest. The assets, liabilities and operations of each portfolio are accounted for separately. Information presented in these financial statements pertains only to the Fund. Matters affecting each portfolio or class will be voted on exclusively by the shareholders of such portfolio or class.

The Fund’s investment objective is to seek federal tax-exempt current income and taxable capital appreciation.

The Fund currently consists of five different classes of shares: Class A, Class B, Class C, Class Y and Class R5. Class A shares are sold with a front-end sales charge unless certain waiver criteria are met and under certain circumstances load waived shares may be subject to contingent deferred sales charges (“CDSC”). Class C shares are sold with a CDSC. Class Y and Class R5 shares are sold at net asset value. Effective November 30, 2010, new or additional investments in Class B shares are no longer permitted. Existing shareholders of Class B shares may continue to reinvest dividends and capital gains distributions in Class B shares until they convert to Class A shares. Also, shareholders in Class B shares will be able to exchange those shares for Class B shares of other Invesco Funds offering such shares until they convert to Class A shares. Generally, Class B shares will automatically convert to Class A shares on or about the month-end, which is at least eight years after the date of purchase. Redemption of Class B shares prior to the conversion date will be subject to a CDSC.

As of the opening of business on June 28, 2013, the Fund has reopened public sales of Class A, Class C, Class Y and Class R5 shares to new investors.

The following is a summary of the significant accounting policies followed by the Fund in the preparation of its financial statements.

A. Security Valuations — Securities, including restricted securities, are valued according to the following policy.

Securities are fair valued using an evaluated quote provided by an independent pricing service approved by the Board of Trustees. Evaluated quotes provided by the pricing service may be determined without exclusive reliance on quoted prices, and may reflect appropriate factors such as institution-size trading in similar groups of securities, developments related to specific securities, dividend rate (for unlisted equities), yield (for debt obligations), quality, type of issue, coupon rate (for debt obligations), maturity (for debt obligations), individual trading characteristics and other market data. Debt obligations are subject to interest rate and credit risks. In addition, all debt obligations involve some risk of default with respect to interest and/or principal payments.

52                         Invesco High Yield Municipal Fund

Securities for which market quotations either are not readily available or became unreliable are valued at fair value as determined in good faith by or under the supervision of the Trust’s officers following procedures approved by the Board of Trustees. Some of the factors which may be considered in determining fair value are fundamental analytical data relating to the investment; the nature and duration of any restrictions on transferability or disposition; trading in similar securities by the same issuer or comparable companies; relevant political, economic or issuer specific news; and other relevant factors under the circumstances.

The Fund invests in securities that are subject to interest rate risk, meaning the risk that the prices will generally fall as interest rates rise and, conversely, the prices will generally rise as interest rates fall. Specific securities differ in their sensitivity to changes in interest rates depending on their individual characteristics. Changes in interest rates may result in increased market volatility, which may affect the value and/or liquidity of certain of the Fund’s investments.

Valuations change in response to many factors including the historical and prospective earnings of the issuer, the value of the issuer’s assets, general economic conditions, interest rates, investor perceptions and market liquidity. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

B. Securities Transactions and Investment Income — Securities transactions are accounted for on a trade date basis. Realized gains or losses on sales are computed on the basis of specific identification of the securities sold. Interest income is recorded on the accrual basis from settlement date. Paydown gains and losses on mortgage and asset-backed securities are recorded as adjustments to interest income. Dividend income (net of withholding tax, if any) is recorded on the ex-dividend date. Bond premiums and discounts are amortized and/or accreted for financial reporting purposes.

The Fund may periodically participate in litigation related to Fund investments. As such, the Fund may receive proceeds from litigation settlements. Any proceeds received are included in the Statement of Operations as realized gain (loss) for investments no longer held and as unrealized gain (loss) for investments still held.

Brokerage commissions and mark ups are considered transaction costs and are recorded as an increase to the cost basis of securities purchased and/or a reduction of proceeds on a sale of securities. Such transaction costs are included in the determination of net realized and unrealized gain (loss) from investment securities reported in the Statement of Operations and the Statement of Changes in Net Assets and the net realized and unrealized gains (losses) on securities per share in the Financial Highlights. Transaction costs are included in the calculation of the Fund’s net asset value and, accordingly, they reduce the Fund’s total returns. These transaction costs are not considered operating expenses and are not reflected in net investment income reported in the Statement of Operations and Statement of Changes in Net Assets, or the net investment income per share and ratios of expenses and net investment income reported in the Financial Highlights, nor are they limited by any expense limitation arrangements between the Fund and the investment adviser.

The Fund allocates realized and unrealized capital gains and losses to a class based on the relative net assets of each class. The Fund allocates income to a class based on the relative value of the settled shares of each class.

C. Country Determination — For the purposes of making investment selection decisions and presentation in the Schedule of Investments, the investment adviser may determine the country in which an issuer is located and/or credit risk exposure based on various factors. These factors include the laws of the country under which the issuer is organized, where the issuer maintains a principal office, the country in which the issuer derives 50% or more of its total revenues and the country that has the primary market for the issuer’s securities, as well as other criteria. Among the other criteria that may be evaluated for making this determination are the country in which the issuer maintains 50% or more of its assets, the type of security, financial guarantees and enhancements, the nature of the collateral and the sponsor organization. Country of issuer and/or credit risk exposure has been determined to be the United States of America, unless otherwise noted.

D. Distributions — Distributions from income are declared daily and paid monthly. Distributions from net realized capital gain, if any, are generally declared and paid annually and recorded on the ex-dividend date. The Fund may elect to treat a portion of the proceeds from redemptions as distributions for federal income tax purposes.

E. Federal Income Taxes — The Fund intends to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”), necessary to qualify as a regulated investment company and to distribute substantially all of the Fund’s taxable and tax-exempt earnings to shareholders. As such, the Fund will not be subject to federal income taxes on otherwise taxable income (including net realized capital gain) that is distributed to shareholders. Therefore, no provision for federal income taxes is recorded in the financial statements.

The Fund recognizes the tax benefits of uncertain tax positions only when the position is more likely than not to be sustained. Management has analyzed the Fund’s uncertain tax positions and concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions. Management is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next 12 months.

In addition, the Fund intends to invest in such municipal securities to allow it to qualify to pay shareholders “exempt-interest dividends”, as defined in the Internal Revenue Code.

The Fund files tax returns in the U.S. Federal jurisdiction and certain other jurisdictions. Generally, the Fund is subject to examinations by such taxing authorities for up to three years after the filing of the return for the tax period.

F. Expenses — Fees provided for under the Rule 12b-1 plan of a particular class of the Fund are charged to the operations of such class. Transfer agency fees and expenses and other shareholder recordkeeping fees and expenses attributable to Class R5 are charged to such class. Transfer agency fees and expenses and other shareholder recordkeeping fees and expenses relating to all other classes are allocated among those classes based on relative net assets. All other expenses are allocated among the classes based on relative net assets. Prior to June 1, 2010, incremental transfer agency fees which were unique to each class of shares were charged to the operations of such class.

G. Interest, Facilities and Maintenance Fees — Interest, Facilities and Maintenance Fees include interest and related borrowing costs such as commitment fees and other expenses associated with lines of credit and interest and administrative expenses related to establishing and maintaining floating rate note obligations, if any.

H. Accounting Estimates — The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period including estimates and assumptions related to taxation. Actual results could differ from those estimates by a significant amount. In addition, the Fund

53                         Invesco High Yield Municipal Fund

monitors for material events or transactions that may occur or become known after the period-end date and before the date the financial statements are released to print.

I. Indemnifications — Under the Trust’s organizational documents, each Trustee, officer, employee or other agent of the Trust is indemnified against certain liabilities that may arise out of the performance of their duties to the Fund. Additionally, in the normal course of business, the Fund enters into contracts, including the Fund’s servicing agreements, that contain a variety of indemnification clauses. The Fund’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund that have not yet occurred. The risk of material loss as a result of such indemnification claims is considered remote.

J. Floating Rate Note Obligations — The Fund invests in inverse floating rate securities, such as Residual Interest Bonds (“RIBs”), Tender Option Bonds (“TOBs”) or Municipal Bond Trust Certificates (“MBTCs”) for investment purposes and to enhance the yield of the Fund. Inverse floating rate investments tend to underperform the market for fixed rate bonds in a rising interest rate environment, but tend to outperform the market for fixed rate bonds when interest rates decline or remain relatively stable. Such transactions may be purchased in the secondary market without first owning the underlying bond or by the sale of fixed rate bonds by the Fund to special purpose trusts established by a broker dealer (“Dealer Trusts”) in exchange for cash and residual interests in the Dealer Trusts’ assets and cash flows, which are in the form of inverse floating rate securities. The Dealer Trusts finance the purchases of the fixed rate bonds by issuing floating rate notes to third parties and allowing the Fund to retain residual interests in the bonds. The floating rate notes issued by the Dealer Trusts have interest rates that reset weekly and the floating rate note holders have the option to tender their notes to the Dealer Trusts for redemption at par at each reset date. The residual interests held by the Fund (inverse floating rate investments) include the right of the Fund (1) to cause the holders of the floating rate notes to tender their notes at par at the next interest rate reset date, and (2) to transfer the municipal bond from the Dealer Trusts to the Fund, thereby collapsing the Dealer Trusts. MBTCs, unlike RIBs and TOBs, enforce a mandatory collapse of the Dealer Trust after a three year term.

Recently published final rules implementing section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Volcker Rule”) prohibit banking entities from engaging in proprietary trading of certain instruments and limit such entities’ investments in, and relationships with, “covered funds.” These rules may preclude banking entities from sponsoring and/or providing services for existing TOB trust programs. There can be no assurances that TOB trusts can be restructured substantially similar to their present form, that new sponsors of TOB trusts would begin providing these services, or that alternative forms of leverage will be available to the Fund in order to maintain current levels of leverage. Any alternative forms of leverage may be less advantageous to the Fund, and may adversely affect the Fund’s net asset value, distribution rate and ability to achieve its investment objective. The ultimate impact of these rules on the TOBs market and the municipal market generally is not yet certain.

TOBs are presently classified as private placement securities. Private placement securities are subject to restrictions on resale because they have not been registered under the Securities Act of 1933 (the “1933 Act”), as amended, or are otherwise not readily marketable. As a result of the absence of a public trading market for these securities, they may be less liquid than publicly traded securities. Although these securities may be resold in privately negotiated transactions, the prices realized from these sales could be less than those originally paid by the Fund or less than what may be considered the fair value of such securities.

The Fund accounts for the transfer of bonds to the Dealer Trusts as secured borrowings, with the securities transferred remaining in the Fund’s investment assets, and the related floating rate notes reflected as Fund liabilities under the caption Floating rate note obligations on the Statement of Assets and Liabilities. The Fund records the interest income from the fixed rate bonds under the caption Interest and records the expenses related to floating rate obligations and any administrative expenses of the Dealer Trusts as a component of Interest, facilities and maintenance fees on the Statement of Operations.

The Fund generally invests in inverse floating rate securities that include embedded leverage, thus exposing the Fund to greater risks and increased costs. The primary risks associated with inverse floating rate securities are varying degrees of liquidity and the changes in the value of such securities in response to changes in market rates of interest to a greater extent than the value of an equal principal amount of a fixed rate security having similar credit quality, redemption provisions and maturity which may cause the Fund’s net asset value to be more volatile than if it had not invested in inverse floating rate securities. In certain instances, the short-term floating rate interests created by the special purpose trust may not be able to be sold to third parties or, in the case of holders tendering (or putting) such interests for repayment of principal, may not be able to be remarketed to third parties. In such cases, the special purpose trust holding the long-term fixed rate bonds may be collapsed. In the case of RIBs, TOBs or MBTCs created by the contribution of long-term fixed income bonds by the Fund, the Fund will then be required to repay the principal amount of the tendered securities. During times of market volatility, illiquidity or uncertainty, the Fund could be required to sell other portfolio holdings at a disadvantageous time to raise cash to meet that obligation.

K. Other Risks — The value of, payment of interest on, repayment of principal for and the ability to sell a municipal security may be affected by constitutional amendments, legislative enactments, executive orders, administrative regulations, voter initiatives and the economics of the regions in which the issuers are located.

Since many municipal securities are issued to finance similar projects, especially those relating to education, health care, transportation and utilities, conditions in those sectors can affect the overall municipal securities market and a Fund’s investments in municipal securities.

There is some risk that a portion or all of the interest received from certain tax-free municipal securities could become taxable as a result of determinations by the Internal Revenue Service.

NOTE 2—Advisory Fees and Other Fees Paid to Affiliates

The Trust has entered into a master investment advisory agreement with Invesco Advisers, Inc. (the “Adviser” or “Invesco”). Under the terms of the investment advisory agreement, the Fund pays an advisory fee to the Adviser based on the annual rate of the Fund’s average daily net assets as follows:

Average Daily Net Assets	Rate
First $300 million		0.60%
Next $300 million		0.55%
Over $600 million		0.50%

54                         Invesco High Yield Municipal Fund

Under the terms of a master sub-advisory agreement between the Adviser and each of Invesco Asset Management Deutschland GmbH, Invesco Asset Management Limited, Invesco Asset Management (Japan) Limited, Invesco Australia Limited, Invesco Hong Kong Limited, Invesco Senior Secured Management, Inc. and Invesco Canada Ltd. (collectively, the “Affiliated Sub-Advisers”) the Adviser, not the Fund, may pay 40% of the fees paid to the Adviser to any such Affiliated Sub-Adviser(s) that provide(s) discretionary investment management services to the Fund based on the percentage of assets allocated to such Sub-Adviser(s).

The Adviser has contractually agreed, through at least June 30, 2014, to waive advisory fees and/or reimburse expenses of all shares to the extent necessary to limit total annual fund operating expenses after fee waiver and/or expense reimbursement (excluding certain items discussed below) of Class A, Class B, Class C, Class Y and Class R5 shares to 1.50%, 2.25%, 2.25%, 1.25% and 1.25%, respectively, of average daily net assets. In determining the Adviser’s obligation to waive advisory fees and/or reimburse expenses, the following expenses are not taken into account, and could cause the total annual fund operating expenses after fee waiver and/or expense reimbursement to exceed the numbers reflected above: (1) interest, facilities and maintenance fees; (2) taxes; (3) dividend expense on short sales; (4) extraordinary or non-routine items, including litigation expenses; and (5) expenses that the Fund has incurred but did not actually pay because of an expense offset arrangement. Unless Invesco continues the fee waiver agreement, it will terminate on June 30, 2014. The fee waiver agreement cannot be terminated during its term. The Adviser did not waive fees and/or reimburse expenses during the period under the expense limitation.

The Trust has entered into a master administrative services agreement with Invesco pursuant to which the Fund has agreed to pay Invesco for certain administrative costs incurred in providing accounting services to the Fund. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Administrative services fees.

The Trust has entered into a transfer agency and service agreement with Invesco Investment Services, Inc. (“IIS”) pursuant to which the Fund has agreed to pay IIS a fee for providing transfer agency and shareholder services to the Fund and reimburse IIS for certain expenses incurred by IIS in the course of providing such services. IIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. All fees payable by IIS to intermediaries that provide omnibus account services or sub-accounting are charged back to the Fund, subject to certain limitations approved by the Trust’s Board of Trustees. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Transfer agent fees.

Shares of the Fund are distributed by Invesco Distributors, Inc. (“IDI”). The Fund has adopted a distribution plan pursuant to Rule 12b-1 under the 1940 Act, and a service plan (collectively, the “Plans”) for Class A shares, Class B shares and Class C shares to compensate IDI for the sale, distribution, shareholder servicing and maintenance of shareholder accounts for these shares. Under the Plans, the Fund will incur annual fees of up to 0.25% of Class A average daily net assets and up to 1.00% each of Class B and Class C average daily net assets.

With respect to Class B and Class C shares, the Fund is authorized to reimburse in future years any distribution related expenses that exceed the maximum annual reimbursement rate for such class, so long as such reimbursement does not cause the Fund to exceed the Class B and Class C maximum annual reimbursement rate, respectively. With respect to Class A shares, distribution related expenses that exceed the maximum annual reimbursement rate for such class are not carried forward to future years and the Fund will not reimburse IDI for any such expenses.

For the year ended February 28, 2014, expenses incurred under these agreements are shown in the Statement of Operations as Distribution fees.

Front-end sales commissions and CDSC (collectively, the “sales charges”) are not recorded as expenses of the Fund. Front-end sales commissions are deducted from proceeds from the sales of Fund shares prior to investment in Class A shares of the Fund. CDSC are deducted from redemption proceeds prior to remittance to the shareholder. During the year ended February 28, 2014, IDI advised the Fund that IDI retained $749,176 in front-end sales commissions from the sale of Class A shares and $393,389, $120,305 and $139,953 from Class A, Class B and Class C shares, respectively, for CDSC imposed on redemptions by shareholders.

Certain officers and trustees of the Trust are officers and directors of the Adviser, IIS and/or IDI.

NOTE 3—Additional Valuation Information

GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, under current market conditions. GAAP establishes a hierarchy that prioritizes the inputs to valuation methods, giving the highest priority to readily available unadjusted quoted prices in an active market for identical assets (Level 1) and the lowest priority to significant unobservable inputs (Level 3), generally when market prices are not readily available or are unreliable. Based on the valuation inputs, the securities or other investments are tiered into one of three levels. Changes in valuation methods may result in transfers in or out of an investment’s assigned level:

Level 1 — Prices are determined using quoted prices in an active market for identical assets.

Level 2 — Prices are determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk, yield curves, loss severities, default rates, discount rates, volatilities and others.

Level 3 — Prices are determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund’s own assumptions about the factors market participants would use in determining fair value of the securities or instruments and would be based on the best available information.

The following is a summary of the tiered valuation input levels, as of February 28, 2014. The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

	Level 1		Level 2		Level 3		Total
Municipal Obligations	$	—	$	6,549,510,702	$	—	$	6,549,510,702
Bonds and Notes		—		—		0		0
Total Investments	$	—	$	6,549,510,702	$	0	$	6,549,510,702

55                         Invesco High Yield Municipal Fund

NOTE 4—Security Transactions with Affiliated Funds

The Fund is permitted to purchase or sell securities from or to certain other Invesco Funds under specified conditions outlined in procedures adopted by the Board of Trustees of the Trust. The procedures have been designed to ensure that any purchase or sale of securities by the Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common Trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under the procedures, each transaction is effected at the current market price. Pursuant to these procedures, for the year ended February 28, 2014, the Fund engaged in securities purchases of $1,429,023.

NOTE 5—Expense Offset Arrangement(s)

The expense offset arrangement is comprised of transfer agency credits which result from balances in demand deposit accounts used by the transfer agent for clearing shareholder transactions. For the year ended February 28, 2014, the Fund received credits from this arrangement, which resulted in the reduction of the Fund’s total expenses of $1,480.

NOTE 6—Trustees’ and Officers’ Fees and Benefits

Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to pay remuneration to certain Trustees and Officers of the Fund. Trustees have the option to defer compensation payable by the Fund, and Trustees’ and Officers’ Fees and Benefits also include amounts accrued by the Fund to fund such deferred compensation amounts. Those Trustees who defer compensation have the option to select various Invesco Funds in which their deferral accounts shall be deemed to be invested. Finally, certain current Trustees were eligible to participate in a retirement plan that provided for benefits to be paid upon retirement to Trustees over a period of time based on the number of years of service. The Fund may have certain former Trustees who also participate in a retirement plan and receive benefits under such plan. Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to fund such retirement benefits. Obligations under the deferred compensation and retirement plans represent unsecured claims against the general assets of the Fund.

NOTE 7—Cash Balances and Borrowings

The Fund is permitted to temporarily carry a negative or overdrawn balance in its account with State Street Bank and Trust Company (“SSB”), the custodian bank. Such balances, if any at period end, are shown in the Statement of Assets and Liabilities under the payable caption Amount due custodian. To compensate the custodian bank for such overdrafts, the overdrawn Fund may either (1) leave funds as a compensating balance in the account so the custodian bank can be compensated by earning the additional interest; or (2) compensate by paying the custodian bank at a rate agreed upon by the custodian bank and Invesco, not to exceed the contractually agreed upon rate.

Inverse floating rate obligations resulting from the transfer of bonds to Dealer Trusts are accounted for as secured borrowings. The average floating rate notes outstanding and average annual interest and fee rate related to inverse floating rate note obligations during the year ended February 28, 2014 were $557,855,615 and 0.58%, respectively.

NOTE 8—Distributions to Shareholders and Tax Components of Net Assets

Tax Character of Distributions to Shareholders Paid During the Years Ended February 28, 2014 and 2013:

	2014		2013
Ordinary income — tax-exempt	$	339,928,458	$	367,674,867

Tax Components of Net Assets at Period-End:

	2014
Undistributed ordinary income	$	17,875,366
Net unrealized appreciation (depreciation) — investments		(104,799,964	)
Temporary book/tax differences		(653,858	)
Capital loss carryforward		(816,177,150	)
Shares of beneficial interest		6,980,940,494
Total net assets	$	6,077,184,888

The difference between book-basis and tax-basis unrealized appreciation (depreciation) is due to differences in the timing of recognition of gains and losses on investments for tax and book purposes. The Fund’s net unrealized appreciation (depreciation) difference is attributable primarily to wash sales, TOBs, book to tax accretion and amortization differences and defaulted securities.

The temporary book/tax differences are a result of timing differences between book and tax recognition of income and/or expenses. The Fund’s temporary book/tax differences are the result of the trustee deferral of compensation and retirement plan benefits.

Capital loss carryforward is calculated and reported as of a specific date. Results of transactions and other activity after that date may affect the amount of capital loss carryforward actually available for the Fund to utilize. Capital losses generated in years beginning after December 22, 2010 can be carried forward for an unlimited period, whereas previous losses expire in 8 tax years. Capital losses with an expiration period may not be used to offset capital gains until all net capital losses without an expiration date have been utilized. Capital loss carryforwards with no expiration date will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The ability to utilize capital loss carryforward in the future may be limited under the Internal Revenue Code and related regulations based on the results of future transactions.

56                         Invesco High Yield Municipal Fund

The Fund has a capital loss carryforward as of February 28, 2014, which expires as follows:

Capital Loss Carryforward*
Expiration	Short-Term		Long-Term		Total
February 28, 2015	$	14,397,352	$	—	$	14,397,352
February 29, 2016		162,672,266		—		162,672,266
February 28, 2017		261,369,579		—		261,369,579
February 28, 2018		77,334,684		—		77,334,684
February 28, 2019		42,986,977		—		42,986,977
Not subject to expiration		111,984,594		145,431,698		257,416,292
	$	670,745,452	$	145,431,698	$	816,177,150

* Capital loss carryforward as of the date listed above is reduced for limitations, if any, to the extent required by the Internal Revenue Code and may be further limited depending upon a variety of factors, including the realization of net unrealized gains or losses as of the date of any reorganization.

NOTE 9—Investment Securities

The aggregate amount of investment securities (other than short-term securities, U.S. Treasury obligations and money market funds, if any) purchased and sold by the Fund during the year ended February 28, 2014 was $2,350,681,500 and $3,064,890,202, respectively. Cost of investments on a tax basis includes the adjustments for financial reporting purposes as of the most recently completed federal income tax reporting period-end.

Unrealized Appreciation (Depreciation) of Investment Securities on a Tax Basis
Aggregate unrealized appreciation of investment securities	$	313,255,290
Aggregate unrealized (depreciation) of investment securities		(418,055,254	)
Net unrealized appreciation (depreciation) of investment securities	$	(104,799,964	)

Cost of investments for tax purposes is $6,654,310,666.

NOTE 10—Reclassification of Permanent Differences

Primarily as a result of differing book/tax treatment of federal income taxes paid, TOB’s, bonds with amortization and expired capital loss carryforward, on February 28, 2014, undistributed net investment income was decreased by $2,163,699, undistributed net realized gain (loss) was increased by $7,474,228 and shares of beneficial interest was decreased by $5,310,529. This reclassification had no effect on the net assets of the Fund.

57                         Invesco High Yield Municipal Fund

NOTE 11—Share Information

	Summary of Share Activity
	Years ended February 28,
	2014(a)						2013
	Shares			Amount			Shares			Amount
Sold:
Class A		94,786,933		$	882,998,870			119,772,225		$	1,196,470,258
Class B		84,758			793,537			155,273			1,581,648
Class C		19,611,735			181,758,845			29,063,907			289,170,697
Class Y		46,160,963			430,952,150			50,676,109			507,890,291
Class R5(b)		43,040			394,844			195,041			1,904,680
Issued as reinvestment of dividends:
Class A		13,905,521			130,392,923			13,748,665			137,651,817
Class B		339,025			3,203,110			478,796			4,835,010
Class C		3,057,873			28,672,559			3,315,117			33,155,737
Class Y		2,548,273			24,232,575			3,277,984			32,996,797
Class R5		20,754			196,741			55,839			557,267
Issued in connection with acquisitions:(c)
Class A		—			—			38,941,092			380,289,898
Class B		—			—			1,360,176			13,344,973
Class C		—			—			14,758,854			143,978,139
Class Y		—			—			13,877,140			135,657,431
Class R5		—			—			7,799,579			76,242,015
Automatic conversion of Class B shares to Class A shares:
Class A		1,910,274			18,241,938			4,096,565			41,032,498
Class B		(1,901,630	)		(18,241,938	)		(4,076,611	)		(41,032,498	)
Reacquired:
Class A		(140,662,190	)		(1,316,662,001	)		(74,600,894	)		(748,982,638	)
Class B		(2,423,190	)		(22,868,349	)		(1,628,805	)		(16,369,518	)
Class C		(38,805,273	)		(363,127,451	)		(16,185,427	)		(162,095,298	)
Class Y		(66,787,239	)		(653,288,028	)		(21,814,848	)		(219,799,901	)
Class R5		(598,473	)		(5,529,500	)		(7,218,726	)		(71,273,603	)
Net increase (decrease) in share activity		(68,708,846	)	$	(677,879,175	)		176,047,051		$	1,737,205,700

^(a)  There are entities that are record owners of more than 5% of the outstanding shares of the Fund and in the aggregate own 65% of the outstanding shares of the Fund. IDI has an agreement with these entities to sell Fund shares. The Fund, Invesco and/or Invesco affiliates may make payments to these entities, which are considered to be related to the Fund, for providing services to the Fund, Invesco and/or Invesco affiliates including but not limited to services such as securities brokerage, distribution, third party record keeping and account servicing. The Fund has no knowledge as to whether all or any portion of the shares owned of record by these entities are also owned beneficially.

^(b)  Commencement date of April 30, 2012.

^(c)  As of the opening of business on April 30, 2012, the Fund acquired all the net assets of Invesco High Income Municipal Fund (the “Target Fund”) pursuant to a plan of reorganization approved by the Trustees of the Fund on November 30, 2011 and by the shareholders of the Target Fund on April 2, 2012. The acquisition was accomplished by a tax-free exchange of 76,736,841 shares of the Fund for 93,571,671 shares outstanding of the Target Fund as of the close of business on April 27, 2012. Each class of the Target Fund was exchanged for the like class of shares of the Fund based on the relative net asset value of the Target Fund to the net asset value of the Fund at the close of business on April 27, 2012. The Target Fund’s net assets at that date of $749,512,456, including $7,209,042 of unrealized appreciation, were combined with those of the Fund. The net assets of the Fund immediately before the acquisition were $5,430,090,787 and $6,179,603,243 immediately after the acquisition.

    The pro forma results of operations for the year ended February 28, 2013 assuming the reorganization had been completed on March 1, 2012, the beginning of the annual reporting period, are as follows:

Net investment income	$	354,609,427
Net realized/unrealized gains		327,447,326
Change in net assets resulting from operations	$	682,056,753

    The combined investment portfolios have been managed as a single integrated portfolio since the acquisition was completed; it is not practicable to separate the amounts of revenue and earnings of the Target Fund that has been included in the Fund’s Statement of Operations since April 30, 2012.

58                         Invesco High Yield Municipal Fund

NOTE 12—Financial Highlights

The following schedule presents financial highlights for a share of the Fund outstanding throughout the periods indicated.

	Net asset value, beginning of period		Net investment income(a)		Net gains (losses) on securities (both realized and unrealized)			Total from investment operations			Dividends from net investment income			Net asset value, end of period		Total return			Net assets, end of period (000’s omitted)		Ratio of expenses to average net assets			Supplemental ratio of expenses to average net assets (excluding interest, facilities and maintenance fees(b)			Ratio of net investment income to average net assets			Portfolio turnover(c)
Class A
Year ended 02/28/14	$	10.17	$	0.53	$	(0.78	)	$	(0.25	)	$	(0.53	)	$	9.39		(2.37	)%(d)	$	4,317,516		0.92	%(e)		0.87	%(e)		5.58	%(e)		35	%
Year ended 02/28/13		9.71		0.53		0.49			1.02			(0.56	)		10.17		10.78	(d)		4,981,494		0.90			0.84			5.32			19
Year ended 02/29/12		8.85		0.57		0.85			1.42			(0.56	)		9.71		16.56	(d)		3,766,082		0.93			0.85			6.24			16
Period ended 02/28/11		9.24		0.15		(0.40	)		(0.25	)		(0.14	)		8.85		(2.72	)(d)		3,399,724		0.84	(f)		0.76	(f)		6.80	(f)		3
Year ended 11/30/10		9.07		0.57		0.15			0.72			(0.55	)		9.24		8.07	(d)		3,875,386		0.91			0.84			6.10			20
Year ended 11/30/09		8.15		0.58		0.92			1.50			(0.58	)		9.07		19.33	(g)		3,294,547		0.97			0.87			6.90			16
Class B
Year ended 02/28/14		10.22		0.53		(0.79	)		(0.26	)		(0.53	)		9.43		(2.44	)(d)(h)		85,969		0.92	(e)(h)		0.87	(e)(h)		5.58	(e)(h)		35
Year ended 02/28/13		9.75		0.53		0.51			1.04			(0.57	)		10.22		10.87	(d)(h)		132,952		0.90	(h)		0.84	(h)		5.32	(h)		19
Year ended 02/29/12		8.85		0.60		0.85			1.45			(0.55	)		9.75		16.89	(d)(h)		163,123		0.68	(h)		0.60	(h)		6.49	(h)		16
Period ended 02/28/11		9.24		0.14		(0.41	)		(0.27	)		(0.12	)		8.85		(2.90	)(d)(h)		250,532		1.39	(f)(h)		1.31	(f)(h)		6.25	(f)(h)		3
Year ended 11/30/10		9.07		0.50		0.15			0.65			(0.48	)		9.24		7.27	(d)		299,439		1.66			1.59			5.35			20
Year ended 11/30/09		8.15		0.51		0.93			1.44			(0.52	)		9.07		18.46	(i)		316,094		1.72			1.62			6.15			16
Class C
Year ended 02/28/14		10.15		0.46		(0.79	)		(0.33	)		(0.46	)		9.36		(3.15	)(d)		991,079		1.67	(e)		1.62	(e)		4.83	(e)		35
Year ended 02/28/13		9.69		0.46		0.49			0.95			(0.49	)		10.15		9.97	(d)		1,237,889		1.65			1.59			4.57			19
Year ended 02/29/12		8.83		0.50		0.85			1.35			(0.49	)		9.69		15.73	(d)		881,847		1.68			1.60			5.49			16
Period ended 02/28/11		9.23		0.13		(0.41	)		(0.28	)		(0.12	)		8.83		(3.02	)(d)		813,001		1.59	(f)		1.51	(f)		6.05	(f)		3
Year ended 11/30/10		9.05		0.50		0.16			0.66			(0.48	)		9.23		7.40	(d)		953,475		1.66			1.59			5.35			20
Year ended 11/30/09		8.14		0.51		0.92			1.43			(0.52	)		9.05		18.36	(j)		799,982		1.72			1.62			6.09			16
Class Y(k)
Year ended 02/28/14		10.19		0.56		(0.79	)		(0.23	)		(0.55	)		9.41		(2.11	)(d)		679,827		0.67	(e)		0.62	(e)		5.83	(e)		35
Year ended 02/28/13		9.73		0.56		0.49			1.05			(0.59	)		10.19		11.04	(d)		920,379		0.65			0.59			5.57			19
Year ended 02/29/12		8.87		0.59		0.84			1.43			(0.57	)		9.73		16.83	(d)		431,266		0.68			0.60			6.49			16
Period ended 02/28/11		9.26		0.15		(0.40	)		(0.25	)		(0.14	)		8.87		(2.65	)(d)		518,173		0.59	(f)		0.51	(f)		7.05	(f)		3
Year ended 11/30/10		9.09		0.60		0.15			0.75			(0.58	)		9.26		8.33	(d)		522,709		0.66			0.59			6.35			20
Year ended 11/30/09		8.17		0.59		0.93			1.52			(0.60	)		9.09		19.57	(j)		281,752		0.72			0.62			6.94			16
Class R5
Year ended 02/28/14		10.18		0.56		(0.78	)		(0.22	)		(0.55	)		9.41		(2.00	)(d)		2,794		0.66	(e)		0.61	(e)		5.84	(e)		35
Year ended 02/28/13(l)		9.79		0.46		0.42			0.88			(0.49	)		10.18		9.16	(d)		8,466		0.67	(f)(m)		0.63	(f)		5.55	(f)		19

^(a)  Calculated using average shares outstanding.

^(b)  For the years ended November 30, 2010 and prior, ratio does not exclude facilities and maintenance fees.

^(c)  Portfolio turnover is calculated at the fund level and is not annualized for periods less than one year, if applicable. For the period ended February 28, 2013, the portfolio turnover calculation excludes the value of securities purchased of $729,359,150 and sold of $70,250,290 in the effort to realign the Fund’s portfolio holdings after the reorganization of Invesco High Income Municipal Fund into the Fund.

^(d)  Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions. Does not include sales charges and is not annualized for periods less than one year, if applicable.

^(e)  Ratios are based on average daily net assets (000’s omitted) of $4,425,897, $103,267, $1,048,647, $637,292 and $6,031 for Class A, Class B, Class C, Class Y and Class R5 shares, respectively.

^(f)  Annualized.

^(g)  Assumes reinvestment of all distributions for the period and does not include payment of the maximum sales charge of 4.75% or contingent deferred sales charge (CDSC). On purchases of $1 million or more, a CDSC of 1% may be imposed on certain redemptions made within eighteen months of purchase. If the sales charges were included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 0.25% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

^(h)  The total return, ratio of expenses to average net assets and ratio of net investment income (loss) to average net assets reflect actual 12b-1 fees of 0.25%, 0.25%, 0.00% and 0.80% for the years ended February 28, 2014, February 28, 2013, February 29, 2012 and February 28, 2011, respectively.

⁽ⁱ⁾  Assumes reinvestment of all distributions for the period and does not include payment of the maximum CDSC of 4%, charged on certain redemptions made within one year of purchase and declining to 0% after the fifth year. If the sales charge was included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 1% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

^(j)  Assumes reinvestment of all distributions for the period and does not include payment of the maximum CDSC of 1%, charged on certain redemptions made within one year of purchase. If the sales charge was included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 1% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

^(k)  On June 1, 2010, Class I shares of Van Kampen High Yield Municipal Fund were reorganized into Class Y shares of the Fund.

^(l)  Commencement date of April 30, 2012.

^(m)  For the year ended February 28, 2013, the ratio of expenses to average net assets without fee waivers and/or expenses absorbed was 0.69%.

59                         Invesco High Yield Municipal Fund

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds)

and Shareholders of Invesco High Yield Municipal Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Invesco High Yield Municipal Fund (one of the funds constituting AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds), hereafter referred to as the “Fund”) at February 28, 2014, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the three years in the period then ended, the three month period ended February 28, 2011 and the year ended November 30, 2010, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at February 28, 2014 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion. The financial highlights of the Fund for the period ended November 30, 2009 were audited by another independent registered public accounting firm whose report dated January 22, 2010 expressed an unqualified opinion on such financial statement.

PRICEWATERHOUSECOOPERS LLP

April 28, 2014

Houston, Texas

60                         Invesco High Yield Municipal Fund

Calculating your ongoing Fund expenses

Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, which may include sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any; and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period September 1, 2013 through February 28, 2014.

Actual expenses

The table below provides information about actual account values and actual expenses. You may use the information in this table, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the table under the heading entitled “Actual Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The table below also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return.

The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher.

Class	Beginning Account Value (09/01/13)		ACTUAL				HYPOTHETICAL (5% annual return before expenses)				Annualized Expense Ratio
			Ending Account Value (02/28/14)1		Expenses Paid During Period2		Ending Account Value (02/28/14)		Expenses Paid During Period2
A	$	1,000.00	$	1,078.40	$	4.90	$	1,020.08	$	4.76		0.95	%
B		1,000.00		1,078.20		4.90		1,020.08		4.76		0.95
C		1,000.00		1,073.10		9.05		1,016.07		8.80		1.76
Y		1,000.00		1,080.80		3.61		1,021.32		3.51		0.70
R5		1,000.00		1,079.80		3.51		1,021.42		3.41		0.68

¹  The actual ending account value is based on the actual total return of the Fund for the period September 1, 2013 through February 28, 2014, after actual expenses and will differ from the hypothetical ending account value which is based on the Fund’s expense ratio and a hypothetical annual return of 5% before expenses.

²  Expenses are equal to the Fund’s annualized expense ratio as indicated above multiplied by the average account value over the period, multiplied by 181/365 to reflect the most recent fiscal half year.

61                         Invesco High Yield Municipal Fund

Tax Information

Form 1099-DIV, Form 1042-S and other year–end tax information provide shareholders with actual calendar year amounts that should be included in their tax returns. Shareholders should consult their tax advisors.

The following distribution information is being provided as required by the Internal Revenue Code or to meet a specific state’s requirement.

The Fund designates the following amounts or, if subsequently determined to be different, the maximum amount allowable for its fiscal year ended February 28, 2014:

Federal and State Income Tax
Qualified Dividend Income*	0%
Corporate Dividends Received Deduction*	0%
U.S. Treasury Obligations*	0%
Tax-Exempt Interest Dividends*	100%

* The above percentages are based on ordinary income dividends paid to shareholders during the Fund’s fiscal year.

62                         Invesco High Yield Municipal Fund

Trustees and Officers

The address of each trustee and officer is AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”), 11 Greenway Plaza, Suite 1000, Houston, Texas 77046-1173. The trustees serve for the life of the Trust, subject to their earlier death, incapacitation, resignation, retirement or removal as more specifically provided in the Trust’s organizational documents. Each officer serves for a one year term or until their successors are elected and qualified. Column two below includes length of time served with predecessor entities, if any.

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Interested Persons
Martin L. Flanagan1 — 1960 Trustee	2007	Executive Director, Chief Executive Officer and President, Invesco Ltd. (ultimate parent of Invesco and a global investment management firm); Advisor to the Board, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Trustee, The Invesco Funds; Vice Chair, Investment Company Institute; and Member of Executive Board, SMU Cox School of Business Formerly: Chairman and Chief Executive Officer, Invesco Advisers, Inc. (registered investment adviser); Director, Chairman, Chief Executive Officer and President, IVZ Inc. (holding company), INVESCO Group Services, Inc. (service provider) and Invesco North American Holdings, Inc. (holding company); Director, Chief Executive Officer and President, Invesco Holding Company Limited (parent of Invesco and a global investment management firm); Director, Invesco Ltd.; Chairman, Investment Company Institute and President, Co-Chief Executive Officer, Co-President, Chief Operating Officer and Chief Financial Officer, Franklin Resources, Inc. (global investment management organization).	123	None
Philip A. Taylor2 — 1954 Trustee, President and Principal Executive Officer	2006	Head of North American Retail and Senior Managing Director, Invesco Ltd.; Director, Co-Chairman, Co-President and Co-Chief Executive Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Director, Chairman, Chief Executive Officer and President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) (financial services holding company); Director and President, INVESCO Funds Group, Inc. (registered investment adviser and registered transfer agent); Director and Chairman, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) (registered transfer agent) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.) (registered broker dealer); Director, President and Chairman, Invesco Inc. (holding company) and Invesco Canada Holdings Inc. (holding company); Chief Executive Officer, Invesco Corporate Class Inc. (corporate mutual fund company) and Invesco Canada Fund Inc. (corporate mutual fund company); Director, Chairman and Chief Executive Officer, Invesco Canada Ltd. (formerly known as Invesco Trimark Ltd./Invesco Trimark Ltèe) (registered investment adviser and registered transfer agent); Trustee, President and Principal Executive Officer, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); Trustee and Executive Vice President, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only); Director, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Director, Chief Executive Officer and President, Van Kampen Exchange Corp. Formerly: Director and Chairman, Van Kampen Investor Services Inc.; Director, Chief Executive Officer and President, 1371 Preferred Inc. (holding company); and Van Kampen Investments Inc.; Director and President, AIM GP Canada Inc. (general partner for limited partnerships); and Van Kampen Advisors, Inc.; Director and Chief Executive Officer, Invesco Trimark Dealer Inc. (registered broker dealer); Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) (registered broker dealer); Manager, Invesco PowerShares Capital Management LLC; Director, Chief Executive Officer and President, Invesco Advisers, Inc.; Director, Chairman, Chief Executive Officer and President, Invesco Aim Capital Management, Inc.; President, Invesco Trimark Dealer Inc. and Invesco Trimark Ltd./Invesco Trimark Ltèe; Director and President, AIM Trimark Corporate Class Inc. and AIM Trimark Canada Fund Inc.; Senior Managing Director, Invesco Holding Company Limited; Trustee and Executive Vice President, Tax-Free Investments Trust; Director and Chairman, Fund Management Company (former registered broker dealer); President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only); President, AIM Trimark Global Fund Inc. and AIM Trimark Canada Fund Inc.	123	None
Wayne W. Whalen3 — 1939 Trustee	2010	Of Counsel, and prior to 2010, partner in the law firm of Skadden, Arps, Slate, Meagher & Flom LLP, legal counsel to certain funds in the Fund Complex.	136	Director of the Mutual fund Directors Forum, a nonprofit membership organization for investment directors; Chairman and Director of the Abraham Lincoln Presidential Library Foundation; and Director of the Stevenson Center for Democracy

¹  Mr. Flanagan is considered an interested person of the Trust because he is an officer of the adviser to the Trust, and an officer and a director of Invesco Ltd., ultimate parent of the adviser to the Trust.

²  Mr. Taylor is considered an interested person of the Trust because he is an officer and a director of the adviser to, and a director of the principal underwriter of, the Trust.

³  Mr. Whalen is considered an “interested person” (within the meaning of Section 2(a)(19) of the 1940 Act) of certain funds in the Fund Complex because his firm currently provides legal services as legal counsel to such Funds.

T-1                         Invesco High Yield Municipal Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees
Bruce L. Crockett — 1944 Trustee and Chair	1993	Chairman, Crockett Technologies Associates (technology consulting company) Formerly: Director, Captaris (unified messaging provider); Director, President and Chief Executive Officer COMSAT Corporation; Chairman, Board of Governors of INTELSAT (international communications company); ACE Limited (insurance company); and Investment Company Institute	123	ALPS (Attorneys Liability Protection Society) (insurance company)
David C. Arch — 1945 Trustee	2010	Chairman of Blistex Inc., a consumer health care products manufacturer	136	Board member of the Illinois Manufacturers’ Association; Member of the Board of Visitors, Institute for the Humanities University of Michigan; Member of the Audit Committee of the Edward-Elmhurst Hospital
Frank S. Bayley — 1939 Trustee	2001	Retired. Formerly: Director, Badgley Funds Inc. (registered investment company) (2 portfolios) and General Partner and Of Counsel, law firm of Baker & McKenzie, LLP	123	Director and Chairman, C.D. Stimson Company (a real estate investment company); Trustee, The Curtis Institute of Music
James T. Bunch — 1942 Trustee	2003	Managing Member, Grumman Hill Group LLC (family office private equity investments) Formerly: Founder, Green Manning & Bunch Ltd. (investment banking firm) (1988-2010); Executive Committee, United States Golf Association; and Director, Policy Studies, Inc. and Van Gilder Insurance Corporation.	123	Chairman, Board of Governors, Western Golf Association, Chairman, Evans Scholars Foundation and Director, Denver Film Society
Rodney F. Dammeyer — 1940 Trustee	2010	Chairman of CAC,LLC, (private company offering capital investment and management advisory services) Formerly: Prior to 2001, Managing Partner at Equity Group Corporate Investments. Prior to 1995, Chief Executive Officer of Itel Corporation (formerly Anixter International). Prior to 1985, experience includes Senior Vice President and Chief Financial Officer of Household International, Inc., Executive Vice President and Chief Financial Officer of Northwest Industries, Inc. and Partner of Arthur Andersen & Co.; From 1987 to 2010, Director/Trustee of investment companies in the Van Kampen Funds complex	123	Director of Quidel Corporation and Stericycle, Inc.
Albert R. Dowden — 1941 Trustee	2000	Director of a number of public and private business corporations, including the Boss Group, Ltd. (private investment and management); Nature’s Sunshine Products, Inc. and Reich & Tang Funds (5 portfolios) (registered investment company) Formerly: Director, Homeowners of America Holding Corporation/Homeowners of America Insurance Company (property casualty company); Director, Continental Energy Services, LLC (oil and gas pipeline service); Director, CompuDyne Corporation (provider of product and services to the public security market) and Director, Annuity and Life Re (Holdings), Ltd. (reinsurance company); Director, President and Chief Executive Officer, Volvo Group North America, Inc.; Senior Vice President, AB Volvo; Director of various public and private corporations; Chairman, DHJ Media, Inc.; Director, Magellan Insurance Company; and Director, The Hertz Corporation, Genmar Corporation (boat manufacturer), National Media Corporation; Advisory Board of Rotary Power International (designer, manufacturer, and seller of rotary power engines); and Chairman, Cortland Trust, Inc. (registered investment company)	123	Director of: Nature’s Sunshine Products, Inc., Reich & Tang Funds, Homeowners of America Holding Corporation/ Homeowners of America Insurance Company, the Boss Group
Jack M. Fields — 1952 Trustee	1997	Chief Executive Officer, Twenty First Century Group, Inc. (government affairs company); Owner and Chief Executive Officer, Dos Angeles Ranch, L.P. (cattle, hunting, corporate entertainment); and Discovery Global Education Fund (non-profit) Formerly: Chief Executive Officer, Texana Timber LP (sustainable forestry company); Director of Cross Timbers Quail Research Ranch (non-profit); and member of the U.S. House of Representatives	123	Insperity, Inc. (formerly known as Administaff)
Prema Mathai-Davis — 1950 Trustee	1998	Retired. Formerly: Chief Executive Officer, YWCA of the U.S.A.	123	None
Larry Soll — 1942 Trustee	2003	Retired. Formerly: Chairman, Chief Executive Officer and President, Synergen Corp. (a biotechnology company)	123	None

T-2                         Invesco High Yield Municipal Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees—(continued)
Hugo F. Sonnenschein — 1940 Trustee	2010	President Emeritus and Honorary Trustee of the University of Chicago and the Adam Smith Distinguished Service Professor in the Department of Economics at the University of Chicago. Prior to 2000, President of the University of Chicago	136	Trustee of the University of Rochester and a member of its investment committee; Member of the National Academy of Sciences and the American Philosophical Society; Fellow of the American Academy of Arts and Sciences
Raymond Stickel, Jr. — 1944 Trustee	2005	Retired. Formerly: Director, Mainstay VP Series Funds, Inc. (25 portfolios) and Partner, Deloitte & Touche	123	None
Other Officers
Russell C. Burk — 1958 Senior Vice President and Senior Officer	2005	Senior Vice President and Senior Officer, The Invesco Funds	N/A	N/A
John M. Zerr — 1962 Senior Vice President, Chief Legal Officer and Secretary	2006	Director, Senior Vice President, Secretary and General Counsel, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Senior Vice President and Secretary, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Vice President and Secretary, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.); Director and Vice President, INVESCO Funds Group, Inc.; Senior Vice President, Chief Legal Officer and Secretary, The Invesco Funds; Manager, Invesco PowerShares Capital Management LLC; Director, Secretary and General Counsel, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Secretary and General Counsel, Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.) and Chief Legal Officer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Director and Vice President, Van Kampen Advisors Inc.; Director, Vice President, Secretary and General Counsel, Van Kampen Investor Services Inc.; Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Senior Vice President, General Counsel and Secretary, Invesco Aim Advisers, Inc. and Van Kampen Investments Inc.; Director, Vice President and Secretary, Fund Management Company; Director, Senior Vice President, Secretary, General Counsel and Vice President, Invesco Aim Capital Management, Inc.; Chief Operating Officer and General Counsel, Liberty Ridge Capital, Inc. (an investment adviser); Vice President and Secretary, PBHG Funds (an investment company) and PBHG Insurance Series Fund (an investment company); Chief Operating Officer, General Counsel and Secretary, Old Mutual Investment Partners (a broker-dealer); General Counsel and Secretary, Old Mutual Fund Services (an administrator) and Old Mutual Shareholder Services (a shareholder servicing center); Executive Vice President, General Counsel and Secretary, Old Mutual Capital, Inc. (an investment adviser); and Vice President and Secretary, Old Mutual Advisors Funds (an investment company)	N/A	N/A
Sheri Morris — 1964 Vice President, Treasurer and Principal Financial Officer	1999	Vice President, Treasurer and Principal Financial Officer, The Invesco Funds; Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); and Vice President, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Vice President, Invesco Aim Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; Assistant Vice President and Assistant Treasurer, The Invesco Funds and Assistant Vice President, Invesco Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; and Treasurer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust	N/A	N/A

T-3                         Invesco High Yield Municipal Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Other Officers—(continued)
Karen Dunn Kelley — 1960 Vice President	1993	Senior Managing Director, Investments; Director, Co-President, Co-Chief Executive Officer, and Co-Chairman, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Chairman, Invesco Senior Secured Management, Inc.; Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.); Executive Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Invesco Mortgage Capital Inc. and Invesco Management Company Limited; Director and President, INVESCO Asset Management (Bermuda) Ltd., Vice President, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); and President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only) Formerly: Director, INVESCO Global Asset Management Limited and INVESCO Management S.A.; Senior Vice President, Van Kampen Investments Inc. and Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Director of Cash Management and Senior Vice President, Invesco Advisers, Inc. and Invesco Aim Capital Management, Inc.; President and Principal Executive Officer, Tax-Free Investments Trust; Director and President, Fund Management Company; Chief Cash Management Officer, Director of Cash Management, Senior Vice President, and Managing Director, Invesco Aim Capital Management, Inc.; Director of Cash Management, Senior Vice President, and Vice President, Invesco Advisers, Inc. and The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only)	N/A	N/A
Crissie M. Wisdom — 1969 Anti-Money Laundering Compliance Officer	2013	Anti-Money Laundering Compliance Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser), Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.), Invesco Distributors, Inc., Invesco Investment Services, Inc., Invesco Management Group, Inc., Van Kampen Exchange Corp., The Invesco Funds, Invesco Funds (Chicago), and PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust, and PowerShares Actively Managed Exchange-Traded Fund Trust; and Fraud Prevention Manager and Controls and Risk Analysis Manager for Invesco Investment Services, Inc.	N/A	N/A
Todd L. Spillane — 1958 Chief Compliance Officer	2006	Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President and Chief Compliance Officer, Invesco Advisers, Inc. (registered investment adviser) (formerly known as Invesco Institutional (N.A.), Inc.); Chief Compliance Officer, The Invesco Funds; Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) and Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) Formerly: Chief Compliance Officer, Invesco Funds (Chicago); Senior Vice President, Van Kampen Investments Inc.; Senior Vice President and Chief Compliance Officer, Invesco Aim Advisers, Inc. and Invesco Aim Capital Management, Inc.; Chief Compliance Officer, INVESCO Private Capital Investments, Inc. (holding company), Invesco Private Capital, Inc. (registered investment adviser), Invesco Global Asset Management (N.A.), Inc., Invesco Senior Secured Management, Inc. (registered investment adviser), Van Kampen Investor Services Inc., PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust; and Vice President, Invesco Aim Capital Management, Inc. and Fund Management Company	N/A	N/A

The Statement of Additional Information of the Trust includes additional information about the Fund’s Trustees and is available upon request, without charge, by calling 1.800.959.4246. Please refer to the Fund’s prospectus for information on the Fund’s sub-advisers.

Office of the Fund 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Investment Adviser Invesco Advisers, Inc. 1555 Peachtree Street, N.E. Atlanta, GA 30309	Distributor Invesco Distributors, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Auditors PricewaterhouseCoopers LLP 1201 Louisiana Street, Suite 2900 Houston, TX 77002-5678
Counsel to the Fund Stradley Ronon Stevens & Young, LLP 2005 Market Street, Suite 2600 Philadelphia, PA 19103-7018	Counsel to the Independent Trustees Goodwin Procter LLP 901 New York Avenue, N.W. Washington, D.C. 20001	Transfer Agent Invesco Investment Services, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Custodian State Street Bank and Trust Company 225 Franklin Street Boston, MA 02110-2801

T-4                         Invesco High Yield Municipal Fund

Invesco mailing information

Send general correspondence to Invesco Investment Services, Inc., P.O. Box 219078, Kansas City, MO 64121-9078.

Important notice regarding delivery of security holder documents

To reduce Fund expenses, only one copy of most shareholder documents may be mailed to shareholders with multiple accounts at the same address (Householding). Mailing of your shareholder documents may be householded indefinitely unless you instruct us otherwise. If you do not want the mailing of these documents to be combined with those for other members of your household, please contact Invesco Investment Services, Inc. at 800 959 4246 or contact your financial institution. We will begin sending you individual copies for each account within 30 days after receiving your request.

Fund holdings and proxy voting information

The Fund provides a complete list of its holdings four times in each fiscal year, at the quarter ends. For the second and fourth quarters, the lists appear in the Fund’s semiannual and annual reports to shareholders. For the first and third quarters, the Fund files the lists with the Securities and Exchange Commission (SEC) on Form N-Q. The most recent list of portfolio holdings is available at invesco.com/completeqtrholdings. Shareholders can also look up the Fund’s Forms N-Q on the SEC website at sec.gov. Copies of the Fund’s Forms N-Q may be reviewed and copied at the SEC Public Reference Room in Washington, D.C. You can obtain information on the operation of the Public Reference Room, including information about duplicating fee charges, by calling 202 551 8090 or 800 732 0330, or by electronic request at the following email address: publicinfo@sec.gov. The SEC file numbers for the Fund are shown below.

    A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, from our Client Services department at 800 959 4246 or at invesco.com/proxyguidelines. The information is also available on the SEC website, sec.gov.

    Information regarding how the Fund voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 is available at invesco.com/proxysearch. The information is also available on the SEC website, sec.gov.     Invesco Advisers, Inc. is an investment adviser; it provides investment advisory services to individual and institutional clients and does not sell securities. Invesco Distributors, Inc. is the US distributor for Invesco Ltd.’s retail mutual funds, exchange-traded funds and institutional money market funds. Both are wholly owned, indirect subsidiaries of Invesco Ltd.

SEC file numbers: 811-07890 and 033-66242 VK-HYM-AR-1 Invesco Distributors, Inc.

Letters to Shareholders

    Philip Taylor Dear Shareholders: This annual report includes information about your Fund, including performance data and a complete list of its investments as of the close of the reporting period. Inside, your Fund’s portfolio managers discuss how they managed your Fund and the factors that affected its performance during the reporting period. I hope you find this report of interest.     During the reporting period covered by this report, major US and global equity market indexes hit multiyear or all-time highs¹, the result of a strengthening US economy and relatively healthy corporate profits. Also helping equities was a return of individual investors to stocks – due in part to monetary policies that kept interest rates (and yields on fixed income securities) low. Despite some volatility in the summer of 2013, overseas equity market indexes in developed and emerging nations generally rose during the reporting period – although developed markets

generally outpaced emerging markets. In January 2014, amid widespread signs of an improving economy, the US Federal Reserve began a long-anticipated reduction in its bond-buying program.

    Extended periods of strong market performance can lull some investors into a false sense of security – just as extended periods of volatility or market weakness can discourage some investors from undertaking disciplined, long-term investment plans. That’s why Invesco believes it can often be helpful to work with a skilled and trusted financial adviser; he or she can emphasize the importance of adhering to an investment plan designed to achieve long-term goals like a first home, a college education for a child or a comfortable retirement. A financial adviser who is familiar with your individual financial situation, investment goals and risk tolerance can be an invaluable partner as you work toward your financial goals. He or she can provide insight and perspective when markets are volatile; encouragement and reassurance when times are uncertain; and advice and guidance when your financial situation or investment goals change.

Timely information when and where you want it

Invesco’s efforts to help investors achieve their financial objectives include providing individual investors and financial professionals with timely information about the markets, the economy and investing – whenever and wherever they want it.

    Our website, invesco.com/us, offers a wide range of market insights and investment perspectives. On the website, you’ll find detailed information about our funds, including prices, performance, holdings and portfolio manager commentaries. You can access information about your individual Invesco account whenever it’s convenient for you; just complete a simple, secure online registration. Use the “Login” box on our home page to get started.

    Invesco’s mobile app for iPad^® (available free from the App Store^SM) allows you to obtain the same detailed information about your Fund and the same investment insights from our investment leaders, market strategists, economists and retirement experts on the go. You also can watch portfolio manager videos and have instant access to Invesco news and updates wherever you may be.

    In addition to the resources accessible on our website and through our mobile app, you can obtain timely updates to help you stay informed about the markets, the economy and investing by connecting with Invesco on Twitter, LinkedIn or Facebook. You can access our blog at blog.invesco.us.com or by visiting the “Intentional Investing Forum” on our home page. Our goal is to provide you the information you want, when and where you want it.

Have questions?

For questions about your account, feel free to contact an Invesco client services representative at 800 959 4246. For Invesco-related questions or comments, please email me directly at phil@invesco.com.

All of us at Invesco look forward to serving your investment management needs for many years to come. Thank you for investing with us.

Sincerely,

Philip Taylor

Senior Managing Director, Invesco Ltd.

1 Source: Reuters

iPad is a trademark of Apple Inc., registered in the US and other countries. App Store is a service mark of Apple Inc. Invesco Distributors, Inc. is not affiliated with Apple Inc.

2                         Invesco Intermediate Term Municipal Income Fund

    Bruce Crockett Dear Fellow Shareholders: Members of the Invesco Funds Board work continually to oversee how the Invesco Funds are performing in light of ever-changing and often unpredictable economic and market conditions. One of the ways we do this is by verifying that the teams that manage funds understand the risks associated with the investments they make in the funds they manage.     In light of market conditions over the last few years, the financial news media of late have given increased attention to “alternative investment strategies.” Despite this increased attention, many investors don’t know very much about these types of investment strategies.     Let me put alternative investment strategies and the new focus on them in some perspective. First, these types of investment strategies have been used predominately by institutional investors and investment professionals for decades to increase diversification – in an effort to dampen portfolio volatility (risk) with the goal of increasing returns. The focal point

of the increased news coverage is that these types of strategies are now being made more widely available to individual investors.

    Alternative investment strategies generally seek to provide measured exposure to various asset classes whose performance, historically, has not been highly correlated with one another. These strategies may help mitigate the impact to a portfolio from severe or prolonged market downturns while potentially providing reasonable returns over time. After a careful and thorough examination of the potential risks and potential benefits of alternative investment strategies, the Invesco Funds Board has approved the launch of several new alternative funds for the Invesco product lineup, to be managed by teams we determined have the depth and experience to pursue the funds’ investment objectives.

    While no single investment product can provide complete downside protection in falling markets and full upside participation in rising markets, your Board believes alternative funds can be a prudent tool to work in concert with more traditional mutual funds and other investments to build well diversified portfolios. Your financial adviser can determine whether or not such investments are appropriate for your individual needs, goals and risk tolerance. Also, he or she can explain the risks associated with alternative investment strategies. This type of professional guidance is why Invesco believes it’s so important that individual investors work with trusted, experienced financial advisers.

    Whether you’re invested in equity, fixed income, cash management or alternative investment funds, be assured that the Invesco Funds Board will continue working on your behalf and on behalf of all our fund shareholders, keeping your needs and interests uppermost in our minds.

    As always, please contact me at bruce@brucecrockett.com with any questions or concerns you may have. On behalf of the Board, we look forward to continuing to represent your interests and serving your needs.

Sincerely,

Bruce L. Crockett

Independent Chair

Invesco Funds Board of Trustees

Asset allocation/diversification does not guarantee a profit or eliminate the risk of loss.

Alternative products typically hold more non-traditional investments and employ more complex trading strategies, including hedging and leveraging through derivatives, short selling and opportunistic strategies that change with market conditions. Investors considering alternatives should be aware of their unique characteristics and additional risks from the strategies they use. Like all investments, performance will fluctuate. You can lose money.

3                         Invesco Intermediate Term Municipal Income Fund

Management’s Discussion of Fund Performance

Performance summary

For the fiscal year ended February 28, 2014, Invesco Intermediate Term Municipal Income Fund posted negative returns. The Fund’s Class A shares at NAV slightly underperformed the Fund’s broad market/style-specific benchmark, the Barclays Municipal Bond Index. Positive performance from the Fund’s underweight allocation at the long end of the yield curve was more than offset by an overweight position and security selection in the 12-17 year maturity segment of the yield curve.

    Your Fund’s long-term performance appears later in this report.

Fund vs. Indexes

Total returns, 2/28/13 to 2/28/14, at net asset value (NAV). Performance shown does not include applicable contingent deferred sales charges (CDSC) or front-end sales charges, which would have reduced performance.

Class A Shares	-0.30	%
Class B Shares	-0.32
Class C Shares	-1.08
Class Y Shares	-0.06
Barclays Municipal Bond Index‚ (Broad Market/Style-Specific Index)	-0.21

Source(s): ^‚Lipper Inc.

How we invest

The Fund’s investment objective is to provide investors with a high level of current income exempt from federal income tax, consistent with preservation of capital.

    Under normal market conditions, we seek to achieve the Fund’s investment objective by investing at least 65% of the Fund’s total assets in municipal securities rated investment grade by at least one nationally recognized statistical rating organization – or if not rated, securities we determine to be of comparable quality – at the time of purchase.

    Under normal market conditions, the Fund may invest up to 35% of its total assets in municipal securities rated below investment grade and unrated municipal securities which we determine to be of comparable quality at the time of purchase. Lower-grade securities are commonly referred to as junk bonds and involve greater risks than investments in higher-grade securities. With respect to

such investments, the Fund has not established any limit on the percentage of its portfolio that may be invested in securities in any one rating category.

    The Fund may invest all or a substantial portion of its assets in municipal securities that are subject to the federal alternative minimum tax (AMT). Accordingly, the Fund may not be a suitable investment for investors who are already subject to the AMT or could become subject to it as a result of an investment in the Fund.

    We may sell securities based on factors such as degradation in credit quality, a decision to shorten or lengthen the Fund’s duration or reducing exposure to a particular sector or issuer.

Market conditions and your Fund

For the fiscal year ended February 28, 2014, the municipal bond market returned -0.21%¹, as measured by the Barclays Municipal Bond Index, the Fund’s

benchmark. Record outflows from municipal bond funds, driven by concerns over rising interest rates and high-profile credit events, resulted in a challenging year for municipal bond investors. The $67 billion² in municipal bond fund redemptions between March and December 2013 was in stark contrast to inflows of $65 billion² and strong performance for the asset class over the prior two years.

    Shortly after the fiscal year began, investors became apprehensive that the US Federal Reserve (the Fed) would reduce its asset purchase program, known as quantitative easing (QE), as the US economy improved. Concerned that Fed action would cause interest rates to rise and bond prices to fall, investors began trimming their allocations to fixed income investments, including municipal bonds. The rate of outflows increased dramatically in June following comments made by then-Fed Chairman Ben Bernanke on the timing for tapering QE.

    Over the summer of 2013, several high-profile credit events had an adverse impact on the municipal bond market. These included downgrades to the credit ratings of Chicago debt on pension concerns, Detroit filing the largest municipal bankruptcy in US history³ and increased uncertainty about the financial condition of Puerto Rico.

    The market received a two-month reprieve in September when the Fed decided not to reduce QE, although it reversed that decision in December when it announced that it would decrease its asset purchases by $10 billion per month, beginning in January 2014.⁴ A final head-wind for the municipal bond market was significant tax-loss selling of municipal bonds in December to offset gains from strong equity returns during 2013.

Portfolio Composition
By credit sector, based on total investments
Revenue Bonds	87.5	%
General Obligation Bonds	10.7
Pre-Refunded Bonds	1.8

Top Five Fixed Income Holdings
1. Houston (City of); Series 2012	1.3	%
2. California (State of) Pollution       Control Finance Authority;       Series 2012	1.1
3. Illinois (State of) Metropolitan       Pier & Exposition Authority       (McCormick Place Expansion);       Series 2012 B	0.9
4. Foothill-Eastern Transportation       Corridor Agency; Subseries       2014 B-2	0.8
5. Texas (State of) Turnpike       Authority (Central Texas       Turnpike System); Series       2002 A	0.8

Total Net Assets	$684.8 million
Total Number of Holdings	471

The Fund’s holdings are subject to change, and there is no assurance that the Fund will continue to hold any particular security.

4                Invesco Intermediate Term Municipal Income Fund

    In the first two months of 2014, the municipal bond market turned positive. Softer economic data reduced expectations for hawkish Fed action. Relatively high yields on municipal bonds, coupled with higher personal income tax rates and improving municipal fundamentals, drew investors back to the asset class. Net positive fund flows in January and February, combined with limited supply of new issuance, produced strong returns in the final two months of the fiscal year.

    During the fiscal year, the largest contributor to Fund performance relative to its benchmark was an underweight allocation at the long end of the yield curve. Allocation and security selection in short-to-intermediate maturity bonds was also additive to relative performance, but was offset by an overweight position and security selection in the 12-17 year maturity segment of the yield curve.

    At the sector level, special tax, industrial revenue and electric bonds contributed to performance relative to the Fund’s benchmark for the fiscal year. Security selection in the transportation and education sectors hindered relative performance. The Fund’s underweight position in Puerto Rico bonds significantly contributed to relative performance but security selection in bonds issued by the commonwealth partially offset the positive effect of the allocation.

    During the reporting period, leverage detracted from Fund performance. The Fund achieved a leveraged position through the use of inverse floating rate securities or Tender Option Bonds (TOBs). The Fund uses leverage because we believe that, over time, leveraging provides opportunities for additional income and total return for shareholders. However, use of leverage also can expose shareholders to additional volatility. For more information about the Fund’s use of leverage, see the Notes to Financial Statements later in this report.

    We wish to remind you that the Fund is subject to interest rate risk, meaning when interest rates rise, the value of fixed income securities generally will fall. This risk may be greater in the current market environment because interest rates are at or near historic lows. We are monitoring interest rates and market and economic factors that may impact interest rates, including the potential impact of the Fed’s tapering of QE. If interest rates rise, markets may experience increased volatility, which may affect the value and/or liquidity of certain of the Fund’s investments.

    Recently published rules implementing section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act may preclude banking entities from sponsoring and/or providing services for TOB trust programs. As a result, the Trust’s ability to utilize TOBs for leverage purposes may be adversely affected.

    Thank you for investing in Invesco Intermediate Term Municipal Income Fund and for sharing our long-term investment horizon.

1  Source: Barclays

2  Source: Morningstar

3  Source: Moody’s

4  Source: US Federal Reserve

The views and opinions expressed in management’s discussion of Fund performance are those of Invesco Advisers, Inc. These views and opinions are subject to change at any time based on factors such as market and economic conditions. These views and opinions may not be relied upon as investment advice or recommendations, or as an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but Invesco Advisers, Inc. makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.

See important Fund and, if applicable, index disclosures later in this report.

	Robert Wimmel Portfolio manager, is manager of Invesco Intermediate Term Municipal Income Fund and is head of
Investment Grade Municipals. He joined Invesco in 2010. Mr. Wimmel earned a BA in anthropology from the University of Cincinnati and an MA in economics from the University of Illinois at Chicago.

	Thomas Byron Portfolio manager, is manager of Invesco Intermediate Term Municipal Income Fund. He joined
Invesco in 2010. Mr. Byron earned a BS in finance from Marquette University and an MBA in finance from DePaul University.

	Robert Stryker Chartered Financial Analyst, portfolio manager, is manager of Invesco Intermediate Term Municipal Income
Fund. He joined Invesco in 2010. Mr. Stryker earned a BS in finance from the University of Illinois at Chicago.

5                Invesco Intermediate Term Municipal Income Fund

Your Fund’s Long-Term Performance

Results of a $10,000 Investment – Oldest Share Class(es)

Fund and index data from 2/29/04

1 Source: Lipper Inc.

Past performance cannot guarantee comparable future results.

    The data shown in the chart include reinvested distributions, applicable sales charges and Fund expenses including management fees. Results for Class B shares are calculated as if a hypothetical shareholder had liquidated his entire investment in the Fund at the close of the reporting period and paid the contingent deferred sales charges, if applicable.

Index results include reinvested dividends, but they do not reflect sales charges. Performance of the peer group, if applicable, reflects fund expenses and management fees; performance of a market index does not. Performance shown in the chart and table(s) does not reflect deduction of taxes a shareholder would pay on Fund distributions or sale of Fund shares.

6                         Invesco Intermediate Term Municipal Income Fund

Average Annual Total Returns
As of 2/28/14, including maximum applicable sales charges
Class A Shares
Inception (5/28/93)	4.75	%
10 Years	3.61
5 Years	5.09
1 Year	-2.79
Class B Shares
Inception (5/28/93)	4.58	%
10 Years	3.67
5 Years	4.94
1 Year	-5.16
Class C Shares
Inception (10/19/93)	3.84	%
10 Years	3.11
5 Years	4.83
1 Year	-2.05
Class Y Shares
Inception (8/12/05)	4.35	%
5 Years	5.88
1 Year	-0.06

Average Annual Total Returns
As of 12/31/13, the most recent calendar quarter end, including maximum applicable sales charges
Class A Shares
Inception (5/28/93)	4.67	%
10 Years	3.53
5 Years	5.46
1 Year	-4.26
Class B Shares
Inception (5/28/93)	4.50	%
10 Years	3.58
5 Years	5.27
1 Year	-6.55
Class C Shares
Inception (10/19/93)	3.75	%
10 Years	3.03
5 Years	5.20
1 Year	-3.47
Class Y Shares
Inception (8/12/05)	4.13	%
5 Years	6.26
1 Year	-1.47

Effective June 1, 2010, Class A, Class B, Class C and Class I shares of the predecessor fund, Van Kampen Intermediate Term Municipal Income Fund, advised by Van Kampen Asset Management were reorganized into Class A, Class B, Class C and Class Y shares, respectively, of Invesco Van Kampen Intermediate Term Municipal Income Fund (renamed Invesco Intermediate Term Municipal Income Fund). Returns shown above for Class A, Class B, Class C and Class Y shares are blended returns of the predecessor fund and Invesco Intermediate Term Municipal Income Fund. Share class returns will differ from the predecessor fund because of different expenses.

    The performance data quoted represent past performance and cannot guarantee comparable future results; current performance may be lower or higher. Please visit invesco.com/performance for the most recent month-end performance. Performance figures reflect reinvested distributions, changes in net asset value and the effect of the maximum sales charge unless otherwise stated. Investment return and principal value will fluctuate so that you may have a gain or loss when you sell shares.

    The net annual Fund operating expense ratio set forth in the most recent Fund prospectus as of the date of this report for Class A, Class B, Class C and Class Y shares was 0.81%, 0.81%, 1.56% and 0.56%, respectively.¹ The total annual Fund operating expense ratio set forth in the most recent Fund prospectus as of the date of this report for Class A, Class B, Class C and Class Y shares was 0.89%, 0.89%, 1.64% and 0.64%, respectively. The expense ratios presented above may vary from the expense ratios presented in other sections of this report that are based on expenses incurred during the period covered by this report.

    Class A share performance reflects the maximum 2.50% sales charge, and Class B and Class C share performance reflects the applicable contingent deferred sales charge (CDSC) for the period involved. For shares purchased prior to June 1, 2005, the CDSC on Class B shares declines from 3% at the time of purchase to 0% at the beginning of the fifth year. For shares purchased after June 1, 2005, and before June 1, 2010, the CDSC on Class B shares declines from 4% at the time of purchase to 0% at the beginning of the

sixth year. For shares purchased on or after June 1, 2010, the CDSC on Class B shares declines from 5% at the time of purchase to 0% at the beginning of the seventh year. The CDSC on Class C shares is 1% for the first year after purchase. Class Y shares do not have a front-end sales charge or a CDSC; therefore, performance is at net asset value.

    The performance of the Fund’s share classes will differ primarily due to different sales charge structures and class expenses.

1 Total annual Fund operating expenses after any contractual fee waivers and/or expense reimbursements by the adviser in effect through at least June 30, 2014. See current prospectus for more information.

7                         Invesco Intermediate Term Municipal Income Fund

Invesco Intermediate Term Municipal Income Fund’s investment objective is to provide investors with a high level of current income exempt from federal income tax, consistent with preservation of capital.

n Unless otherwise stated, information presented in this report is as of February 28, 2014, and is based on total net assets.

n Unless otherwise noted, all data provided by Invesco.

n To access your Fund’s reports/prospectus, visit invesco.com/fundreports.

About share classes

n Class B shares may not be purchased for new or additional investments. Please see the prospectus for more information.

n Class Y shares are available to only certain investors. Please see the prospectus for more information.

Principal risks of investing in the Fund

n Alternative minimum tax risk. All or a portion of the Fund’s otherwise tax-exempt income may be taxable to those shareholders subject to the federal alternative minimum tax.

n Call risk. If interest rates fall, it is possible that issuers of debt securities with high interest rates will prepay or call their securities before their maturity dates. In this event, the proceeds from the called securities would likely be reinvested by the Fund in securities bearing the new, lower interest rates, resulting in a possible decline in the Fund’s income and distributions to shareholders.

n Credit risk. The issuer of instruments in which the Fund invests may be unable to meet interest and/or principal payments, thereby causing its instruments to decrease in value and lowering the issuer’s credit rating.

n Derivatives risk. The value of a derivative instrument depends largely on (and is derived from) the value of an underlying security, currency, commodity, interest rate, index or other asset (each referred to as an underlying asset). In addition to risks relating to the underlying assets, the use of derivatives may include other, possibly greater, risks, including counterparty, leverage and liquidity risks. Counterparty risk is the risk that the counterparty to the derivative contract will default on its obligation to pay the Fund the amount owed or otherwise perform under the derivative contract. Derivatives create leverage risk because they do not require payment up

front equal to the economic exposure created by owning the derivative. As a result, an adverse change in the value of the underlying asset could result in the Fund sustaining a loss that is substantially greater than the amount invested in the derivative, which may make the Fund’s returns more volatile and increase the risk of loss. Derivative instruments may also be less liquid than more traditional investments and the Fund may be unable to sell or close out its derivative positions at a desirable time or price. This risk may be more acute under adverse market conditions, during which the Fund may be most in need of liquidating its derivative positions. Derivatives may also be harder to value, less tax efficient and subject to changing government regulation that could impact the Fund’s ability to use certain derivatives or their cost. Also, derivatives used for hedging or to gain or limit exposure to a particular market segment may not provide the expected benefits, particularly during adverse market conditions.

n High yield bond (junk bond) risk. Junk bonds involve a greater risk of default or price changes due to changes in the credit quality of the issuer. The values of junk bonds fluctuate more than those of high-quality bonds in response to company, political, regulatory or economic developments. Values of junk bonds can decline significantly over short periods of time.

n Income risk. The income you receive from the Fund is based primarily on prevailing interest rates, which can vary widely over the short- and long-term. If interest rates drop, your income from the Fund may drop as well.

n Interest rate risk. Interest rate risk refers to the risk that bond prices generally fall as interest rates rise; conversely, bond prices generally rise as interest rates fall. Specific bonds differ in their sensitivity to changes in interest rates depending on their individual characteristics, including duration.

This report must be accompanied or preceded by a currently effective Fund prospectus, which contains more complete information, including sales charges and expenses. Investors should read it carefully before investing.

NOT FDIC INSURED  |  MAY LOSE VALUE  |  NO BANK GUARANTEE

n Intermediate dollar-weighted average life risk. Market prices of municipal securities with intermediate lives generally fluctuate more in response to changes in interest rates than do market prices of municipal securities with shorter lives but generally fluctuate less than market prices of municipal securities with longer lives.

n Inverse floating rate obligations risk. Inverse floating rate obligations, including tender option bonds, may be subject to greater price volatility than a fixed income security with similar qualities. When short-term interest rates rise, they may decrease in value and produce less or no income. Additionally, these securities may lose principal. Similar to derivatives, inverse floating rate obligations have the following risks: counterparty, leverage, correlation, liquidity, market, interest rate, and management risks.

n Leverage risk. Leverage exists when the Fund purchases or sells an instrument or enters into a transaction without investing cash in an amount equal to the full economic exposure of the asset or transaction and the Fund could lose more than it invested. Leverage created from certain types of transactions or instruments may impair the Fund’s liquidity, cause it to liquidate positions at an unfavorable time, increase volatility or otherwise not achieve its intended objective.

n Liquidity risk. The Fund may hold illiquid securities that it is unable to sell at the preferred time or price and could lose its entire investment in such securities.

n Management risk. The investment techniques and risk analysis used by the Fund’s portfolio managers may not produce the desired results.

n Market risk. The prices of and the income generated by the Fund’s securities may decline in response to, among other things, investor sentiment, general economic and market conditions, regional or global instability, and currency and interest rate fluctuations.

8                         Invesco Intermediate Term Municipal Income Fund

n Medium- and lower-grade municipal securities risk. Securities which are in the medium- and lower-grade categories generally offer higher yields than are offered by higher-grade securities of similar maturity, but they also generally involve more volatility and greater risks, such as greater credit risk, market risk, liquidity risk, management risk, and regulatory risk. Furthermore, many medium- and lower-grade securities are not listed for trading on any national securities exchange and many issuers of medium- and lower-grade securities choose not to have a rating assigned to their obligations by any nationally recognized statistical rating organization. As a result, the Fund’s portfolio may consist of a higher portion of unlisted or unrated securities as compared with an investment company that invests solely in higher-grade securities. Unrated securities are usually not as attractive to as many buyers as are rated securities, a factor which may make unrated securities less marketable. These factors may have the effect of limiting the availability of the securities for purchase by the Fund and may also limit the ability of the Fund to sell such securities at their fair value either to meet redemption requests or in response to changes in the economy or the financial markets.

n Municipal issuer focus risk. The Fund generally considers investments in municipal securities not to be subject to industry concentration policies (issuers of municipal securities as a group is not an industry) and the Fund may invest in municipal securities issued by entities having similar characteristics. The issuers may be located in the same geographic area or may pay their interest obligations from revenue of similar projects, such as hospitals, airports, utility systems and housing finance agencies. This may make the Fund’s investments more susceptible to similar social, economic, political or regulatory occurrences. As the similarity in issuers increases, the potential for fluctuation in the Fund’s net asset value also increases.

n Municipal securities risk. The Fund may invest in municipal securities. Constitutional amendments, legislative enactments, executive orders, administrative regulations, voter initiatives, and the issuer’s regional economic conditions may affect the municipal security’s value, interest payments, repayment of principal and the Fund’s ability to sell it. Failure of a municipal security issuer to comply with applicable tax requirements may make income paid thereon taxable, resulting in a decline in the security’s value. In addition, there could be changes in applicable tax laws or tax treatments that reduce or eliminate the current federal income tax exemption on municipal securities or otherwise adversely affect the current federal or state tax status of municipal securities.

n Reinvestment risk. Reinvestment risk is the risk that a bond’s cash flows (coupon income and principal repayment) will be reinvested at an interest rate below that on the original bond.

n Variable-rate demand notes risk. The absence of an active secondary market for certain variable and floating rate notes could make it difficult to dispose of the instruments, and a portfolio could suffer a loss if the issuer defaults during periods in which a portfolio is not entitled to exercise its demand rights.

n When-issued and delayed delivery risk. When-issued and delayed delivery transactions are subject to market risk as the value or yield of a security at delivery may be more or less than the purchase price or the yield generally available on securities when delivery occurs. In addition, the Fund is subject to counterparty risk because it relies on the buyer or seller, as the case may be, to consummate the transaction, and failure by the other party to complete the transaction may result in the Fund missing the opportunity of obtaining a price or yield considered to be advantageous.

n Zero coupon or pay-in-kind securities risk. The value, interest rates, and liquidity of non-cash paying instruments, such as zero coupon and pay-in-kind securities, are subject to greater fluctuation than other types of securities.

About indexes used in this report

n The Barclays Municipal Bond Index is an unmanaged index considered representative of the tax-exempt bond market.

n The Fund is not managed to track the performance of any particular index, including the index(es) described here, and consequently, the performance of the Fund may deviate significantly from the performance of the index(es).

n A direct investment cannot be made in an index. Unless otherwise indicated, index results include reinvested dividends, and they do not reflect sales charges. Performance of the peer group, if applicable, reflects fund expenses; performance of a market index does not.

Other information

n The returns shown in management’s discussion of Fund performance are based on net asset values (NAVs) calculated for shareholder transactions. Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes, and as such, the NAVs for shareholder transactions and the returns based on those NAVs may differ from the NAVs and returns reported in the Financial Highlights.

9                Invesco Intermediate Term Municipal Income Fund

Schedule of Investments

February 28, 2014

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Municipal Obligations–100.00%
Alabama–0.38%
Pell City (City of) Special Care Facilities Financing Authority; Series 2012, RB		5.00	%		12/01/21	$	2,250	$	2,572,538
Alaska–0.87%
Alaska (State of) Municipal Bond Bank Authority;
Series 2009 1, RB		5.00	%		09/01/22		250		286,012
Series 2009 1, RB		5.25	%		09/01/24		400		459,696
Alaska Railroad Corp. (FTA Section 5307 Urbanized Area Formula Funds & Section 5309 Fixed Guideway Modernization Formula Funds); Series 2007, Capital Grant Receipts RB (INS–NATL)(a)		5.00	%		08/01/15		2,680		2,844,820
Matanuska-Susitna (Borough of) (Goose Creek Correctional Center);
Series 2009, Lease RB (INS–AGC)(a)		5.00	%		09/01/19		1,000		1,189,280
Series 2009, Lease RB (INS–AGC)(a)		5.50	%		09/01/23		1,000		1,183,280
									5,963,088
Arizona–3.35%
Glendale (City of) Industrial Development Authority (Midwestern University); Series 2010, RB		5.00	%		05/15/26		2,000		2,120,160
Maricopa (County of) Industrial Development Authority (Catholic Healthcare West);
Series 2009 A, Health Facilities RB		5.00	%		07/01/14		500		507,770
Series 2009 C, Health Facilities RB(b)		5.00	%		07/01/14		1,500		1,524,135
Maricopa County Pollution Control Corp. (Arizona Public Service Co.–Palo Verde); Series 2009 A, Ref. PCR(b)		6.00	%		05/01/14		2,400		2,421,768
Navajo County Pollution Control Corp.;
Series 2009 C, PCR(b)		5.50	%		06/01/14		1,000		1,012,100
Series 2009 E, PCR(b)		5.75	%		06/01/16		1,000		1,099,520
Phoenix (City of) Industrial Development Authority (Career Success Schools); Series 2009, Education RB		6.13	%		01/01/20		500		490,300
Phoenix (City of) Industrial Development Authority (Rowan University); Series 2012, Lease RB		5.00	%		06/01/27		3,000		3,210,870
Pima (County of) Industrial Development Authority (Edkey Charter Schools); Series 2013, Ref. Education Facility RB		5.00	%		07/01/25		750		691,335
Pima (County of) Industrial Development Authority (Global Water Resources, LLC); Series 2008, Water & Wastewater RB(c)		6.38	%		12/01/18		378		386,724
Pinal (County of) Electric District No. 4; Series 2008, Electrical System RB		5.25	%		12/01/18		500		576,740
Salt River Project Agricultural Improvement & Power District; Series 2009 A, Electric System RB		5.00	%		01/01/22		1,000		1,143,970
University Medical Center Corp.; Series 2009, Hospital RB		5.25	%		07/01/17		1,000		1,117,250
Verrado Community Facilities District No. 1;
Series 2013 A, Ref. Unlimited Tax GO Bonds(d)		5.00	%		07/15/20		700		761,012
Series 2013 A, Ref. Unlimited Tax GO Bonds(d)		5.00	%		07/15/21		485		515,371
Series 2013 A, Ref. Unlimited Tax GO Bonds(d)		5.00	%		07/15/22		570		600,980
Series 2013 A, Ref. Unlimited Tax GO Bonds(d)		5.00	%		07/15/23		825		857,109
Series 2013 B, Unlimited Tax GO Bonds(d)		5.00	%		07/15/23		560		581,795
Yavapai (County of) Industrial Development Authority (Northern Arizona Healthcare System); Series 2011, Ref. Hospital Facility RB		5.25	%		10/01/26		2,000		2,239,640
Yuma (City of) Industrial Development Authority (Regional Medical Center); Series 2014 A, Hospital RB		5.00	%		08/01/25		1,000		1,074,670
									22,933,219
California–12.71%
Adelanto (City of) Public Utility Authority (Utility System); Series 2009 A, Ref. RB		5.38	%		07/01/19		1,000		1,129,590
Alhambra (City of) (Atherton Baptist Homes); Series 2010 B, RB		6.63	%		01/01/17		160		160,245
California (State of) Health Facilities Financing Authority (Catholic Healthcare West); Series 2009 F, RB(b)		5.00	%		07/01/14		500		508,255
California (State of) Municipal Finance Authority (Community Hospitals of Central California Obligated Group); Series 2007, COP		5.00	%		02/01/21		2,000		2,092,340
California (State of) Municipal Finance Authority (Emerson College); Series 2011, RB		5.00	%		01/01/28		1,500		1,595,355

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

10                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
California–(continued)
California (State of) Municipal Finance Authority (High Tech High-Chula Vista); Series 2008 B, Educational Facility RB(d)		5.50	%		07/01/18	$	875	$	916,125
California (State of) Pollution Control Finance Authority; Series 2012, Water Furnishing RB(c)(d)		5.00	%		07/01/27		7,000		7,265,440
California (State of) School Finance Authority (Alliance for College-Ready Public Schools); Series 2013 A, School Facility RB		5.25	%		07/01/23		2,065		2,110,740
California (State of) Statewide Communities Development Authority (American Baptist Homes of the West); Series 2013 B-2, TEMPS–55SM RB		2.40	%		10/01/20		1,250		1,244,312
California (State of) Statewide Communities Development Authority (Kaiser Permanente); Series 2012, Floating Rate RB(b)(e)		0.98	%		05/01/17		4,000		4,008,052
California (State of) Statewide Communities Development Authority (Methodist Hospital); Series 2009, RB (CEP–FHA)		6.25	%		08/01/24		1,720		2,058,066
California (State of) Statewide Communities Development Authority (Southern California Presbyterian Homes);
Series 2009, Senior Living RB		5.25	%		11/15/14		295		299,525
Series 2009, Senior Living RB		6.25	%		11/15/19		600		668,826
California (State of);
Series 2012 A, Ref. Floating Rate Unlimited Tax GO Bonds(b)(e)		0.71	%		05/01/15		1,750		1,750,000
Series 2012 B, Ref. Floating Rate Unlimited Tax GO Bonds(e)		1.18	%		05/01/20		2,000		2,011,857
Corona-Norco Unified School District (Community Facilities District No. 98-1);
Series 2013, Ref. Special Tax RB		5.00	%		09/01/21		810		928,033
Series 2013, Ref. Special Tax RB		5.00	%		09/01/23		1,000		1,138,200
Foothill-Eastern Transportation Corridor Agency; Subseries 2014 B-2, Ref. Toll Road RB(b)		5.00	%		01/15/20		5,000		5,495,200
Fresno (City of); Series 2010 A-1, Water System RB		5.50	%		06/01/22		1,000		1,176,100
Golden State Tobacco Securitization Corp.;
Series 2007 A-1, Sr. Tobacco Settlement Asset-Backed RB		5.00	%		06/01/33		1,000		798,190
Series 2013 A, Enhanced Tobacco Settlement Asset-Backed RB		5.00	%		06/01/21		2,000		2,318,720
Irvine (City of) (Reassessment District No. 13-1);
Series 2013, Limited Obligation Special Assessment RB		4.00	%		09/02/19		475		524,310
Series 2013, Limited Obligation Special Assessment RB		5.00	%		09/02/20		450		521,276
Series 2013, Limited Obligation Special Assessment RB		5.00	%		09/02/21		375		425,351
Series 2013, Limited Obligation Special Assessment RB		5.00	%		09/02/22		375		422,246
Series 2013, Limited Obligation Special Assessment RB		5.00	%		09/02/23		500		559,630
Irvine (City of) Public Facilities & Infrastructure Authority;
Series 2012 A, Special Assessment RB		4.00	%		09/02/23		995		1,021,069
Series 2012 A, Special Assessment RB		4.50	%		09/02/25		375		384,724
Series 2012 A, Special Assessment RB		4.50	%		09/02/26		550		558,690
Los Angeles Unified School District (Election of 2004); Series 2009 I, Unlimited Tax GO Bonds		5.25	%		07/01/22		3,200		3,771,968
Morongo Band of Mission Indians (The) (Enterprise Casino); Series 2008 B, RB(d)		5.50	%		03/01/18		100		106,170
Murrieta (City of) Public Financing Authority; Series 2012, Ref. Special Tax RB		5.00	%		09/01/23		1,000		1,101,170
Palomar Pomerado Health (Election of 2004); Series 2007 A, Unlimited Tax CAB GO Bonds (INS–NATL)(a)(f)		0.00	%		08/01/16		1,880		1,830,932
Rancho Cordova (City of) Community Facilities District No. 2003-1 (Sunridge Anatolia);
Series 2012, Ref. Special Tax RB		5.00	%		09/01/22		575		638,434
Series 2012, Ref. Special Tax RB		5.00	%		09/01/23		450		491,904
Regents of the University of California;
Series 2009 O, General RB(g)		5.75	%		05/15/23		795		946,527
Series 2009 O, General RB(g)		5.75	%		05/15/25		1,185		1,410,861
Richmond (City of) Joint Powers Financing Authority (Point Potrero); Series 2009 A, Lease RB		6.25	%		07/01/24		1,500		1,693,470
Riverside (County of) (Public Safety Communication & Refunding); Series 2007 A, COP (INS–AMBAC)(a)		5.00	%		11/01/14		3,500		3,604,720
Sacramento (County of); Series 2009 D, Sub. Passenger Facility Charge Grant Airport System RB		5.38	%		07/01/26		2,000		2,283,300
San Buenaventura (City of) (Community Memorial Health System); Series 2011, RB		6.25	%		12/01/20		1,000		1,154,740
San Diego (County of) Regional Airport Authority; Series 2013 B, Sr. RB(c)		5.00	%		07/01/23		700		806,232
San Francisco (City & County of) Airport Commission (San Francisco International Airport); Series 2011 C, Ref. Second Series RB(c)		5.00	%		05/01/23		2,000		2,262,680

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

11                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
California–(continued)
San Francisco (City & County of) Redevelopment Financing Authority (Mission Bay South Redevelopment);
Series 2009 D, Tax Allocation RB		6.00	%		08/01/20	$	1,085	$	1,250,387
Series 2009 D, Tax Allocation RB		6.25	%		08/01/22		1,000		1,135,490
Series 2011 D, Tax Allocation RB		6.63	%		08/01/27		500		549,650
San Francisco (City & County of) Successor Agency to the Redevelopment Agency Community Facilities District No. 6 (Mission Bay South Public Improvements);
Series 2013 A, Ref. Special Tax RB		5.00	%		08/01/27		750		796,650
Series 2013 B, Special Tax RB		5.00	%		08/01/27		405		430,191
San Jose (City of); Series 2011 A-1, Airport RB(c)		5.25	%		03/01/26		2,000		2,203,280
San Luis Obispo (County of) Financing Authority (Lopez Dam Improvement); Series 2011 A, Ref. RB (INS–AGM)(a)		5.50	%		08/01/26		3,195		3,608,273
Santa Margarita Water District (Community Facilities District No. 2013-1);
Series 2013, Special Tax RB		5.00	%		09/01/26		1,030		1,072,168
Series 2013, Special Tax RB		5.13	%		09/01/27		1,200		1,245,564
Southern California Public Power Authority (Milford Wind Corridor); Series 2010 1, RB		5.00	%		07/01/24		2,000		2,300,020
Twin Rivers Unified School District (School Facility Bridge Funding Program); Series 2007, COP (INS–AGM)(a)(b)		3.20	%		06/01/20		5,000		5,002,650
West Contra Costa Unified School District (Election of 2005); Series 2008 B, Unlimited Tax GO Bonds		6.00	%		08/01/23		1,000		1,248,730
									87,036,628
Colorado–1.27%
Colorado (State of) Health Facilities Authority (Christian Living Communities); Series 2006 A, RB		5.25	%		01/01/15		500		503,545
Colorado (State of) Regional Transportation District (Denver Transit Partners Eagle P3);
Series 2010, Private Activity RB		5.00	%		01/15/22		750		796,170
Series 2010, Private Activity RB		5.25	%		07/15/19		1,000		1,112,050
Denver (City & County of) (Justice System);
Series 2008, Unlimited Tax GO Bonds(g)		5.00	%		08/01/24		2,000		2,298,480
Series 2008, Unlimited Tax GO Bonds(g)		5.00	%		08/01/25		500		574,240
Denver (City & County of); Series 2012 A, Airport System RB(c)		5.00	%		11/15/22		500		584,260
Plaza Metropolitan District No. 1;
Series 2013, Ref. Tax Allocation RB		5.00	%		12/01/21		1,045		1,103,823
Series 2013, Ref. Tax Allocation RB		5.00	%		12/01/22		500		523,565
University of Colorado; Series 2009 A, Enterprise System RB		5.50	%		06/01/25		1,000		1,184,600
									8,680,733
Connecticut–0.53%
Connecticut (State of) Development Authority (Aquarion Water Co.); Series 2011, Water Facilities RB(c)		5.50	%		04/01/21		1,000		1,134,380
Connecticut (State of); Series 2013 A, Floating Rate Unlimited Tax GO Bonds(e)		0.45	%		03/01/18		2,500		2,500,000
									3,634,380
Delaware–0.08%
New Castle (County of) (Newark Charter School, Inc.); Series 2006, RB		5.00	%		09/01/22		500		515,495
District of Columbia–1.15%
District of Columbia (Provident Group–Howard Properties LLC); Series 2013, Student Dormitory RB		5.00	%		10/01/30		2,000		1,873,380
District of Columbia;
Series 2007 C, Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		06/01/16		2,325		2,565,916
Series 2007 C, Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		06/01/19		3,000		3,438,510
									7,877,806
Florida–5.97%
Alachua (County of) (North Florida Retirement Village, Inc.); Series 2007, IDR		5.63	%		11/15/22		1,750		1,757,525
Alachua (County of) Health Facilities Authority (Terraces at Bonita Springs); Series 2011, TEMPS–70SM RB		7.13	%		11/15/16		3,000		3,008,310

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

12                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Florida–(continued)
Atlantic Beach (City of) (Fleet Landing);
Series 2013 A, Ref. Health Care Facilities RB		5.00	%		11/15/21	$	440	$	487,832
Series 2013 A, Ref. Health Care Facilities RB		5.00	%		11/15/22		375		411,893
Series 2013 A, Ref. Health Care Facilities RB		5.00	%		11/15/23		565		613,155
Brevard County School District; Series 2004 B, Ref. COP(b)(h)		5.00	%		01/01/15		1,000		1,040,130
Citizens Property Insurance Corp. (Coastal Account); Series 2011 A-1, Sr. Sec. RB		5.00	%		06/01/20		1,000		1,159,620
Citizens Property Insurance Corp. (High Risk Account); Series 2010 A-1, Sr. Sec. RB		5.25	%		06/01/17		2,000		2,275,240
Citizens Property Insurance Corp.; Series 2012 A-1, Sr. Sec. RB		5.00	%		06/01/22		2,000		2,304,700
Collier (County of) Industrial Development Authority (The Arlington of Naples);
Series 2014 A, Continuing Care Community RB(d)		7.25	%		05/15/26		1,215		1,238,498
Series 2014 B-2, TEMPS–70SM Continuing Care Community RB(d)		6.50	%		05/15/20		1,000		1,001,260
Florida (State of) Municipal Power Agency (St. Lucie); Series 2011 B, RB		5.00	%		10/01/26		2,000		2,244,600
Florida (State of) Ports Financing Commission (State Transportation Trust Fund); Series 2011 A, Ref. RB		5.00	%		10/01/27		1,000		1,113,670
Florida State Board of Education; Series 2005 A, Lottery RB(h)		5.00	%		07/01/19		2,500		2,680,700
Highlands (County of) Health Facilities Authority (Adventist Health System/Sunbelt Obligated Group); Series 2008 A, Hospital RB(b)		6.50	%		11/17/15		3,000		3,311,820
Martin (County of) Health Facilities Authority (Martin Memorial Medical Center);
Series 2012, RB		5.00	%		11/15/24		1,990		2,120,524
Series 2012, RB		5.50	%		11/15/32		1,670		1,736,850
Miami-Dade (County of) Educational Facilities Authority (University of Miami); Series 2012 A, RB		5.00	%		04/01/24		415		466,460
Miami-Dade (County of) Expressway Authority; Series 2013 A, Ref. Toll System RB		5.00	%		07/01/22		2,000		2,328,520
Orange (County of) Health Facilities Authority (Orlando Lutheran Towers, Inc.); Series 2005, Ref. RB		5.38	%		07/01/20		500		503,475
Orlando (City of) & Orange (County of) Expressway Authority; Series 2012, Ref. RB		5.00	%		07/01/23		1,000		1,137,520
Palm Beach (County of) Health Facilities Authority (Jupiter Medical Center, Inc.); Series 2013 A, Hospital RB		5.00	%		11/01/23		1,215		1,330,911
Putnam (County of) Development Authority (Seminole Electric Cooperative); Series 2007 A, Ref. PCR (INS–AMBAC)(a)(b)		5.35	%		05/01/18		1,000		1,152,540
Reedy Creek Improvement District;
Series 2013 1, Ref. Utilities RB		5.00	%		10/01/21		885		1,028,963
Series 2013 1, Ref. Utilities RB		5.00	%		10/01/22		800		925,784
Seminole Indian Tribe of Florida; Series 2007 A, Special Obligation RB(d)		5.75	%		10/01/22		750		799,808
Tallahassee (City of) & Leon (County of) Blueprint 2000 Intergovernmental Agency; Series 2007, Sales Tax RB (INS–NATL)(a)		5.00	%		10/01/14		1,500		1,540,005
Tampa (City of); Series 2010, Ref. Solid Waste System RB (INS–AGM)(a)(c)		5.00	%		10/01/18		1,000		1,139,200
									40,859,513
Georgia–1.46%
Atlanta (City of) (Beltline); Series 2009 B, Tax Allocation RB		6.75	%		01/01/20		775		945,949
Atlanta (City of) (Eastside); Series 2005 B, Tax Allocation RB		5.40	%		01/01/20		1,200		1,257,720
Atlanta (City of); Series 2009 A, Water & Wastewater RB		5.25	%		11/01/17		1,500		1,739,340
Burke (County of) Development Authority (Oglethorpe Power Vogtle); Series 2013 A, PCR(b)		2.40	%		04/01/20		5,000		4,964,750
Fulton (County of) Development Authority (Robert Woodruff); Series 2009 B, Ref. RB		5.25	%		03/15/24		1,000		1,091,640
									9,999,399
Guam–1.33%
Guam (Territory of) (Section 30);
Series 2009 A, Limited Obligation RB		5.25	%		12/01/17		1,000		1,097,880
Series 2009 A, Limited Obligation RB		5.50	%		12/01/18		1,000		1,118,490
Guam (Territory of) International Airport Authority; Series 2013 C, General RB(c)		6.00	%		10/01/23		3,000		3,187,890
Guam (Territory of) Power Authority;
Series 2012 A, Ref. RB (INS–AGM)(a)		5.00	%		10/01/21		1,500		1,725,900
Series 2012 A, Ref. RB (INS–AGM)(a)		5.00	%		10/01/22		1,700		1,958,910
									9,089,070

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

13                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Hawaii–0.76%
Hawaii (State of) Department of Budget & Finance; Series 2012, Ref. Special Purpose Senior Living RB		5.00	%		11/15/27	$	1,000	$	1,043,160
Hawaii (State of) Department of Transportation (Airports Division);
Series 2013, Lease Revenue COP(c)		5.00	%		08/01/21		550		608,388
Series 2013, Lease Revenue COP(c)		5.00	%		08/01/22		2,000		2,188,080
Series 2013, Lease Revenue COP(c)		5.00	%		08/01/23		1,250		1,356,013
									5,195,641
Idaho–0.10%
Idaho (State of) Health Facilities Authority (St. Luke’s Health System); Series 2008 A, RB		6.50	%		11/01/23		500		566,365
Idaho (State of) Housing & Finance Association; Series 2008 A, Class I, Single Family Mortgage RB(c)		5.00	%		07/01/17		140		143,601
									709,966
Illinois–10.47%
Bartlett (Village of) (Quarry Redevelopment); Series 2007, Ref. Sr. Lien Tax Increment Allocation RB		5.60	%		01/01/23		1,000		985,550
Bourbonnais (Village of) (Olivet Nazarene University); Series 2010, Industrial Project RB		5.13	%		11/01/25		1,500		1,579,935
Chicago (City of) (188 West Randolph/Wells Redevelopment); Series 2014, COP(d)		6.84	%		03/15/33		2,400		2,399,472
Chicago (City of) (83rd/Stewart Redevelopment); Series 2013, COP(d)		7.00	%		01/15/29		1,500		1,521,270
Chicago (City of) (Metramarket Chicago); Series 2010 A, COP		6.87	%		02/15/24		1,059		1,096,300
Chicago (City of) (Midway Airport);
Series 2013 A, Ref. Second Lien RB(c)		5.50	%		01/01/27		1,000		1,092,430
Series 2013 B, Ref. Second Lien RB		5.00	%		01/01/25		1,000		1,102,380
Chicago (City of) (Roosevelt Square/ABLA Redevelopment); Series 2009 A, Ref. COP		7.13	%		03/15/22		796		796,167
Chicago (City of) Board of Education;
Series 2007 D, Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		12/01/17		1,010		1,137,098
Series 2013 A3, Ref. Floating Rate Unlimited Tax GO Bonds(b)(e)		0.86	%		06/02/18		5,000		5,000,000
Chicago (City of) Metropolitan Water Reclamation District; Series 2011 B, Capital Improvement Limited Tax GO Bonds(g)		5.00	%		12/01/24		3,000		3,371,340
Chicago (City of) Transit Authority (FTA Section 5309 Fixed Guideway Modernization Formula Funds);
Series 2008, Capital Grant Receipts RB (INS–AGC)(a)		5.25	%		06/01/23		2,200		2,350,546
Series 2008, Capital Grant Receipts RB (INS–AGC)(a)		5.25	%		06/01/24		3,965		4,197,230
Chicago (City of) Transit Authority; Series 2011, Sales Tax Receipts RB		5.25	%		12/01/27		1,000		1,097,870
Chicago (City of); Series 2011, COP		7.13	%		05/01/21		750		829,402
Huntley (Village of) Special Service Area No. 7; Series 2007, Ref. Special Tax RB (INS–AGC)(a)		4.60	%		03/01/17		517		542,421
Illinois (State of) Finance Authority (Advocate Health Care Network); Series 2008 D, RB		6.13	%		11/01/23		1,000		1,199,850
Illinois (State of) Finance Authority (Art Institute of Chicago); Series 2009 A, RB		5.25	%		03/01/19		1,000		1,173,020
Illinois (State of) Finance Authority (DePaul University); Series 2013, Ref. RB		5.00	%		10/01/23		750		859,725
Illinois (State of) Finance Authority (Edward Hospital Obligated Group);
Series 2008 A, RB (INS–AMBAC)(a)		6.00	%		02/01/23		900		978,606
Series 2008 A, RB (INS–AMBAC)(a)		6.00	%		02/01/24		1,175		1,270,398
Series 2008 A, RB (INS–AMBAC)(a)		6.00	%		02/01/26		380		407,588
Illinois (State of) Finance Authority (Fairview Obligated Group); Series 2008 A, Ref. RB(i)		6.00	%		08/15/22		750		5,558
Illinois (State of) Finance Authority (Lutheran Home & Services); Series 2012, Ref. RB		5.00	%		05/15/22		2,000		1,989,200
Illinois (State of) Finance Authority (Northwestern Memorial Hospital); Series 2009 B, RB		5.00	%		08/15/16		1,890		2,092,967
Illinois (State of) Finance Authority (Park Place of Elmhurst); Series 2010 D-2, TEMPS–65SM RB		7.00	%		11/15/15		2,000		1,200,200
Illinois (State of) Finance Authority (Peace Village); Series 2013, RB		6.25	%		08/15/28		1,505		1,532,918
Illinois (State of) Finance Authority (Silver Cross Hospital & Medical Centers); Series 2008, Ref. RB		6.00	%		08/15/23		2,000		2,189,820
Illinois (State of) Finance Authority (The Landing at Plymouth Place); Series 2005 A, RB		5.25	%		05/15/14		255		255,701
Illinois (State of) Metropolitan Pier & Exposition Authority (McCormick Place Expansion);
Series 2012 B, RB(g)		5.00	%		12/15/20		5,000		5,870,500
Series 2012 B, RB(g)		5.00	%		06/15/23		3,500		4,030,250
Illinois (State of) Municipal Electric Agency; Series 2007 A, Power Supply System RB (INS–NATL)(a)		5.00	%		02/01/15		1,000		1,043,360

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

14                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Illinois–(continued)
Illinois (State of);
Series 2012, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		08/01/22	$	1,250	$	1,421,337
Series 2013, Unlimited Tax GO Bonds		5.00	%		07/01/22		2,000		2,262,520
Series 2014, Unlimited Tax GO Bonds		5.00	%		02/01/22		2,000		2,263,340
Lake County Community Consolidated School District No. 73 (Hawthorn); Series 2002, Unlimited Tax CAB GO Bonds(f)(h)		0.00	%		12/01/21		330		277,108
Madison & Jersey Counties Community Unit School District No. 11 (Alton); Series 2002, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(f)		0.00	%		12/01/20		2,900		2,397,546
Railsplitter Tobacco Settlement Authority;
Series 2010, RB		5.25	%		06/01/21		3,000		3,514,440
Series 2010, RB		5.38	%		06/01/21		525		619,332
University of Illinois; Series 2011 A, Auxiliary Facilities System RB		5.00	%		04/01/26		3,425		3,780,755
									71,735,450
Indiana–3.60%
Carmel (City of) (Barrington Carmel); Series 2012 C-2, TEMPS–65SM RB		5.25	%		11/15/18		1,000		999,960
Carmel (City of) Redevelopment Authority; Series 2006, RB (INS–NATL)(a)		5.00	%		07/01/22		1,000		1,095,800
Indiana (State of) Finance Authority (Community Foundation of Northwest Indiana); Series 2007, Hospital RB		5.50	%		03/01/22		500		548,925
Indiana (State of) Finance Authority (Indianapolis Power & Light Co.); Series 2009 A, Ref. Environmental Facilities RB		4.90	%		01/01/16		2,000		2,139,860
Indiana (State of) Finance Authority (Sisters of St. Francis Health Services);
Series 2006 E, Ref. Health System RB (INS–AGM)(a)		5.25	%		11/01/24		365		406,975
Series 2006 E, Ref. Health System RB (INS–AGM)(a)		5.25	%		11/01/25		200		217,676
Series 2006 E, Ref. Health System RB (INS–AGM)(a)		5.25	%		11/01/26		175		189,180
Indiana (State of) Finance Authority; Series 1993 A, Highway CAB RB (INS–AMBAC)(a)(f)		0.00	%		12/01/16		1,695		1,660,490
Indiana (State of) Municipal Power Agency; Series 2009 B, Power Supply System RB		5.25	%		01/01/24		500		572,260
Indianapolis (City of) Airport Authority (Fed Ex Corp.); Series 2004, Ref. Special Facilities RB(c)		5.10	%		01/15/17		760		839,253
Merrillville Multi-School Building Corp.;
Series 2008, First Mortgage RB		5.00	%		01/15/17		1,260		1,414,602
Series 2008, First Mortgage RB		5.00	%		07/15/17		1,285		1,466,365
Michigan City Area-Wide School Building Corp.;
Series 2002, First Mortgage CAB RB (INS–NATL)(a)(f)		0.00	%		01/15/17		2,000		1,919,740
Series 2002, First Mortgage CAB RB (INS–NATL)(a)(f)		0.00	%		01/15/18		3,000		2,812,830
Noblesville High School Building Corp.; Series 1993, First Mortgage CAB RB (INS–AMBAC)(a)(f)		0.00	%		02/15/19		1,850		1,673,935
Northwest Allen School Building Corp.;
Series 2008, First Mortgage RB (INS–AGM)(a)		5.00	%		07/15/16		1,395		1,537,039
Series 2008, First Mortgage RB (INS–AGM)(a)		5.00	%		07/15/19		3,200		3,590,496
Valparaiso (City of) (Pratt Paper, LLC); Series 2013, Exempt Facilities RB(c)		5.88	%		01/01/24		1,500		1,563,015
									24,648,401
Iowa–2.07%
Altoona (City of); Series 2008, Annual Appropriation Urban Renewal Tax Increment RB		5.63	%		06/01/23		1,000		1,075,540
Ames (City of) (Mary Greeley Medical Center); Series 2011, Hospital RB		5.50	%		06/15/30		2,255		2,389,984
Iowa (State of) Finance Authority (Iowa Health System); Series 2005 A, Health Facilities RB (INS–AGC)(a)		5.00	%		02/15/19		1,000		1,162,930
Iowa (State of) Finance Authority (Mercy Medical Center);
Series 2012, Health Facilities RB		4.00	%		08/15/22		1,905		2,036,197
Series 2012, Health Facilities RB		4.00	%		08/15/23		1,200		1,262,952
Iowa (State of) Finance Authority (Western Home); Series 2012, Ref. Health Care Facilities RB		5.00	%		12/01/27		1,915		1,883,077
Iowa Student Loan Liquidity Corp.; Sr. Series 2011 A-2, RB(c)		5.50	%		12/01/25		4,130		4,376,809
									14,187,489

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

15                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Kansas–1.02%
Harvey County Unified School District No. 373 (Newton); Series 2007, Ref. & Improvement Unlimited Tax GO Bonds (INS–NATL)(a)		5.00	%		09/01/19	$	2,630	$	3,017,951
Kansas (State of) Development Finance Authority (Adventist Health System/Sunbelt Obligated Group); Series 2009 C, Hospital RB		5.50	%		11/15/23		1,000		1,164,580
Kansas (State of) Development Finance Authority (Hays Medical Center Inc.); Series 2005 L, Health Facilities RB		5.25	%		11/15/16		500		537,405
Kansas (State of) Development Finance Authority (University of Kansas Health System); Series 2011 H, Health Facilities RB		5.00	%		03/01/31		1,000		1,045,870
Kansas (State of) Municipal Energy Agency (Jameson Energy Center); Series 2013, Power Project RB		5.00	%		07/01/28		1,140		1,236,866
									7,002,672
Kentucky–0.95%
Kentucky (State of) Asset/Liability Commission (Federal Highway Trust Fund First Series); Series 2007, RN (INS–NATL)(a)		5.00	%		09/01/14		1,800		1,844,550
Kentucky (State of) Economic Development Finance Authority (Baptist Healthcare System);
Series 2009 A, Hospital RB		5.00	%		08/15/18		1,000		1,149,430
Series 2009 A, Hospital RB		5.38	%		08/15/24		1,000		1,120,130
Kentucky Housing Corp.; Series 2008 A, RB(c)		5.00	%		01/01/23		285		296,078
Louisville & Jefferson (County of) Regional Airport Authority; Series 2003 C, Airport Systems RB (INS–AGM)(a)(c)		5.50	%		07/01/17		1,000		1,004,430
Paducah (City of) Electric Plant Board; Series 2009 A, RB (INS–AGC)(a)		5.00	%		10/01/25		1,000		1,108,910
									6,523,528
Louisiana–2.05%
Lakeshore Villages Master Community Development District; Series 2007, Special Assessment RB(i)		5.25	%		07/01/17		593		234,176
Louisiana (State of) Energy & Power Authority (Rodemacher Unit No. 2); Series 2013, Power RB		5.00	%		01/01/22		1,000		1,156,560
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (Bossier City Public Improvement); Series 2007, RB (INS–AMBAC)(a)		5.00	%		11/01/15		1,200		1,290,192
Louisiana Citizens Property Insurance Corp.;
Series 2006 B, Assessment RB (INS–AMBAC)(a)		5.00	%		06/01/20		1,000		1,080,400
Series 2009 C-1, Assessment RB (INS–AGC)(a)		5.88	%		06/01/23		1,000		1,146,650
New Orleans (City of) Aviation Board;
Series 2009 A-1, Ref. & Restructuring General Airport RB (INS–AGC)(a)		5.00	%		01/01/18		1,235		1,403,935
Series 2009 A-1, Ref. & Restructuring General Airport RB (INS–AGC)(a)		5.00	%		01/01/19		500		576,995
New Orleans (City of) Port Board of Commissioners; Series 2013 B, Ref. Port Facility RB(c)		5.00	%		04/01/29		1,950		2,025,699
Tobacco Settlement Financing Corp.; Series 2013 A, Ref. Asset-Backed RB		5.50	%		05/15/30		5,000		5,157,300
									14,071,907
Maine–0.32%
Maine (State of) Health & Higher Educational Facilities Authority (Eastern Maine Medical Center Obligated Group);
Series 2013, RB		5.00	%		07/01/26		1,000		1,092,760
Series 2013, RB		5.00	%		07/01/27		1,000		1,081,310
									2,174,070
Maryland–2.14%
Maryland (State of) Health & Higher Educational Facilities Authority (Adventist Healthcare); Series 2011 A, RB		6.00	%		01/01/26		4,500		5,080,995
Maryland (State of) Health & Higher Educational Facilities Authority (Charlestown Community); Series 2010, RB		5.50	%		01/01/22		1,000		1,092,700
Maryland (State of) Health & Higher Educational Facilities Authority (Frederick Memorial Hospital); Series 2012 A, RB		5.00	%		07/01/22		1,000		1,119,960
Maryland (State of) Health & Higher Educational Facilities Authority (LifeBridge Health);
Series 2011, RB		6.00	%		07/01/23		335		389,501
Series 2011, RB		6.00	%		07/01/25		200		229,466

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

16                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Maryland–(continued)
Maryland (State of) Health & Higher Educational Facilities Authority (The Johns Hopkins Health System Obligated Group); Series 2008 B, RB(b)		5.00	%		05/15/15	$	500	$	529,055
Maryland (State of) Health & Higher Educational Facilities Authority (Washington County Hospital); Series 2008, RB		5.25	%		01/01/23		250		261,738
Maryland (State of) Transportation Authority; Series 2008, Grant & RAB		5.25	%		03/01/20		3,000		3,553,680
Maryland Economic Development Corp. (Transportation Facilities); Series 2010 A, RB		5.13	%		06/01/20		2,250		2,401,605
									14,658,700
Massachusetts–0.45%
Massachusetts (State of) Development Finance Agency (Carleton Willard Village); Series 2010, RB		5.25	%		12/01/25		650		685,282
Massachusetts (State of) Development Finance Agency (Dominion Energy Brayton); Series 2009 1, Ref. Solid Waste Disposal RB(b)(h)		5.75	%		05/01/19		1,500		1,846,980
Massachusetts (State of) Development Finance Agency (Quincy Medical Center); Series 2008 A, RB(i)		5.85	%		01/15/18		300		843
Massachusetts (State of) Development Finance Agency (Sabis International Charter School); Series 2009 A, RB		6.70	%		04/15/21		500		561,355
									3,094,460
Michigan–3.43%
Brandon School District;
Series 2008, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		05/01/16		1,425		1,568,284
Series 2008, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		05/01/18		1,410		1,647,303
Dearborn School District; Series 2007, Ref. Unlimited Tax GO Bonds (INS–NATL)(a)		5.00	%		05/01/16		2,480		2,725,371
Greenville Public Schools;
Series 2008, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		05/01/16		1,410		1,551,776
Series 2008, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		05/01/18		1,235		1,442,851
Kent (County of) Hospital Finance Authority (Spectrum Health System); Series 2008 A, RB(b)		5.50	%		01/15/15		1,000		1,044,520
Lansing (City of) Board of Water & Light; Series 2008 A, Water Supply, Steam, Chilled Water & Electric Utility System RB		5.00	%		07/01/24		1,000		1,075,330
Michigan (State of) Strategic Fund (The Dow Chemical Co.); Series 2003 A-1, Ref. Limited Obligation RB(b)(c)		6.75	%		06/02/14		2,000		2,026,580
Traverse City Area Public Schools;
Series 2008, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		05/01/17		2,300		2,599,276
Series 2008, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		05/01/18		2,280		2,635,315
Series 2008, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		05/01/19		2,260		2,573,213
Wayne (County of) Airport Authority (Detroit Metropolitan Airport); Series 2012 D, Ref. RB(c)		5.00	%		12/01/28		2,500		2,586,750
									23,476,569
Minnesota–0.09%
Minneapolis (City of) (Fairview Health Services); Series 2008 A, Health Care System RB		6.38	%		11/15/23		500		588,335
Mississippi–0.15%
Mississippi Business Finance Corp. (System Energy Resources, Inc.); Series 1998, PCR		5.88	%		04/01/22		1,000		1,000,160
Missouri–2.50%
Bridgeton (City of) Industrial Development Authority (Sarah Community);
Series 2013, Ref. RB		4.00	%		05/01/24		500		462,360
Series 2013, Ref. RB		4.50	%		05/01/28		1,500		1,363,200
Cape Girardeau (County of) Industrial Development Authority (St. Francis Medical Center); Series 2009 A, Health Facilities RB		5.00	%		06/01/21		525		579,317
Ferguson (City of) (Crossing at Halls Ferry); Series 2005, Ref. Tax Increment Allocation RB		5.50	%		04/01/14		610		611,720
Kansas City (City of) Industrial Development Authority (Downtown Redevelopment District);
Series 2011 A, Ref. RB		5.50	%		09/01/23		1,000		1,162,200
Series 2011 A, Ref. RB		5.50	%		09/01/24		2,000		2,295,000
Series 2011 A, Ref. RB		5.50	%		09/01/28		2,000		2,205,860
Kansas City (City of) Industrial Development Authority (Plaza Library); Series 2004, RB		6.00	%		03/01/16		365		366,201

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

17                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Missouri–(continued)
Manchester (City of) (Highway 141/Manchester Road); Series 2010, Ref. Transportation Tax Increment Allocation RB		6.00	%		11/01/25	$	4,560	$	4,706,604
Maryland Heights (City of) (South Heights Redevelopment); Series 2007 A, Ref. Tax Increment Allocation RB		5.50	%		09/01/18		140		151,340
Raytown (City of) (Raytown Live Redevelopment Plan); Series 2007 1, Annual Appropriation-Supported Tax RB		5.00	%		12/01/16		500		548,785
St. Louis (County of) Industrial Development Authority (Friendship Village of Sunset Hills);
Series 2012, Senior Living Facilities RB		4.50	%		09/01/23		340		358,765
Series 2012, Senior Living Facilities RB		5.00	%		09/01/32		1,490		1,527,354
St. Louis (County of) Industrial Development Authority (Friendship Village West County); Series 2007 A, Senior Living Facilities RB		5.25	%		09/01/17		250		270,850
St. Louis (County of) Industrial Development Authority (Ranken-Jordan); Series 2007, Ref. Health Facilities RB		5.00	%		11/15/22		540		540,367
									17,149,923
Nebraska–0.53%
Lincoln (County of) Hospital Authority No. 1 (Great Plains Regional Medical Center);
Series 2012, Ref. RB		4.00	%		11/01/22		720		757,051
Series 2012, Ref. RB		5.00	%		11/01/23		500		549,245
Nebraska (State of) Municipal Energy Agency; Series 2009 A, Ref. Power Supply System RB (INS–BHAC)(a)		5.13	%		04/01/23		560		640,035
University of Nebraska Facilities Corp.; Series 2006, Deferred Maintenance RB (INS–AMBAC)(a)		5.00	%		07/15/17		1,500		1,657,890
									3,604,221
Nevada–1.57%
Carson City (City of) (Carson-Tahoe Regional Medical Center); Series 2012, Ref. Hospital RB		5.00	%		09/01/27		1,000		1,039,080
Clark (County of);
Series 2013 A, Ref. Jet Aviation Fuel Tax Airport System RB(c)		5.00	%		07/01/19		1,020		1,177,345
Series 2013 A, Ref. Jet Aviation Fuel Tax Airport System RB(c)		5.00	%		07/01/20		1,000		1,148,920
Director of the State of Nevada Department of Business & Industry (Republic Services, Inc.); Series 2003, Solid Waste Disposal RB(b)(c)(d)		5.63	%		06/01/18		1,100		1,202,366
Humboldt (County of) (Idaho Power Co.); Series 2003, Ref. PCR		5.15	%		12/01/24		1,800		1,968,192
Las Vegas (City of) Redevelopment Agency;
Series 2009 A, Tax Increment Allocation RB		6.25	%		06/15/16		1,475		1,584,445
Series 2009 A, Tax Increment Allocation RB		7.00	%		06/15/20		1,000		1,147,360
Washoe County School District; Series 2008 A, School Improvement Limited Tax GO Bonds		4.75	%		06/01/26		1,405		1,488,457
									10,756,165
New Hampshire–0.39%
Manchester (City of); Series 2009 A, Ref. General Airport RB		5.00	%		01/01/17		1,000		1,092,750
New Hampshire (State of) Health & Education Facilities Authority (Southern New Hampshire University); Series 2012, RB		5.00	%		01/01/27		1,500		1,558,545
									2,651,295
New Jersey–2.97%
Gloucester (County of) Improvement Authority (Waste Management Inc.); Series 1999 B, Ref. Solid Waste RB(b)(c)		2.50	%		12/01/17		500		506,185
Monmouth (County of) Improvement Authority;
Series 2007, Governmental Loan RB(h)		5.00	%		12/01/16		5		5,631
Series 2007, Governmental Loan RB(h)		5.00	%		12/01/17		10		11,625
Series 2007, Governmental Loan RB (INS–AMBAC)(a)		5.00	%		12/01/16		1,005		1,111,661
Series 2007, Governmental Loan RB (INS–AMBAC)(a)		5.00	%		12/01/17		1,990		2,239,785
New Jersey (State of) Economic Development Authority (Paterson Charter School); Series 2012 C, RB		5.00	%		07/01/22		500		508,495
New Jersey (State of) Economic Development Authority (The Goethals Bridge Replacement);
Series 2013, Private Activity RB(c)		5.00	%		07/01/21		425		474,980
Series 2013, Private Activity RB(c)		5.00	%		01/01/28		1,000		1,050,720
Series 2013, Private Activity RB(c)		5.50	%		01/01/26		1,390		1,550,990
Series 2013, Private Activity RB(c)		5.50	%		01/01/27		1,130		1,241,621

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

18                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
New Jersey–(continued)
New Jersey (State of) Economic Development Authority; Series 2012, Ref. RB		5.00	%		06/15/23	$	2,000	$	2,229,660
New Jersey (State of) Health Care Facilities Financing Authority (Meridian Health System Obligated Group);
Series 2011, Ref. RB		5.00	%		07/01/25		1,500		1,656,930
Series 2011, Ref. RB		5.00	%		07/01/27		2,000		2,155,280
New Jersey (State of) Health Care Facilities Financing Authority (St. Clare’s Hospital, Inc.) Series 2004 A, Ref. RB(h)		5.25	%		07/01/20		1,000		1,208,550
New Jersey (State of) Health Care Facilities Financing Authority (St. Joseph’s Health Care System); Series 2008, RB		5.75	%		07/01/15		160		166,229
New Jersey (State of) Turnpike Authority; Series 2013 E, Floating Rate RB(b)(e)		0.71	%		01/01/18		2,000		2,000,000
North Hudson Sewerage Authority; Series 2012 A, Gross Revenue Lease Ctfs.		5.00	%		06/01/24		1,000		1,147,070
South Jersey Transportation Authority; Series 2012 A, Ref. RB		5.00	%		11/01/24		1,000		1,108,160
									20,373,572
New Mexico–1.52%
Farmington (City of) (Public Service Co. of New Mexico San Juan); Series 2010 A, Ref. PCR(b)		5.20	%		06/01/20		1,700		1,877,667
Jicarilla Apache Nation; Series 2003 A, RB(d)		5.50	%		09/01/23		1,000		974,460
New Mexico (State of) Finance Authority;
Series 2006 B, Sr. Lien Public Revolving Fund RB (INS–NATL)(a)		5.00	%		06/01/17		1,310		1,440,122
Series 2007 C, Sub. Lien Public Revolving Fund RB (INS–NATL)(a)		5.00	%		06/15/14		1,200		1,217,244
New Mexico (State of) Hospital Equipment Loan Council (Haverland Charter Lifestyle Group); Series 2013, First Mortgage RB		4.00	%		07/01/22		3,000		2,959,050
New Mexico (State of) Hospital Equipment Loan Council (La Vida Llena); Series 2010 A, First Mortgage RB		5.00	%		07/01/19		715		768,504
New Mexico (State of) Hospital Equipment Loan Council (Presbyterian Health Care Services); Series 2008 A, Hospital RB		6.00	%		08/01/23		1,000		1,166,380
									10,403,427
New York–1.57%
Albany (City of) Industrial Development Agency (St. Peter’s Hospital); Series 2008 A, Civic Facility RB		5.75	%		11/15/22		500		557,740
Brooklyn Arena Local Development Corp. (Barclays Center);
Series 2009, PILOT RB		5.75	%		07/15/17		1,000		1,134,160
Series 2009, PILOT RB		5.75	%		07/15/19		1,000		1,167,430
Metropolitan Transportation Authority; Series 2002 A, Ref. Service Contract RB		5.75	%		07/01/18		1,000		1,201,540
New York (City of) Industrial Development Agency (Queens Baseball Stadium);
Series 2009, PILOT RB (INS–AGC)(a)		5.00	%		01/01/18		200		222,506
Series 2009, PILOT RB (INS–AGC)(a)		5.00	%		01/01/19		200		224,944
New York (City of) Transitional Finance Authority; Series 2009 S-3, Building Aid RB(g)		5.00	%		01/15/21		1,000		1,142,820
New York (City of); Subseries 2008 J-4, Floating Rate Unlimited Tax GO Bonds(e)		0.58	%		08/01/25		3,000		3,000,000
New York State Environmental Facilities Corp. (Municipal Water Finance Authority); Series 2005 C, State Clean Water & Drinking Water Revolving Funds RB		5.00	%		06/15/21		2,000		2,121,280
Niagara Falls (City of); Series 1994, Public Improvement Unlimited Tax GO Bonds(j)		6.90	%		03/01/20		5		5,017
									10,777,437
North Carolina–0.71%
North Carolina (State of) Eastern Municipal Power Agency;
Series 2008 C, Power System RB		6.75	%		01/01/24		1,000		1,177,020
Series 2008 C, Power System RB (INS–AGC)(a)		6.00	%		01/01/19		1,070		1,188,931
North Carolina (State of) Medical Care Commission (Lutheran Services); Series 2012, Ref. First Mortgage Health Care Facilities RB		4.25	%		03/01/24		1,800		1,709,676
North Carolina (State of) Medical Care Commission (Salemtowne); Series 2006, Ref. First Mortgage Health Care Facilities RB		5.00	%		10/01/15		500		514,000
North Carolina (State of) Medical Care Commission (Southminster); Series 2007 A, First Mortgage Retirement Facilities RB		5.30	%		10/01/19		250		257,180
									4,846,807

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

19                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
North Dakota–0.25%
Grand Forks (City of) (4000 Valley Square); Series 2006, Ref. Senior Housing RB		5.00	%		12/01/16	$	310	$	318,007
North Dakota (State of) Public Finance Authority (State Revolving Fund Program); Series 2008 A, RB		5.50	%		10/01/19		1,195		1,428,587
									1,746,594
Ohio–2.76%
Adams (County of) (Adams County Hospital); Series 2005, Hospital Facility Improvement RB		6.25	%		09/01/20		415		343,396
American Municipal Power, Inc. (Amp Fremont Energy Center); Series 2012, RB		5.00	%		02/15/21		1,250		1,461,875
American Municipal Power, Inc. (Hydroelectric); Series 2009 C, RB		5.25	%		02/15/19		1,175		1,362,577
Cleveland (City of) (Bridges & Roadways Improvements); Series 2008 B, Sub. Lien Income Tax RB (INS–AGC)(a)		5.00	%		10/01/25		1,555		1,747,618
Cleveland (City of) (Cleveland Stadium); Series 2004, Ref. RB (INS–AMBAC)(a)		5.13	%		12/01/20		1,370		1,419,443
Cleveland (City of); Series 2012 A, Ref. Airport System RB		5.00	%		01/01/27		2,750		2,907,795
Franklin (County of) (First Community Village Obligated Group); Series 2013, Ref. Health Care Facilities RB		5.25	%		07/01/33		1,000		849,260
Hamilton (County of) (Christ Hospital); Series 2012, Health Care Facilities RB		5.25	%		06/01/23		1,500		1,679,175
Montgomery (County of) (Miami Valley Hospital); Series 2009 B, RB(b)		5.25	%		11/15/14		1,000		1,034,990
Montgomery (County of) (St. Leonard); Series 2010, Ref. & Improvement Health Care & MFH RB		6.00	%		04/01/20		820		901,943
Muskingum (County of) (Genesis Healthcare System); Series 2013, Hospital Facilities RB		5.00	%		02/15/27		2,250		2,021,062
Ohio (State of) Air Quality Development Authority (FirstEnergy Generation Corp.); Series 2009 C, Ref. PCR		5.63	%		06/01/18		2,000		2,223,520
Ohio (State of) Water Development Authority (FirstEnergy Nuclear Generation Corp.); Series 2009 A, Ref. PCR(b)		5.88	%		06/01/16		865		938,689
									18,891,343
Oklahoma–0.30%
Chickasawa Nation; Series 2007, Health System RB(d)		5.38	%		12/01/17		225		241,850
Tulsa (City of) Airports Improvement Trust; Series 2009 A, General RB		5.38	%		06/01/24		1,750		1,803,865
									2,045,715
Oregon–0.47%
Salem (City of) Hospital Facility Authority (Capital Manor, Inc.); Series 2012, Ref. RB		5.00	%		05/15/22		1,000		1,018,810
Tri-County Metropolitan Transportation District; Series 2011 A, Capital Grant Receipt RB		5.00	%		10/01/27		2,000		2,217,420
									3,236,230
Pennsylvania–3.72%
Allegheny (County of) Airport Authority (Pittsburgh International Airport); Series 2010 A, Airport RB (INS–AGM)(a)(c)		5.00	%		01/01/16		1,000		1,084,610
Allegheny (County of) Hospital Development Authority (University of Pittsburgh Medical Center); Series 2008 A, RB		5.00	%		09/01/18		3,000		3,488,460
Allegheny (County of) Industrial Development Authority (Residential Resources, Inc.); Series 2006, Lease RB		5.00	%		09/01/21		500		507,740
Allegheny (County of) Redevelopment Authority (Pittsburgh Mills); Series 2004, Tax Allocation RB		5.10	%		07/01/14		45		45,612
Cumberland (County of) Municipal Authority (Asbury Obligated Group);
Series 2012, Ref. RB		5.00	%		01/01/22		750		761,130
Series 2012, Ref. RB		5.25	%		01/01/27		1,275		1,273,725
Delaware (County of) Authority (Elwyn); Series 2010, RB		5.00	%		06/01/20		1,980		2,098,919
Girard School District;
Series 1992 B, Unlimited Tax CAB GO Bonds (INS–NATL)(a)(f)		0.00	%		10/01/18		700		643,671
Series 1992 B, Unlimited Tax CAB GO Bonds (INS–NATL)(a)(f)		0.00	%		10/01/19		250		221,450
Lehigh (County of) General Purpose Authority (Bible Fellowship Church Homes, Inc.);
Series 2013, RB		4.25	%		07/01/20		2,265		2,205,612
Series 2013, RB		4.50	%		07/01/17		1,435		1,440,568
Monroe (County of) Hospital Authority (Pocono Medical Center); Series 2007, RB		5.00	%		01/01/17		500		553,065
Montgomery (County of) Industrial Development Authority (ACTS Retirement-Life Community); Series 2012, Ref. RB		5.00	%		11/15/25		2,000		2,100,480
Northampton (County of) Industrial Development Authority (Morningstar Senior Living, Inc.); Series 2012, RB		5.00	%		07/01/27		1,500		1,458,630

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

20                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Pennsylvania–(continued)
Pennsylvania (State of) Economic Development Financing Authority (Shippingport); Series 2006 A, Exempt Facilities RB(b)		2.55	%		12/03/18	$	1,500	$	1,502,610
Pennsylvania (State of) Turnpike Commission; Series 2013 B, Floating Rate RB(e)		1.18	%		12/01/19		2,000		2,000,000
Philadelphia (City of) Industrial Development Authority (One Benjamin Franklin Parkway); Series 2007 C, Ref. Lease RB (INS–AGM)(a)		5.00	%		02/15/15		2,150		2,234,086
Philadelphia (City of); Eighteenth Series 2004, Gas Works RB (INS–AGC)(a)		5.25	%		08/01/18		750		763,702
Washington (County of) Industrial Development Authority (Washington Jefferson College); Series 2010, College RB		5.00	%		11/01/25		1,000		1,083,170
									25,467,240
Rhode Island–0.17%
Rhode Island Health & Educational Building Corp. (University of Rhode Island–Auxiliary Enterprise); Series 2013 C, Ref. Higher Education Facility RB		5.00	%		09/15/22		1,000		1,159,520
South Carolina–2.48%
Georgetown (County of) (International Paper Co.); Series 2000 A, Ref. Environmental Improvement RB		5.95	%		03/15/14		1,000		1,002,350
Greenwood (County of) (Self Regional Healthcare); Series 2012 B, Ref. Hospital RB		5.00	%		10/01/26		4,650		5,045,529
Piedmont Municipal Power Agency;
Series 2008 A-2, Electric RB		5.00	%		01/01/24		1,000		1,109,790
Series 2009 A-4, Ref. Electric RB		5.00	%		01/01/21		2,000		2,290,600
Richland (County of) (International Paper Co.); Series 2003 A, Ref. Environmental Improvement RB(c)		6.10	%		04/01/23		725		733,744
South Carolina (State of) Jobs-Economic Development Authority (AnMed Health); Series 2009 B, Ref. & Improvement Hospital RB (INS–AGC)(a)		5.00	%		02/01/19		1,000		1,154,910
South Carolina (State of) Jobs-Economic Development Authority (Lutheran Homes);
Series 2013, Health Facilities RB		5.00	%		05/01/23		1,000		1,002,120
Series 2013, Health Facilities RB		5.00	%		05/01/28		1,250		1,185,387
South Carolina (State of) Jobs-Economic Development Authority (Palmetto Health Alliance); Series 2013 A, Ref. Hospital RB		5.25	%		08/01/26		3,215		3,460,497
									16,984,927
South Dakota–0.66%
Educational Enhancement Funding Corp.;
Series 2013 B, Tobacco Settlement RB		5.00	%		06/01/23		1,000		1,110,960
Series 2013 B, Tobacco Settlement RB		5.00	%		06/01/24		2,000		2,187,780
South Dakota (State of) Health & Educational Facilities Authority (Regional Health);
Series 2010, RB		5.00	%		09/01/21		605		687,794
Series 2010, RB		5.00	%		09/01/22		500		557,990
									4,544,524
Tennessee–1.27%
Chattanooga (City of) Health, Educational & Housing Facility Board (Community Development Financial Institution Phase I LLC); Series 2005 A, Ref. RB		5.00	%		10/01/15		115		118,202
Franklin Special School District; Series 1999, Limited Tax CAB GO Bonds (INS–AGM)(a)(f)		0.00	%		06/01/15		700		696,885
Nashville (City of) & Davidson (County of) Metropolitan Government Health & Educational Facilities Board (Blakeford at Green Hills);
Series 2012, Ref. & Improvement RB		5.00	%		07/01/19		770		858,735
Series 2012, Ref. & Improvement RB		5.00	%		07/01/22		500		541,420
Shelby (County of) Health, Educational & Housing Facilities Board (Methodist Le Bonheur Health); Series 2008 C, RB		5.25	%		06/01/18		1,000		1,152,390
Shelby (County of) Health, Educational & Housing Facilities Board (Trezevant Manor); Series 2006 A, RB		5.25	%		09/01/16		325		342,218
Tennessee Energy Acquisition Corp.;
Series 2006 C, Gas RB		5.00	%		02/01/23		1,360		1,506,717
Series 2006 C, Gas RB		5.00	%		02/01/24		3,225		3,506,252
									8,722,819

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

21                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Texas–11.39%
Alliance Airport Authority, Inc. (Federal Express Corp.); Series 2006, Ref. Special Facilities RB(c)		4.85	%		04/01/21	$	1,000	$	1,045,990
Austin (City of); Series 2009, Water & Wastewater System RB		5.00	%		11/15/24		1,500		1,712,850
Bexar (County of); Series 2007, Combination Flood Control Limited Tax GO Ctfs. (INS–AGM)(a)		5.00	%		06/15/14		1,330		1,349,112
Brownsville (City of); Series 2008 A, Ref. Utilities System RB (INS–AGM)(a)		5.00	%		09/01/23		1,240		1,386,494
Capital Area Cultural Education Facilities Finance Corp. (The Roman Catholic Diocese of Austin);
Series 2005 A, RB		5.50	%		04/01/23		1,670		1,859,044
Series 2005 A, RB		5.50	%		04/01/25		1,610		1,754,127
Clifton Higher Education Finance Corp. (Idea Public Schools); Series 2013, Education RB		6.00	%		08/15/33		1,250		1,371,125
Dallas (City of) (Civic Center Convention Complex); Series 2009, Ref. & Improvement RB (INS–AGC)(a)		5.00	%		08/15/18		1,500		1,722,750
Dallas (County of) Flood Control District No. 1; Series 2002, Ref. Unlimited Tax GO Bonds		6.75	%		04/01/16		85		85,307
Dallas-Fort Worth (Cities of) International Airport; Series 2014 A, Ref. RB(c)		5.25	%		11/01/26		2,000		2,221,700
Greenville (City of);
Series 2010, Ref. & Improvement Electric Utility System RB		5.00	%		02/15/25		2,355		2,536,217
Series 2010, Ref. & Improvement Electric Utility System RB		5.00	%		02/15/26		2,475		2,649,339
Gulf Coast Waste Disposal Authority;
Series 2013, Bayport Area System RB (INS–AGM)(a)		5.00	%		10/01/21		1,250		1,444,962
Series 2013, Bayport Area System RB (INS–AGM)(a)		5.00	%		10/01/23		2,610		2,978,297
Harris County Cultural Education Facilities Finance Corp. (Brazos Presbyterian Homes, Inc.);
Series 2013 A, First Mortgage RB		4.00	%		01/01/23		1,325		1,263,083
Series 2013 A, First Mortgage RB		5.00	%		01/01/33		1,090		970,144
Harris County Cultural Education Facilities Finance Corp. (Memorial Hermann Health System); Series 2013 B, Ref. Floating Rate Hospital RB(e)		0.78	%		06/01/20		2,000		2,000,000
Harris County Cultural Education Facilities Finance Corp. (YMCA of the Greater Houston Area); Series 2013 A, Ref. RB		5.00	%		06/01/28		1,500		1,541,865
Harris County Health Facilities Development Corp. (Memorial Hermann Healthcare System); Series 2008 B, Ref. RB(b)(h)		7.00	%		12/01/18		500		638,780
Harris County Health Facilities Development Corp. (TECO); Series 2008, Thermal Utility RB (INS–AGC)(a)		5.25	%		11/15/24		1,950		2,211,241
Harris County Industrial Development Corp. (Deer Park Refining Limited Partnership); Series 2006, Solid Waste Disposal RB		5.00	%		02/01/23		2,500		2,702,675
Hidalgo County Health Services Corp. (Mission Hospital, Inc.); Series 2005, Hospital RB		5.00	%		08/15/19		350		350,395
Hopkins (County of) Hospital District; Series 2008, RB		5.50	%		02/15/23		500		500,870
Houston (City of);
Series 2007 A, Ref. Public Improvement Limited Tax GO Bonds (INS–NATL)(a)		5.00	%		03/01/16		1,000		1,095,210
Series 2011 A, Ref. Sub Lien Airport System RB(c)		5.00	%		07/01/25		1,000		1,089,590
Series 2012, Ref. Floating Rate First Lien Combined Utility System RB(b)(e)		0.78	%		06/01/17		9,000		9,038,249
Houston Higher Education Finance Corp. (Cosmos Foundation, Inc.);
Series 2011 A, RB		5.88	%		05/15/21		910		1,021,175
Series 2012 A, RB		4.00	%		02/15/22		635		644,792
Mesquite Health Facility Development Corp. (Christian Care Centers, Inc.); Series 2005, Retirement Facility RB		5.00	%		02/15/15		230		234,943
New Hope Cultural Education Facilities Corp. (Morningside Ministries); Series 2013, First Mortgage RB		6.25	%		01/01/33		1,600		1,658,624
North Texas Tollway Authority;
Series 2008 A, Ref. First Tier System RB		6.00	%		01/01/23		1,000		1,143,780
Series 2012 C, Ref. First Tier RB(b)		1.95	%		01/01/19		2,000		1,961,860
Red River Health Facilities Development Corp. (Parkview on Hollybrook); Series 2013 A, First Mortgage RB		6.38	%		07/01/33		500		474,180
SA Energy Acquisition Public Facility Corp.; Series 2007, Gas Supply RB		5.50	%		08/01/21		1,000		1,148,060
Tarrant County Cultural Education Facilities Finance Corp. (Baylor Health Care System); Series 2009, Ref. Hospital RB		5.75	%		11/15/24		1,000		1,163,510
Tarrant County Cultural Education Facilities Finance Corp. (Buckner Retirement Services, Inc.); Series 2007, Retirement Facility RB		5.00	%		11/15/17		500		548,995
Tarrant County Cultural Education Facilities Finance Corp. (CHRISTUS Health); Series 2008 A, Ref. RB (INS–AGC)(a)		5.75	%		07/01/18		1,540		1,683,559
Tarrant County Cultural Education Facilities Finance Corp. (Mirador); Series 2010 B-1, TEMPS–75SMRetirement Facility RB		7.25	%		11/15/16		2,680		2,659,525

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

22                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Texas–(continued)
Texas (State of) Transportation Commission; Series 2006 A, First Tier RB(b)(h)		5.00	%		04/01/16	$	2,000	$	2,194,980
Texas (State of) Turnpike Authority (Central Texas Turnpike System); Series 2002 A, First Tier CAB RB (INS–AMBAC)(a)(f)		0.00	%		08/15/18		5,700		5,204,670
Texas Municipal Gas Acquisition & Supply Corp. III;
Series 2012, Gas Supply RB		5.00	%		12/15/21		2,600		2,890,238
Series 2012, Gas Supply RB		5.00	%		12/15/22		500		547,615
Series 2012, Gas Supply RB		5.00	%		12/15/23		3,950		4,273,781
Travis County Cultural Education Facilities Finance Corp. (Wayside Schools);
Series 2012 A, Education RB		4.63	%		08/15/22		500		488,360
Series 2012 A, Education RB		5.00	%		08/15/27		585		555,820
									78,017,883
Utah–0.52%
Intermountain Power Agency; Series 1993 A, Ref. Power Supply CAB RB(f)(h)		0.00	%		07/01/17		1,750		1,614,200
Utah (State of) Transit Authority;
Series 2012, Ref. Sales Tax RB		5.00	%		06/15/21		535		624,602
Series 2012, Ref. Sales Tax RB		5.00	%		06/15/22		505		588,234
Series 2012, Ref. Sales Tax RB		5.00	%		06/15/23		655		748,010
									3,575,046
Virgin Islands–0.87%
Virgin Islands (Government of) Public Finance Authority (Matching Fund Loan Note–Diago); Series 2009 A, Sub. RB		6.00	%		10/01/14		260		265,514
Virgin Islands (Government of) Public Finance Authority (Matching Fund Loan Note);
Series 2010 A, Sr. Lien RB		5.00	%		10/01/17		1,000		1,110,970
Series 2012 A, RB(d)		4.00	%		10/01/22		2,205		2,287,313
Virgin Islands (Government of) Public Finance Authority; Series 2009 B, Ref. Sr. Lien RB		5.00	%		10/01/19		2,000		2,269,940
									5,933,737
Virginia–1.33%
Dulles Town Center Community Development Authority (Dulles Town Center); Series 2012, Ref. Special Assessment RB		4.25	%		03/01/26		700		647,052
Fairfax (County of) Economic Development Authority (Vinson Hall, LLC); Series 2013 A, Residential Care Facility RB		4.00	%		12/01/22		1,000		951,540
Fairfax (County of) Industrial Development Authority (Inova Health System); Series 2009 A, Health Care RB		5.13	%		05/15/24		1,000		1,106,400
Hanover (County of) Economic Development Authority (Covenant Woods); Series 2012 A, Residential Care Facility RB		4.00	%		07/01/22		1,320		1,214,664
Route 460 Funding Corp.; Series 2012 B, Sr. Lien Toll Road CAB RB(f)		0.00	%		07/01/25		600		340,806
Virginia (State of) Small Business Financing Authority (Elizabeth River Crossings Opco, LLC); Series 2012, Sr. Lien RB(c)		5.00	%		01/01/27		2,500		2,540,750
Virginia (State of) Small Business Financing Authority (Hampton Roads Proton Beam Therapy Institute at Hampton University, LLC); Series 2009, RB(b)(d)(h)		8.00	%		07/01/14		800		836,840
Washington (County of) Industrial Development Authority (Mountain States Health Alliance); Series 2009 C, Hospital Facility RB		7.25	%		07/01/19		780		867,836
White Oak Village Shops Community Development Authority; Series 2007, Special Assessment RB		5.30	%		03/01/17		559		597,235
									9,103,123
Washington–2.91%
Chelan (County of) Public Utility District No. 1; Series 2011 A, Ref. Consolidated RB(c)		5.50	%		07/01/25		1,000		1,141,670
Clark (County of) Public Utility District No. 1; Series 2009, Ref. Electric System RB		5.00	%		01/01/23		1,000		1,106,810
FYI Properties (Washington State District); Series 2009, Lease RB		5.25	%		06/01/26		2,000		2,212,780
Kalispel Tribe of Indians; Series 2008, RB		6.20	%		01/01/16		100		97,763
Seattle (City of);
Series 2007, Ref. Solid Waste RB		5.00	%		02/01/18		1,795		2,012,769
Series 2008, Ref. & Improvement Municipal Light & Power RB		5.75	%		04/01/23		1,725		2,026,840

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

23                         Invesco Intermediate Term Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Washington–(continued)
Seattle (Port of) (SEATAC Fuel Facilities LLC);
Series 2013, Ref. Special Facility RB(c)		5.00	%		06/01/21	$	650	$	744,322
Series 2013, Ref. Special Facility RB(c)		5.00	%		06/01/24		1,560		1,734,049
Tes Properties; Series 2009, RB		5.00	%		12/01/24		1,000		1,088,150
Washington (State of) Health Care Facilities Authority (PeaceHealth); Series 2014 A, Ref. RB		5.00	%		11/15/27		500		541,230
Washington (State of) Higher Education Facilities Authority (Whitworth University); Series 2009, Ref. RB		5.13	%		10/01/24		1,500		1,604,865
Washington (State of) Tobacco Settlement Authority; Series 2013, Ref. RB		5.00	%		06/01/22		3,260		3,736,058
Washington (State of); Series 2005 C, Motor Vehicle Fuel Unlimited Tax CAB GO Bonds (INS–AMBAC)(a)(f)		0.00	%		06/01/16		1,885		1,862,870
									19,910,176
West Virginia–0.56%
Ohio (County of) (Fort Henry Centre Financing District); Series 2007 A, Tax Increment Allocation RB		5.63	%		06/01/22		250		258,885
West Virginia (State of) Economic Development Authority (Appalachian Power Co.–Amos); Series 2011 A, Ref. Solid Waste Disposal Facilities RB(b)(c)		2.25	%		09/01/16		3,000		3,055,110
West Virginia (State of) Hospital Finance Authority (Thomas Health System); Series 2008, RB		6.00	%		10/01/20		500		524,020
									3,838,015
Wisconsin–1.72%
Milwaukee (County of);
Series 2010 B, Ref. Airport RB(c)		5.00	%		12/01/22		1,250		1,381,763
Series 2010 B, Ref. Airport RB(c)		5.00	%		12/01/23		1,000		1,092,000
Superior (City of) (Superior Water, Light & Power Co.); Series 2007 A, Ref. Collateralized Utility RB(c)		5.38	%		11/01/21		1,370		1,465,188
Wisconsin (State of) Health & Educational Facilities Authority (Aurora Health Care, Inc.);
Series 2009 B, RB(b)		4.75	%		08/15/14		1,000		1,019,340
Series 2009 B, RB(b)		5.13	%		08/15/16		1,000		1,101,310
Wisconsin (State of) Health & Educational Facilities Authority (Mercy Alliance);
Series 2012, RB		5.00	%		06/01/25		1,650		1,790,547
Series 2012, RB		5.00	%		06/01/26		1,000		1,068,050
Wisconsin (State of) Housing & Economic Development Authority; Series 2008 A, Home Ownership RB(c)		5.30	%		09/01/23		1,585		1,663,457
Wisconsin (State of) Public Finance Authority (Roseman University of Health Sciences); Series 2012, RB		5.00	%		04/01/22		1,165		1,175,753
									11,757,408
Wyoming–0.16%
Wyoming (State of) Municipal Power Agency; Series 2008 A, Power Supply RB		5.38	%		01/01/25		1,000		1,128,330
TOTAL INVESTMENTS(k)–100.00% (Cost $655,158,478)									684,854,694
FLOATING RATE NOTE OBLIGATIONS–(1.68)%
Notes with interest and fee rates ranging from 0.57% to 0.67% at 02/28/14 and contractual maturities of collateral ranging from 12/15/20 to 08/01/25 (See Note 1J)(l)									(11,525,000	)
OTHER ASSETS LESS LIABILITIES–1.68%									11,510,193
NET ASSETS–100.00%								$	684,839,887

Investment Abbreviations:

AGC	– Assured Guaranty Corp.
AGM	– Assured Guaranty Municipal Corp.
AMBAC	– American Municipal Bond Assurance Corp.
BHAC	– Berkshire Hathaway Assurance Corp.
CAB	– Capital Appreciation Bonds
CEP	– Credit Enhancement Provider
COP	– Certificates of Participation
Ctfs.	– Certificates
FHA	– Federal Housing Administration
FTA	– Federal Transit Administration
GO	– General Obligation
IDR	– Industrial Development Revenue Bonds
INS	– Insurer

MFH	– Multi-Family Housing
NATL	– National Public Finance Guarantee Corp.
PCR	– Pollution Control Revenue Bonds
PILOT	– Payment-in-Lieu-of-Tax
RAB	– Revenue Anticipation Bonds
RB	– Revenue Bonds
RN	– Revenue Notes
Ref.	– Refunding
Sec.	– Secured
Sr.	– Senior
Sub.	– Subordinated
TEMPS	– Tax-Exempt Mandatory Paydown Securities

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

24                         Invesco Intermediate Term Municipal Income Fund

Notes to Schedule of Investments:

^(a)  Principal and/or interest payments are secured by the bond insurance company listed.

^(b)  Security has an irrevocable call by the issuer or mandatory put by the holder. Maturity date reflects such call or put.

^(c)  Security subject to the alternative minimum tax.

^(d)  Security purchased or received in a transaction exempt from registration under the Securities Act of 1933, as amended (the “1933 Act”). The security may be resold pursuant to an exemption from registration under the 1933 Act, typically to qualified institutional buyers. The aggregate value of these securities at February 28, 2014 was $24,107,139, which represented 3.52% of the Fund’s Net Assets.

^(e)  Interest or dividend rate is redetermined periodically. Rate shown is the rate in effect on February 28, 2014.

^(f)  Zero coupon bonds issued at a discount.

^(g)  Underlying security related to Dealer Trusts entered into by the Fund. See Note 1J.

^(h)  Advance refunded; secured by an escrow fund of U.S. Government obligations or other highly rated collateral.

⁽ⁱ⁾  Defaulted security. Currently, the issuer is partially or fully in default with respect to interest payments. The aggregate value of these securities at February 28, 2014 was $240,577, which represented less than 1% of the Fund’s Net Assets.

^(j)  Advance refunded.

^(k)  This table provides a listing of those entities that have either issued, guaranteed, backed or otherwise enhanced the credit quality of more than 5% of the securities held in the portfolio. In instances where the entity has guaranteed, backed or otherwise enhanced the credit quality of a security, it is not primarily responsible for the issuer’s obligations but may be called upon to satisfy the issuer’s obligations.

Entities	Percentage
Assured Guaranty Municipal Corp.		8.3	%

^(l)  Floating rate note obligations related to securities held. The interest and fee rates shown reflect the rates in effect at February 28, 2014. At February 28, 2014, the Fund’s investments with a value of $19,645,018 are held by Dealer Trusts and serve as collateral for the $11,525,000 in the floating rate note obligations outstanding at that date.

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

25                         Invesco Intermediate Term Municipal Income Fund

Statement of Assets and Liabilities

February 28, 2014

Assets:
Investments, at value (Cost $655,158,478)	$	684,854,694
Cash		4,726,957
Receivable for:
Investments sold		2,406,788
Fund shares sold		2,166,031
Interest		7,713,970
Investment for trustee deferred compensation and retirement plans		73,812
Other assets		20,810
Total assets		701,963,062
Liabilities:
Floating rate note obligations		11,525,000
Payable for:
Investments purchased		3,519,862
Fund shares reacquired		1,074,841
Dividends		501,758
Accrued fees to affiliates		344,899
Accrued trustees’ and officers’ fees and benefits		4,419
Accrued other operating expenses		66,482
Trustee deferred compensation and retirement plans		85,914
Total liabilities		17,123,175
Net assets applicable to shares outstanding	$	684,839,887
Net assets consist of:
Shares of beneficial interest	$	741,473,898
Undistributed net investment income		1,325,347
Undistributed net realized gain (loss)		(87,655,574	)
Net unrealized appreciation		29,696,216
	$	684,839,887

Net Assets:
Class A	$	399,473,935
Class B	$	7,470,232
Class C	$	127,450,835
Class Y	$	150,444,885
Shares outstanding, $0.001 par value per share, with an unlimited number of shares authorized:
Class A		36,526,260
Class B		669,609
Class C		11,671,554
Class Y		13,767,938
Class A:
Net asset value per share	$	10.94
Maximum offering price per share
(Net asset value of $10.94 ¸ 97.50%)	$	11.22
Class B:
Net asset value and offering price per share	$	11.16
Class C:
Net asset value and offering price per share	$	10.92
Class Y:
Net asset value and offering price per share	$	10.93

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

26                         Invesco Intermediate Term Municipal Income Fund

Statement of Operations

For the year ended February 28, 2014

Investment income:
Interest	$	29,061,291
Expenses:
Advisory fees		3,497,855
Administrative services fees		181,001
Custodian fees		18,420
Distribution fees:
Class A		1,034,782
Class B		21,167
Class C		1,385,779
Interest, facilities and maintenance fees		72,185
Transfer agent fees		452,457
Trustees’ and officers’ fees and benefits		57,605
Other		291,092
Total expenses		7,012,343
Less: Fees waived and expense offset arrangement(s)		(656,471	)
Net expenses		6,355,872
Net investment income		22,705,419
Realized and unrealized gain (loss) from:
Net realized gain (loss) from investment securities		(7,718,183	)
Change in net unrealized appreciation (depreciation) of investment securities		(22,265,006	)
Net realized and unrealized gain (loss)		(29,983,189	)
Net increase (decrease) in net assets resulting from operations	$	(7,277,770	)

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

27                         Invesco Intermediate Term Municipal Income Fund

Statement of Changes in Net Assets

For the years ended February 28, 2014 and 2013

	2014			2013
Operations:
Net investment income	$	22,705,419		$	20,396,088
Net realized gain (loss)		(7,718,183	)		364,023
Change in net unrealized appreciation (depreciation)		(22,265,006	)		6,962,179
Net increase (decrease) in net assets resulting from operations		(7,277,770	)		27,722,290
Distributions to shareholders from net investment income:
Class A		(12,877,071	)		(12,967,975	)
Class B		(264,149	)		(393,131	)
Class C		(3,495,177	)		(2,519,896	)
Class Y		(5,179,078	)		(5,526,901	)
Total distributions from net investment income		(21,815,475	)		(21,407,903	)
Share transactions–net:
Class A		(5,486,705	)		99,099,650
Class B		(2,065,060	)		(1,588,331	)
Class C		7,994,716			53,941,429
Class Y		(4,211,167	)		23,037,239
Net increase (decrease) in net assets resulting from share transactions		(3,768,216	)		174,489,987
Net increase (decrease) in net assets		(32,861,461	)		180,804,374
Net assets:
Beginning of year		717,701,348			536,896,974
End of year (includes undistributed net investment income of $1,325,347 and $434,325, respectively)	$	684,839,887		$	717,701,348

Notes to Financial Statements

February 28, 2014

NOTE 1—Significant Accounting Policies

Invesco Intermediate Term Municipal Income Fund (the “Fund”) is a series portfolio of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”). The Trust is a Delaware statutory trust registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end series management investment company consisting of six separate portfolios, each authorized to issue an unlimited number of shares of beneficial interest. The assets, liabilities and operations of each portfolio are accounted for separately. Information presented in these financial statements pertains only to the Fund. Matters affecting each portfolio or class will be voted on exclusively by the shareholders of such portfolio or class.

The Fund’s investment objective is to provide investors with a high level of current income exempt from federal income tax, consistent with preservation of capital.

The Fund currently consists of four different classes of shares: Class A, Class B, Class C and Class Y. Class A shares are sold with a front-end sales charge unless certain waiver criteria are met and under certain circumstances load waived shares may be subject to contingent deferred sales charges (“CDSC”). Class C shares are sold with a CDSC. Class Y shares are sold at net asset value. Effective November 30, 2010, new or additional investments in Class B shares are no longer permitted. Existing shareholders of Class B shares may continue to reinvest dividends and capital gains distributions in Class B shares until they convert to Class A shares. Also, shareholders in Class B shares will be able to exchange those shares for Class B shares of other Invesco Funds offering such shares until they convert to Class A shares. Generally, Class B shares will automatically convert to Class A shares on or about the month-end, which is at least eight years after the date of purchase. Redemption of Class B shares prior to conversion date will be subject to a CDSC.

The following is a summary of the significant accounting policies followed by the Fund in the preparation of its financial statements.

A. Security Valuations — Securities, including restricted securities, are valued according to the following policy.

Securities are fair valued using an evaluated quote provided by an independent pricing service approved by the Board of Trustees. Evaluated quotes provided by the pricing service may be determined without exclusive reliance on quoted prices, and may reflect appropriate factors such as institution-size trading in similar groups of securities, developments related to specific securities, dividend rate (for unlisted equities), yield (for debt obligations), quality, type of issue, coupon rate (for debt obligations), maturity (for debt obligations), individual trading characteristics and other market data. Debt obligations are subject to interest rate and credit risks. In addition, all debt obligations involve some risk of default with respect to interest and/or principal payments.

Securities for which market quotations either are not readily available or became unreliable are valued at fair value as determined in good faith by or under the supervision of the Trust’s officers following procedures approved by the Board of Trustees. Some of the factors which may be considered in determining fair value are fundamental analytical data relating to the investment; the nature and duration of any restrictions on

28                         Invesco Intermediate Term Municipal Income Fund

transferability or disposition; trading in similar securities by the same issuer or comparable companies; relevant political, economic or issuer specific news; and other relevant factors under the circumstances.

The Fund invests in securities that are subject to interest rate risk, meaning the risk that the prices will generally fall as interest rates rise and, conversely, the prices will generally rise as interest rates fall. Specific securities differ in their sensitivity to changes in interest rates depending on their individual characteristics. Changes in interest rates may result in increased market volatility, which may affect the value and/or liquidity of certain of the Fund’s investments.

Valuations change in response to many factors including the historical and prospective earnings of the issuer, the value of the issuer’s assets, general economic conditions, interest rates, investor perceptions and market liquidity. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

B. Securities Transactions and Investment Income — Securities transactions are accounted for on a trade date basis. Realized gains or losses on sales are computed on the basis of specific identification of the securities sold. Interest income is recorded on the accrual basis from settlement date. Dividend income (net of withholding tax, if any) is recorded on the ex-dividend date. Bond premiums and discounts are amortized and/or accreted for financial reporting purposes.

The Fund may periodically participate in litigation related to Fund investments. As such, the Fund may receive proceeds from litigation settlements. Any proceeds received are included in the Statement of Operations as realized gain (loss) for investments no longer held and as unrealized gain (loss) for investments still held.

Brokerage commissions and mark ups are considered transaction costs and are recorded as an increase to the cost basis of securities purchased and/or a reduction of proceeds on a sale of securities. Such transaction costs are included in the determination of net realized and unrealized gain (loss) from investment securities reported in the Statement of Operations and the Statement of Changes in Net Assets and the net realized and unrealized gains (losses) on securities per share in the Financial Highlights. Transaction costs are included in the calculation of the Fund’s net asset value and, accordingly, they reduce the Fund’s total returns. These transaction costs are not considered operating expenses and are not reflected in net investment income reported in the Statement of Operations and Statement of Changes in Net Assets, or the net investment income per share and ratios of expenses and net investment income reported in the Financial Highlights, nor are they limited by any expense limitation arrangements between the Fund and the investment adviser.

The Fund allocates realized and unrealized capital gains and losses to a class based on the relative net assets of each class. The Fund allocates income to a class based on the relative value of the settled shares of each class.

C. Country Determination — For the purposes of making investment selection decisions and presentation in the Schedule of Investments, the investment adviser may determine the country in which an issuer is located and/or credit risk exposure based on various factors. These factors include the laws of the country under which the issuer is organized, where the issuer maintains a principal office, the country in which the issuer derives 50% or more of its total revenues and the country that has the primary market for the issuer’s securities, as well as other criteria. Among the other criteria that may be evaluated for making this determination are the country in which the issuer maintains 50% or more of its assets, the type of security, financial guarantees and enhancements, the nature of the collateral and the sponsor organization. Country of issuer and/or credit risk exposure has been determined to be the United States of America, unless otherwise noted.

D. Distributions — Distributions from income are declared daily and paid monthly. Distributions from net realized capital gain, if any, are generally declared and paid annually and recorded on the ex-dividend date. The Fund may elect to treat a portion of the proceeds from redemptions as distributions for federal income tax purposes.

E. Federal Income Taxes — The Fund intends to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”), necessary to qualify as a regulated investment company and to distribute substantially all of the Fund’s taxable and tax-exempt earnings to shareholders. As such, the Fund will not be subject to federal income taxes on otherwise taxable income (including net realized capital gain) that is distributed to shareholders. Therefore, no provision for federal income taxes is recorded in the financial statements.

The Fund recognizes the tax benefits of uncertain tax positions only when the position is more likely than not to be sustained. Management has analyzed the Fund’s uncertain tax positions and concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions. Management is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next 12 months.

In addition, the Fund intends to invest in such municipal securities to allow it to qualify to pay shareholders “exempt-interest dividends”, as defined in the Internal Revenue Code.

The Fund files tax returns in the U.S. Federal jurisdiction and certain other jurisdictions. Generally, the Fund is subject to examinations by such taxing authorities for up to three years after the filing of the return for the tax period.

F. Expenses — Fees provided for under the Rule 12b-1 plan of a particular class of the Fund and which are directly attributable to that class are charged to the operations of such class. All other expenses are allocated among the classes based on relative net assets.

G. Interest, Facilities and Maintenance Fees — Interest, Facilities and Maintenance Fees include interest and related borrowing costs such as commitment fees and other expenses associated with lines of credit and interest and administrative expenses related to establishing and maintaining floating rate note obligations, if any.

H. Accounting Estimates — The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period including estimates and assumptions related to taxation. Actual results could differ from those estimates by a significant amount. In addition, the Fund monitors for material events or transactions that may occur or become known after the period-end date and before the date the financial statements are released to print.

I. Indemnifications — Under the Trust’s organizational documents, each Trustee, officer, employee or other agent of the Trust is indemnified against certain liabilities that may arise out of the performance of their duties to the Fund. Additionally, in the normal course of business, the Fund enters into contracts, including the Fund’s servicing agreements, that contain a variety of indemnification clauses. The Fund’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund that have not yet occurred. The risk of material loss as a result of such indemnification claims is considered remote.

29                         Invesco Intermediate Term Municipal Income Fund

J. Floating Rate Note Obligations — The Fund invests in inverse floating rate securities, such as Residual Interest Bonds (“RIBs”) or Tender Option Bonds (“TOBs”) for investment purposes and to enhance the yield of the Fund. Inverse floating rate investments tend to underperform the market for fixed rate bonds in a rising interest rate environment, but tend to outperform the market for fixed rate bonds when interest rates decline or remain relatively stable. Such transactions may be purchased in the secondary market without first owning the underlying bond or by the sale of fixed rate bonds by the Fund to special purpose trusts established by a broker dealer (“Dealer Trusts”) in exchange for cash and residual interests in the Dealer Trusts’ assets and cash flows, which are in the form of inverse floating rate securities. The Dealer Trusts finance the purchases of the fixed rate bonds by issuing floating rate notes to third parties and allowing the Fund to retain residual interests in the bonds. The floating rate notes issued by the Dealer Trusts have interest rates that reset weekly and the floating rate note holders have the option to tender their notes to the Dealer Trusts for redemption at par at each reset date. The residual interests held by the Fund (inverse floating rate investments) include the right of the Fund (1) to cause the holders of the floating rate notes to tender their notes at par at the next interest rate reset date, and (2) to transfer the municipal bond from the Dealer Trusts to the Fund, thereby collapsing the Dealer Trusts.

Recently published final rules implementing section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Volcker Rule”) prohibit banking entities from engaging in proprietary trading of certain instruments and limit such entities’ investments in, and relationships with, “covered funds.” These rules may preclude banking entities from sponsoring and/or providing services for existing TOB trust programs. There can be no assurances that TOB trusts can be restructured substantially similar to their present form, that new sponsors of TOB trusts would begin providing these services, or that alternative forms of leverage will be available to the Trust in order to maintain current levels of leverage. Any alternative forms of leverage may be less advantageous to the Trust, and may adversely affect the Trust’s net asset value, distribution rate and ability to achieve its investment objective. The ultimate impact of these rules on the TOBs market and the municipal market generally is not yet certain.

TOBs are presently classified as private placement securities. Private placement securities are subject to restrictions on resale because they have not been registered under the Securities Act of 1933, as amended (the “1933 Act”), or are otherwise not readily marketable. As a result of the absence of a public trading market for these securities, they may be less liquid than publicly traded securities. Although these securities may be resold in privately negotiated transactions, the prices realized from these sales could be less than those originally paid by the Fund or less than what may be considered the fair value of such securities.

The Fund accounts for the transfer of bonds to the Dealer Trusts as secured borrowings, with the securities transferred remaining in the Fund’s investment assets, and the related floating rate notes reflected as Fund liabilities under the caption Floating rate note obligations on the Statement of Assets and Liabilities. The Fund records the interest income from the fixed rate bonds under the caption Interest and records the expenses related to floating rate obligations and any administrative expenses of the Dealer Trusts as a component of Interest, facilities and maintenance fees on the Statement of Operations.

The Fund generally invests in inverse floating rate securities that include embedded leverage, thus exposing the Fund to greater risks and increased costs. The primary risks associated with inverse floating rate securities are varying degrees of liquidity and the changes in the value of such securities in response to changes in market rates of interest to a greater extent than the value of an equal principal amount of a fixed rate security having similar credit quality, redemption provisions and maturity which may cause the Fund’s net asset value to be more volatile than if it had not invested in inverse floating rate securities. In certain instances, the short-term floating rate interests created by the special purpose trust may not be able to be sold to third parties or, in the case of holders tendering (or putting) such interests for repayment of principal, may not be able to be remarketed to third parties. In such cases, the special purpose trust holding the long-term fixed rate bonds may be collapsed. In the case of RIBs or TOBs created by the contribution of long-term fixed income bonds by the Fund, the Fund will then be required to repay the principal amount of the tendered securities. During times of market volatility, illiquidity or uncertainty, the Fund could be required to sell other portfolio holdings at a disadvantageous time to raise cash to meet that obligation.

K. Other Risks — The value of, payment of interest on, repayment of principal for and the ability to sell a municipal security may be affected by constitutional amendments, legislative enactments, executive orders, administrative regulations, voter initiatives and the economics of the regions in which the issuers are located.

Since many municipal securities are issued to finance similar projects, especially those relating to education, health care, transportation and utilities, conditions in those sectors can affect the overall municipal securities market and a Fund’s investments in municipal securities.

There is some risk that a portion or all of the interest received from certain tax-free municipal securities could become taxable as a result of determinations by the Internal Revenue Service.

NOTE 2—Advisory Fees and Other Fees Paid to Affiliates

The Trust has entered into a master investment advisory agreement with Invesco Advisers, Inc. (the “Adviser” or “Invesco”). Under the terms of the investment advisory agreement, the Fund pays an advisory fee to the Adviser based on the annual rate of the Fund’s average daily net assets as follows:

Average Daily Net Assets	Rate
First $500 million		0.50%
Over $500 million		0.45%

Under the terms of a master sub-advisory agreement between the Adviser and each of Invesco Asset Management Deutschland GmbH, Invesco Asset Management Limited, Invesco Asset Management (Japan) Limited, Invesco Australia Limited, Invesco Hong Kong Limited, Invesco Senior Secured Management, Inc. and Invesco Canada Ltd. (collectively, the “Affiliated Sub-Advisers”) the Adviser, not the Fund, may pay 40% of the fees paid to the Adviser to any such Affiliated Sub-Adviser(s) that provide(s) discretionary investment management services to the Fund based on the percentage of assets allocated to such Sub-Adviser(s).

Effective July 1, 2013, the Adviser has contractually agreed, through at least June 30, 2014, to waive advisory fees and/or reimburse expenses of all shares to the extent necessary to limit total annual fund operating expenses after fee waiver and/or expense reimbursement (excluding certain items discussed below) of Class A, Class B, Class C and Class Y shares to 0.80%, 1.55%, 1.55% and 0.55% of average daily net assets,

30                         Invesco Intermediate Term Municipal Income Fund

respectively. Prior to July 1, 2013, the Adviser had contractually agreed to waive advisory fees and/or reimburse expenses of all shares to the extent necessary to limit total annual fund operating expenses after fee waiver and/or expense reimbursement (excluding certain items discussed below) of Class A, Class B, Class C and Class Y shares to 0.75%, 1.50%, 1.50% and 0.50%, respectively, of average daily net assets. In determining the Adviser’s obligation to waive advisory fees and/or reimburse expenses, the following expenses are not taken into account, and could cause the net annual fund operating expenses after fee waiver and/or expense reimbursement to exceed the numbers reflected above: (1) interest, facilities and maintenance fees; (2) taxes; (3) dividend expense on short sales; (4) extraordinary or non-routine items, including litigation expenses; and (5) expenses that the Fund has incurred but did not actually pay because of an expense offset arrangement. Unless Invesco continues the fee waiver agreement, it will terminate on June 30, 2014. The fee waiver agreement cannot be terminated during its term.

For the year ended February 28, 2014, the Adviser waived advisory fees of $656,334.

The Trust has entered into a master administrative services agreement with Invesco pursuant to which the Fund has agreed to pay Invesco for certain administrative costs incurred in providing accounting services to the Fund. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Administrative services fees.

The Trust has entered into a transfer agency and service agreement with Invesco Investment Services, Inc. (“IIS”) pursuant to which the Fund has agreed to pay IIS a fee for providing transfer agency and shareholder services to the Fund and reimburse IIS for certain expenses incurred by IIS in the course of providing such services. IIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. All fees payable by IIS to intermediaries that provide omnibus account services or sub-accounting are charged back to the Fund, subject to certain limitations approved by the Trust’s Board of Trustees. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Transfer agent fees.

Shares of the Fund are distributed by Invesco Distributors, Inc. (“IDI”). The Fund has adopted a distribution plan pursuant to Rule 12b-1 under the 1940 Act, and a service plan (collectively, the “Plans”) for Class A shares, Class B shares and Class C shares to compensate IDI for the sale, distribution, shareholder servicing and maintenance of shareholder accounts for these shares. Under the Plans, the Fund will incur annual fees of up to 0.25% of Class A average daily net assets and up to 1.00% each of Class B and Class C average daily net assets.

With respect to Class B and Class C shares, the Fund is authorized to reimburse in future years any distribution related expenses that exceed the maximum annual reimbursement rate for such class, so long as such reimbursement does not cause the Fund to exceed the Class B and Class C maximum annual reimbursement rate, respectively. With respect to Class A shares, distribution related expenses that exceed the maximum annual reimbursement rate for such class are not carried forward to future years and the Fund will not reimburse IDI for any such expenses.

For the year ended February 28, 2014, expenses incurred under these agreements are shown in the Statement of Operations as Distribution fees.

Front-end sales commissions and CDSC (collectively, the “sales charges”) are not recorded as expenses of the Fund. Front-end sales commissions are deducted from proceeds from the sales of Fund shares prior to investment in Class A shares of the Fund. CDSC are deducted from redemption proceeds prior to remittance to the shareholder. During the year ended February 28, 2014, IDI advised the Fund that IDI retained $159,749 in front-end sales commissions from the sale of Class A shares and $72,409, $11,400 and $24,267 from Class A, Class B and Class C shares, respectively, for CDSC imposed on redemptions by shareholders.

Certain officers and trustees of the Trust are officers and directors of the Adviser, IIS and/or IDI.

NOTE 3—Additional Valuation Information

GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, under current market conditions. GAAP establishes a hierarchy that prioritizes the inputs to valuation methods, giving the highest priority to readily available unadjusted quoted prices in an active market for identical assets (Level 1) and the lowest priority to significant unobservable inputs (Level 3), generally when market prices are not readily available or are unreliable. Based on the valuation inputs, the securities or other investments are tiered into one of three levels. Changes in valuation methods may result in transfers in or out of an investment’s assigned level:

Level 1 — Prices are determined using quoted prices in an active market for identical assets.

Level 2 — Prices are determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk, yield curves, loss severities, default rates, discount rates, volatilities and others.

Level 3 — Prices are determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund’s own assumptions about the factors market participants would use in determining fair value of the securities or instruments and would be based on the best available information.

As of February 28, 2014, all of the securities in this Fund were valued based on Level 2 inputs (see the Schedule of Investments for security categories). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

NOTE 4—Security Transactions with Affiliated Funds

The Fund is permitted to purchase or sell securities from or to certain other Invesco Funds under specified conditions outlined in procedures adopted by the Board of Trustees of the Trust. The procedures have been designed to ensure that any purchase or sale of securities by the Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common Trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under the procedures, each transaction is effected at the current market price. Pursuant to these procedures, for the year ended February 28, 2014, the Fund engaged in securities purchases of $11,067,476.

NOTE 5—Expense Offset Arrangement(s)

The expense offset arrangement is comprised of transfer agency credits which result from balances in demand deposit accounts used by the transfer agent for clearing shareholder transactions. For the year ended February 28, 2014, the Fund received credits from this arrangement, which resulted in the reduction of the Fund’s total expenses of $137.

31                         Invesco Intermediate Term Municipal Income Fund

NOTE 6—Trustees’ and Officers’ Fees and Benefits

Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to pay remuneration to certain Trustees and Officers of the Fund. Trustees have the option to defer compensation payable by the Fund, and Trustees’ and Officers’ Fees and Benefits also include amounts accrued by the Fund to fund such deferred compensation amounts. Those Trustees who defer compensation have the option to select various Invesco Funds in which their deferral accounts shall be deemed to be invested. Finally, certain current Trustees were eligible to participate in a retirement plan that provided for benefits to be paid upon retirement to Trustees over a period of time based on the number of years of service. The Fund may have certain former Trustees who also participate in a retirement plan and receive benefits under such plan. Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to fund such retirement benefits. Obligations under the deferred compensation and retirement plans represent unsecured claims against the general assets of the Fund.

NOTE 7—Cash Balances

The Fund is permitted to temporarily carry a negative or overdrawn balance in its account with State Street Bank and Trust Company (“SSB”), the custodian bank. Such balances, if any at period end, are shown in the Statement of Assets and Liabilities under the payable caption Amount due custodian. To compensate the custodian bank for such overdrafts, the overdrawn Fund may either (1) leave funds as a compensating balance in the account so the custodian bank can be compensated by earning the additional interest; or (2) compensate by paying the custodian bank at a rate agreed upon by the custodian bank and Invesco, not to exceed the contractually agreed upon rate.

Inverse floating rate obligations resulting from the transfer of bonds to Dealer Trusts are accounted for as secured borrowings. The average floating rate notes outstanding and average annual interest and fee rate related to inverse floating rate note obligations during the year ended February 28, 2014 were $11,525,000 and 0.63%, respectively.

NOTE 8—Distributions to Shareholders and Tax Components of Net Assets

Tax Character of Distributions to Shareholders Paid During the Years Ended February 28, 2014 and 2013:

	2014		2013
Ordinary income — tax exempt	$	21,815,475	$	21,407,903

Tax Components of Net Assets at Period-End:

	2014
Undistributed ordinary income	$	839,422
Net unrealized appreciation — investments		29,631,280
Temporary book/tax differences		(87,099	)
Capital loss carryforward		(84,894,717	)
Post-October deferrals		(2,122,897	)
Shares of beneficial interest		741,473,898
Total net assets	$	684,839,887

The difference between book-basis and tax-basis unrealized appreciation (depreciation) is due to differences in the timing of recognition of gains and losses on investments for tax and book purposes. The Fund’s net unrealized appreciation difference is attributable primarily to wash sales, TOBs, book to tax accretion and amortization differences and defaulted bonds.

The temporary book/tax differences are a result of timing differences between book and tax recognition of income and/or expenses. The Fund’s temporary book/tax differences are the result of the trustee deferral of compensation and retirement plan benefits.

Capital loss carryforward is calculated and reported as of a specific date. Results of transactions and other activity after that date may affect the amount of capital loss carryforward actually available for the Fund to utilize. Capital losses generated in years beginning after December 22, 2010 can be carried forward for an unlimited period, whereas previous losses expire in 8 tax years. Capital losses with an expiration period may not be used to offset capital gains until all net capital losses without an expiration date have been utilized. Capital loss carryforwards with no expiration date will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The ability to utilize capital loss carryforward in the future may be limited under the Internal Revenue Code and related regulations based on the results of future transactions.

The Fund has a capital loss carryforward as of February 28, 2014, which expires as follows:

Capital Loss Carryforward*
Expiration	Short-Term		Long-Term		Total
February 28, 2018	$	56,141,670	$	—	$	56,141,670
February 28, 2019		23,141,936		—		23,141,936
No expiration date		4,881,401		729,710		5,611,111
Total capital loss carryforward	$	84,165,007	$	729,710	$	84,894,717

* Capital loss carryforward as of the date listed above is reduced for limitations, if any, to the extent required by the Internal Revenue Code and may be further limited depending upon a variety of factors, including the realization of net unrealized gains or losses as of the date of any reorganization.

32                         Invesco Intermediate Term Municipal Income Fund

NOTE 9—Investment Securities

The aggregate amount of investment securities (other than short-term securities, U.S. Treasury obligations and money market funds, if any) purchased and sold by the Fund during the year ended February 28, 2014 was $165,675,761 and $178,301,712, respectively. Cost of investments on a tax basis includes the adjustments for financial reporting purposes as of the most recently completed federal income tax reporting period-end.

Unrealized Appreciation (Depreciation) of Investment Securities on a Tax Basis
Aggregate unrealized appreciation of investment securities	$	36,030,164
Aggregate unrealized (depreciation) of investment securities		(6,398,884	)
Net unrealized appreciation of investment securities	$	29,631,280

Cost of investments for tax purposes is $655,223,414.

NOTE 10—Reclassification of Permanent Differences

Primarily as a result of differing book/tax treatment of expired capital loss carryforward, on February 28, 2014, undistributed net investment income was increased by $1,078, undistributed net realized gain (loss) was increased by $1,846,171 and shares of beneficial interest was decreased by $1,847,249. This reclassification had no effect on the net assets of the Fund.

NOTE 11—Share Information

	Summary of Share Activity
	Years ended February 28,
	2014(a)						2013
	Shares			Amount			Shares			Amount
Sold:
Class A		15,034,529		$	164,923,115			14,285,975		$	160,968,717
Class B		56,218			622,145			76,318			876,029
Class C		9,596,056			106,535,837			6,541,970			73,691,626
Class Y		4,694,245			51,088,974			4,998,960			56,309,850
Issued as reinvestment of dividends:
Class A		779,321			8,499,518			764,168			8,604,015
Class B		16,364			182,236			23,230			266,630
Class C		251,049			2,733,352			162,644			1,829,124
Class Y		352,529			3,842,222			396,451			4,457,187
Automatic conversion of Class B shares to Class A shares:
Class A		57,714			631,641			112,696			1,268,464
Class B		(56,571	)		(631,641	)		(110,457	)		(1,268,464	)
Reacquired:
Class A		(16,538,772	)		(179,540,979	)		(6,374,598	)		(71,741,546	)
Class B		(201,983	)		(2,237,800	)		(127,425	)		(1,462,526	)
Class C		(9,347,879	)		(101,274,473	)		(1,918,238	)		(21,579,321	)
Class Y		(5,458,968	)		(59,142,363	)		(3,355,474	)		(37,729,798	)
Net increase (decrease) in share activity		(766,148	)	$	(3,768,216	)		15,476,220		$	174,489,987

^(a)  There are entities that are record owners of more than 5% of the outstanding shares of the Fund and in the aggregate own 67% of the outstanding shares of the Fund. IDI has an agreement with these entities to sell Fund shares. The Fund, Invesco and/or Invesco affiliates may make payments to these entities, which are considered to be related to the Fund, for providing services to the Fund, Invesco and/or Invesco affiliates including but not limited to services such as securities brokerage, distribution, third party record keeping and account servicing. The Fund has no knowledge as to whether all or any portion of the shares owned of record by these entities are also owned beneficially.

33                         Invesco Intermediate Term Municipal Income Fund

NOTE 12—Financial Highlights

The following schedule presents financial highlights for a share of the Fund outstanding throughout the periods indicated.

	Net asset value, beginning of period		Net investment income(a)		Net gains (losses) on securities (both realized and unrealized)			Total from investment operations			Dividends from net investment income			Net asset value, end of period		Total return			Net assets, end of period (000’s omitted)		Ratio of expenses to average net assets with fee waivers and/or expenses absorbed			Ratio of expenses to average net assets without fee waivers and/or expenses absorbed			Ratio of net investment income to average net assets			Ratio of expenses to average net assets with fee waivers (excluding interest, facilities and maintenance fees)			Portfolio turnover(b)
Class A
Year ended 02/28/14	$	11.32	$	0.35	$	(0.39	)	$	(0.04	)	$	(0.34	)	$	10.94		(0.30	)%(c)	$	399,474		0.79	%(d)		0.88	%(d)		3.24	%(d)		0.78	%(d)		24	%
Year ended 02/28/13		11.20		0.39		0.14			0.53			(0.41	)		11.32		4.85	(c)		421,107		0.76			0.89			3.49			0.75			10
Year ended 02/29/12		10.57		0.43		0.62			1.05			(0.42	)		11.20		10.18	(c)		318,219		0.76			0.89			3.96			0.75			16
Period ended 02/28/11		11.03		0.19		(0.47	)		(0.28	)		(0.18	)		10.57		(2.57	)(c)		222,214		0.81	(e)		0.91	(e)		4.19	(e)		0.80	(e)		4
Year ended 09/30/10		10.80		0.44		0.21			0.65			(0.42	)		11.03		6.24	(c)		270,764		0.83			0.93			4.05			0.82			12
Year ended 09/30/09		10.05		0.42		0.76			1.18			(0.43	)		10.80		12.16	(f)		225,086		0.93			1.03			4.16			0.90			23
Class B
Year ended 02/28/14		11.55		0.36		(0.40	)		(0.04	)		(0.35	)		11.16		(0.32	)(c)(g)		7,470		0.79	(d)(g)		0.88	(d)(g)		3.24	(d)(g)		0.78	(d)(g)		24
Year ended 02/28/13		11.43		0.40		0.14			0.54			(0.42	)		11.55		4.82	(c)(g)		9,881		0.76	(g)		0.89	(g)		3.49	(g)		0.75	(g)		10
Year ended 02/29/12		10.74		0.42		0.64			1.06			(0.37	)		11.43		10.02	(c)(g)		11,358		0.93	(g)		1.06	(g)		3.79	(g)		0.92	(g)		16
Period ended 02/28/11		11.20		0.16		(0.47	)		(0.31	)		(0.15	)		10.74		(2.81	)(c)		13,089		1.56	(e)		1.66	(e)		3.44	(e)		1.55	(e)		4
Year ended 09/30/10		10.96		0.36		0.22			0.58			(0.34	)		11.20		5.46	(c)		16,362		1.58			1.68			3.30			1.57			12
Year ended 09/30/09		10.19		0.36		0.77			1.13			(0.36	)		10.96		11.42	(g)(h)		13,648		1.57	(g)		1.67	(g)		3.53	(g)		1.55	(g)		23
Class C
Year ended 02/28/14		11.31		0.27		(0.40	)		(0.13	)		(0.26	)		10.92		(1.08	)(c)(g)		127,451		1.50	(d)(g)		1.59	(d)(g)		2.53	(d)(g)		1.49	(d)(g)		24
Year ended 02/28/13		11.19		0.31		0.14			0.45			(0.33	)		11.31		4.07	(c)		126,310		1.51			1.64			2.74			1.50			10
Year ended 02/29/12		10.56		0.35		0.62			0.97			(0.34	)		11.19		9.37	(c)		71,439		1.51			1.64			3.21			1.50			16
Period ended 02/28/11		11.02		0.15		(0.47	)		(0.32	)		(0.14	)		10.56		(2.88	)(c)		55,088		1.56	(e)		1.66	(e)		3.44	(e)		1.55	(e)		4
Year ended 09/30/10		10.78		0.35		0.23			0.58			(0.34	)		11.02		5.53	(c)		61,646		1.58			1.68			3.30			1.57			12
Year ended 09/30/09		10.03		0.34		0.77			1.11			(0.36	)		10.78		11.35	(i)		38,649		1.68			1.78			3.41			1.66			23
Class Y(j)
Year ended 02/28/14		11.31		0.38		(0.39	)		(0.01	)		(0.37	)		10.93		(0.06	)(c)		150,445		0.54	(d)		0.63	(d)		3.49	(d)		0.53	(d)		24
Year ended 02/28/13		11.19		0.42		0.14			0.56			(0.44	)		11.31		5.11	(c)		160,404		0.51			0.64			3.74			0.50			10
Year ended 02/29/12		10.56		0.46		0.62			1.08			(0.45	)		11.19		10.45	(c)		135,882		0.51			0.64			4.21			0.50			16
Period ended 02/28/11		11.03		0.20		(0.48	)		(0.28	)		(0.19	)		10.56		(2.56	)(c)		14,096		0.56	(e)		0.66	(e)		4.44	(e)		0.55	(e)		4
Year ended 09/30/10		10.79		0.46		0.23			0.69			(0.45	)		11.03		6.56	(c)		9,361		0.58			0.68			4.30			0.57			12
Year ended 09/30/09		10.04		0.45		0.76			1.21			(0.46	)		10.79		12.45	(k)		6,598		0.67			0.77			4.49			0.65			23

^(a)  Calculated using average shares outstanding.

^(b)  Portfolio turnover is calculated at the fund level and is not annualized for periods less than one year, if applicable. For the year ended February 29, 2012, the portfolio turnover calculation excludes the value of securities purchased of $202,122,885 and sold of $25,268,549 in the effort to realign the Fund’s portfolio holdings after the reorganization of Invesco Municipal Fund into the Fund.

^(c)  Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions. Does not include sales charges and is not annualized for periods less than one year, if applicable.

^(d)  Ratios are based on average daily net assets (000’s omitted) of $413,913, $8,467, $145,461 and $153,905 for Class A, Class B, Class C and Class Y shares, respectively.

^(e)  Annualized.

^(f)  Assumes reinvestment of all distributions for the period and does not include payment of the maximum sales charge of 4.75% or contingent deferred sales charge (CDSC). On purchases of $1 million or more, a CDSC of 1% may be imposed on certain redemptions made within eighteen months of purchase. If the sales charges were included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 0.25% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

^(g)  The total return, ratio of expense to average net assets and ratio of net investment income to average net assets reflect actual 12b-1 fees of less than 1%.

^(h)  Assumes reinvestment of all distributions for the period and does not include payment of the maximum CDSC of 4%, charged on certain redemptions made within one year of purchase and declining to 0% after the fifth year. If the sales charge was included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 1% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

⁽ⁱ⁾  Assumes reinvestment of all distributions for the period and does not include payment of the maximum CDSC of 1%, charged on certain redemptions made within one year of purchase. If the sales charge was included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 1% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

^(j)  On June 1, 2010, Class I shares of Van Kampen Intermediate Term Municipal Income Fund were reorganized into Class Y shares of the Fund.

^(k)  Assumes reinvestment of all distributions for the period. These returns do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption on Fund shares.

34                         Invesco Intermediate Term Municipal Income Fund

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds)

and Shareholders of Invesco Intermediate Term Municipal Income Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Invesco Intermediate Term Municipal Income Fund (one of the funds constituting AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds), hereafter referred to as the “Fund”) at February 28, 2014, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the three years in the period then ended, the five month period ended February 28, 2011 and the year ended September 30, 2010, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at February 28, 2014 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion. The financial highlights of the Fund for the period ended September 30, 2009 were audited by another independent registered public accounting firm whose report dated November 20, 2009 expressed an unqualified opinion on such financial statement.

PRICEWATERHOUSECOOPERS LLP

April 28, 2014

Houston, Texas

35                         Invesco Intermediate Term Municipal Income Fund

Calculating your ongoing Fund expenses

Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, which may include sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any; and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period September 1, 2013 through February 28, 2014.

Actual expenses

The table below provides information about actual account values and actual expenses. You may use the information in this table, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the table under the heading entitled “Actual Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The table below also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return.

The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher.

Class	Beginning Account Value (09/01/13)		ACTUAL				HYPOTHETICAL (5% annual return before expenses)				Annualized Expense Ratio
			Ending Account Value (02/28/14)1		Expenses Paid During Period2		Ending Account Value (02/28/14)		Expenses Paid During Period2
A	$	1,000.00	$	1,047.10	$	4.06	$	1,020.83	$	4.01		0.80	%
B		1,000.00		1,047.40		4.06		1,020.83		4.01		0.80
C		1,000.00		1,043.90		7.55		1,017.41		7.45		1.49
Y		1,000.00		1,048.40		2.79		1,022.07		2.76		0.55

¹  The actual ending account value is based on the actual total return of the Fund for the period September 1, 2013 through February 28, 2014, after actual expenses and will differ from the hypothetical ending account value which is based on the Fund’s expense ratio and a hypothetical annual return of 5% before expenses.

²  Expenses are equal to the Fund’s annualized expense ratio as indicated above multiplied by the average account value over the period, multiplied by 181/365 to reflect the most recent fiscal half year.

36                         Invesco Intermediate Term Municipal Income Fund

Tax Information

Form 1099-DIV, Form 1042-S and other year–end tax information provide shareholders with actual calendar year amounts that should be included in their tax returns. Shareholders should consult their tax advisors.

The following distribution information is being provided as required by the Internal Revenue Code or to meet a specific state’s requirement.

The Fund designates the following amounts or, if subsequently determined to be different, the maximum amount allowable for its fiscal year ended February 28, 2014:

Federal and State Income Tax
Qualified Dividend Income*	0	%
Corporate Dividends Received Deduction*	0	%
U.S. Treasury Obligations*	0	%
Tax-Exempt Interest Dividends*	100	%

* The above percentages are based on ordinary income dividends paid to shareholders during the Fund’s fiscal year.

37                         Invesco Intermediate Term Municipal Income Fund

Trustees and Officers

The address of each trustee and officer is AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”), 11 Greenway Plaza, Suite 1000, Houston, Texas 77046-1173. The trustees serve for the life of the Trust, subject to their earlier death, incapacitation, resignation, retirement or removal as more specifically provided in the Trust’s organizational documents. Each officer serves for a one year term or until their successors are elected and qualified. Column two below includes length of time served with predecessor entities, if any.

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Interested Persons
Martin L. Flanagan1 — 1960 Trustee	2007	Executive Director, Chief Executive Officer and President, Invesco Ltd. (ultimate parent of Invesco and a global investment management firm); Advisor to the Board, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Trustee, The Invesco Funds; Vice Chair, Investment Company Institute; and Member of Executive Board, SMU Cox School of Business Formerly: Chairman and Chief Executive Officer, Invesco Advisers, Inc. (registered investment adviser); Director, Chairman, Chief Executive Officer and President, IVZ Inc. (holding company), INVESCO Group Services, Inc. (service provider) and Invesco North American Holdings, Inc. (holding company); Director, Chief Executive Officer and President, Invesco Holding Company Limited (parent of Invesco and a global investment management firm); Director, Invesco Ltd.; Chairman, Investment Company Institute and President, Co-Chief Executive Officer, Co-President, Chief Operating Officer and Chief Financial Officer, Franklin Resources, Inc. (global investment management organization).	123	None
Philip A. Taylor2 — 1954 Trustee, President and Principal Executive Officer	2006	Head of North American Retail and Senior Managing Director, Invesco Ltd.; Director, Co-Chairman, Co-President and Co-Chief Executive Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Director, Chairman, Chief Executive Officer and President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) (financial services holding company); Director and President, INVESCO Funds Group, Inc. (registered investment adviser and registered transfer agent); Director and Chairman, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) (registered transfer agent) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.) (registered broker dealer); Director, President and Chairman, Invesco Inc. (holding company) and Invesco Canada Holdings Inc. (holding company); Chief Executive Officer, Invesco Corporate Class Inc. (corporate mutual fund company) and Invesco Canada Fund Inc. (corporate mutual fund company); Director, Chairman and Chief Executive Officer, Invesco Canada Ltd. (formerly known as Invesco Trimark Ltd./Invesco Trimark Ltèe) (registered investment adviser and registered transfer agent); Trustee, President and Principal Executive Officer, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); Trustee and Executive Vice President, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only); Director, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Director, Chief Executive Officer and President, Van Kampen Exchange Corp. Formerly: Director and Chairman, Van Kampen Investor Services Inc.; Director, Chief Executive Officer and President, 1371 Preferred Inc. (holding company); and Van Kampen Investments Inc.; Director and President, AIM GP Canada Inc. (general partner for limited partnerships); and Van Kampen Advisors, Inc.; Director and Chief Executive Officer, Invesco Trimark Dealer Inc. (registered broker dealer); Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) (registered broker dealer); Manager, Invesco PowerShares Capital Management LLC; Director, Chief Executive Officer and President, Invesco Advisers, Inc.; Director, Chairman, Chief Executive Officer and President, Invesco Aim Capital Management, Inc.; President, Invesco Trimark Dealer Inc. and Invesco Trimark Ltd./Invesco Trimark Ltèe; Director and President, AIM Trimark Corporate Class Inc. and AIM Trimark Canada Fund Inc.; Senior Managing Director, Invesco Holding Company Limited; Trustee and Executive Vice President, Tax-Free Investments Trust; Director and Chairman, Fund Management Company (former registered broker dealer); President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only); President, AIM Trimark Global Fund Inc. and AIM Trimark Canada Fund Inc.	123	None
Wayne W. Whalen3 — 1939 Trustee	2010	Of Counsel, and prior to 2010, partner in the law firm of Skadden, Arps, Slate, Meagher & Flom LLP, legal counsel to certain funds in the Fund Complex.	136	Director of the Mutual fund Directors Forum, a nonprofit membership organization for investment directors; Chairman and Director of the Abraham Lincoln Presidential Library Foundation; and Director of the Stevenson Center for Democracy

¹  Mr. Flanagan is considered an interested person of the Trust because he is an officer of the adviser to the Trust, and an officer and a director of Invesco Ltd., ultimate parent of the adviser to the Trust.

²  Mr. Taylor is considered an interested person of the Trust because he is an officer and a director of the adviser to, and a director of the principal underwriter of, the Trust.

³  Mr. Whalen is considered an “interested person” (within the meaning of Section 2(a)(19) of the 1940 Act) of certain funds in the Fund Complex because his firm currently provides legal services as legal counsel to such Funds.

T-1                         Invesco Intermediate Term Municipal Income Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees
Bruce L. Crockett — 1944 Trustee and Chair	1993	Chairman, Crockett Technologies Associates (technology consulting company) Formerly: Director, Captaris (unified messaging provider); Director, President and Chief Executive Officer COMSAT Corporation; Chairman, Board of Governors of INTELSAT (international communications company); ACE Limited (insurance company); and Investment Company Institute	123	ALPS (Attorneys Liability Protection Society) (insurance company)
David C. Arch — 1945 Trustee	2010	Chairman of Blistex Inc., a consumer health care products manufacturer	136	Board member of the Illinois Manufacturers’ Association; Member of the Board of Visitors, Institute for the Humanities University of Michigan; Member of the Audit Committee of the Edward-Elmhurst Hospital
Frank S. Bayley — 1939 Trustee	2001	Retired. Formerly: Director, Badgley Funds Inc. (registered investment company) (2 portfolios) and General Partner and Of Counsel, law firm of Baker & McKenzie, LLP	123	Director and Chairman, C.D. Stimson Company (a real estate investment company); Trustee, The Curtis Institute of Music
James T. Bunch — 1942 Trustee	2003	Managing Member, Grumman Hill Group LLC (family office private equity investments) Formerly: Founder, Green Manning & Bunch Ltd. (investment banking firm) (1988-2010); Executive Committee, United States Golf Association; and Director, Policy Studies, Inc. and Van Gilder Insurance Corporation.	123	Chairman, Board of Governors, Western Golf Association, Chairman, Evans Scholars Foundation and Director, Denver Film Society
Rodney F. Dammeyer — 1940 Trustee	2010	Chairman of CAC,LLC, (private company offering capital investment and management advisory services) Formerly: Prior to 2001, Managing Partner at Equity Group Corporate Investments. Prior to 1995, Chief Executive Officer of Itel Corporation (formerly Anixter International). Prior to 1985, experience includes Senior Vice President and Chief Financial Officer of Household International, Inc., Executive Vice President and Chief Financial Officer of Northwest Industries, Inc. and Partner of Arthur Andersen & Co.; From 1987 to 2010, Director/Trustee of investment companies in the Van Kampen Funds complex	123	Director of Quidel Corporation and Stericycle, Inc.
Albert R. Dowden —��1941 Trustee	2000	Director of a number of public and private business corporations, including the Boss Group, Ltd. (private investment and management); Nature’s Sunshine Products, Inc. and Reich & Tang Funds (5 portfolios) (registered investment company) Formerly: Director, Homeowners of America Holding Corporation/Homeowners of America Insurance Company (property casualty company); Director, Continental Energy Services, LLC (oil and gas pipeline service); Director, CompuDyne Corporation (provider of product and services to the public security market) and Director, Annuity and Life Re (Holdings), Ltd. (reinsurance company); Director, President and Chief Executive Officer, Volvo Group North America, Inc.; Senior Vice President, AB Volvo; Director of various public and private corporations; Chairman, DHJ Media, Inc.; Director, Magellan Insurance Company; and Director, The Hertz Corporation, Genmar Corporation (boat manufacturer), National Media Corporation; Advisory Board of Rotary Power International (designer, manufacturer, and seller of rotary power engines); and Chairman, Cortland Trust, Inc. (registered investment company)	123	Director of: Nature’s Sunshine Products, Inc., Reich & Tang Funds, Homeowners of America Holding Corporation/ Homeowners of America Insurance Company, the Boss Group
Jack M. Fields — 1952 Trustee	1997	Chief Executive Officer, Twenty First Century Group, Inc. (government affairs company); Owner and Chief Executive Officer, Dos Angeles Ranch, L.P. (cattle, hunting, corporate entertainment); and Discovery Global Education Fund (non-profit) Formerly: Chief Executive Officer, Texana Timber LP (sustainable forestry company); Director of Cross Timbers Quail Research Ranch (non-profit); and member of the U.S. House of Representatives	123	Insperity, Inc. (formerly known as Administaff)
Prema Mathai-Davis — 1950 Trustee	1998	Retired. Formerly: Chief Executive Officer, YWCA of the U.S.A.	123	None
Larry Soll — 1942 Trustee	2003	Retired. Formerly: Chairman, Chief Executive Officer and President, Synergen Corp. (a biotechnology company)	123	None

T-2                         Invesco Intermediate Term Municipal Income Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees—(continued)
Hugo F. Sonnenschein — 1940 Trustee	2010	President Emeritus and Honorary Trustee of the University of Chicago and the Adam Smith Distinguished Service Professor in the Department of Economics at the University of Chicago. Prior to 2000, President of the University of Chicago	136	Trustee of the University of Rochester and a member of its investment committee; Member of the National Academy of Sciences and the American Philosophical Society; Fellow of the American Academy of Arts and Sciences
Raymond Stickel, Jr. — 1944 Trustee	2005	Retired. Formerly: Director, Mainstay VP Series Funds, Inc. (25 portfolios) and Partner, Deloitte & Touche	123	None
Other Officers
Russell C. Burk — 1958 Senior Vice President and Senior Officer	2005	Senior Vice President and Senior Officer, The Invesco Funds	N/A	N/A
John M. Zerr — 1962 Senior Vice President, Chief Legal Officer and Secretary	2006	Director, Senior Vice President, Secretary and General Counsel, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Senior Vice President and Secretary, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Vice President and Secretary, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.); Director and Vice President, INVESCO Funds Group, Inc.; Senior Vice President, Chief Legal Officer and Secretary, The Invesco Funds; Manager, Invesco PowerShares Capital Management LLC; Director, Secretary and General Counsel, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Secretary and General Counsel, Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.) and Chief Legal Officer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Director and Vice President, Van Kampen Advisors Inc.; Director, Vice President, Secretary and General Counsel, Van Kampen Investor Services Inc.; Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Senior Vice President, General Counsel and Secretary, Invesco Aim Advisers, Inc. and Van Kampen Investments Inc.; Director, Vice President and Secretary, Fund Management Company; Director, Senior Vice President, Secretary, General Counsel and Vice President, Invesco Aim Capital Management, Inc.; Chief Operating Officer and General Counsel, Liberty Ridge Capital, Inc. (an investment adviser); Vice President and Secretary, PBHG Funds (an investment company) and PBHG Insurance Series Fund (an investment company); Chief Operating Officer, General Counsel and Secretary, Old Mutual Investment Partners (a broker-dealer); General Counsel and Secretary, Old Mutual Fund Services (an administrator) and Old Mutual Shareholder Services (a shareholder servicing center); Executive Vice President, General Counsel and Secretary, Old Mutual Capital, Inc. (an investment adviser); and Vice President and Secretary, Old Mutual Advisors Funds (an investment company)	N/A	N/A
Sheri Morris — 1964 Vice President, Treasurer and Principal Financial Officer	1999	Vice President, Treasurer and Principal Financial Officer, The Invesco Funds; Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); and Vice President, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Vice President, Invesco Aim Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; Assistant Vice President and Assistant Treasurer, The Invesco Funds and Assistant Vice President, Invesco Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; and Treasurer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust	N/A	N/A

T-3                         Invesco Intermediate Term Municipal Income Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Other Officers—(continued)
Karen Dunn Kelley — 1960 Vice President	1993	Senior Managing Director, Investments; Director, Co-President, Co-Chief Executive Officer, and Co-Chairman, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Chairman, Invesco Senior Secured Management, Inc.; Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.); Executive Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Invesco Mortgage Capital Inc. and Invesco Management Company Limited; Director and President, INVESCO Asset Management (Bermuda) Ltd., Vice President, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); and President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only) Formerly: Director, INVESCO Global Asset Management Limited and INVESCO Management S.A.; Senior Vice President, Van Kampen Investments Inc. and Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Director of Cash Management and Senior Vice President, Invesco Advisers, Inc. and Invesco Aim Capital Management, Inc.; President and Principal Executive Officer, Tax-Free Investments Trust; Director and President, Fund Management Company; Chief Cash Management Officer, Director of Cash Management, Senior Vice President, and Managing Director, Invesco Aim Capital Management, Inc.; Director of Cash Management, Senior Vice President, and Vice President, Invesco Advisers, Inc. and The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only)	N/A	N/A
Crissie M. Wisdom — 1969 Anti-Money Laundering Compliance Officer	2013	Anti-Money Laundering Compliance Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser), Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.), Invesco Distributors, Inc., Invesco Investment Services, Inc., Invesco Management Group, Inc., Van Kampen Exchange Corp., The Invesco Funds, Invesco Funds (Chicago), and PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust, and PowerShares Actively Managed Exchange-Traded Fund Trust; and Fraud Prevention Manager and Controls and Risk Analysis Manager for Invesco Investment Services, Inc.	N/A	N/A
Todd L. Spillane — 1958 Chief Compliance Officer	2006	Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President and Chief Compliance Officer, Invesco Advisers, Inc. (registered investment adviser) (formerly known as Invesco Institutional (N.A.), Inc.); Chief Compliance Officer, The Invesco Funds; Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) and Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) Formerly: Chief Compliance Officer, Invesco Funds (Chicago); Senior Vice President, Van Kampen Investments Inc.; Senior Vice President and Chief Compliance Officer, Invesco Aim Advisers, Inc. and Invesco Aim Capital Management, Inc.; Chief Compliance Officer, INVESCO Private Capital Investments, Inc. (holding company), Invesco Private Capital, Inc. (registered investment adviser), Invesco Global Asset Management (N.A.), Inc., Invesco Senior Secured Management, Inc. (registered investment adviser), Van Kampen Investor Services Inc., PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust; and Vice President, Invesco Aim Capital Management, Inc. and Fund Management Company	N/A	N/A

The Statement of Additional Information of the Trust includes additional information about the Fund’s Trustees and is available upon request, without charge, by calling 1.800.959.4246. Please refer to the Fund’s prospectus for information on the Fund’s sub-advisers.

Office of the Fund 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Investment Adviser Invesco Advisers, Inc. 1555 Peachtree Street, N.E. Atlanta, GA 30309	Distributor Invesco Distributors, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Auditors PricewaterhouseCoopers LLP 1201 Louisiana Street, Suite 2900 Houston, TX 77002-5678
Counsel to the Fund Stradley Ronon Stevens & Young, LLP 2005 Market Street, Suite 2600 Philadelphia, PA 19103-7018	Counsel to the Independent Trustees Goodwin Procter LLP 901 New York Avenue, N.W. Washington, D.C. 20001	Transfer Agent Invesco Investment Services, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Custodian State Street Bank and Trust Company 225 Franklin Street Boston, MA 02110-2801

T-4                         Invesco Intermediate Term Municipal Income Fund

Invesco mailing information

Send general correspondence to Invesco Investment Services, Inc., P.O. Box 219078, Kansas City, MO 64121-9078.

Important notice regarding delivery of security holder documents

To reduce Fund expenses, only one copy of most shareholder documents may be mailed to shareholders with multiple accounts at the same address (Householding). Mailing of your shareholder documents may be householded indefinitely unless you instruct us otherwise. If you do not want the mailing of these documents to be combined with those for other members of your household, please contact Invesco Investment Services, Inc. at 800 959 4246 or contact your financial institution. We will begin sending you individual copies for each account within 30 days after receiving your request.

Fund holdings and proxy voting information

The Fund provides a complete list of its holdings four times in each fiscal year, at the quarter ends. For the second and fourth quarters, the lists appear in the Fund’s semiannual and annual reports to shareholders. For the first and third quarters, the Fund files the lists with the Securities and Exchange Commission (SEC) on Form N-Q. The most recent list of portfolio holdings is available at invesco.com/completeqtrholdings. Shareholders can also look up the Fund’s Forms N-Q on the SEC website at sec.gov. Copies of the Fund’s Forms N-Q may be reviewed and copied at the SEC Public Reference Room in Washington, D.C. You can obtain information on the operation of the Public Reference Room, including information about duplicating fee charges, by calling 202 551 8090 or 800 732 0330, or by electronic request at the following email address: publicinfo@sec.gov. The SEC file numbers for the Fund are shown below.

    A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, from our Client Services department at 800 959 4246 or at invesco.com/proxyguidelines. The information is also available on the SEC website, sec.gov.

    Information regarding how the Fund voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 is available at invesco.com/proxysearch. The information is also available on the SEC website, sec.gov.     Invesco Advisers, Inc. is an investment adviser; it provides investment advisory services to individual and institutional clients and does not sell securities. Invesco Distributors, Inc. is the US distributor for Invesco Ltd.’s retail mutual funds, exchange-traded funds and institutional money market funds. Both are wholly owned, indirect subsidiaries of Invesco Ltd.

SEC file numbers: 811-07890 and 033-66242 VK-ITMI-AR-1 Invesco Distributors, Inc.

Letters to Shareholders

       Philip Taylor Dear Shareholders: This annual report includes information about your Fund, including performance data and a complete list of its investments as of the close of the reporting period. Inside, your Fund’s portfolio managers discuss how they managed your Fund and the factors that affected its performance during the reporting period. I hope you find this report of interest. During the reporting period covered by this report, major US and global equity market indexes hit multiyear or all-time highs¹, the result of a strengthening US economy and relatively healthy corporate profits. Also helping equities was a return of individual investors to stocks – due in part to monetary policies that kept interest rates (and yields on fixed income securities) low. Despite some volatility in the summer of 2013, overseas equity market indexes in developed and emerging nations generally rose during the reporting period – although

developed markets generally outpaced emerging markets. In January 2014, amid widespread signs of an improving economy, the US Federal Reserve began a long-anticipated reduction in its bond-buying program.

Extended periods of strong market performance can lull some investors into a false sense of security – just as extended periods of volatility or market weakness can discourage some investors from undertaking disciplined, long-term investment plans. That’s why Invesco believes it can often be helpful to work with a skilled and trusted financial adviser; he or she can emphasize the importance of adhering to an investment plan designed to achieve long-term goals like a first home, a college education for a child or a comfortable retirement. A financial adviser who is familiar with your individual financial situation, investment goals and risk tolerance can be an invaluable partner as you work toward your financial goals. He or she can provide insight and perspective when markets are volatile; encouragement and reassurance when times are uncertain; and advice and guidance when your financial situation or investment goals change.

Timely information when and where you want it

Invesco’s efforts to help investors achieve their financial objectives include providing individual investors and financial professionals with timely information about the markets, the economy and investing – whenever and wherever they want it.

Our website, invesco.com/us, offers a wide range of market insights and investment perspectives. On the website, you’ll find detailed information about our funds, including prices, performance, holdings and portfolio manager commentaries. You can access information about your individual Invesco account whenever it’s convenient for you; just complete a simple, secure online registration. Use the “Login” box on our home page to get started.

Invesco’s mobile app for iPad^® (available free from the App Store^SM) allows you to obtain the same detailed information about your Fund and the same investment insights from our investment leaders, market strategists, economists and retirement experts on the go. You also can watch portfolio manager videos and have instant access to Invesco news and updates wherever you may be.

In addition to the resources accessible on our website and through our mobile app, you can obtain timely updates to help you stay informed about the markets, the economy and investing by connecting with Invesco on Twitter, LinkedIn or Facebook. You can access our blog at blog.invesco.us.com or by visiting the “Intentional Investing Forum” on our home page. Our goal is to provide you the information you want, when and where you want it.

Have questions?

For questions about your account, feel free to contact an Invesco client services representative at 800 959 4246. For Invesco-related questions or comments, please email me directly at phil@invesco.com.

All of us at Invesco look forward to serving your investment management needs for many years to come. Thank you for investing with us.

Sincerely,

Philip Taylor

Senior Managing Director, Invesco Ltd.

1  Source: Reuters

iPad is a trademark of Apple Inc., registered in the US and other countries. App Store is a service mark of Apple Inc. Invesco Distributors, Inc. is not affiliated with Apple Inc.

2                         Invesco Municipal Income Fund

     Bruce Crockett Dear Fellow Shareholders: Members of the Invesco Funds Board work continually to oversee how the Invesco Funds are performing in light of ever-changing and often unpredictable economic and market conditions. One of the ways we do this is by verifying that the teams that manage funds understand the risks associated with the investments they make in the funds they manage. In light of market conditions over the last few years, the financial news media of late have given increased attention to “alternative investment strategies.” Despite this increased attention, many investors don’t know very much about these types of investment strategies. Let me put alternative investment strategies and the new focus on them in some perspective. First, these types of investment strategies have been used predominately by institutional investors and investment professionals for decades to increase diversification – in

an effort to dampen portfolio volatility (risk) with the goal of increasing returns. The focal point of the increased news coverage is that these types of strategies are now being made more widely available to individual investors.

Alternative investment strategies generally seek to provide measured exposure to various asset classes whose performance, historically, has not been highly correlated with one another. These strategies may help mitigate the impact to a portfolio from severe or prolonged market downturns while potentially providing reasonable returns over time. After a careful and thorough examination of the potential risks and potential benefits of alternative investment strategies, the Invesco Funds Board has approved the launch of several new alternative funds for the Invesco product lineup, to be managed by teams we determined have the depth and experience to pursue the funds’ investment objectives.

While no single investment product can provide complete downside protection in falling markets and full upside participation in rising markets, your Board believes alternative funds can be a prudent tool to work in concert with more traditional mutual funds and other investments to build well diversified portfolios. Your financial adviser can determine whether or not such investments are appropriate for your individual needs, goals and risk tolerance. Also, he or she can explain the risks associated with alternative investment strategies. This type of professional guidance is why Invesco believes it’s so important that individual investors work with trusted, experienced financial advisers.

Whether you’re invested in equity, fixed income, cash management or alternative investment funds, be assured that the Invesco Funds Board will continue working on your behalf and on behalf of all our fund shareholders, keeping your needs and interests uppermost in our minds.

As always, please contact me at bruce@brucecrockett.com with any questions or concerns you may have. On behalf of the Board, we look forward to continuing to represent your interests and serving your needs.

Sincerely,

Bruce L. Crockett

Independent Chair

Invesco Funds Board of Trustees

Asset allocation/diversification does not guarantee a profit or eliminate the risk of loss.

Alternative products typically hold more non-traditional investments and employ more complex trading strategies, including hedging and leveraging through derivatives, short selling and opportunistic strategies that change with market conditions. Investors considering alternatives should be aware of their unique characteristics and additional risks from the strategies they use. Like all investments, performance will fluctuate. You can lose money.

3                         Invesco Municipal Income Fund

Management’s Discussion of Fund Performance

Performance summary

For the fiscal year ended February 28, 2014, Invesco Municipal Income Fund posted negative returns. The Fund underperformed its broad market/style-specific benchmark, the Barclays Municipal Bond Index. The main driver of relative performance was the Fund’s exposure to the long end of the yield curve.

    Your Fund’s long-term performance appears later in this report.

Fund vs. Indexes

Total returns, 2/28/13 to 2/28/14, at net asset value (NAV). Performance shown does not include applicable contingent deferred sales charges (CDSC) or front-end sales charges, which would have reduced performance.

Class A Shares	-1.16	%
Class B Shares	-1.99
Class C Shares	-2.00
Class Y Shares	-0.84
Investor Class Shares*	-1.07
Barclays Municipal Bond Index‚ (Broad Market/Style-Specific Index)	-0.21

Source(s): ^‚Lipper Inc.

* Investor Class Shares incepted during the reporting period. See page 7 for a detailed explanation of Fund performance.

How we invest

The Fund’s investment objective is to provide investors with a high level of current income exempt from federal income tax, consistent with preservation of capital.

    Under normal market conditions, we seek to achieve the Fund’s investment objective by investing at least 80% of the Fund’s net assets in municipal securities rated investment grade by at least one nationally recognized statistical rating organization – or if not rated, securities we determine to be of comparable quality – at the time of purchase.

    Under normal market conditions, the Fund may invest up to 20% of its total assets in municipal securities rated below investment grade. Lower-grade securities are commonly referred to as junk bonds and involve greater risks than investments in higher-grade securities. The Fund does not purchase securities that are in default or considered extremely speculative.

    The Fund may invest all or a substantial portion of its total assets in municipal securities that are subject to the federal alternative minimum tax (AMT). Accordingly,

Portfolio Composition
By credit sector, based on total investments
Revenue Bonds	85.6	%
General Obligation Bonds	9.8
Pre-Refunded Bonds	4.6
Total Net Assets	$2.2 billion
Total Number of Holdings	854

The Fund’s holdings are subject to change, and there is no assurance that the Fund will continue to hold any particular security.

the Fund may not be a suitable investment for investors who are already subject to the AMT or could become subject to it as a result of an investment in the Fund.

    From time to time, the Fund temporarily may invest up to 10% of its total assets in tax-exempt money market funds, and such instruments will be treated as investments in municipal securities. Investments in other mutual funds may involve duplication of management fees and certain other expenses. We may sell securities based on factors such as degradation in credit quality, a decision to shorten or lengthen the Fund’s duration, reducing exposure to a particular sector or issuer, or general liquidity needs of the Fund.

Market conditions and your Fund

For the fiscal year ended February 28, 2014, the municipal bond market returned -0.21%¹, as measured by the Barclays Municipal Bond Index. Record outflows from municipal bond funds, driven by concerns over rising interest rates and high-profile credit events,

Top Five Fixed Income Holdings
1. New York (State of) Dormitory Authority (General Purpose); Series 2011 A	1.1	%
2. Washington (State of); Series 2010 B	1.1
3. Massachusetts (State of) Development Finance Agency (Harvard University); Series 2009 A	1.1
4. Houston (City of); Series 2004 A	1.0
5. Illinois (State of) Metropolitan Pier & Exposition Authority (McCormick Place Expansion); Series 2002 B	0.9

resulted in a challenging year for municipal bond investors. The $67 billion² in municipal bond fund redemptions between March and December 2013 was in stark contrast to inflows of $65 billion² and strong performance for the asset class over the prior two years.

    Shortly after the fiscal year began, investors became apprehensive that the US Federal Reserve (the Fed) would reduce its asset purchase program, known as quantitative easing (QE), as the US economy improved. Concerned that Fed action would cause interest rates to rise and bond prices to fall, investors began trimming their allocations to fixed income investments, including municipal bonds. The rate of outflows increased dramatically in June following comments made by then-Fed Chairman Ben Bernanke on the timing for tapering QE.

    Over the summer of 2013, several high-profile credit events had an adverse impact on the municipal bond market. These included downgrades to the credit ratings of Chicago debt on pension concerns, Detroit filing the largest municipal bankruptcy in US history³ and increased uncertainty about the financial condition of Puerto Rico.

    The market received a two-month reprieve in September when the Fed decided not to reduce QE, although it reversed that decision in December when it announced that it would decrease its asset purchases by $10 billion per month, beginning in January 2014.⁴ A final headwind for the municipal bond market was significant tax-loss selling of municipal bonds in December to offset gains from strong equity returns during 2013.

    In the first two months of 2014, the municipal bond market turned positive. Softer economic data reduced expectations for hawkish Fed action. Relatively high yields on municipal bonds, coupled with higher personal income tax rates and improving municipal fundamentals, drew investors back to the asset class. Net positive fund flows in January and February, combined with limited supply of new issuance, produced strong returns in the final two months of the fiscal year.

    During the fiscal year, the largest driver of Fund performance relative to its benchmark was its overweight position in longer-maturity bonds. This position had a negative impact on relative performance as investors sold longer-dated bonds on concerns over rising interest rates. Security selection across most of

4                         Invesco Municipal Income Fund

the yield curve was positive and helped to offset the impact of rising rates.

    At the sector level, hospitals, the Fund’s largest sector and its largest overweight position relative to its benchmark, contributed to performance. Special tax, education and transportation bonds detracted from relative performance. The Fund’s relative underweight allocation in those sectors and security selection in Puerto Rico bonds also contributed to performance.

    During the reporting period, leverage detracted from Fund performance. The Fund achieved a leveraged position through the use of inverse floating rate securities or Tender Option Bonds (TOBs). The Fund uses leverage because we believe that, over time, leveraging provides opportunities for additional income and total return for shareholders. However, the use of leverage also can expose shareholders to additional volatility. For more information about the Fund’s use of leverage, see the Notes to Financial Statements later in this report.

    We wish to remind you that the Fund is subject to interest rate risk, meaning when interest rates rise, the value of fixed income securities generally will fall. This risk may be greater in the current market environment because interest rates are at or near historic lows. We are monitoring interest rates and market and economic factors that may impact interest rates, including the potential impact of the Fed’s tapering of QE. If interest rates rise, markets may experience increased volatility, which may affect the value and/or liquidity of certain of the Fund’s investments.

    Recently published rules implementing section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act may preclude banking entities from sponsoring and/or providing services for TOB trust programs. As a result, the Trust’s ability to utilize TOBs for leverage purposes may be adversely affected.

    Thank you for investing in Invesco Municipal Income Fund and for sharing our long-term investment horizon.

1  Source: Barclays

2  Source: Morningstar

3  Source: Moody’s

4  Source: US Federal Reserve

The views and opinions expressed in management’s discussion of Fund performance are those of Invesco Advisers, Inc. These views and opinions are subject to change at any time based on factors such as market and economic conditions. These views and opinions may not be relied upon as investment advice or recommendations, or as an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but Invesco Advisers, Inc. makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.

See important Fund and, if applicable, index disclosures later in this report.

	Robert Wimmel Portfolio manager, is manager of Invesco Municipal Income Fund and head of Investment Grade Municipals for
Invesco. Mr. Wimmel earned a BA in anthropology from the University of Cincinnati and an MA in economics from the University of Illinois at Chicago.

	Thomas Byron Portfolio manager, is manager of Invesco Municipal Income Fund. He joined Invesco in 2010. Mr.
Byron earned a BS in finance from Marquette University and an MBA in finance from DePaul University.

	Robert Stryker Chartered Financial Analyst, portfolio manager, is manager of Invesco Municipal Income Fund. He
joined Invesco in 2010. Mr. Stryker earned a BS in finance from the University of Illinois at Chicago.

5                         Invesco Municipal Income Fund

Your Fund’s Long-Term Performance

Results of a $10,000 Investment – Oldest Share Class(es)

Fund and index data from 2/29/04

1 Source: Lipper Inc.

Past performance cannot guarantee comparable future results.

The data shown in the chart include reinvested distributions, applicable sales charges and Fund expenses including

management fees. Index results include reinvested dividends, but they do not reflect sales charges. Performance of the peer group, if applicable, reflects fund expenses and management fees; performance

of a market index does not. Performance shown in the chart and table(s) does not reflect deduction of taxes a shareholder would pay on Fund distributions or sale of Fund shares.

continued from page 8

unlisted or unrated securities as compared with an investment company that invests solely in higher-grade securities. Unrated securities are usually not as attractive to as many buyers as are rated securities, a factor which may make unrated securities less marketable. These factors may have the effect of limiting the availability of the securities for purchase by the Fund and may also limit the ability of the Fund to sell such securities at their fair value either to meet redemption requests or in response to changes in the economy or the financial markets.

n Municipal issuer focus risk. The Fund generally considers investments in municipal securities not to be subject to industry concentration policies (issuers of municipal securities as a group is not an industry) and the Fund may invest in municipal securities issued by entities having similar characteristics. The issuers may be located in the same geographic area or may pay their interest obligations from revenue of similar projects, such as hospitals, airports, utility systems and housing finance agencies. This may make the Fund’s investments more susceptible to similar social, economic, political or regulatory occurrences. As the similarity in issuers increases, the potential for fluctuation in the

Fund’s net asset value also increases.

n Municipal securities risk. The Fund may invest in municipal securities. Constitutional amendments, legislative enactments, executive orders, administrative regulations, voter initiatives, and the issuer’s regional economic conditions may affect the municipal security’s value, interest payments, repayment of principal and the Fund’s ability to sell it. Failure of a municipal security issuer to comply with applicable tax requirements may make income paid thereon taxable, resulting in a decline in the security’s value. In addition, there could be changes in applicable tax laws or tax treatments that reduce or eliminate the current federal income tax exemption on municipal securities or otherwise adversely affect the current federal or state tax status of municipal securities.

n Reinvestment risk. Reinvestment risk is the risk that a bond’s cash flows (coupon income and principal repayment) will be reinvested at an interest rate below that on the original bond.

n Variable-rate demand notes risk. The absence of an active secondary market for certain variable and floating rate notes could make it difficult to dispose of the instruments, and a portfolio could suffer a loss if the issuer defaults

during periods in which a portfolio is not entitled to exercise its demand rights.

n When-issued and delayed delivery risk. When-issued and delayed delivery transactions are subject to market risk as the value or yield of a security at delivery may be more or less than the purchase price or the yield generally available on securities when delivery occurs. In addition, the Fund is subject to counterparty risk because it relies on the buyer or seller, as the case may be, to consummate the transaction, and failure by the other party to complete the transaction may result in the Fund missing the opportunity of obtaining a price or yield considered to be advantageous.

n Zero coupon or pay-in-kind securities risk. The value, interest rates, and liquidity of non-cash paying instruments, such as zero coupon and pay-in-kind securities, are subject to greater fluctuation than other types of securities.

About indexes used in this report

n The Barclays Municipal Bond Index is an unmanaged index considered representative of the tax-exempt bond market.

n The Fund is not managed to track the performance of any particular index,

continued on page 7

6                         Invesco Municipal Income Fund

Average Annual Total Returns
As of 2/28/14, including maximum applicable sales charges
Class A Shares
Inception (8/1/90)	4.96	%
10 Years	3.01
5 Years	6.56
1 Year	-5.36
Class B Shares
Inception (8/24/92)	4.26	%
10 Years	2.83
5 Years	6.37
1 Year	-6.72
Class C Shares
Inception (8/13/93)	3.45	%
10 Years	2.67
5 Years	6.67
1 Year	-2.94
Class Y Shares
Inception (8/12/05)	3.89	%
5 Years	7.77
1 Year	-0.84
Investor Class Shares
10 Years	3.47	%
5 Years	7.51
1 Year	-1.07

Effective June 1, 2010, Class A, Class B, Class C and Class I shares of the predecessor fund, Van Kampen Municipal Income Fund, advised by Van Kampen Asset Management were reorganized into Class A, Class B, Class C and Class Y shares, respectively, of Invesco Van Kampen Municipal Income Fund (renamed Invesco Municipal Income Fund). Returns shown above for Class A, Class B, Class C and Class Y shares are blended returns of the predecessor fund and Invesco Municipal Income Fund. Share class returns will differ from the predecessor fund

Average Annual Total Returns
As of 12/31/13, the most recent calendar quarter end, including maximum applicable sales charges
Class A Shares
Inception (8/1/90)	4.84	%
10 Years	2.89
5 Years	7.25
1 Year	-7.59
Class B Shares
Inception (8/24/92)	4.12	%
10 Years	2.71
5 Years	7.06
1 Year	-8.91
Class C Shares
Inception (8/13/93)	3.31	%
10 Years	2.55
5 Years	7.35
1 Year	-5.23
Class Y Shares
Inception (8/12/05)	3.53	%
5 Years	8.44
1 Year	-3.30
Investor Class Shares
10 Years	3.34	%
5 Years	8.19
1 Year	-3.47

because of different expenses.     Investor Class shares incepted on July 15, 2013. Performance shown prior to that date is that of Class A shares and includes the 12b-1 fees applicable to Class A shares. Class A share performance reflects any applicable fee waivers or expense reimbursements.

    The performance data quoted represent past performance and cannot guarantee comparable future results; current performance may be lower or higher. Please visit invesco.com/performance for the

most recent month-end performance. Performance figures reflect reinvested distributions, changes in net asset value and the effect of the maximum sales charge unless otherwise stated. Investment return and principal value will fluctuate so that you may have a gain or loss when you sell shares.

    The total annual Fund operating expense ratio set forth in the most recent Fund prospectus as of the date of this report for Class A, Class B, Class C, Class Y and Investor Class shares was 0.87%, 1.62%, 1.62%, 0.62% and 0.78%, respectively. The expense ratios presented above may vary from the expense ratios presented in other sections of this report that are based on expenses incurred during the period covered by this report.

    Class A share performance reflects the maximum 4.25% sales charge, and Class B and Class C share performance reflects the applicable contingent deferred sales charge (CDSC) for the period involved. For shares purchased prior to June 1, 2010, the CDSC on Class B shares declines from 4% at the time of purchase to 0% at the beginning of the seventh year. For shares purchased on or after June 1, 2010, the CDSC on Class B shares declines from 5% at the time of purchase to 0% at the beginning of the seventh year. The CDSC on Class C shares is 1% for the first year after purchase. Class Y and Investor Class shares do not have a front-end sales charge or a CDSC; therefore, performance is at net asset value.

    The performance of the Fund’s share classes will differ primarily due to different sales charge structures and class expenses.

continued from page 6

including the index(es) described here, and consequently, the performance of the Fund may deviate significantly from the performance of the index(es).

n A direct investment cannot be made in an index. Unless otherwise indicated, index results include reinvested dividends, and they do not reflect sales charges. Performance of the peer group, if applicable, reflects fund expenses; performance of a market index does not.

Other information

n The returns shown in management’s discussion of Fund performance are based on net asset values (NAVs) calculated for shareholder transactions. Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes, and as such, the NAVs for shareholder transactions and the returns based on those NAVs may differ from the NAVs and returns reported in the Financial Highlights.

7                         Invesco Municipal Income Fund

Invesco Municipal Income Fund’s investment objective is to provide investors with a high level of current income exempt from federal income tax, consistent with preservation of capital.

n Unless otherwise stated, information presented in this report is as of February 28, 2014, and is based on total net assets.

n Unless otherwise noted, all data provided by Invesco.

n To access your Fund’s reports/prospectus, visit invesco.com/fundreports.

About share classes

n Class B shares may not be purchased for new or additional investments. Please see the prospectus for more information.

n Class Y shares are available to only certain investors. Please see the prospectus for more information.

n Investor Class shares are closed to new investors. Contact your financial adviser about purchasing our other share classes. Please see the prospectus for more information.

Principal risks of investing in the Fund

n Alternative minimum tax risk. All or a portion of the Fund’s otherwise tax-exempt income may be taxable to those shareholders subject to the federal alternative minimum tax.

n Call risk. If interest rates fall, it is possible that issuers of debt securities with high interest rates will prepay or call their securities before their maturity dates. In this event, the proceeds from the called securities would likely be reinvested by the Fund in securities bearing the new, lower interest rates, resulting in a possible decline in the Fund’s income and distributions to shareholders.

n Credit risk. The issuer of instruments in which the Fund invests may be unable to meet interest and/or principal payments, thereby causing its instruments to decrease in value and lowering the issuer’s credit rating.

n Derivatives risk. The value of a derivative instrument depends largely on (and is derived from) the value of an underlying security, currency, commodity, interest rate, index or other asset (each referred to as an underlying asset). In addition to risks relating to the underlying assets, the use of derivatives may include other, possibly greater, risks, including counterparty, leverage and liquidity risks. Counterparty risk is the risk that the counterparty to the derivative contract will default on its obligation to pay the Fund the amount owed or otherwise perform under the derivative contract.

Derivatives create leverage risk because they do not require payment up front equal to the economic exposure created by owning the derivative. As a result, an adverse change in the value of the underlying asset could result in the Fund sustaining a loss that is substantially greater than the amount invested in the derivative, which may make the Fund’s returns more volatile and increase the risk of loss. Derivative instruments may also be less liquid than more traditional investments and the Fund may be unable to sell or close out its derivative positions at a desirable time or price. This risk may be more acute under adverse market conditions, during which the Fund may be most in need of liquidating its derivative positions. Derivatives may also be harder to value, less tax efficient and subject to changing government regulation that could impact the Fund’s ability to use certain derivatives or their cost. Also, derivatives used for hedging or to gain or limit exposure to a particular market segment may not provide the expected benefits, particularly during adverse market conditions.

n High yield bond (junk bond) risk. Junk bonds involve a greater risk of default or price changes due to changes in the credit quality of the issuer. The values of junk bonds fluctuate more than those of high-quality bonds in response to company, political, regulatory or economic developments. Values of junk bonds can decline significantly over short periods of time.

n Income risk. The income you receive from the Fund is based primarily on prevailing interest rates, which can vary widely over the short- and long-term. If interest rates drop, your income from the Fund may drop as well.

n Interest rate risk. Interest rate risk refers to the risk that bond prices generally fall as interest rates rise; conversely, bond prices generally rise as interest rates fall. Specific bonds differ in their sensitivity to changes in interest rates depending on their individual characteristics, including duration.

n Inverse floating rate obligations risk. Inverse floating rate obligations, including

This report must be accompanied or preceded by a currently effective Fund prospectus, which contains more complete information, including sales charges and expenses. Investors should read it carefully before investing.

NOT FDIC INSURED  |  MAY LOSE VALUE  |  NO BANK GUARANTEE

tender option bonds, may be subject to greater price volatility than a fixed income security with similar qualities. When short-term interest rates rise, they may decrease in value and produce less or no income. Additionally, these securities may lose principal. Similar to derivatives, inverse floating rate obligations have the following risks: counterparty, leverage, correlation, liquidity, market, interest rate, and management risks.

n Leverage risk. Leverage exists when the Fund purchases or sells an instrument or enters into a transaction without investing cash in an amount equal to the full economic exposure of the asset or transaction and the Fund could lose more than it invested. Leverage created from certain types of transactions or instruments may impair the Fund’s liquidity, cause it to liquidate positions at an unfavorable time, increase volatility or otherwise not achieve its intended objective.

n Liquidity risk. The Fund may hold illiquid securities that it is unable to sell at the preferred time or price and could lose its entire investment in such securities.

n Management risk. The investment techniques and risk analysis used by the Fund’s portfolio managers may not produce the desired results.

n Market risk. The prices of and the income generated by the Fund’s securities may decline in response to, among other things, investor sentiment, general economic and market conditions, regional or global instability, and currency and interest rate fluctuations.

n Medium- and lower-grade municipal securities risk. Securities which are in the medium- and lower-grade categories generally offer higher yields than are offered by higher-grade securities of similar maturity, but they also generally involve more volatility and greater risks, such as greater credit risk, market risk, liquidity risk, management risk, and regulatory risk. Furthermore, many medium- and lower-grade securities are not listed for trading on any national securities exchange and many issuers of medium- and lower-grade securities choose not to have a rating assigned to their obligations by any nationally recognized statistical rating organization. As a result, the Fund’s portfolio may consist of a higher portion of

continued on page 6

8                         Invesco Municipal Income Fund

Schedule of Investments

February 28, 2014

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Municipal Obligations–106.57%
Alabama–0.82%
Auburn University; Series 2011 A, General Fee RB		5.00	%		06/01/36	$	1,000	$	1,073,799
Birmingham (City of) Special Care Facilities Financing Authority (Children’s Hospital); Series 2009, Health Care Facility RB (INS–AGC)(a)		6.00	%		06/01/39		1,000		1,137,030
Courtland (City of) Industrial Development Board (International Paper Co.); Series 2005 A, Ref. Solid Waste Disposal RB(b)		5.20	%		06/01/25		2,500		2,526,175
Houston (County of) Health Care Authority; Series 2006 A, RB (INS–AMBAC)(a)		5.25	%		10/01/30		3,670		3,679,322
Huntsville (City of) Special Care Facilities Financing Authority (Redstone Village); Series 2007, Retirement Facility RB		5.50	%		01/01/43		900		770,922
Mobile (City of) Industrial Development Board (Mobile Energy Services Co.); Series 1995, Ref. Solid Waste Disposal RB		6.95	%		01/01/20		3		0
Selma (City of) Industrial Development Board; Series 2009 A, Gulf Opportunity Zone RB		6.25	%		11/01/33		4,100		4,546,367
University of Alabama Board of Trustees; Series 2008 A, Hospital RB		5.75	%		09/01/22		3,000		3,365,160
University of Alabama; Series 2004 A, General RB(c)		5.00	%		07/01/29		1,000		1,013,030
									18,111,805
Alaska–1.33%
Alaska (State of) Industrial Development & Export Authority (Providence Health Services);
Series 2011 A, RB		5.00	%		10/01/40		1,250		1,286,125
Series 2011 A, RB		5.50	%		10/01/41		3,000		3,235,980
Alaska (State of) International Airports System;
Series 2006 B, Ref. RB (INS–NATL)(a)		5.00	%		10/01/24		6,525		7,120,667
Series 2006 D, Ref. RB (INS–NATL)(a)		5.00	%		10/01/24		9,570		10,415,509
Alaska (State of) Municipal Bond Bank Authority; Series 2009 1, RB		5.75	%		09/01/33		200		224,540
Matanuska-Susitna (Borough of) (Goose Creek Correctional Center); Series 2009, Lease RB (INS–AGC)(a)		6.00	%		09/01/28		5,000		6,005,950
Southeast Alaska Power Agency; Series 2009, Ref. Electric RB (INS–AGC)(a)		5.38	%		06/01/28		1,025		1,029,008
									29,317,779
Arizona–3.00%
Arizona (State of) Health Facilities Authority (Banner Health); Series 2008 D, RB (INS–BHAC)(a)		5.50	%		01/01/38		5,000		5,445,800
Arizona (State of) Health Facilities Authority (Catholic Healthcare West); Series 2011 B-1, RB		5.25	%		03/01/39		5,000		5,189,750
Arizona (State of);
Series 2008 A, COP (INS–AGM)(a)		5.00	%		09/01/24		2,375		2,518,212
Series 2008 A, COP (INS–AGM)(a)		5.00	%		09/01/26		2,420		2,541,557
Glendale (City of) Industrial Development Authority (John C. Lincoln Health Network);
Series 2005, Ref. Hospital RB		5.00	%		12/01/35		1,655		1,666,221
Series 2005 B, Ref. Hospital RB		5.25	%		12/01/23		3,250		3,341,130
Series 2005 B, Ref. Hospital RB		5.25	%		12/01/25		2,250		2,301,435
Glendale (City of) Industrial Development Authority (Midwestern University);
Series 2010, RB		5.00	%		05/15/35		1,000		1,026,500
Series 2010, RB		5.13	%		05/15/40		2,150		2,210,845
Goodyear (City of) McDowell Road Commercial Corridor Improvement District; Series 2007, Special Assessment Improvement RB (INS–AMBAC)(a)		5.25	%		01/01/32		1,665		1,702,546
Goodyear (City of); Series 2010, Sub. Lien Water & Sewer RB		5.63	%		07/01/39		1,000		1,067,940
Navajo County Pollution Control Corp.;
Series 2009 C, PCR(d)		5.50	%		06/01/14		1,000		1,012,100
Series 2009 E, PCR(d)		5.75	%		06/01/16		1,000		1,099,520
Phoenix (City of) Industrial Development Authority (Career Success Schools);
Series 2009, Education RB		7.00	%		01/01/39		600		532,086
Series 2009, Education RB		7.13	%		01/01/45		570		506,645

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

9                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Arizona–(continued)
Phoenix (City of) Industrial Development Authority (Great Hearts Academies);
Series 2012, Education RB		6.30	%		07/01/42	$	1,000	$	995,440
Series 2012, Education RB		6.40	%		07/01/47		400		398,752
Phoenix (City of) Industrial Development Authority (Rowan University);
Series 2012, Lease RB		5.00	%		06/01/42		5,000		5,092,750
Series 2012, Lease RB		5.25	%		06/01/34		3,000		3,108,510
Phoenix Civic Improvement Corp.;
Series 2004, Jr. Lien Wastewater System RB (INS–NATL)(a)		5.00	%		07/01/27		2,000		2,028,500
Series 2008 B, Sr. Lien Airport RB(b)		5.25	%		07/01/19		1,000		1,151,800
Pima (County of) Industrial Development Authority (Global Water Resources, LLC);
Series 2007, Water & Wastewater RB(b)		6.55	%		12/01/37		1,600		1,611,936
Series 2008, Water & Wastewater RB(b)		6.38	%		12/01/18		617		631,240
Pima (County of) Industrial Development Authority (Tucson Electric Power Co.); Series 2010 A, IDR		5.25	%		10/01/40		1,925		1,981,037
Pinal (County of) Electric District No. 3; Series 2011, Ref. Electrical System RB		5.25	%		07/01/41		2,000		2,124,880
Pinal (County of) Electric District No. 4;
Series 2008, Electrical System RB		6.00	%		12/01/23		550		604,945
Series 2008, Electrical System RB		6.00	%		12/01/28		740		787,663
Salt River Project Agricultural Improvement & Power District;
Series 2009 A, Electric System RB(e)		5.00	%		01/01/25		3,000		3,397,710
Series 2009 A, Electric System RB(e)		5.00	%		01/01/28		2,000		2,233,680
University Medical Center Corp.; Series 2009, Hospital RB		6.00	%		07/01/24		1,250		1,383,662
Verrado Community Facilities District No. 1;
Series 2013 A, Ref. Unlimited Tax GO Bonds(f)		6.00	%		07/15/27		2,000		2,138,240
Series 2013 B, Unlimited Tax GO Bonds(f)		5.70	%		07/15/29		775		802,102
Series 2013 B, Unlimited Tax GO Bonds(f)		6.00	%		07/15/33		710		735,901
Yavapai (County of) Industrial Development Authority (Northern Arizona Healthcare System);
Series 2011, Ref. Hospital Facility RB		5.25	%		10/01/25		1,000		1,126,760
Series 2011, Ref. Hospital Facility RB		5.25	%		10/01/26		500		559,910
Yuma Municipal Property Corp.; Series 2007 D, Municipal Facilities RB (INS–SGI)(a)		5.00	%		07/01/24		1,000		1,087,010
									66,144,715
Arkansas–0.16%
Arkansas State University (Jonesboro Campus); Series 2009, Housing System RB (INS–AGM)(a)		5.00	%		03/01/34		1,825		1,932,127
Little Rock (City of); Series 2009, Library Construction & Improvement Limited Tax GO Bonds		4.60	%		03/01/24		1,495		1,673,832
									3,605,959
California–11.93%
Adelanto (City of) Public Utility Authority (Utility System); Series 2009 A, Ref. RB		6.75	%		07/01/39		2,000		2,119,380
Alameda (County of) Joint Powers Authority (Juvenile Justice Refunding); Series 2008 A, Lease RB (INS–AGM)(a)		5.00	%		12/01/25		4,535		5,108,405
Anaheim (City of) Public Financing Authority (Electric System Distribution Facilities); Series 2011 A, RB		5.38	%		10/01/36		735		833,593
Bay Area Governments Association (California Redevelopment Agency Pool); Series 2004 A, Tax Allocation RB (INS–SGI)(a)		5.25	%		09/01/35		3,780		3,634,016
Beverly Hills Unified School District (Election of 2008); Series 2009, Unlimited Tax CAB GO Bonds(g)		0.00	%		08/01/31		40		18,769
Big Bear Lake (City of); Series 1996, Ref. Water RB (INS–NATL)(a)		6.00	%		04/01/22		2,000		2,313,160
California (State of) Department of Veterans Affairs; Series 2007 A, Home Purchase RB(b)(e)		4.95	%		12/01/37		9,585		9,706,250
California (State of) Health Facilities Financing Authority (Catholic Healthcare West); Series 2009 A, RB		6.00	%		07/01/39		5,000		5,497,800
California (State of) Health Facilities Financing Authority (Children’s Hospital Los Angeles); Series 2010, RB (INS–AGM)(a)		5.25	%		07/01/38		500		515,450
California (State of) Health Facilities Financing Authority (The Episcopal Home); Series 2010 B, RB(c)(d)		5.50	%		02/01/20		1,000		1,223,540
California (State of) Housing Finance Agency;
Series 1983 B, Home Mortgage CAB RB (CEP–FHA)(g)		0.00	%		08/01/15		10		9,322
Series 2008 K, Home Mortgage RB(b)		5.30	%		08/01/23		1,835		1,874,049
Series 2008 K, Home Mortgage RB(b)		5.45	%		08/01/28		4,000		4,051,600

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

10                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
California–(continued)
California (State of) Municipal Finance Authority (Emerson College);
Series 2011, RB		5.00	%		01/01/28	$	1,525	$	1,621,944
Series 2011, RB		5.75	%		01/01/33		450		502,695
California (State of) Pollution Control Finance Authority;
Series 2012, Water Furnishing RB(b)(f)		5.00	%		07/01/30		3,160		3,213,688
Series 2012, Water Furnishing RB(b)(f)		5.00	%		07/01/37		6,955		6,907,150
California (State of) School Finance Authority (New Designs Charter School); Series 2012, Educational Facilities RB		5.50	%		06/01/42		2,000		1,854,260
California (State of) Statewide Communities Development Authority (Adventist Health System/West); Series 2005 A, Health Facility RB		5.00	%		03/01/30		5,000		5,043,000
California (State of) Statewide Communities Development Authority (California Baptist University); Series 2007 A, RB		5.50	%		11/01/38		1,250		1,156,338
California (State of) Statewide Communities Development Authority (Enloe Medical Center); Series 2008, RB (INS–Cal-Mortgage)(a)		5.75	%		08/15/38		500		526,665
California (State of) Statewide Communities Development Authority (John Muir Health); Series 2006 A, RB		5.00	%		08/15/32		7,000		7,141,190
California (State of) Statewide Communities Development Authority (Methodist Hospital); Series 2009, RB (CEP–FHA)		6.25	%		08/01/24		1,720		2,058,066
California (State of) Statewide Communities Development Authority (Pooled Financing Program); Series 2004 A, Water & Wastewater RB(c)		5.25	%		10/01/24		270		273,704
California (State of) Statewide Communities Development Authority (Southern California Presbyterian Homes);
Series 2009, Senior Living RB		6.25	%		11/15/19		500		557,355
Series 2009, Senior Living RB		6.63	%		11/15/24		2,000		2,221,180
California (State of);
Series 2002, Unlimited Tax GO Bonds		6.00	%		04/01/19		3,500		4,349,940
Series 2010, Various Purpose Unlimited Tax GO Bonds		5.50	%		03/01/40		250		279,393
Series 2011, Various Purpose Unlimited Tax GO Bonds		5.00	%		10/01/41		5,000		5,275,800
Series 2012, Various Purpose Unlimited Tax GO Bonds		5.00	%		09/01/36		5,000		5,366,900
Capistrano Unified School District; Series 2005, Community Facilities Special Tax RB (INS–NATL)(a)		5.00	%		09/01/25		5,000		5,099,250
Clovis Unified School District (Election of 2004); Series 2004 A, Unlimited Tax CAB GO Bonds (INS–NATL)(a)(g)		0.00	%		08/01/29		1,585		779,994
Corona-Norco Unified School District (Election of 2006); Series 2009 C, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(g)		0.00	%		08/01/39		1,000		272,570
Earlimart School District; Series 1994 1, Unlimited Tax GO Bonds (INS–AMBAC)(a)		6.70	%		08/01/21		425		502,533
El Centro (City of) Financing Authority; Series 2006 A, Wastewater RB (INS–AGM)(a)		5.00	%		10/01/26		2,000		2,191,160
El Segundo Unified School District (Election of 2008);
Series 2009 A, Unlimited Tax CAB GO Bonds(g)		0.00	%		08/01/32		5,030		1,995,954
Series 2009 A, Unlimited Tax CAB GO Bonds(g)		0.00	%		08/01/33		4,185		1,561,549
Folsom (City of) Public Financing Authority; Series 2007 A, Special Tax RB (INS–AMBAC)(a)		5.00	%		09/01/28		1,000		1,011,310
Golden State Tobacco Securitization Corp.;
Series 2005 A, Enhanced Tobacco Settlement Asset-Backed RB		5.00	%		06/01/45		1,500		1,486,995
Series 2007 A-1, Sr. Tobacco Settlement Asset-Backed RB		5.00	%		06/01/33		4,000		3,192,760
Golden West Schools Financing Authority; Series 1999 A, Ref. RB (INS–NATL)(a)		5.75	%		08/01/19		265		312,008
Hacienda La Puente Unified School District Facilities Financing Authority (Unified School District GO Bond Program); Series 2007, RB (INS–AGM)(a)		5.00	%		08/01/26		2,000		2,272,920
Hayward Unified School District (Election of 2008); Series 2010 A, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(g)		0.00	%		08/01/34		1,500		509,205
Lancaster (City of) Redevelopment Agency (Combined Redevelopment Areas); Series 2009, Tax Allocation RB		6.50	%		08/01/29		2,000		2,153,200
Long Beach Unified School District (Election of 2008); Series 2009 A, Unlimited Tax GO Bonds		5.75	%		08/01/33		5,000		5,751,300
Los Angeles (City of) Department of Water & Power; Subseries 2008 A-1, Power System RB(e)		5.25	%		07/01/38		2,000		2,234,080
Los Angeles (City of) Harbor Department; Series 2009 C, Ref. RB		5.00	%		08/01/31		1,500		1,655,055
Los Angeles Unified School District (Election of 2002); Series 2007 B, Unlimited Tax GO Bonds (INS–AMBAC)(a)		4.50	%		07/01/26		2,000		2,207,000

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

11                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
California–(continued)
Los Angeles Unified School District (Election of 2004); Series 2009 I, Unlimited Tax GO Bonds		5.00	%		07/01/29	$	3,000	$	3,378,510
Menifee Union School District (Election of 2008); Series 2009 C, Unlimited Tax CAB GO Bonds (INS–AGC)(a)(g)		0.00	%		08/01/35		3,260		1,044,211
Norco (City of) Financing Authority; Series 2009, Ref. Enterprise RB (INS–AGM)(a)		5.63	%		10/01/34		1,500		1,622,160
Oakland (Port of);
Series 2007 A, Ref. Intermediate Lien RB (INS–NATL)(a)(b)		5.00	%		11/01/29		4,000		4,245,040
Series 2012 P, Ref. Sr. Lien RB(b)		5.00	%		05/01/28		2,000		2,157,720
Oceanside Unified School District; Series 2009 A, Unlimited Tax GO Bonds (INS–AGC)(a)		5.25	%		08/01/33		775		824,081
Palomar Pomerado Health (Election of 2004); Series 2005 A, Unlimited Tax GO Bonds (INS–AMBAC)(a)		5.00	%		08/01/26		1,080		1,135,393
Patterson Joint Unified School District (Election of 2008);
Series 2009 B, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(g)		0.00	%		08/01/37		1,170		347,911
Series 2009 B, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(g)		0.00	%		08/01/38		4,770		1,334,074
Series 2009 B, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(g)		0.00	%		08/01/39		5,010		1,310,366
Series 2009 B, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(g)		0.00	%		08/01/40		5,260		1,295,012
Series 2009 B, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(g)		0.00	%		08/01/41		5,520		1,281,965
Pittsburg Unified School District (Election of 2006); Series 2009 B, Unlimited Tax GO Bonds (INS–AGM)(a)		5.50	%		08/01/31		2,420		2,712,239
Placentia-Yorba Linda Unified School District (Election of 2008); Series 2011 D, Unlimited Tax CAB GO Bonds(g)		0.00	%		08/01/35		1,500		502,920
Poway Unified School District (Community Facilities District No. 6); Series 2007, Special Tax RB (INS-AMBAC)(a)		5.00	%		09/01/35		5,000		5,071,350
Redlands Unified School District (Election of 2008); Series 2008, Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		07/01/25		1,415		1,594,082
Redondo Beach Unified School District (Election of 2008); Series 2008 A, Unlimited Tax GO Bonds (INS–AGM)(a)		5.13	%		08/01/37		2,000		2,162,780
Regents of the University of California;
Series 2009 O, General RB		5.25	%		05/15/39		500		560,685
Series 2009 O, General RB(e)		5.75	%		05/15/23		5,570		6,631,642
Series 2009 O, General RB(e)		5.75	%		05/15/25		8,205		9,768,873
Richmond (City of) Joint Powers Financing Authority (Point Potrero); Series 2009 A, Lease RB		6.25	%		07/01/24		2,500		2,822,450
Riverside (City of); Series 2008 D, Electric RB (INS–AGM)(a)		5.00	%		10/01/38		6,335		6,656,438
Riverside (County of) Transportation Commission; Series 2013 A, Sr. Lien Toll RB		5.75	%		06/01/44		2,500		2,597,000
Sacramento (County of);
Series 2009 B, Sr. Airport System RB (INS–AGC)(a)		5.50	%		07/01/34		1,500		1,678,440
Series 2010, Sr. Airport System RB		5.00	%		07/01/40		4,300		4,420,787
San Bernardino Community College District (Election of 2008); Series 2008 A, Unlimited Tax GO Bonds(c)(d)		6.50	%		08/01/18		525		654,659
San Buenaventura (City of) (Community Memorial Health System);
Series 2011, RB		6.25	%		12/01/20		1,000		1,154,740
Series 2011, RB		6.50	%		12/01/21		2,000		2,345,820
Series 2011, RB		6.50	%		12/01/22		2,000		2,296,740
San Diego Community College District (Election of 2002); Series 2009, Unlimited Tax GO Bonds(e)		5.25	%		08/01/33		7,500		8,483,625
San Francisco (City & County of) Airport Commission (San Francisco International Airport); Series 2011 C, Ref. Second Series RB(b)		5.00	%		05/01/23		10,000		11,313,400
San Francisco (City & County of) Redevelopment Financing Authority (Mission Bay South Redevelopment); Series 2009 D, Tax Allocation RB		6.00	%		08/01/24		1,000		1,101,110
San Joaquin (County of) Transportation Authority (Measure K); Series 2011 A, Limited Sales Tax RB		5.25	%		03/01/31		1,500		1,654,545
San Jose (City of);
Series 2011 A-1, Airport RB(b)		5.25	%		03/01/26		2,730		3,007,477
Series 2011 A-1, Airport RB(b)		6.25	%		03/01/34		2,500		2,840,275
San Marcos (City of) Public Facilities Authority; Series 2006 A, Ref. Tax Increment Pass-Through RB (INS–AMBAC)(a)		5.00	%		10/01/31		5,140		5,185,078
Santa Margarita Water District (Community Facilities District No. 2013-1); Series 2013, Special Tax RB		5.38	%		09/01/29		2,530		2,620,447
South Orange (County of) Public Financing Authority (Ladera Ranch); Series 2005 A, Special Tax RB (INS–AMBAC)(a)		5.00	%		08/15/27		5,380		5,481,790

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

12                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
California–(continued)
South Tahoe Joint Powers Financing Authority (South Tahoe Redevelopment Project Area No. 1); Series 2005 A, Ref. RB (INS–AMBAC)(a)		5.00	%		10/01/35	$	2,000	$	1,929,520
Southern California Metropolitan Water District; Series 2005 A, RB (INS–AGM)(a)		5.00	%		07/01/35		2,000		2,101,680
Southern California Public Power Authority (Mead-Adelanto); Series 1994 A, RB (INS–AMBAC)(a)(h)		9.62	%		07/01/15		9,000		9,607,320
Torrance Unified School District (Election of 2008-Measure Z); Series 2009 B-1, Unlimited Tax CAB GO Bonds(g)		0.00	%		08/01/26		1,250		750,275
Vernon (City of); Series 2009 A, Electric System RB		5.13	%		08/01/21		3,000		3,312,450
West Contra Costa Unified School District; Series 2005, Unlimited Tax CAB GO Bonds (INS–NATL)(a)(g)		0.00	%		08/01/27		7,865		4,070,216
Western Riverside (County of) Water & Wastewater Financing Authority (Eastern Municipal Water District Improvement); Series 2009, RB (INS–AGC)(a)		5.50	%		09/01/34		1,000		1,072,220
Yosemite Community College District (Election of 2004); Series 2008 C, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(g)		0.00	%		08/01/24		3,570		2,431,456
Yuba (County of) Levee Financing Authority; Series 2008 A, RB (INS–AGC)(a)		5.00	%		09/01/33		1,500		1,585,965
									262,600,382
Colorado–1.70%
Colorado (State of) Educational & Cultural Facilities Authority (Challenge to Excellence Charter School); Series 2007, Ref. Charter School RB (INS–AGC)(a)		5.00	%		06/01/37		1,070		1,092,641
Colorado (State of) Health Facilities Authority (Evangelical Lutheran); Series 2004 A, RB		5.25	%		06/01/34		1,000		1,001,150
Colorado (State of) Health Facilities Authority (The Evangelical Lutheran Good Samaritan Society); Series 2013, RB		5.63	%		06/01/43		2,500		2,629,600
Colorado (State of) Regional Transportation District (Denver Transit Partners Eagle P3);
Series 2010, Private Activity RB		6.00	%		01/15/41		2,650		2,787,164
Series 2010, Private Activity RB		6.50	%		01/15/30		2,400		2,639,784
Colorado (State of) Water Resources & Power Development Authority (City of Fountain Electric, Water & Wastewater Utility Enterprise);
Series 2009 A, Water Resource RB (INS–AGC)(a)		5.13	%		12/01/30		400		437,560
Series 2009 A, Water Resource RB (INS–AGC)(a)		5.25	%		12/01/38		525		564,323
Colorado Springs (City of);
Series 2002, Hospital RB(c)(d)		5.25	%		12/15/18		3,375		4,048,346
Series 2002, Hospital RB(c)(d)		5.25	%		12/15/18		3,530		4,234,270
Series 2010 D-1, Utilities System RB		5.25	%		11/15/33		1,000		1,127,750
Denver (City & County of) (Justice System);
Series 2008, Unlimited Tax GO Bonds(e)		5.00	%		08/01/24		6,000		6,895,440
Series 2008, Unlimited Tax GO Bonds(e)		5.00	%		08/01/25		1,500		1,722,720
Denver (City of) Convention Center Hotel Authority; Series 2006, Ref. Sr. RB (INS–SGI)(a)		5.00	%		12/01/35		5,680		5,715,614
Denver (City of) Health & Hospital Authority; Series 2004 A, Ref. Health Care RB(c)(d)		6.25	%		12/01/14		750		784,875
Montezuma (County of) Hospital District; Series 2007, Ref. RB		5.90	%		10/01/37		500		471,475
University of Colorado; Series 2009 A, Enterprise System RB		5.25	%		06/01/30		1,075		1,207,902
									37,360,614
Connecticut–1.05%
Connecticut (State of) (Bradley International Airport); Series 2000 A, Special Obligation Parking RB (INS–ACA)(a)(b)		6.60	%		07/01/24		1,000		1,003,290
Connecticut (State of) Development Authority (Aquarion Water Co.); Series 2011, Water Facilities RB(b)		5.50	%		04/01/21		3,000		3,403,140
Connecticut (State of) Health & Educational Facilities Authority (Hartford Healthcare);
Series 2011 A, RB		5.00	%		07/01/26		1,000		1,072,240
Series 2011 A, RB		5.00	%		07/01/41		5,700		5,783,562
Connecticut (State of) Health & Educational Facilities Authority (Quinnipiac University);
Series 2007 J, RB (INS–NATL)(a)		5.75	%		07/01/33		1,000		1,119,130
Series 2007 K-2, RB (INS–NATL)(a)		5.00	%		07/01/23		1,100		1,221,759
Connecticut (State of) Health & Educational Facilities Authority (Western Connecticut Health Network); Series 2011 M, RB		5.38	%		07/01/41		5,000		5,264,250
Hamden (Town of) (Whitney Center); Series 2009 C, RB(d)		7.25	%		01/01/16		1,000		1,017,630

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

13                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Connecticut–(continued)
Harbor Point Infrastructure Improvement District (Harbor Point); Series 2010 A, Special Obligation Tax Allocation RB		7.88	%		04/01/39	$	3,000	$	3,318,930
									23,203,931
Delaware–0.08%
Delaware (State of) Economic Development Authority (Delmarva Power & Light Co.); Series 2010, Ref. Gas Facilities RB		5.40	%		02/01/31		1,050		1,131,480
New Castle (County of) (Newark Charter School, Inc.); Series 2006, RB		5.00	%		09/01/22		630		649,524
									1,781,004
District of Columbia–2.26%
District of Columbia (Center for Strategic & International Studies, Inc.);
Series 2011, RB		6.38	%		03/01/31		2,980		3,046,573
Series 2011, RB		6.63	%		03/01/41		1,100		1,133,792
District of Columbia (National Public Radio, Inc.); Series 2010 A, RB(c)(d)		5.00	%		04/01/15		1,205		1,268,383
District of Columbia (Sibley Memorial Hospital); Series 2009, Hospital RB		6.38	%		10/01/34		2,200		2,409,770
District of Columbia Water & Sewer Authority; Series 2007 A, Public Utility Sub. Lien RB (INS–AGM)(a)		5.50	%		10/01/41		4,000		4,407,120
District of Columbia;
Series 2006 B-1, Ballpark RB (INS–NATL)(a)		5.00	%		02/01/31		12,000		12,143,280
Series 2009 A, Sec. Income Tax RB(e)		5.00	%		12/01/23		10,715		12,439,044
Series 2009 A, Sec. Income Tax RB(e)		5.25	%		12/01/27		6,860		7,926,661
Series 2009 B, Ref. Sec. Income Tax RB(e)		5.00	%		12/01/24		4,285		4,964,344
									49,738,967
Florida–6.69%
Alachua (County of) (North Florida Retirement Village, Inc.);
Series 2007, IDR		5.25	%		11/15/17		1,000		1,043,560
Series 2007, IDR		5.88	%		11/15/36		1,000		926,780
Broward (County of); Series 2009 A, Water & Sewer Utility RB		5.13	%		10/01/28		1,500		1,688,670
Citizens Property Insurance Corp. (Coastal Account); Series 2011 A-1, Sr. Sec. RB		5.00	%		06/01/20		3,000		3,478,860
Collier (County of) Industrial Development Authority (The Arlington of Naples);
Series 2014 A, Continuing Care Community RB(f)		7.25	%		05/15/26		1,000		1,019,340
Series 2014 A, Continuing Care Community RB(f)		7.75	%		05/15/35		2,500		2,503,025
Series 2014 B-2, TEMPS-70SMsm Continuing Care Community RB(f)		6.50	%		05/15/20		2,400		2,403,024
Crossings at Fleming Island Community Development District; Series 2000 B, Ref. Special Assessment RB (INS–NATL)(a)		5.80	%		05/01/16		575		571,458
Davie (Town of) (Nova Southeastern University); Series 2013 A, Educational Facilities RB		6.00	%		04/01/42		3,250		3,471,487
Escambia (County of) Health Facilities Authority (Florida Health Care Facility Loan Veterans Health Administration Program); Series 2000, RB (INS–AMBAC)(a)		5.95	%		07/01/20		420		451,307
Florida (State of) Board of Education; Series 2007 A, Ref. Public Education Capital Outlay Unlimited Tax GO Bonds		5.00	%		06/01/19		3,715		4,115,440
Florida (State of) Department of Transportation;
Series 2008 A, Ref. Turnpike RB(e)		5.00	%		07/01/26		1,305		1,484,020
Series 2008 A, Ref. Turnpike RB(e)		5.00	%		07/01/27		1,325		1,472,314
Series 2008 A, Ref. Turnpike RB(e)		5.00	%		07/01/28		1,440		1,598,112
Series 2008 A, Ref. Turnpike RB(e)		5.00	%		07/01/32		2,500		2,749,225
Florida (State of) Higher Educational Facilities Financial Authority (Rollins College); Series 2010, RB		5.00	%		12/01/37		2,250		2,347,402
Florida (State of) Mid-Bay Bridge Authority;
Series 1991 A, RB(c)		6.88	%		10/01/22		2,500		3,264,175
Series 2008 A, Ref. RB (INS–AGC)(a)		5.00	%		10/01/27		1,840		1,909,773
Florida Housing Finance Corp. (Homeowner Mortgage);
Series 2008 1, RB (CEP–GNMA)(b)		5.80	%		07/01/28		770		793,293
Series 2008 1, RB (CEP–GNMA)(b)		6.00	%		07/01/39		470		492,833

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

14                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Florida–(continued)
Highlands (County of) Health Facilities Authority (Adventist Health System/Sunbelt Obligated Group);
Series 2006 C, RB(c)(d)		5.25	%		11/15/16	$	100	$	112,940
Series 2006 C, RB		5.25	%		11/15/36		3,900		4,121,130
Hillsborough (County of) Aviation Authority; Series 2008 A, RB (INS–AGC)(a)(b)		5.38	%		10/01/33		2,500		2,734,100
Martin (County of) Health Facilities Authority (Martin Memorial Medical Center); Series 2012, RB		5.50	%		11/15/42		6,500		6,642,740
Miami (City of); Series 2009, Ref. Parking System RB (INS–AGC)(a)		5.00	%		10/01/34		500		517,590
Miami-Dade (County of) (Building Better Communities Program); Series 2009 B-1, Unlimited Tax GO Bonds		5.38	%		07/01/29		1,000		1,118,430
Miami-Dade (County of) (Jackson Health System);
Series 2009, Public Facilities RB (INS–AGC)(a)		5.63	%		06/01/34		1,000		1,055,430
Series 2009, Public Facilities RB (INS–AGC)(a)		5.75	%		06/01/39		775		817,261
Miami-Dade (County of) (Miami International Airport);
Series 2005, Aviation RB (INS–AGC)(a)(b)		5.00	%		10/01/38		16,100		16,183,559
Series 2010 A, Aviation RB		5.38	%		10/01/35		3,105		3,312,135
Miami-Dade (County of) Educational Facilities Authority (University of Miami); Series 2008 A, RB (INS–BHAC)(a)		5.50	%		04/01/38		4,000		4,261,120
Miami-Dade (County of) Expressway Authority; Series 2010 A, Ref. Toll System RB (INS–AGM)(a)		5.00	%		07/01/35		3,350		3,511,905
Miami-Dade (County of) School Board; Series 2008 B, COP (INS–AGC)(a)		5.25	%		05/01/26		5,000		5,550,100
Miami-Dade (County of);
Series 2005 B, Sub. Special Obligation RB (INS–NATL)(a)		5.00	%		10/01/35		2,500		2,591,600
Series 2009 C, Professional Sports Franchise Facility Tax RB (INS–AGC)(a)		5.75	%		10/01/39		550		592,779
Series 2010, Water & Sewer System RB (INS–AGM)(a)		5.00	%		10/01/39		4,500		4,730,355
Series 2010 B, Aviation RB (INS–AGM)(a)		5.00	%		10/01/35		1,205		1,253,971
Series 2012 A, Ref. Aviation RB(b)		5.00	%		10/01/30		2,000		2,093,020
Series 2012 B, Ref. Sub. Special Obligation RB (INS–AGM)(a)		5.00	%		10/01/35		3,800		4,010,216
Palm Beach (County of) Health Facilities Authority (Bethesda Health Care System, Inc.); Series 2010 A, RB (INS–AGM)(a)		5.00	%		07/01/30		625		660,388
Palm Beach (County of) Health Facilities Authority (The Waterford);
Series 2007, RB		5.25	%		11/15/17		1,540		1,660,289
Series 2007, RB		5.88	%		11/15/37		800		810,816
Port St. Lucie (City of); Series 2009, Ref. Utility System RB (INS–AGC)(a)		5.00	%		09/01/35		1,500		1,610,760
Putnam (County of) Development Authority (Seminole Electric Cooperative); Series 2007 A, Ref. PCR (INS–AMBAC)(a)(d)		5.35	%		05/01/18		5,200		5,993,208
Reunion East Community Development District; Series 2005, Special Assessment RB(i)		5.80	%		05/01/36		490		340,795
Seminole Indian Tribe of Florida;
Series 2007 A, Special Obligation RB(f)		5.25	%		10/01/27		3,500		3,637,515
Series 2007 A, Special Obligation RB(f)		5.75	%		10/01/22		500		533,205
Seven Oaks Community Development District II; Series 2003 A, Special Assessment RB		6.40	%		05/01/34		1,310		1,183,781
South Miami (City of) Health Facilities Authority (Baptist Health South Florida Obligated Group); Series 2007, Hospital RB(e)		5.00	%		08/15/42		18,000		18,299,880
Sunrise (City of);
Series 1998, Ref. Utility System RB(c)(d)		5.20	%		10/01/20		1,725		2,048,110
Series 1998, Ref. Utility System RB (INS–AMBAC)(a)		5.00	%		10/01/28		1,150		1,216,297
Series 1998, Ref. Utility System RB (INS–AMBAC)(a)		5.20	%		10/01/22		2,275		2,510,986
Tampa Bay Water; Series 2001 A, Ref. & Improvement Utility System RB (INS–NATL)(a)		6.00	%		10/01/29		3,000		3,834,540
									147,335,049
Georgia–2.24%
Atkinson & Coffee (Counties of) Joint Development Authority (SGC Real Estate Foundation II LLC); Series 2009, RB (INS–AGC)(a)		5.25	%		06/01/34		1,000		1,060,390
Atlanta (City of) (Atlantic Station);
Series 2007, Ref. Tax Allocation RB (INS–AGC)(a)		5.25	%		12/01/21		1,370		1,478,381
Series 2007, Ref. Tax Allocation RB (INS–AGC)(a)		5.25	%		12/01/22		1,000		1,071,780
Atlanta (City of) (Beltline); Series 2009 B, Tax Allocation RB		7.38	%		01/01/31		4,810		5,618,032

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

15                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Georgia–(continued)
Atlanta (City of) (Eastside); Series 2005 B, Tax Allocation RB		5.60	%		01/01/30	$	2,500	$	2,613,925
Atlanta (City of);
Series 2004 C, Airport Passenger Facility Charge & Sub. Lien General RB (INS–AGM)(a)		5.00	%		01/01/33		4,000		4,054,960
Series 2004 J, Airport Passenger Facility Charge & Sub. Lien General RB (INS–AGM)(a)		5.00	%		01/01/34		3,000		3,089,100
Series 2009 A, Water & Wastewater RB		6.00	%		11/01/27		1,000		1,201,350
Series 2009 A, Water & Wastewater RB		6.00	%		11/01/28		1,000		1,197,610
Series 2009 B, Water & Wastewater RB (INS–AGM)(a)		5.25	%		11/01/34		1,500		1,595,445
Series 2009 B, Water & Wastewater RB (INS–AGM)(a)		5.38	%		11/01/39		1,500		1,584,600
Series 2010 C, Ref. General Airport RB		5.25	%		01/01/30		1,500		1,627,530
Series 2010 C, Ref. General Airport RB		6.00	%		01/01/30		1,000		1,161,770
Series 2010 C, Ref. General Airport RB (INS–AGM)(a)		5.25	%		01/01/30		1,500		1,635,060
Augusta (City of); Series 2004, Water & Sewerage RB (INS–AGM)(a)		5.25	%		10/01/39		3,000		3,072,810
DeKalb (County of) Private Hospital Authority (Children’s Healthcare of Atlanta, Inc.); Series 2009, RAC		5.00	%		11/15/19		600		702,822
Gainesville (City of) & Hall (County of) Development Authority (Acts Retirement-Life Community); Series 2009 A-2, Retirement Community RB		6.38	%		11/15/29		700		773,584
Georgia (State of) Municipal Electric Authority;
Series 1998 Y, Power RB(c)		6.50	%		01/01/17		190		204,256
Series 1998 Y, Power RB (INS–NATL)(a)		6.50	%		01/01/17		6,055		6,620,234
Gwinnett (County of) Hospital Authority (Gwinnett Hospital System, Inc.); Series 2007 D, RAC (INS–AGM)(a)		5.50	%		07/01/34		1,000		1,055,200
Macon-Bibb (County of) Hospital Authority (Medical Center of Central Georgia, Inc.); Series 2009, RAC		5.00	%		08/01/32		2,000		2,107,500
Medical Center Hospital Authority (Columbus Regional Healthcare System, Inc.); Series 2008, RAC (INS–AGC)(a)		6.38	%		08/01/29		2,135		2,372,967
Richmond (County of) Hospital Authority (University Health Services, Inc.); Series 2009, RAC		5.25	%		01/01/29		1,500		1,586,445
Savannah (City of) Economic Development Authority (SSU Community Development I, LLC); Series 2010, RB (INS–AGC)(a)		5.50	%		06/15/35		1,020		1,101,712
Thomasville (City of) Hospital Authority (John D. Archbold Memorial Hospital, Inc.); Series 2010, RAC		5.13	%		11/01/30		750		785,085
									49,372,548
Guam–0.05%
Guam (Territory of) Power Authority; Series 2010 A, RB (INS–AGM)(a)		5.00	%		10/01/37		1,100		1,128,193
Hawaii–0.44%
Hawaii (State of) Department of Budget & Finance (Hawaiian Electric Co., Inc. & Subsidiary); Series 2009, Special Purpose RB		6.50	%		07/01/39		2,000		2,184,940
Hawaii (State of) Department of Budget & Finance;
Series 2012, Ref. Special Purpose Senior Living RB		5.13	%		11/15/32		1,500		1,548,300
Series 2012, Ref. Special Purpose Senior Living RB		5.25	%		11/15/37		1,250		1,290,475
Honolulu (City & County of); Series 2009 A, Unlimited Tax GO Bonds(e)		5.25	%		04/01/29		4,120		4,700,796
									9,724,511
Idaho–0.60%
Idaho (State of) Health Facilities Authority (St. Luke’s Health System); Series 2008 A, RB		6.50	%		11/01/23		1,000		1,132,730
Idaho (State of) Health Facilities Authority (Trinity Health Credit Group); Series 2008 B, Ref. RB		6.13	%		12/01/28		655		759,826
Idaho (State of) Health Facilities Authority (Valley Vista Care Corp.); Series 2007, Ref. RB		6.13	%		11/15/27		550		555,198
Idaho (State of) Housing & Finance Association (Federal Highway Trust Fund);
Series 2008 A, Grant & RAB (INS–AGC)(a)		5.25	%		07/15/23		4,230		4,801,685
Series 2008 A, Grant & RAB (INS–AGC)(a)		5.25	%		07/15/24		3,485		3,946,588
Idaho (State of) Housing & Finance Association;
Series 2008 A, Class II, Single Family Mortgage RB(b)		5.85	%		07/01/36		870		883,998
Series 2008 A, Class III, Single Family Mortgage RB(b)		5.70	%		07/01/28		1,110		1,140,880
									13,220,905

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

16                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Illinois–13.83%
Bartlett (Village of) (Quarry Redevelopment); Series 2007, Ref. Sr. Lien Tax Increment Allocation RB		5.60	%		01/01/23	$	2,250	$	2,217,488
Bolingbrook (Village of); Series 2005, Sales Tax RB		6.25	%		01/01/24		1,500		1,355,415
Bourbonnais (Village of) (Olivet Nazarene University); Series 2007, Industrial Project RB (INS–Radian)(a)		5.13	%		11/01/37		3,755		3,709,076
Chicago (City of) (83rd/Stewart Redevelopment); Series 2013, COP(f)		7.00	%		01/15/29		4,027		4,084,103
Chicago (City of) (Cottage View Terrace Apartments); Series 2000 A, FHA/GNMA Collateralized MFH RB (CEP–GNMA)(b)		6.13	%		02/20/42		1,440		1,441,742
Chicago (City of) (Diversey/Narragansett); Series 2006, COP		7.46	%		02/15/26		445		342,125
Chicago (City of) (Midway Airport);
Series 2004 B, Ref. Second Lien RB (INS–AMBAC)(a)		5.00	%		01/01/21		5,925		6,141,677
Series 2004 B, Ref. Second Lien RB (INS–AMBAC)(a)		5.00	%		01/01/22		6,220		6,445,351
Series 2013 A, Ref. Second Lien RB(b)		5.50	%		01/01/32		5,000		5,262,300
Chicago (City of) (O’Hare International Airport);
Series 2003 E, Ref. Third Lien General Airport RB (INS–AGC)(a)		5.00	%		01/01/34		5,000		5,007,750
Series 2004 A, Ref. Third Lien General Airport RB (INS–AGC)(a)		5.00	%		01/01/29		1,000		1,008,350
Series 2005 A, Third Lien General Airport RB (INS–AGC)(a)		5.25	%		01/01/24		6,000		6,324,420
Series 2005 A, Third Lien General Airport RB (INS–AGC)(a)		5.25	%		01/01/26		3,855		4,075,660
Series 2005 A, Third Lien General Airport RB (INS–NATL)(a)		5.25	%		01/01/24		5,000		5,304,900
Series 2008 A, Third Lien General Airport RB (INS–AGM)(a)(e)		5.00	%		01/01/33		3,000		3,076,140
Series 2012 B, Ref. Sr. Lien General Airport RB(b)		5.00	%		01/01/30		5,000		5,205,250
Chicago (City of) (Roosevelt Square/ABLA Redevelopment); Series 2009 A, Ref. COP		7.13	%		03/15/22		3,184		3,184,669
Chicago (City of) Board of Education (School Reform);
Series 1998 B-1, Unlimited Tax CAB GO Bonds (INS–NATL)(a)(g)		0.00	%		12/01/19		2,845		2,404,622
Series 1999 A, Unlimited Tax CAB GO Bonds (INS–NATL)(a)(g)		0.00	%		12/01/19		1,500		1,267,815
Series 1999 A, Unlimited Tax CAB GO Bonds (INS–NATL)(a)(g)		0.00	%		12/01/25		1,020		576,402
Chicago (City of) Metropolitan Water Reclamation District; Series 2011 B, Capital Improvement Limited Tax GO Bonds(e)		5.00	%		12/01/24		15,000		16,856,700
Chicago (City of) Park District; Series 2008 F, Limited Tax GO Bonds		5.50	%		01/01/33		1,270		1,404,252
Chicago (City of) Transit Authority (FTA Section 5309 Fixed Guideway Modernization Formula Funds); Series 2008, Capital Grant Receipts RB (INS–AGC)(a)		5.25	%		06/01/25		4,840		5,081,710
Chicago (City of) Transit Authority; Series 2011, Sales Tax Receipts RB(e)		5.25	%		12/01/36		12,000		12,691,800
Chicago (City of);
Series 2001 A, Ref. Project Unlimited Tax GO Bonds (INS–NATL)(a)		5.38	%		01/01/17		2,000		2,190,120
Series 2002 A, Ref. Project Unlimited Tax GO Bonds (INS–AMBAC)(a)		5.63	%		01/01/39		145		145,064
Series 2008 A, Unlimited Tax GO Bonds (INS–AGC)(a)(e)		5.25	%		01/01/24		4,200		4,560,192
Series 2008 A, Unlimited Tax GO Bonds (INS–AGC)(a)(e)		5.25	%		01/01/25		4,400		4,752,352
Series 2011, COP		7.13	%		05/01/21		2,800		3,096,436
Series 2011 A, Sales Tax RB		5.00	%		01/01/41		1,000		1,033,670
Cook County School District No. 100 (Berwyn South);
Series 1997, Unlimited Tax GO Bonds (INS–AGM)(a)		8.10	%		12/01/16		345		405,309
Series 1997, Unlimited Tax GO Bonds (INS–AGM)(a)		8.20	%		12/01/14		290		305,254
Cook County School District No. 122 (Ridgeland);
Series 2000, Unlimited Tax CAB GO Bonds(c)(g)		0.00	%		12/01/17		2,605		2,515,544
Series 2000, Unlimited Tax CAB GO Bonds(c)(g)		0.00	%		12/01/18		2,995		2,718,591
Series 2000, Unlimited Tax CAB GO Bonds(c)(g)		0.00	%		12/01/20		4,050		3,363,930
DeKalb County Community Unit School District No. 428;
Series 2008, Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		01/01/26		2,600		2,861,144
Series 2008, Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		01/01/27		990		1,082,565
Gilberts (Village of) Special Service Area No. 19 (The Conservancy); Series 2006-1, Special Tax RB(i)		5.38	%		03/01/16		1,000		344,940
Huntley (Village of) Special Service Area No. 10; Series 2007, Ref. Special Tax RB (INS–AGC)(a)		5.10	%		03/01/29		3,000		3,086,940
Illinois (State of) Department of Central Management Services; Series 1999, COP (INS–NATL)(a)		5.85	%		07/01/19		1,750		1,756,965
Illinois (State of) Finance Authority (Advocate Health Care Network); Series 2008 D, RB		6.50	%		11/01/38		1,000		1,141,780
Illinois (State of) Finance Authority (Art Institute of Chicago); Series 2009 A, RB		6.00	%		03/01/38		2,500		2,729,025
Illinois (State of) Finance Authority (DePaul University); Series 2011 A, RB		6.00	%		10/01/32		1,000		1,120,750

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

17                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Illinois–(continued)
Illinois (State of) Finance Authority (Evangelical Hospitals);
Series 1992 A, Ref. RB(c)		6.25	%		04/15/22	$	1,000	$	1,233,960
Series 1992 C, RB(c)		6.25	%		04/15/22		1,150		1,438,846
Illinois (State of) Finance Authority (Fairview Obligated Group);
Series 2008 A, Ref. RB(i)		5.50	%		08/15/18		1,000		7,410
Series 2008 A, Ref. RB(i)		6.13	%		08/15/28		1,500		11,115
Series 2008 A, Ref. RB(i)		6.00	%		08/15/22		250		1,853
Illinois (State of) Finance Authority (Lutheran Home & Services);
Series 2012, Ref. RB		5.00	%		05/15/22		2,335		2,322,391
Series 2012, Ref. RB		5.50	%		05/15/27		2,250		2,222,775
Illinois (State of) Finance Authority (Northwestern Memorial Hospital);
Series 2009 A, RB(e)		5.38	%		08/15/24		1,000		1,140,320
Series 2009 A, RB(e)		5.75	%		08/15/30		2,000		2,243,840
Illinois (State of) Finance Authority (Park Place of Elmhurst); Series 2010 D-2, TEMPS–65SM RB		7.00	%		11/15/15		1,500		900,150
Illinois (State of) Finance Authority (Peace Village); Series 2013, RB		6.75	%		08/15/33		2,000		2,034,860
Illinois (State of) Finance Authority (Resurrection Health Care Corp.);
Series 1999 A, RB (INS–AGM)(a)		5.50	%		05/15/24		12,000		13,019,160
Series 1999 B, RB (INS–AGM)(a)		5.00	%		05/15/17		5,100		5,579,757
Series 1999 B, RB (INS–AGM)(a)		5.00	%		05/15/18		5,050		5,588,279
Series 1999 B, RB (INS–AGM)(a)		5.25	%		05/15/29		3,000		3,133,260
Series 2009, Ref. RB		6.13	%		05/15/25		2,870		3,165,983
Illinois (State of) Finance Authority (Riverside Health System); Series 2009, RB		6.25	%		11/15/35		2,000		2,173,400
Illinois (State of) Finance Authority (Robert Morris College);
Series 2000, RB (INS–NATL)(a)		5.75	%		06/01/20		1,305		1,308,197
Series 2000, RB (INS–NATL)(a)		5.80	%		06/01/30		1,000		1,000,950
Illinois (State of) Finance Authority (Roosevelt University); Series 2007, RB		5.40	%		04/01/27		1,000		1,016,000
Illinois (State of) Finance Authority (Rush University Medical Center Obligated Group); Series 2009 A, RB		7.25	%		11/01/38		4,500		5,330,655
Illinois (State of) Finance Authority (Sherman Health System); Series 2007 A, RB		5.50	%		08/01/37		3,500		3,718,890
Illinois (State of) Finance Authority (Silver Cross Hospital & Medical Centers); Series 2008, Ref. RB		6.00	%		08/15/23		2,745		3,005,528
Illinois (State of) Finance Authority (Southern Illinois Healthcare Enterprises, Inc.); Series 2005, RB (INS–AGM)(a)		5.38	%		03/01/35		1,000		1,050,450
Illinois (State of) Finance Authority (The Carle Foundation);
Series 2011 A, RB		5.75	%		08/15/34		1,000		1,091,720
Series 2011 A, RB		6.00	%		08/15/41		4,000		4,430,160
Series 2011 A, RB (INS–AGM)(a)		6.00	%		08/15/41		650		722,527
Illinois (State of) Metropolitan Pier & Exposition Authority (McCormick Place Expansion);
Series 2002 B, Ref. Conv. CAB RB (INS–NATL)(a)(j)		5.65	%		06/15/22		20,000		19,551,200
Series 2002 B, Ref. RB (INS–NATL)(a)		5.40	%		06/15/19		9,250		10,430,762
Series 2012 A, RB		5.00	%		06/15/42		3,175		3,253,867
Illinois (State of) Municipal Electric Agency; Series 2006, Power Supply System RB (INS–NATL)(a)		5.00	%		02/01/26		4,000		4,229,000
Illinois (State of) Toll Highway Authority; Series 2013 A, RB(e)		5.00	%		01/01/38		8,000		8,333,120
Illinois (State of);
Series 1991, Civic Center RB (INS–AMBAC)(a)		6.25	%		12/15/20		2,880		3,236,803
Series 2013, Unlimited Tax GO Bonds		5.25	%		07/01/31		4,000		4,231,200
Series 2014, Unlimited Tax GO Bonds		5.25	%		02/01/33		2,650		2,797,817
Lake County Community Consolidated School District No. 50 (Woodland); Series 2000 B, Unlimited Tax CAB GO Bonds(c)(g)		0.00	%		12/01/14		1,200		1,198,176
Lake County Community Unit School District No. 60 (Waukegan);
Series 1999 A, Unlimited Tax CAB GO Bonds(c)(g)		0.00	%		12/01/17		2,875		2,776,273
Series 1999 A, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(g)		0.00	%		12/01/17		3,915		3,647,057
McHenry & Kane Counties Community Consolidated School District No. 158 (Huntley); Series 2000, Unlimited Tax CAB GO Bonds(c)(g)		0.00	%		01/01/17		3,000		2,926,890
McHenry (County of) Special Service Area (Wonder Lake Dredging); Series 2010, Special Tax RB		6.50	%		03/01/30		3,820		4,074,450

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

18                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)			Value
Illinois–(continued)
McHenry County Community High School District No. 154 (Marengo); Series 2001, Unlimited Tax CAB GO Bonds (INS–NATL)(a)(g)		0.00	%		01/01/16	$	1,330		$	1,309,984
Northern Illinois University;
Series 2011, Ref. Auxiliary Facilities System RB (INS–AGM)(a)		5.25	%		04/01/28		2,000			2,137,800
Series 2011, Ref. Auxiliary Facilities System RB (INS–AGM)(a)		5.50	%		04/01/26		2,000			2,189,560
Plano (City of) Special Service Area No. 10 (Lakewood Springs Club); Series 2007, Special Tax RB(i)		5.00	%		03/01/37		1,500			499,545
Railsplitter Tobacco Settlement Authority;
Series 2010, RB		5.25	%		06/01/21		1,000			1,171,480
Series 2010, RB		6.00	%		06/01/28		10,000			11,448,300
United City of Yorkville (City of) Special Service Area No. 2004-107 (Raintree Village II); Series 2005, Special Tax RB(i)		6.25	%		03/01/35		958			484,853
University of Illinois; Series 2011 A, Auxiliary Facilities System RB		5.13	%		04/01/36		1,000			1,060,280
Volo (Village of) Special Service Area No. 3 (Symphony Meadows); Series 2006-1, Special Tax RB		6.00	%		03/01/36		531			518,336
Will (County of) & Kankakee (City of) Regional Development Authority (Senior Estates Supportive Living); Series 2007, MFH RB(b)		7.00	%		12/01/42		410			405,933
										304,485,410
Indiana–2.17%
Carmel (City of) (Barrington Carmel); Series 2012 C-2, TEMPS–65SM RB		5.25	%		11/15/18		2,500			2,499,900
Indiana (State of) Finance Authority (Community Foundation of Northwest Indiana); Series 2007, Hospital RB		5.50	%		03/01/22		500			548,925
Indiana (State of) Finance Authority (CWA Authority, Inc.); Series 2011 B, Second Lien Wastewater Utility RB		5.00	%		10/01/41		11,000			11,403,590
Indiana (State of) Finance Authority (Ohio Valley Electric Corp.);
Series 2012 A, Midwestern Disaster Relief RB		5.00	%		06/01/32		1,220			1,209,813
Series 2012 A, Midwestern Disaster Relief RB		5.00	%		06/01/39		2,500			2,423,100
Indiana (State of) Finance Authority (Sisters of St. Francis Health Services); Series 2006 E, Ref. Health System RB (INS–AGM)(a)		5.25	%		05/15/41		2,000			2,056,760
Indiana (State of) Municipal Power Agency;
Series 2009 B, Power Supply System RB		5.75	%		01/01/29		200			230,694
Series 2009 B, Power Supply System RB		6.00	%		01/01/39		3,000			3,323,460
Indianapolis (City of) Airport Authority (Fed Ex Corp.); Series 2004, Ref. Special Facilities RB(b)		5.10	%		01/15/17		1,500			1,656,420
Indianapolis Local Public Improvement Bond Bank (Indianapolis Airport Authority); Series 2006 F, RB (INS–AMBAC)(a)(b)		5.00	%		01/01/18		500			544,415
Indianapolis Local Public Improvement Bond Bank (Waterworks); Series 2009 A, RB (INS–AGC)(a)		5.25	%		01/01/29		1,000			1,086,320
Monroe County Community 1996 School Building Corp.; Series 2009, First Mortgage RB (INS–AGM)(a)		5.25	%		01/15/27		2,815			3,169,943
Noblesville (City of) Redevelopment Authority (146th Street Extension); Series 2006 A, Economic Development Lease Rental RB		5.25	%		08/01/25		1,570			1,723,405
Petersburg (City of) (Indianapolis Power & Light Co.); Series 1993 B, Ref. PCR (INS–NATL)(a)		5.40	%		08/01/17		9,850	��		11,235,107
Rockville School Building Corp.; Series 2006, First Mortgage RB(c)(d)		5.00	%		01/15/16		1,000			1,087,280
St. Joseph (County of) Redevelopment District;
Series 1997 B, Tax Increment Allocation CAB RB(g)		0.00	%		06/30/14		130			127,299
Series 1997 B, Tax Increment Allocation CAB RB(g)		0.00	%		06/30/15		130			117,898
Series 1997 B, Tax Increment Allocation CAB RB(g)		0.00	%		06/30/16		135			113,385
Series 1997 B, Tax Increment Allocation CAB RB(g)		0.00	%		06/30/17		225			175,001
Valparaiso (City of) (Pratt Paper, LLC); Series 2013, Exempt Facilities RB(b)		6.75	%		01/01/34		1,500			1,582,545
Vigo (County of) Hospital Authority (Union Hospital, Inc.); Series 2007, RB(f)		5.50	%		09/01/27		1,500			1,488,705
										47,803,965
Iowa–2.27%
Altoona (City of); Series 2008, Annual Appropriation Urban Renewal Tax Increment RB		6.00	%		06/01/34		1,860			1,940,519
Ames (City of) (Mary Greeley Medical Center);
Series 2011, Hospital RB		5.25	%		06/15/36		7,000			7,253,540
Series 2011, Hospital RB		5.50	%		06/15/30		1,000			1,059,860
Series 2011, Hospital RB		5.63	%		06/15/31		1,500			1,595,760

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

19                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Iowa–(continued)
Iowa (State of) (IJOBS Program);
Series 2009 A, Special Obligation RB(e)(k)		5.00	%		06/01/25	$	5,815	$	6,714,813
Series 2009 A, Special Obligation RB(e)(k)		5.00	%		06/01/26		4,360		5,034,666
Series 2009 A, Special Obligation RB(e)(k)		5.00	%		06/01/27		9,300		10,632,504
Iowa (State of) Finance Authority (Iowa Health System);
Series 2005, Health Facilities RB (INS–AGC)(a)		5.25	%		02/15/29		2,000		2,194,180
Series 2008 A, Health Facilities RB (INS–AGC)(a)		5.25	%		08/15/29		1,500		1,649,220
Iowa (State of) Finance Authority (Western Home); Series 2012, Ref. Health Care Facilities RB		5.00	%		12/01/27		1,915		1,883,077
Iowa Student Loan Liquidity Corp.; Sr. Series 2011 A-2, RB(b)		5.70	%		12/01/27		8,260		8,673,413
Washington (County of) Hospital; Series 2006, Hospital RB		5.50	%		07/01/32		1,275		1,271,252
									49,902,804
Kansas–0.53%
Kansas (State of) Development Finance Authority (Adventist Health System/Sunbelt Obligated Group); Series 2009 C, Hospital RB		5.50	%		11/15/29		1,500		1,671,735
Kansas (State of) Development Finance Authority (University of Kansas Health System);
Series 2011 H, Health Facilities RB		5.00	%		03/01/34		1,000		1,035,110
Series 2011 H, Health Facilities RB		5.13	%		03/01/39		2,000		2,064,100
Series 2011 H, Health Facilities RB		5.38	%		03/01/29		1,000		1,079,440
Kansas (State of) Municipal Energy Agency (Jameson Energy Center); Series 2013, Power Project RB		5.25	%		07/01/44		2,000		2,083,040
Wichita (City of) (Presbyterian Manors, Inc.); Series 2013 IV-A, Health Care Facilities RB		6.38	%		05/15/43		1,500		1,527,780
Wyandotte (County of) & Kansas City (City of) Unified Government; Series 2009 A, Utility System RB (INS–BHAC)(a)		5.00	%		09/01/29		2,000		2,208,700
									11,669,905
Kentucky–1.23%
Kentucky (State of) Economic Development Finance Authority (Baptist Healthcare System);
Series 2009 A, Hospital RB		5.38	%		08/15/24		3,000		3,360,390
Series 2009 A, Hospital RB		5.63	%		08/15/27		1,000		1,087,430
Kentucky (State of) Economic Development Finance Authority (Louisville Arena Authority, Inc.);
Subseries 2008 A-1, RB (INS–AGC)(a)		6.00	%		12/01/33		5,070		5,206,129
Subseries 2008 A-1, RB (INS–AGC)(a)		6.00	%		12/01/38		4,000		4,090,600
Kentucky (State of) Economic Development Finance Authority (Owensboro Medical Health System, Inc.); Series 2010 A, Hospital RB		6.50	%		03/01/45		3,200		3,403,680
Kentucky (State of) Property & Buildings Commission (No. 93); Series 2009, Ref. RB (INS–AGC)(a)		5.25	%		02/01/28		3,000		3,377,040
Paducah (City of) Electric Plant Board; Series 2009 A, RB (INS–AGC)(a)		5.25	%		10/01/35		6,000		6,494,340
									27,019,609
Louisiana–2.29%
Caddo & Bossier (Parishes of) Port Commission; Series 2011, Ref. Utility RB		5.00	%		04/01/34		550		578,276
Calcasieu (Parish of) Memorial Hospital Service District (Lake Charles Memorial Hospital); Series 1992 A, Hospital RB (INS–Connie Lee)(a)		6.50	%		12/01/18		4,745		4,910,506
East Baton Rouge (Parish of) Sewerage Commission; Series 2009 A, RB		5.25	%		02/01/34		1,550		1,691,096
Jefferson (Parish of) Hospital Service District No. 1 (West Jefferson Medical Center);
Series 2011 A, Ref. Hospital RB		6.00	%		01/01/39		2,000		2,146,840
Series 2011 A, Ref. Hospital RB (INS–AGM)(a)		5.38	%		01/01/31		400		417,756
Series 2011 A, Ref. Hospital RB (INS–AGM)(a)		6.00	%		01/01/39		1,000		1,081,920
Lafayette (City of) Public Trust Financing Authority (Ragin’ Cajun Facilities–Housing & Parking); Series 2010, RB (INS–AGM)(a)		5.00	%		10/01/25		1,000		1,089,280
Lakeshore Villages Master Community Development District; Series 2007, Special Assessment RB(i)		5.25	%		07/01/17		1,364		538,644
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (Capital Projects & Equipment Acquisitions Program);
Series 2000, RB (INS–ACA)(a)		6.55	%		09/01/25		4,860		5,156,654
Series 2000 A, RB (INS–AMBAC)(a)		6.30	%		07/01/30		1,780		1,822,809

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

20                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Louisiana–(continued)
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (Jefferson Parish); Series 2009 A, RB		5.38	%		04/01/31	$	1,000	$	1,086,230
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (Monroe Regional Airport Terminal); Series 2009, Airport RB (INS–AGC)(a)		5.50	%		02/01/39		1,500		1,604,130
Louisiana (State of) Public Facilities Authority (Christus Health); Series 2009 A, Ref. RB		6.00	%		07/01/29		1,600		1,745,216
Louisiana (State of) Public Facilities Authority (Entergy Louisiana LLC); Series 2010, RB		5.00	%		06/01/30		1,050		1,111,813
Louisiana (State of) Public Facilities Authority (Ochsner Clinic Foundation); Series 2002 B, RB(c)(d)		5.50	%		05/15/26		1,010		1,280,276
Louisiana (State of); Series 2006 A, Gas & Fuels Tax RB (INS–AGC)(a)		5.00	%		05/01/28		2,500		2,598,600
New Orleans (City of) Aviation Board; Series 2009 A-1, Ref. & Restructuring General Airport RB (INS–AGC)(a)		6.00	%		01/01/23		2,000		2,279,540
Regional Transit Authority; Series 2010, Sales Tax RB (INS–AGM)(a)		5.00	%		12/01/30		2,580		2,779,589
St. John the Baptist (Parish of) (Marathon Oil Corp.); Series 2007 A, RB		5.13	%		06/01/37		5,000		5,023,400
Terrebonne (Parish of); Series 2011 ST, Sales & Use Tax RB (INS–AGM)(a)		5.00	%		04/01/31		2,645		2,827,875
Tobacco Settlement Financing Corp.; Series 2013 A, Ref. Asset-Backed RB		5.25	%		05/15/35		8,500		8,588,995
									50,359,445
Maryland–1.44%
Baltimore (City of) (East Baltimore Research Park); Series 2008 A, Special Obligation Tax Allocation RB		7.00	%		09/01/38		1,000		1,054,420
Baltimore (County of) (Oak Crest Village Inc. Facility); Series 2007 A, RB		5.00	%		01/01/37		2,000		2,020,440
Maryland (State of) Community Development Administration; Series 2007, RB(b)		5.05	%		09/01/32		2,005		2,041,331
Maryland (State of) Health & Higher Educational Facilities Authority (Adventist Healthcare);
Series 2011 A, RB		6.13	%		01/01/36		4,000		4,345,360
Series 2011 A, RB		6.25	%		01/01/31		3,175		3,507,581
Maryland (State of) Health & Higher Educational Facilities Authority (Charlestown Community); Series 2010, RB		6.13	%		01/01/30		4,250		4,603,090
Maryland (State of) Health & Higher Educational Facilities Authority (LifeBridge Health); Series 2011, RB		6.00	%		07/01/41		1,000		1,105,330
Maryland (State of) Health & Higher Educational Facilities Authority (MedStar Health);
Series 2004, Ref. RB		5.50	%		08/15/33		3,000		3,055,320
Series 2011, RB		5.00	%		08/15/41		5,000		5,074,550
Maryland (State of) Transportation Authority; Series 2008, Grant & RAB		5.25	%		03/01/20		2,000		2,369,120
Maryland Economic Development Corp. (Terminal); Series 2010 B, RB		5.75	%		06/01/35		1,460		1,503,318
Maryland Economic Development Corp. (Transportation Facilities); Series 2010 A, RB		5.38	%		06/01/25		1,030		1,084,343
									31,764,203
Massachusetts–2.49%
Boston (City of) Water & Sewer Commission; Series 1993 A, Sr. RB (INS–NATL)(a)		5.25	%		11/01/19		4,390		4,945,906
Massachusetts (State of) College Building Authority; Series 2009 A, RB		5.50	%		05/01/39		1,000		1,116,360
Massachusetts (State of) Development Finance Agency (Boston University); Series 2013 U-1, Floating Rate RB(d)(l)		0.61	%		03/30/17		4,000		3,994,143
Massachusetts (State of) Development Finance Agency (Caregroup); Series 1998 B-2, RB (INS–NATL)(a)		5.38	%		02/01/27		2,000		2,219,920
Massachusetts (State of) Development Finance Agency (Dominion Energy Brayton); Series 2009 1, Ref. Solid Waste Disposal RB(c)(d)		5.75	%		05/01/19		2,000		2,462,640
Massachusetts (State of) Development Finance Agency (Harvard University); Series 2009 A, RB(e)		5.50	%		11/15/36		20,955		23,720,850
Massachusetts (State of) Development Finance Agency (Lesley University); Series 2011 B-1, RB (INS–AGM)(a)		5.25	%		07/01/33		750		809,835
Massachusetts (State of) Development Finance Agency (Linden Ponds, Inc. Facility);
Series 2011 A-1, RB		6.25	%		11/15/17		732		722,290
Series 2011 A-1, RB		6.25	%		11/15/39		1,692		1,398,039
Series 2011 A-2, RB		5.50	%		11/15/46		128		91,824
Series 2011 B, CAB RB(g)		0.00	%		11/15/56		637		2,985
Massachusetts (State of) Development Finance Agency (Massachusetts Institute of Technology); Series 2009 O, RB(e)		5.50	%		07/01/36		6,680		7,495,094

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

21                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Massachusetts–(continued)
Massachusetts (State of) Development Finance Agency (Merrimack College); Series 2012 A, RB		5.25	%		07/01/42	$	1,900	$	1,905,586
Massachusetts (State of) Development Finance Agency (Tufts Medical Center); Series 2011 I, RB		6.75	%		01/01/36		1,000		1,148,280
Massachusetts (State of) Development Finance Agency (UMass Memorial); Series 2011 H, RB		5.50	%		07/01/31		1,000		1,039,680
Massachusetts (State of) Housing Finance Agency; Series 2007 C, RB(b)		5.10	%		12/01/27		1,685		1,735,449
									54,808,881
Michigan–0.74%
Detroit (City of);
Series 2003 B, Sr. Lien Sewage Disposal System RB (INS–AGM)(a)		7.50	%		07/01/33		5,750		6,152,097
Series 2006 B, Second Lien Water Supply System RB (INS–AGM)(a)		6.25	%		07/01/36		1,000		1,017,160
Kent (County of) Hospital Finance Authority (Spectrum Health System); Series 2008 A, RB(d)		5.50	%		01/15/15		375		391,695
Michigan (State of) Building Authority (Facilities Program); Series 2011 I-A, Ref. RB		5.00	%		10/15/29		500		536,830
Michigan (State of) Strategic Fund (Genesee Power Station); Series 1994, Ref. Solid Waste Disposal RB(b)		7.50	%		01/01/21		1,245		1,170,176
Wayne (County of) Airport Authority (Detroit Metropolitan Airport);
Series 2012 B, RB(b)		5.00	%		12/01/32		1,500		1,523,820
Series 2012 B, RB(b)		5.00	%		12/01/37		1,500		1,502,520
Series 2012 D, Ref. RB(b)		5.00	%		12/01/28		2,500		2,586,750
Wyoming (City of); Series 2008, Water Supply System RB		5.13	%		06/01/28		1,305		1,436,296
									16,317,344
Minnesota–0.89%
Columbia Heights (City of) (Crest View Corp.); Series 2007 A, Ref. MFH & Health Care Facilities RB		5.70	%		07/01/42		1,000		754,000
Minneapolis (City of) (Fairview Health Services);
Series 2008 A, Health Care System RB		6.75	%		11/15/32		3,000		3,502,080
Series 2008 B, Health Care System RB (INS–AGC)(a)		6.50	%		11/15/38		5,275		6,115,255
Minneapolis (City of) (Providence); Series 2007 A, Ref. Housing & Health Care Facilities RB		5.63	%		10/01/27		2,000		2,009,620
Minnesota (State of) Agricultural & Economic Development Board (Essentia Health Obligated Group); Series 2008 C-1, Health Care Facilities RB (INS–AGC)(a)		5.00	%		02/15/30		1,060		1,116,879
St. Louis Park (City of) (Park Nicollet Health Services); Series 2009, Ref. Health Care Facilities RB		5.75	%		07/01/39		2,000		2,125,200
St. Paul (City of) Housing & Redevelopment Authority (Health Partners Obligated Group); Series 2006, Health Care Facilities RB		5.25	%		05/15/36		3,800		3,887,362
									19,510,396
Mississippi–0.09%
Mississippi Business Finance Corp. (System Energy Resources, Inc.); Series 1998, PCR		5.88	%		04/01/22		2,000		2,000,320
Missouri–1.54%
Bi-State Development Agency of the Missouri-Illinois Metropolitan District (Metrolink Cross County Extension); Series 2009, Mass Transit Sales Tax RB (INS–AGC)(a)		5.00	%		10/01/39		2,000		2,097,720
Cape Girardeau (County of) Industrial Development Authority (St. Francis Medical Center); Series 2009 A, Health Facilities RB		5.75	%		06/01/39		2,150		2,282,698
Cass (County of); Series 2007, Hospital RB		5.38	%		05/01/22		1,000		1,025,900
Gladstone (City of); Series 2006 A, COP (INS–SGI)(a)		5.00	%		06/01/22		1,295		1,414,904
Kansas City (City of) Industrial Development Authority (Downtown Redevelopment District); Series 2011 A, Ref. RB		5.50	%		09/01/24		5,990		6,873,525
Kansas City (City of) Industrial Development Authority (Plaza Library); Series 2004, RB		6.00	%		03/01/16		805		807,648
Ladue School District; Series 2007, Ref. & Improvement Unlimited Tax GO Bonds		4.75	%		03/01/27		1,000		1,076,730
Maryland Heights (City of) (South Heights Redevelopment); Series 2007 A, Ref. Tax Increment Allocation RB		5.50	%		09/01/18		390		421,590
Missouri (State of) Health & Educational Facilities Authority (Children’s Mercy Hospital); Series 2009, RB		5.63	%		05/15/39		2,500		2,623,300
Missouri (State of) Health & Educational Facilities Authority (Lutheran Senior Services);
Series 2005 B, Ref. Senior Living Facilities RB		5.13	%		02/01/27		1,200		1,214,700
Series 2010, Senior Living Facilities RB		5.50	%		02/01/42		950		972,107

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

22                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Missouri–(continued)
Raytown (City of) (Raytown Live Redevelopment Plan); Series 2007 1, Annual Appropriation-Supported Tax RB		5.13	%		12/01/31	$	3,325	$	3,458,100
St. Louis (City of) Industrial Development Authority (Loughborough Commons Redevelopment); Series 2007, Ref. Community Improvement District Tax Increment Allocation RB		5.75	%		11/01/27		450		448,736
St. Louis (County of) Industrial Development Authority (Friendship Village of Sunset Hills); Series 2013 A, Senior Living Facilities RB		5.88	%		09/01/43		1,750		1,819,090
St. Louis (County of) Industrial Development Authority (Friendship Village of West County); Series 2007 A, Senior Living Facilities RB		5.38	%		09/01/21		1,000		1,043,810
St. Louis (County of) Industrial Development Authority (Ranken Jordan);
Series 2007, Ref. Health Facilities RB		5.00	%		11/15/27		1,350		1,280,488
Series 2007, Ref. Health Facilities RB		5.00	%		11/15/35		2,600		2,315,378
St. Louis (County of) Industrial Development Authority (St. Andrew’s Resources for Seniors);
Series 2007 A, Senior Living Facilities RB		6.38	%		12/01/30		500		502,045
Series 2007 A, Senior Living Facilities RB		6.38	%		12/01/41		1,250		1,223,975
St. Louis Municipal Finance Corp.; Series 2007, Recreation Sales Tax Leasehold RB (INS–AMBAC)(a)		4.50	%		02/15/28		1,000		1,003,420
									33,905,864
Montana–0.05%
Montana (State of) Facility Finance Authority (Benefit Health System Obligated Group); Series 2011 A, Hospital RB (INS–AGC)(a)		5.75	%		01/01/31		1,000		1,100,010
Nebraska–1.13%
Central Plains Energy Project (No. 3); Series 2012, Gas RB		5.00	%		09/01/32		2,000		2,048,720
Nebraska (State of) Municipal Energy Agency; Series 2009 A, Ref. Power Supply System RB (INS–BHAC)(a)		5.38	%		04/01/39		4,000		4,359,520
Nebraska (State of) Public Power District; Series 2007 B, General RB (INS–BHAC)(a)		5.00	%		01/01/37		15,570		16,298,365
University of Nebraska (Lincoln); Series 2009 A, Student Fees & Facilities RB		5.25	%		07/01/39		1,000		1,085,200
University of Nebraska (Omaha Health & Recreation); Series 2008, RB		5.00	%		05/15/33		1,000		1,070,140
									24,861,945
Nevada–1.75%
Clark (County of) (Las VegaS–McCarran International Airport);
Series 2010 A, Passenger Facility Charge RB		5.13	%		07/01/34		2,000		2,115,540
Series 2010 A, Passenger Facility Charge RB		5.25	%		07/01/42		2,000		2,101,860
Series 2010 A, Passenger Facility Charge RB (INS–AGM)(a)		5.25	%		07/01/39		5,500		5,820,925
Clark (County of) Water Reclamation District; Series 2008, Limited Tax GO Bonds		5.63	%		07/01/32		1,500		1,697,295
Clark (County of);
Series 1992 A, Transportation Improvement Limited Tax GO Bonds (INS–AMBAC)(a)		6.50	%		06/01/17		3,000		3,536,790
Series 2004 A-1, Sub. Lien Airport System RB (INS–NATL)(a)(b)		5.50	%		07/01/20		3,045		3,092,167
Series 2004 A-1, Sub. Lien Airport System RB (INS–NATL)(a)(b)		5.50	%		07/01/21		3,000		3,044,910
Series 2004 A-1, Sub. Lien Airport System RB (INS–NATL)(a)(b)		5.50	%		07/01/23		5,000		5,069,600
Series 2004 A-2, Sub. Lien Airport System RB (INS–NATL)(a)		5.13	%		07/01/25		1,000		1,014,220
Series 2004 A-2, Sub. Lien Airport System RB (INS–NATL)(a)		5.13	%		07/01/27		1,000		1,013,280
Clark County School District; Series 2007 C, Building Limited Tax GO Bonds		5.00	%		06/15/26		4,000		4,449,760
Las Vegas (City of) Valley Water District; Series 2009 B, Limited Tax GO Bonds		5.00	%		06/01/29		800		890,728
Mesquite (City of) (Special Improvement District No. 07-01-Anthem at Mesquite);
Series 2007, Special Assessment Local Improvement RB		5.85	%		08/01/18		565		598,747
Series 2007, Special Assessment Local Improvement RB		6.00	%		08/01/27		485		479,699
Nevada (State of) (Municipal Bond Bank–R9A Thru R13F); Series 2005, Limited Tax GO Bonds (INS–AGM)(a)		5.00	%		12/01/23		3,500		3,691,065
									38,616,586
New Hampshire–0.62%
Manchester (City of); Series 2009 A, Ref. General Airport RB (INS–AGM)(a)		5.13	%		01/01/30		5,250		5,553,555

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

23                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
New Hampshire–(continued)
New Hampshire (State of) Business Finance Authority (Huggins Hospital); Series 2009, First Mortgage RB		6.88	%		10/01/39	$	975	$	1,019,411
New Hampshire (State of) Health & Education Facilities Authority (Southern New Hampshire University); Series 2012, RB		5.00	%		01/01/42		6,000		5,959,440
New Hampshire (State of) Health & Education Facilities Authority (Wentworth Douglas Hospital); Series 2011 A, RB		6.00	%		01/01/34		1,100		1,182,093
									13,714,499
New Jersey–2.65%
Landis Sewage Authority (Registered CARS); Series 1993, Sewer RB (INS–NATL)(a)(h)		9.85	%		09/19/19		1,600		1,882,496
New Jersey (State of) Economic Development Authority (Paterson Charter School);
Series 2012 C, RB		5.00	%		07/01/32		675		619,468
Series 2012 C, RB		5.30	%		07/01/44		1,090		988,107
New Jersey (State of) Economic Development Authority (Provident Group-Montclair Properties LLC–Montclair State University Student Housing); Series 2010 A, RB		5.75	%		06/01/31		3,020		3,253,537
New Jersey (State of) Economic Development Authority (Seabrook Village, Inc. Facility); Series 2006, Ref. Retirement Community RB		5.25	%		11/15/26		750		752,100
New Jersey (State of) Economic Development Authority (The Goethals Bridge Replacement); Series 2013, Private Activity RB(b)		5.38	%		01/01/43		1,500		1,536,990
New Jersey (State of) Economic Development Authority;
Series 2009 BB, School Facilities Construction RB		5.00	%		09/01/34		1,750		1,859,287
Series 2009 Z, School Facilities Construction RB (INS–AGC)(a)		5.50	%		12/15/34		1,000		1,117,480
Series 2012, Ref. RB		5.00	%		06/15/25		3,000		3,230,550
Series 2012, Ref. RB		5.00	%		06/15/26		1,000		1,066,560
Series 2012, Ref. RB		5.00	%		06/15/28		3,000		3,171,870
Subseries 2005 N-1, Ref. School Facilities Construction RB (INS–AMBAC)(a)		5.50	%		09/01/24		3,885		4,666,118
New Jersey (State of) Health Care Facilities Financing Authority (Barnabas Health);
Series 2011 A, Ref. RB		5.63	%		07/01/32		4,000		4,278,440
Series 2011 A, Ref. RB		5.63	%		07/01/37		4,000		4,214,520
New Jersey (State of) Health Care Facilities Financing Authority (St. Joseph’s Health Care System); Series 2008, RB		5.75	%		07/01/15		895		929,842
New Jersey (State of) Higher Education Student Assistance Authority; Series 2009 A, Student Loan RB		5.63	%		06/01/30		1,000		1,079,010
New Jersey (State of) Housing & Mortgage Finance Agency;
Series 2008 AA, RB		6.38	%		10/01/28		2,030		2,133,713
Series 2008 X, Single Family Housing RB(b)		5.10	%		10/01/23		1,960		2,028,737
New Jersey (State of) Transportation Trust Fund Authority; Series 2006 C, Transportation System CAB RB (INS–AGC)(a)(g)		0.00	%		12/15/26		10,000		5,724,400
New Jersey (State of) Turnpike Authority;
Series 1991 C, RB(c)		6.50	%		01/01/16		195		217,361
Series 1991 C, RB(c)		6.50	%		01/01/16		950		1,008,159
Series 1991 C, RB (INS–NATL)(a)		6.50	%		01/01/16		370		410,500
Series 2009 H, RB		5.00	%		01/01/36		1,000		1,050,530
Series 2009 I, RB		5.00	%		01/01/35		2,000		2,116,520
Passaic Valley Sewage Commissioners; Series 2003 F, Sewer System RB (INS–NATL)(a)		5.00	%		12/01/19		9,000		9,029,880
									58,366,175
New Mexico–0.45%
Farmington (City of) (Public Service Co. of New Mexico San Juan);
Series 2010 A, Ref. PCR(d)		5.20	%		06/01/20		2,000		2,209,020
Series 2010 C, Ref. PCR		5.90	%		06/01/40		4,100		4,352,355
New Mexico (State of) Hospital Equipment Loan Council (Presbyterian Health Care Services); Series 2008 A, Hospital RB(e)		6.38	%		08/01/32		3,000		3,436,200
									9,997,575

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

24                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
New York–6.10%
Brooklyn Arena Local Development Corp. (Barclays Center);
Series 2009, PILOT CAB RB(g)		0.00	%		07/15/35	$	5,000	$	1,430,350
Series 2009, PILOT RB		6.25	%		07/15/40		2,710		2,908,941
Series 2009, PILOT RB		6.38	%		07/15/43		1,130		1,217,180
Long Island Power Authority;
Series 2000 A, Electric System General CAB RB (INS–AGM)(a)(g)		0.00	%		06/01/17		5,000		4,787,850
Series 2008 A, Electric System General RB		6.00	%		05/01/33		5,000		5,716,050
Series 2008 A, Electric System General RB (INS–BHAC)(a)		5.50	%		05/01/33		5,000		5,599,600
Metropolitan Transportation Authority;
Series 2011 A, RB		5.00	%		11/15/41		2,000		2,092,960
Series 2013 A, RB		5.00	%		11/15/38		3,025		3,204,564
New York & New Jersey (States of) Port Authority (JFK International Air Terminal LLC); Series 2010, Special Obligation RB		6.00	%		12/01/42		3,000		3,274,080
New York & New Jersey (States of) Port Authority; Ninety-Third Series 1994, Consolidated RB		6.13	%		06/01/94		5,250		5,997,757
New York (City of) Industrial Development Agency (Polytechnic University);
Series 2007, Ref. Civic Facility RB (INS–ACA)(a)		5.25	%		11/01/27		5,000		5,331,300
Series 2007, Ref. Civic Facility RB (INS–ACA)(a)		5.25	%		11/01/37		2,500		2,609,575
New York (City of) Industrial Development Agency (Queens Baseball Stadium); Series 2009, PILOT RB (INS–AGC)(a)		6.38	%		01/01/39		1,000		1,105,040
New York (City of) Transitional Finance Authority;
Series 2009 S–3, Building Aid RB(e)		5.25	%		01/15/39		2,000		2,178,080
Subseries 2009 A-1, Future Tax Sec. RB(e)		5.00	%		05/01/28		5,570		6,361,553
Subseries 2009 A-1, Future Tax Sec. RB(e)		5.00	%		05/01/29		4,455		5,088,100
Subseries 2009 A-1, Future Tax Sec. RB(e)		5.00	%		05/01/30		4,455		4,930,438
New York (City of);
Series 2007 D-1, Unlimited Tax GO Bonds		5.13	%		12/01/22		2,500		2,872,925
Subseries 2008 L-1, Unlimited Tax GO Bonds		5.00	%		04/01/27		2,225		2,493,402
New York (State of) Dormitory Authority (Brooklyn Law School); Series 2012 A, RB		5.00	%		07/01/25		1,000		1,095,930
New York (State of) Dormitory Authority (General Purpose); Series 2011 A, State Personal Income Tax RB(e)		5.00	%		03/15/31		21,885		24,170,669
New York (State of) Dormitory Authority (North Shore–Long Island Jewish Obligated Group);
Series 2011 A, RB		5.00	%		05/01/32		1,000		1,051,590
Series 2011 A, RB		5.00	%		05/01/41		1,000		1,035,890
New York (State of) Dormitory Authority (State University Dormitory Facilities); Series 2011A, Lease RB		5.00	%		07/01/35		1,000		1,079,190
New York (State of) Dormitory Authority (State University Educational Facilities); Series 1993 A, RB		5.25	%		05/15/15		5,000		5,136,750
New York (State of) Dormitory Authority (Suffolk County); Series 1986, Judicial Facilities Lease RB(c)		7.38	%		07/01/16		4,405		4,800,613
New York (State of) Energy Research & Development Authority (Brooklyn Union Gas Co.); Series 1991 B, Gas Facilities Residual Interest RB(b)(h)		13.57	%		07/01/26		3,000		3,029,700
New York (State of) Energy Research & Development Authority; Series 1993, Regular Residual Interest RB(h)		12.38	%		04/01/20		2,500		2,508,050
New York (State of) Thruway Authority (Transportation); Series 2009 A, Personal Income Tax RB(e)		5.00	%		03/15/28		2,000		2,264,180
New York (State of); Series 2009 A, Unlimited Tax GO Bonds		5.00	%		02/15/39		500		552,230
New York Liberty Development Corp. (National Sports Museum); Series 2006 A, RB (Acquired 08/07/06; Cost $636,422)(f)(i)		6.13	%		02/15/19		750		8
New York State Environmental Facilities Corp. (Municipal Water Finance Authority); Series 2005 C, State Clean Water & Drinking Water Revolving Funds RB		5.00	%		06/15/21		1,545		1,638,689
Sales Tax Asset Receivable Corp.; Series 2004 A, RB (INS–AMBAC)(a)		5.00	%		10/15/29		10,000		10,265,700
Suffolk (County of) Water Authority; Series 2011, Ref. RB		5.00	%		06/01/40		2,135		2,274,458
Triborough Bridge & Tunnel Authority;
Series 1992 Y, General Purpose RB(c)		5.50	%		01/01/17		1,710		1,858,838
Series 1993 B, General Purpose RB(c)		5.00	%		01/01/20		1,960		2,302,569
									134,264,799

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

25                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
North Carolina–0.83%
Johnston (County of) Memorial Hospital Authority (Johnston Memorial Hospital); Series 2008, RB (INS–AGM)(a)		5.25	%		10/01/24	$	5,875	$	6,560,142
North Carolina (State of) Medical Care Commission (Duke University Health System); Series 2009 A, Health Care Facilities RB		5.00	%		06/01/39		1,000		1,068,300
North Carolina (State of) Medical Care Commission (Lutheran Services); Series 2012, Ref. First Mortgage Health Care Facilities RB		4.25	%		03/01/24		2,000		1,899,640
North Carolina (State of) Medical Care Commission (Southminster); Series 2007 A, First Mortgage Retirement Facilities RB		5.63	%		10/01/27		1,000		1,004,770
North Carolina (State of) Municipal Power Agency No. 1; Series 1998 A, Catawba Electric RB (INS–NATL)(a)		5.50	%		01/01/15		4,750		4,963,038
North Carolina (State of) Turnpike Authority; Series 2009 A, Triangle Expressway System RB (INS–AGC)(a)		5.13	%		01/01/24		2,000		2,198,160
Oak Island (Town of); Series 2009, Enterprise System RB (INS–AGC)(a)		6.00	%		06/01/34		500		547,585
									18,241,635
North Dakota–0.35%
Cass (County of) (Essentia Health Obligated Group); Series 2008 A, Health Care Facilities RB (INS–AGC)(a)		5.13	%		02/15/37		1,000		1,042,980
Fargo (City of) (Sanford); Series 2011, Health System RB		6.25	%		11/01/31		1,250		1,439,562
Grand Forks (City of) (4000 Valley Square); Series 2006, Ref. Senior Housing RB		5.20	%		12/01/26		1,000		996,600
McLean (County of) (Great River Energy); Series 2010 B, Solid Waste Facilities RB		5.15	%		07/01/40		2,000		2,054,800
North Dakota (State of) Board of Higher Education (North Dakota State University); Series 2007, Housing & Auxiliary Facilities RB (INS–AMBAC)(a)		5.00	%		04/01/27		1,085		1,131,460
Ward (County of) (Trinity Obligated Group); Series 2006, Health Care Facilities RB		5.13	%		07/01/29		1,000		1,010,580
									7,675,982
Ohio–3.21%
Adams (County of) (Adams County Hospital); Series 2005, Hospital Facility Improvement RB		6.25	%		09/01/20		2,760		2,283,790
Akron, Bath & Copley Joint Township Hospital District (Medical Center of Akron); Series 2012, RB		5.00	%		11/15/32		1,000		1,043,720
Allen (County of) (Catholic Healthcare Partners); Series 2010 A, Hospital Facilities RB		5.00	%		06/01/38		1,025		1,061,377
Beavercreek City School District; Series 2009, School Improvement Unlimited Tax GO Bonds		5.00	%		12/01/30		1,000		1,102,460
Cleveland (City of);
Series 1993 G, Ref. First Mortgage Waterworks Improvement RB (INS–NATL)(a)		5.50	%		01/01/21		3,395		4,032,649
Series 2008 B-1, Public Power System CAB RB (INS–NATL)(a)(g)		0.00	%		11/15/25		2,895		1,797,563
Series 2012 A, Ref. Airport System RB		5.00	%		01/01/29		5,000		5,178,400
Cuyahoga (County of) (Eliza Jennings Senior Care Network); Series 2007 A, Health Care & Independent Living Facilities RB		5.75	%		05/15/27		500		501,620
Hamilton (County of) (Christ Hospital);
Series 2012, Health Care Facilities RB		5.25	%		06/01/27		3,295		3,536,886
Series 2012, Health Care Facilities RB		5.50	%		06/01/42		6,000		6,254,040
Hamilton (County of) (Life Enriching Communities); Series 2006 A, Ref. Health Care RB		5.00	%		01/01/37		4,750		4,667,160
Lorain (County of) (Catholic Healthcare Partners);
Series 2003 C-1, Ref. Hospital Facilities RB (INS–AGM)(a)		5.00	%		04/01/24		1,750		1,935,325
Series 2006 H, Hospital Facilities RB (INS–AGC)(a)		5.00	%		02/01/24		4,810		5,315,916
Middleburg Heights (City of) (Southwest General Health Center);
Series 2011, Hospital Facilities RB		5.13	%		08/01/31		1,750		1,806,070
Series 2011, Hospital Facilities RB		5.25	%		08/01/36		1,500		1,553,055
Muskingum (County of) (Genesis Healthcare System); Series 2013, Hospital Facilities RB		5.00	%		02/15/44		5,000		4,066,100
Ohio (State of) (Cleveland Clinic Health System Obligated Group); Series 2009 A, Ref. Hospital RB		5.50	%		01/01/39		3,750		4,164,937
Ohio (State of) Air Quality Development Authority (Columbus Southern Power Co.); Series 2009 B, Ref. RB(d)		5.80	%		12/01/19		3,000		3,207,450
Ohio (State of) Air Quality Development Authority (FirstEnergy Generation Corp.); Series 2009 C, Ref. PCR		5.63	%		06/01/18		5,850		6,503,796
Ohio (State of) Higher Educational Facility Commission (University Hospitals Health System, Inc.); Series 2009 A, Hospital RB(c)(d)		6.75	%		01/15/15		4,000		4,233,400

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

26                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Ohio–(continued)
Ohio (State of) Housing Finance Agency (Covenant House Apartments); Series 2008 C, MFH Mortgage RB (CEP–GNMA)(b)		6.10	%		09/20/49	$	2,845	$	3,033,339
Ohio (State of) Water Development Authority (FirstEnergy Nuclear Generation Corp.); Series 2009 A, Ref. PCR(d)		5.88	%		06/01/16		2,140		2,322,307
Reynoldsburg City School District; Series 2008, School Facilities Construction & Improvement Unlimited Tax GO Bonds (CEP-Ohio School District)		5.00	%		12/01/32		1,000		1,074,380
									70,675,740
Oklahoma–0.81%
Grand River Dam Authority;
Series 2008 A, RB (INS–BHAC)(a)		5.00	%		06/01/21		3,735		4,286,585
Series 2008 A, RB (INS–BHAC)(a)		5.00	%		06/01/22		3,735		4,275,679
Series 2008 A, RB (INS–BHAC)(a)		5.00	%		06/01/23		6,350		7,265,098
Oklahoma (State of) Colleges Board Of Regents (University of Central Oklahoma); Series 2004 B, Student Facilities RB (INS–AMBAC)(a)		5.50	%		06/01/24		2,000		2,024,120
Oklahoma (State of) Housing Finance Agency; Series 1991 B, SFH Mortgage RB (CEP–GNMA)(b)		8.00	%		08/01/18		15		15,308
									17,866,790
Oregon–0.54%
Beaverton School District;
Series 2009, Limited Tax GO Bonds (INS–AGC)(a)		5.00	%		06/01/31		750		833,205
Series 2009, Limited Tax GO Bonds (INS–AGC)(a)		5.13	%		06/01/36		500		557,730
Forest Grove (City of) (Pacific University); Series 2014 A, Ref. Campus Improvement RB		5.25	%		05/01/34		2,000		2,075,200
Oregon (State of) Facilities Authority (Samaritan Health Services); Series 2010 A, Ref. RB		5.00	%		10/01/30		1,500		1,547,490
Portland (City of); Series 2011 B, Central Eastside Urban Renewal & Redevelopment Tax Allocation RB		5.25	%		06/15/29		900		966,708
Salem (City of) Hospital Facility Authority (Capital Manor, Inc.);
Series 2012, Ref. RB		5.63	%		05/15/32		1,000		1,005,780
Series 2012, Ref. RB		5.75	%		05/15/27		1,000		1,037,990
Warm Springs Reservation Confederated Tribes of Oregon (Pelton Round Butte); Series 2009 B, Tribal Economic Development Hydroelectric RB(f)		6.38	%		11/01/33		3,500		3,796,030
									11,820,133
Pennsylvania–1.39%
Allegheny (County of) Higher Education Building Authority (Duquesne University); Series 2011 A, University RB		5.25	%		03/01/27		700		775,943
Allegheny (County of) Port Authority; Series 2011, Ref. Special Transportation RB		5.75	%		03/01/29		1,385		1,562,973
Delaware River Port Authority; Series 2010 D, RB		5.00	%		01/01/35		1,000		1,059,870
Erie (City of) Parking Authority; Series 2010, Gtd. RB (INS–AGM)(a)		5.20	%		09/01/35		1,000		1,073,790
Lehigh (County of) General Purpose Authority (Bible Fellowship Church Homes, Inc.); Series 2013, RB		4.75	%		07/01/22		2,125		2,052,431
Lycoming (County of) Authority (Pennsylvania College of Technology); Series 2008, RB (INS–AGC)(a)		5.50	%		10/01/32		2,250		2,394,045
Pennsylvania (State of) Higher Educational Facilities Authority (Drexel University); Series 2011 A, RB		5.13	%		05/01/36		500		526,625
Pennsylvania (State of) Turnpike Commission;
Series 2009 A, Sub. RB (INS–AGC)(a)		5.00	%		06/01/39		1,850		1,921,281
Subseries 2009 A, Sub. RB (INS–AGC)(a)		5.00	%		06/01/24		4,000		4,461,720
Subseries 2010 B-2, Sub. Conv. CAB RB(j)		5.75	%		12/01/28		4,550		4,598,457
Subseries 2010 B-2, Sub. Conv. CAB RB(j)		6.00	%		12/01/34		2,750		2,729,375
Philadelphia (City of);
Ninth Series 2010, Gas Works RB		5.00	%		08/01/30		500		513,940
Series 2009 B, Limited Tax GO Bonds(c)(d)		7.00	%		07/15/16		2,425		2,808,198
Pittsburgh (City of) & Allegheny (County of) Sports & Exhibition Authority (Regional Asset District); Series 2010, Ref. Sales Tax RB (INS–AGM)(a)		5.00	%		02/01/31		2,000		2,128,000
State Public School Building Authority (Harrisburg School District); Series 2009 A, RB (INS–AGC)(a)		5.00	%		11/15/33		2,000		2,070,780
									30,677,428

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

27                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Puerto Rico–1.75%
Puerto Rico (Commonwealth of) Electric Power Authority; Series 1989 O, CAB RB(c)(g)		0.00	%		07/01/17	$	15,000	$	13,659,600
Puerto Rico (Commonwealth of) Highway & Transportation Authority; Series 1993 X, Ref. RB(c)		5.50	%		07/01/15		7,680		7,968,307
Puerto Rico Sales Tax Financing Corp.;
First Subseries 2009 A, RB(c)(d)		5.50	%		08/01/19		20		24,492
First Subseries 2009 A, RB		5.50	%		08/01/28		1,980		1,676,169
First Subseries 2010 A, CAB RB(g)		0.00	%		08/01/33		2,000		421,400
First Subseries 2010 A, RB		5.50	%		08/01/37		2,000		1,574,420
First Subseries 2010 A, RB		5.50	%		08/01/42		2,100		1,633,086
First Subseries 2010 C, RB		5.25	%		08/01/41		15,300		11,531,457
									38,488,931
Rhode Island–0.18%
Rhode Island (State of) Turnpike & Bridge Authority; Series 2010 A, RB		5.00	%		12/01/35		500		527,355
Rhode Island Economic Development Corp.; Series 2008 A, Airport RB (INS–AGC)(a)(b)		5.25	%		07/01/28		1,810		1,972,176
Rhode Island Health & Educational Building Corp. (Lifespan Obligated Group); Series 2009 A, Hospital Financing RB (INS–AGC)(a)		6.25	%		05/15/30		500		555,665
Rhode Island Health & Educational Building Corp. (Public Schools Financing Program-City of Woonsocket); Series 2009 E, RB (INS–AGC)(a)		5.00	%		05/15/34		825		838,745
									3,893,941
South Carolina–1.98%
Charleston Educational Excellence Finance Corp. (Charleston County School District); Series 2005, Installment Purchase RB(c)(d)		5.25	%		12/01/15		5,000		5,440,650
College of Charleston; Series 2007 D, Academic & Administrative Facilities RB (INS–SGI)(a)		4.63	%		04/01/30		1,500		1,530,990
Easley (City of); Series 2005, Ref. & Improvement Utility System RB(c)(d)		5.00	%		12/01/15		5,170		5,584,944
Greenwood (County of) (Self Regional Healthcare); Series 2012 B, Ref. Hospital RB		5.00	%		10/01/31		2,120		2,260,704
Horry (County of); Series 2010 A, Airport RB		5.00	%		07/01/40		2,000		2,097,800
Myrtle Beach (City of); Series 2004 A, Hospitality Fee RB(c)		5.38	%		06/01/24		1,150		1,165,571
Piedmont Municipal Power Agency;
Series 2008 A-2, Electric RB		5.00	%		01/01/24		2,000		2,219,580
Series 2011 C, Ref. Electric RB (INS–AGC)(a)		5.00	%		01/01/30		500		539,265
Series 2011 D, Ref. Electric RB (INS–AGC)(a)		5.75	%		01/01/34		1,000		1,115,370
South Carolina (State of) Jobs-Economic Development Authority (AnMed Health);
Series 2009 B, Ref. & Improvement Hospital RB (INS–AGC)(a)		5.00	%		02/01/19		1,000		1,154,910
Series 2009 B, Ref. & Improvement Hospital RB (INS–AGC)(a)		5.38	%		02/01/29		2,000		2,166,820
Series 2009 B, Ref. & Improvement Hospital RB (INS–AGC)(a)		5.50	%		02/01/38		3,000		3,286,680
South Carolina (State of) Jobs-Economic Development Authority (Lutheran Homes); Series 2013, Health Facilities RB		5.00	%		05/01/28		2,000		1,896,620
South Carolina (State of) Jobs-Economic Development Authority (Palmetto Health Alliance); Series 2013 A, Ref. Hospital RB		5.25	%		08/01/30		3,850		4,042,500
South Carolina (State of) Jobs-Economic Development Authority (Palmetto Health); Series 2009, Ref. & Improvement Hospital RB		5.75	%		08/01/39		1,000		1,056,090
South Carolina (State of) Jobs-Economic Development Authority (The Woodlands at Furman);
Series 2012, Ref. RB		6.00	%		11/15/32		713		452,402
Series 2012, Ref. Sub. CAB RB(g)		0.00	%		11/15/47		306		3,056
South Carolina (State of) Jobs-Economic Development Authority (Wesley Commons); Series 2006, Ref. First Mortgage Health Facilities RB		5.13	%		10/01/26		500		481,120
South Carolina (State of) Public Service Authority (Santee Cooper); Series 2008 A, RB		5.50	%		01/01/38		2,000		2,216,540
Spartanburg (County of) Regional Health Services District; Series 2008 D, Ref. RB (INS–AGC)(a)		5.25	%		04/15/22		4,465		4,902,883
									43,614,495
South Dakota–0.63%
Rapid City (City of); Series 2011 A, Ref. Airport RB		6.75	%		12/01/31		1,500		1,639,590
South Dakota (State of) Health & Educational Facilities Authority (Avera Health); Series 2012 A, RB		5.00	%		07/01/42		4,000		4,103,520

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

28                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
South Dakota–(continued)
South Dakota (State of) Health & Educational Facilities Authority (Vocational Education Program); Series 2008, RB (INS–AGC)(a)		5.50	%		08/01/38	$	4,000	$	4,435,320
South Dakota (State of) Housing Development Authority (Homeownership Mortgage); Series 2008 G, RB		6.00	%		05/01/28		140		141,145
South Dakota (State of); Series 1993 A, Lease Revenue Trust Ctfs. (INS–AGM)(a)		6.70	%		09/01/17		3,290		3,636,667
									13,956,242
Tennessee–0.40%
Chattanooga (City of) Health, Educational & Housing Facility Board (Community Development Financial Institution Phase I LLC); Series 2005 A, Ref. Sr. RB		5.00	%		10/01/25		1,000		1,007,250
Johnson City (City of) Health & Educational Facilities Board (Mountain States Health Alliance);
Series 2006 A, First Mortgage Hospital RB		5.50	%		07/01/36		1,000		1,029,090
Series 2010, Hospital RB		5.63	%		07/01/30		2,000		2,138,740
Nashville (City of) & Davidson (County of) Metropolitan Government Health & Educational Facilities Board (Blakeford at Green Hills);
Series 2012, Ref. & Improvement RB		5.00	%		07/01/27		2,000		2,063,180
Series 2012, Ref. & Improvement RB		5.00	%		07/01/32		1,500		1,509,045
Series 2012, Ref. & Improvement RB		5.00	%		07/01/37		1,100		1,098,427
									8,845,732
Texas–12.07%
Alliance Airport Authority, Inc. (Federal Express Corp.); Series 2006, Ref. Special Facilities RB(b)		4.85	%		04/01/21		3,615		3,781,254
Angelina & Neches River Authority Industrial Development Corp. (Aspen Power LLC); Series 2007 A, Environmental Facilities RB(b)(i)		6.50	%		11/01/29		430		240,783
Beaumont (City of); Series 2008, Limited Tax GO Ctfs. (INS–AGC)(a)		5.00	%		03/01/30		1,000		1,076,150
Bexar (County of) (Motor Vehicle Rental Tax); Series 2009, Venue RB (INS–BHAC)(a)		5.00	%		08/15/39		1,020		1,070,878
Bexar (County of) Metropolitan Water District; Series 2009, Ref. Waterworks System RB		5.00	%		05/01/39		1,500		1,550,625
Bexar County Health Facilities Development Corp. (St. Luke’s Lutheran Hospital); Series 1991, Hospital RB(c)		7.00	%		05/01/21		500		645,330
Brazoria (County of) Brazos River Harbor Navigation District (The Dow Chemical Co.); Series 2002 A, Environmental Facilities RB(b)(d)		5.95	%		05/15/18		1,100		1,182,852
Brazos Harbor Industrial Development Corp. (Dow Chemical); Series 2008, Environmental Facilities RB(b)(d)		5.90	%		05/01/28		1,050		1,102,259
Capital Area Cultural Education Facilities Finance Corp. (The Roman Catholic Diocese of Austin); Series 2005 B, RB		6.13	%		04/01/45		4,500		4,859,505
Central Texas Regional Mobility Authority;
Series 2011, Sr. Lien RB		5.75	%		01/01/31		1,000		1,074,490
Series 2011, Sr. Lien RB		6.00	%		01/01/41		5,000		5,301,150
Clifton Higher Education Finance Corp. (Idea Public Schools); Series 2013, Education RB		6.00	%		08/15/43		2,000		2,154,240
Dallas (City of) (Civic Center Convention Complex); Series 2009, Ref. & Improvement RB (INS–AGC)(a)		5.25	%		08/15/34		4,000		4,260,320
Dallas-Fort Worth International Airport Facilities Improvement Corp.;
Series 2004 B, Joint Improvement RB (INS–AGM)(a)(b)		5.38	%		11/01/21		4,000		4,126,120
Series 2004 B, Joint Improvement RB (INS–AGM)(a)(b)		5.50	%		11/01/19		6,110		6,319,267
Friendswood Independent School District; Series 2008, Schoolhouse Unlimited Tax GO Bonds (CEP–Texas Permanent School Fund)		5.00	%		02/15/26		2,840		3,204,457
Galena Park Independent School District; Series 1996, Ref. Unlimited Tax CAB GO Bonds (CEP–Texas Permanent School Fund)(g)		0.00	%		08/15/23		2,000		1,520,380
Harris (County of);
Series 2007 C, Ref. Sub. Lien Toll Road Unlimited Tax GO Bonds (INS–AGM)(a)		5.25	%		08/15/31		6,665		7,970,807
Series 2009 A, Sr. Lien Toll Road RB		5.00	%		08/15/31		2,920		3,242,835
Series 2009 A, Sr. Lien Toll Road RB		5.00	%		08/15/38		1,000		1,103,380
Harris County Cultural Education Facilities Finance Corp. (Baylor College of Medicine); Series 2008 D, Ref. Medical Facilities RB		5.38	%		11/15/28		825		871,250
Harris County Cultural Education Facilities Finance Corp. (TECO); Series 2009 A, Thermal Utility RB		5.25	%		11/15/35		1,100		1,170,411
Harris County Health Facilities Development Corp. (Memorial Hermann Healthcare System); Series 2008 B, Ref. RB(c)(d)		7.25	%		12/01/18		1,000		1,289,140

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

29                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Texas–(continued)
Harris County Health Facilities Development Corp. (TECO); Series 2008, Thermal Utility RB (INS–AGC)(a)		5.00	%		11/15/26	$	3,860	$	4,273,059
Harris County Health Facilities Development Corp. (Texas Children’s Hospital); Series 1999 A, RB(c)		5.25	%		10/01/29		2,000		2,008,840
Harris County Health Facilities Development Corp. (Texas Medical Center Central Heating and Cooling Services Corp.); Series 2008, Thermal Utility RB (INS–AGC)(a)		5.00	%		11/15/27		3,180		3,499,049
Hopkins (County of) Hospital District; Series 2008, RB		5.50	%		02/15/23		1,805		1,808,141
Houston (City of) Convention & Entertainment Facilities Department;
Series 2001 B, Hotel Occupancy Tax & Special CAB RB (INS–AGM)(a)(g)		0.00	%		09/01/26		8,750		5,103,612
Series 2001 B, Hotel Occupancy Tax & Special CAB RB (INS–AGM)(a)(g)		0.00	%		09/01/27		3,600		1,968,264
Houston (City of);
Series 2004 A, Ref. First Lien Combined Utility System RB (INS–AGM)(a)		5.25	%		05/15/22		15,000		15,161,700
Series 2004 A, Ref. First Lien Combined Utility System RB (INS–BHAC)(a)		5.25	%		05/15/23		22,500		22,736,925
Series 2004 A, Ref. First Lien Combined Utility System RB (INS–NATL)(a)		5.25	%		05/15/25		5,000		5,053,800
Series 2009 A, Ref. Sr. Lien Airport System RB		5.50	%		07/01/34		875		973,385
Houston Higher Education Finance Corp. (Cosmos Foundation, Inc.);
Series 2011 A, RB		6.50	%		05/15/31		1,740		1,939,543
Series 2011 A, RB		6.88	%		05/15/41		1,700		1,922,564
Houston Independent School District; Series 2008, Schoolhouse Limited Tax GO Bonds (CEP–Texas Permanent School Fund)		5.00	%		02/15/26		6,875		7,670,437
Laredo Community College District; Series 2010, Combined Fee RB (INS–AGM)(a)		5.25	%		08/01/35		1,000		1,066,970
Love Field Airport Modernization Corp. (Southwest Airlines Co.);
Series 2010, Special Facilities RB		5.25	%		11/01/40		1,000		1,020,220
Series 2012, Special Facilities RB(b)		5.00	%		11/01/28		2,000		2,075,700
Lower Colorado River Authority; Series 2012 A, Ref. RB		5.00	%		05/15/30		4,595		4,975,604
Lubbock Health Facilities Development Corp. (Carillon Senior LifeCare Community); Series 2005 A, Ref. First Mortgage RB		6.63	%		07/01/36		4,000		4,075,480
Lufkin Health Facilities Development Corp. (Memorial Health System of East Texas); Series 2009, Ref. & Improvement RB		6.00	%		02/15/24		2,500		2,704,650
New Hope Cultural Education Facilities Corp. (Morningside Ministries); Series 2013, First Mortgage RB		6.50	%		01/01/43		2,350		2,427,856
Newark Cultural Education Facilities Finance Corp. (A.W. Brown-Fellowship Leadership); Series 2012, Lease RB		6.00	%		08/15/42		2,330		2,399,574
North Texas Tollway Authority;
Series 2005 C, Dallas North Tollway System RB		5.38	%		01/01/21		1,000		1,146,770
Series 2008 A, Ref. First Tier System RB		5.63	%		01/01/33		3,500		3,822,245
Series 2008 A, Ref. First Tier System RB		6.00	%		01/01/23		2,000		2,287,560
Series 2008 A, Ref. First Tier System RB (INS–AGC)(a)		5.63	%		01/01/33		1,750		1,927,135
Series 2008 D, Ref. First Tier System CAB RB (INS–AGC)(a)(g)		0.00	%		01/01/28		12,800		6,857,600
Series 2008 D, Ref. First Tier System CAB RB (INS–AGC)(a)(g)		0.00	%		01/01/29		2,165		1,084,903
Series 2008 D, Ref. First Tier System CAB RB (INS–AGC)(a)(g)		0.00	%		01/01/31		4,710		2,091,099
Series 2008 F, Ref. Second Tier System RB		6.13	%		01/01/31		5,000		5,339,450
Series 2008 K-1, Ref. First Tier System RB (INS–AGC)(a)		5.75	%		01/01/38		1,630		1,821,574
Series 2011, Ref. First Tier System RB		5.00	%		01/01/38		1,000		1,037,150
Nueces River Authority (Corpus Christi);
Series 2005, Ref. Facilities RB (INS–AGM)(a)		5.00	%		07/15/25		2,750		2,897,950
Series 2005, Ref. Facilities RB (INS–AGM)(a)		5.00	%		03/01/27		2,000		2,095,780
Parker (County of); Series 2009, Road Unlimited Tax GO Bonds (INS–AGC)(a)		5.13	%		02/15/31		1,000		1,099,810
Pflugerville (City of);
Series 2009, Limited Tax GO Bonds (INS–AGC)(a)		5.30	%		08/01/31		860		966,158
Series 2009, Limited Tax GO Ctfs. (INS–AGC)(a)		5.38	%		08/01/32		755		844,739
Pharr-San Juan-Alamo Independent School District; Series 2006, Ref. Unlimited Tax GO Bonds (CEP–Texas Permanent School Fund)		5.13	%		02/01/24		1,010		1,084,558
Red River Health Facilities Development Corp. (Parkview on Hollybrook); Series 2013 A, First Mortgage RB		6.38	%		07/01/33		1,470		1,394,089
Richardson Independent School District; Series 2008, School Building Unlimited Tax GO Bonds		5.25	%		02/15/33		1,000		1,107,650
Sachse (City of); Series 2009, Ref. & Improvement Limited Tax GO Bonds (INS–AGC)(a)		5.25	%		02/15/31		500		554,475

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

30                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Texas–(continued)
San Jacinto River Authority (Groundwater Reduction Plan Division); Series 2011, Special Project RB (INS–AGM)(a)		5.00	%		10/01/32	$	1,250	$	1,318,113
Series 2011, Special Project RB (INS–AGM)(a)		5.00	%		10/01/37		1,000		1,038,200
Tarrant County Cultural Education Facilities Finance Corp. (Air Force Village Obligated Group); Series 2009, Retirement Facility RB		6.13	%		11/15/29		2,000		2,119,620
Tarrant County Cultural Education Facilities Finance Corp. (Buckingham Senior Living Community, Inc.); Series 2007, Retirement Facility RB		5.75	%		11/15/37		345		344,079
Tarrant County Cultural Education Facilities Finance Corp. (Buckner Retirement Services, Inc.);
Series 2007, Retirement Facility RB		5.00	%		11/15/17		500		548,995
Series 2007, Retirement Facility RB		5.25	%		11/15/37		4,000		4,019,760
Tarrant County Cultural Education Facilities Finance Corp. (C.C. Young Memorial Home);
Series 2007, Retirement Facility RB		5.75	%		02/15/25		2,200		2,206,490
Series 2007, Retirement Facility RB		5.75	%		02/15/29		1,500		1,457,505
Tarrant County Cultural Education Facilities Finance Corp. (CHRISTUS Health);
Series 2008 A, Ref. RB (INS–AGC)(a)		5.75	%		07/01/18		2,495		2,727,584
Series 2008 A, Ref. RB (INS–AGC)(a)		6.50	%		07/01/37		4,250		4,720,092
Tarrant County Cultural Education Facilities Finance Corp. (Texas Health Resources System); Series 2007 A, Ref. RB		5.00	%		02/15/17		2,700		3,032,127
Tarrant County Health Facilities Development Corp.; Series 1987 B, RB(c)		5.00	%		09/01/15		995		1,039,148
Texas (State of) Department of Housing & Community Affairs; Series 1992 C-2, Regular Residual Interest Home Mortgage RB (CEP–GNMA)(b)(h)		13.45	%		07/02/24		275		292,490
Texas (State of) Transportation Commission;
Series 2006 A, First Tier RB(c)(d)		5.00	%		04/01/16		2,000		2,194,980
Series 2008, Mobility Fund Unlimited Tax GO Bonds(e)		5.00	%		04/01/28		4,000		4,462,040
Texas (State of) Turnpike Authority (Central Texas Turnpike System); Series 2002, First Tier CAB RB (INS–BHAC)(a)(g)		0.00	%		08/15/27		1,000		573,790
Texas (State of); Series 2001 A, Ref. Water Development Unlimited Tax GO Bonds		5.25	%		08/01/35		1,840		1,847,268
Texas A&M University System Board of Regents; Series 2009 A, Financing System RB		5.00	%		05/15/25		1,610		1,855,976
Texas Municipal Gas Acquisition & Supply Corp. III;
Series 2012, Gas Supply RB		5.00	%		12/15/22		2,000		2,190,460
Series 2012, Gas Supply RB		5.00	%		12/15/23		2,000		2,163,940
Series 2012, Gas Supply RB		5.00	%		12/15/28		6,310		6,522,773
Series 2012, Gas Supply RB		5.00	%		12/15/31		1,875		1,917,731
Series 2012, Gas Supply RB		5.00	%		12/15/32		3,865		3,939,131
Texas Private Activity Bond Surface Transportation Corp. (NTE Mobility Partners LLC North Tarrant Express Management Lanes); Series 2009, Sr. Lien RB		6.88	%		12/31/39		5,460		6,081,894
Texas Private Activity Bond Surface Transportation Corp. (NTE Mobility Partners LLC); Series 2013, Sr. Lien RB(b)		7.00	%		12/31/38		3,475		3,884,251
Texas Woman’s University; Series 2008, Financing System RB		5.13	%		07/01/27		1,325		1,403,029
Tyler Health Facilities Development Corp. (Mother Frances Hospital Regional Health Care Center);
Series 2011, Hospital RB		5.13	%		07/01/22		1,655		1,778,910
Series 2011, Hospital RB		5.25	%		07/01/23		2,000		2,141,820
University of Houston; Series 2009, Ref. Consolidated RB		5.00	%		02/15/29		1,000		1,102,990
Victoria Independent School District; Series 2008, School Building Unlimited Tax GO Bonds (CEP–Texas Permanent School Fund)		5.00	%		02/15/23		1,790		2,027,819
Ysleta Independent School District Public Facility Corp.; Series 2001, Ref. Lease RB (INS–AMBAC)(a)		5.38	%		11/15/24		1,300		1,313,013
									265,709,969
Utah–0.37%
Pleasant Grove (City of); Series 2008, Water RB (INS–AGM)(a)		5.25	%		12/01/33		710		780,979
Provo (City of); Series 1984 A, Electric RB(c)		10.38	%		09/15/15		170		184,278
Salt Lake City (City of) (IHC Hospitals, Inc.); Series 1983, Hospital RB(c)		5.00	%		06/01/15		3,380		3,496,610
Utah (State of) Charter School Finance Authority (Summit Academy); Series 2007 A, Charter School RB		5.80	%		06/15/38		600		600,144
Utah (State of) Transit Authority; Series 2008 A, Sales Tax RB (INS–AGM)(a)		5.00	%		06/15/36		1,050		1,143,093

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

31                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Utah–(continued)
Utah Housing Corp.; Series 2008 C-1, Class III, Single Family Mortgage RB(b)		5.70	%		07/01/28	$	1,860	$	1,916,246
									8,121,350
Vermont–0.34%
University of Vermont & State Agricultural College; Series 2009, RB		5.13	%		10/01/39		1,275		1,344,551
Vermont (State of) Economic Development Authority (Central Vermont Public Service Corp.); Series 2010, Recovery Zone Facility Bonds		5.00	%		12/15/20		1,250		1,437,338
Vermont (State of) Economic Development Authority (Wake Robin Corp.); Series 2006 A, Mortgage RB		5.38	%		05/01/36		3,300		3,080,187
Vermont (State of) Educational & Health Buildings Financing Agency (Fletcher Allen Health Care); Series 2004 B, Hospital RB (INS–AGM)(a)		5.00	%		12/01/34		1,565		1,608,335
									7,470,411
Virgin Islands–0.21%
Virgin Islands (Government of) Public Finance Authority (Matching Fund Loan Note);
Series 2010 A, Sr. Lien RB		5.00	%		10/01/25		3,600		3,853,476
Series 2010 A, Sr. Lien RB		5.00	%		10/01/29		750		769,650
									4,623,126
Virginia–1.33%
Hampton Roads Sanitation District; Series 2008, Wastewater RB		5.00	%		04/01/38		2,000		2,145,000
Hanover (County of) Economic Development Authority (Covenant Woods);
Series 2012 A, Residential Care Facility RB		4.50	%		07/01/30		2,795		2,409,122
Series 2012 A, Residential Care Facility RB		4.50	%		07/01/32		1,100		926,563
Tobacco Settlement Financing Corp.; Series 2005, Asset-Backed RB(c)		5.50	%		06/01/26		695		726,310
Virginia (State of) Public School Authority; Series 2008, Special Obligation School Financing RB(c)(d)		6.00	%		12/01/18		1,000		1,234,360
Virginia (State of) Small Business Financing Authority (Elizabeth River Crossings Opco, LLC);
Series 2012, Sr. Lien RB(b)		5.00	%		07/01/27		4,465		4,537,780
Series 2012, Sr. Lien RB(b)		5.50	%		01/01/42		4,920		5,065,484
Virginia (State of) Small Business Financing Authority (Express Lanes, LLC);
Series 2012, Sr. Lien RB(b)		5.00	%		07/01/34		5,925		5,842,761
Series 2012, Sr. Lien RB(b)		5.00	%		01/01/40		2,535		2,475,529
Virginia (State of) Small Business Financing Authority (Hampton Roads Proton Beam Therapy Institute at Hampton University, LLC); Series 2009, RB(c)(d)(f)		8.00	%		07/01/14		800		836,840
Washington (County of) Industrial Development Authority (Mountain States Health Alliance); Series 2009 C, Hospital Facility RB		7.50	%		07/01/29		2,000		2,289,100
White Oak Village Shops Community Development Authority; Series 2007, Special Assessment RB		5.30	%		03/01/17		783		836,557
									29,325,406
Washington–3.14%
Everett (City of) Public Facilities District; Series 2007 A, Sales Tax & Interlocal RB		5.00	%		12/01/23		1,135		1,246,934
FYI Properties (Washington State District); Series 2009, Lease RB		5.50	%		06/01/39		1,000		1,072,640
Grant (County of) Public Utility District No. 2; Series 2005 A, Ref. Wanapum Hydroelectric Development RB (INS–NATL)(a)		5.00	%		01/01/38		2,500		2,573,400
Kalispel Tribe of Indians; Series 2008, RB		6.63	%		01/01/28		950		860,852
King (County of) Housing Authority (Egis Housing Program); Series 2007, Capital Fund Program RB(b)(c)(d)		5.30	%		06/01/17		1,025		1,156,764
King (County of) Public Hospital District No. 1; Series 2008 A, Limited Tax GO Bonds (INS–AGC)(a)		5.25	%		12/01/28		3,575		3,843,018
Klickitat (County of) Public Utility District No. 1;
Series 2006 B, Ref. Electric RB (INS–NATL)(a)		5.00	%		12/01/23		2,100		2,316,741
Series 2006 B, Ref. Electric RB (INS–NATL)(a)		5.00	%		12/01/24		2,000		2,199,540
Lynnwood (City of) Public Facilities District (Convention Center); Series 2005, RB (INS–AMBAC)(a)		5.00	%		12/01/34		4,140		4,161,901
Seattle (City of);
Series 2003, Ref. Water System RB (INS–NATL)(a)		5.00	%		09/01/20		2,150		2,158,965
Series 2008, Drainage & Wastewater RB		5.00	%		06/01/25		2,450		2,803,069
Series 2008, Ref. & Improvement Municipal Light & Power RB		5.75	%		04/01/23		2,000		2,349,960

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

32                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date			Principal Amount (000)		Value
Washington–(continued)
Seattle (Port of); Series 2005 A, Ref. Intermediate Lien RB (INS–NATL)(a)		5.00	%		03/01/35		$	1,000	$	1,029,210
Washington (State of) Health Care Facilities Authority (Fred Hutchinson Cancer Research Center);
Series 2011, RB		5.63	%		01/01/35			1,250		1,312,425
Series 2011, RB		6.00	%		01/01/31			1,500		1,623,795
Washington (State of) Health Care Facilities Authority (MultiCare Health System);
Series 2004 A, RB (INS–AGM)(a)		5.25	%		08/15/28			1,000		1,067,680
Series 2008 B, RB (INS–AGC)(a)		6.00	%		08/15/39			2,000		2,182,760
Washington (State of) Health Care Facilities Authority (Providence Health); Series 2006 D, RB (INS–AGM)(a)		5.25	%		10/01/33			5,000		5,469,150
Washington (State of) Higher Education Facilities Authority (Whitworth University);						��
Series 2009, Ref. RB		5.38	%		10/01/29			500		526,315
Series 2009, Ref. RB		5.63	%		10/01/40			1,500		1,559,430
Washington (State of) Housing Finance Commission (Wesley Homes); Series 2008, Non-Profit CR RB(f)		6.00	%		01/01/27			1,100		1,124,629
Washington (State of);
Series 2007 B, Motor Vehicle Fuel Unlimited Tax GO Bonds		5.00	%		07/01/27			2,250		2,516,130
Series 2010 B, Motor Vehicle Fuel Unlimited Tax GO Bonds(e)		5.00	%		08/01/30			21,500		24,095,910
										69,251,218
West Virginia–0.11%
Harrison (County of) Commission (Allegheny Energy); Series 2007 D, Ref. Solid Waste Disposal RB(b)		5.50	%		10/15/37			1,000		1,005,970
Ohio (County of) (Fort Henry Centre Financing District); Series 2007 A, Tax Increment Allocation RB		5.85	%		06/01/34			250		255,483
Pleasants (County of) Commission (Allegheny Energy Supply Co., LLC Pleasants Station); Series 2007 F, Ref. PCR		5.25	%		10/15/37			1,125		1,131,750
										2,393,203
Wisconsin–1.86%
Adams-Friendship Area School District; Series 1996, Ref. Unlimited Tax GO Bonds (INS–AMBAC)(a)		6.50	%		04/01/15			1,340		1,427,422
Superior (City of) (Superior Water, Light & Power Co.); Series 2007 A, Ref. Collateralized Utility RB(b)		5.38	%		11/01/21			2,000		2,138,960
Wisconsin (State of) Health & Educational Facilities Authority (Catholic Residential Services); Series 2007, Ref. RB		5.25	%		05/01/28			1,250		908,887
Wisconsin (State of) Health & Educational Facilities Authority (Essentia Health Obligated Group); Series 2008 B, Health Care Facilities RB (INS–AGC)(a)		5.13	%		02/15/30			1,500		1,587,915
Wisconsin (State of) Health & Educational Facilities Authority (Froedtert & Community Health Inc. Obligated Group); Series 2009, RB		5.00	%		04/01/34			750		780,180
Wisconsin (State of) Health & Educational Facilities Authority (Mercy Alliance);
Series 2012, RB		5.00	%		06/01/27			7,585		8,026,902
Series 2012, RB		5.00	%		06/01/39			4,050		4,115,448
Wisconsin (State of) Health & Educational Facilities Authority (Meriter Hospital, Inc.);
Series 2011 A, RB		5.50	%		05/01/31			2,000		2,155,660
Series 2011 A, RB		5.75	%		05/01/35			1,000		1,086,070
Wisconsin (State of) Health & Educational Facilities Authority (Prohealth Care, Inc. Obligated Group);
Series 2009, RB		6.38	%		02/15/29			500		552,265
Series 2009, RB		6.63	%		02/15/39			1,000		1,099,160
Wisconsin (State of) Housing & Economic Development Authority;
Series 2007 C, Home Ownership RB(b)(e)		5.13	%		09/01/28			1,255		1,287,241
Series 2008 A, Home Ownership RB(b)		5.30	%		09/01/23			6,860		7,199,570
Wisconsin (State of);
Series 2009 A, General Fund Annual Appropriation RB		5.38	%		05/01/25			2,355		2,733,213
Series 2009 A, General Fund Annual Appropriation RB		5.63	%		05/01/28			5,000		5,778,050
										40,876,943
Wyoming–0.46%
Campbell (County of) (Basin Electric Power Cooperative); Series 2009 A, Solid Waste Facilities RB		5.75	%		07/15/39			4,000		4,393,480
Sweetwater (County of) (FMC Corp.); Series 2005, Ref. Solid Waste Disposal RB(b)		5.60	%		12/01/35			2,005		2,044,799
West Park Hospital District (West Park Hospital); Series 2011 A, RB		6.50	%		06/01/31			1,000		1,097,930

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

33                         Invesco Municipal Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Wyoming–(continued)
Wyoming (State of) Municipal Power Agency; Series 2008 A, Power Supply RB		5.50	%		01/01/33	$	2,360	$	2,590,006
									10,126,215
TOTAL INVESTMENTS(m)–106.57% (Cost $2,191,628,788)									2,346,770,987
FLOATING RATE NOTE OBLIGATIONS–(7.66)%
Notes with interest and fee rates ranging from 0.55% to 0.93% at 02/28/14 and contractual maturities of collateral ranging from 05/15/23 to 08/15/42 (See Note 1J)(n)									(168,595,000	)
OTHER ASSETS LESS LIABILITIES–1.09%									23,904,640
NET ASSETS–100.00%								$	2,202,080,627

Investment Abbreviations:

ACA	– ACA Financial Guaranty Corp.
AGC	– Assured Guaranty Corp.
AGM	– Assured Guaranty Municipal Corp.
AMBAC	– American Municipal Bond Assurance Corp.
BHAC	– Berkshire Hathaway Assurance Corp.
CAB	– Capital Appreciation Bonds
CARS	– Convertible Auction Rate Security
CEP	– Credit Enhancement Provider
Connie Lee	– Connie Lee Insurance Co.
Conv.	– Convertible
COP	– Certificates of Participation
CR	– Custodial Receipts
Ctfs.	– Certificates
FHA	– Federal Housing Administration
FTA	– Federal Transit Administration
GNMA	– Government National Mortgage Association
GO	– General Obligation
Gtd.	– Guaranteed

IDR	– Industrial Development Revenue Bonds
INS	– Insurer
Jr.	– Junior
MFH	– Multi-Family Housing
NATL	– National Public Finance Guarantee Corp.
PCR	– Pollution Control Revenue Bonds
PILOT	– Payment-in-Lieu-of-Tax
RAB	– Revenue Anticipation Bonds
RAC	– Revenue Anticipation Certificates
Radian	– Radian Asset Assurance, Inc.
RB	– Revenue Bonds
Ref.	– Refunding
Sec.	– Secured
SFH	– Single-Family Housing
SGI	– Syncora Guarantee, Inc.
Sr.	– Senior
Sub.	– Subordinated
TEMPS	– Tax-Exempt Mandatory Paydown Securities

Notes to Schedule of Investments:

^(a)  Principal and/or interest payments are secured by the bond insurance company listed.

^(b)  Security subject to the alternative minimum tax.

^(c)  Advance refunded; secured by an escrow fund of U.S. Government obligations or other highly rated collateral.

^(d)  Security has an irrevocable call by the issuer or mandatory put by the holder. Maturity date reflects such call or put.

^(e)  Underlying security related to Dealer Trusts entered into by the Fund. See Note 1J.

^(f)  Security purchased or received in a transaction exempt from registration under the Securities Act of 1933, as amended (the “1933 Act”). The security may be resold pursuant to an exemption from registration under the 1933 Act, typically to qualified institutional buyers. The aggregate value of these securities at February 28, 2014 was $35,223,505, which represented 1.60% of the Fund’s Net Assets.

^(g)  Zero coupon bond issued at a discount.

^(h)  Current coupon rate for inverse floating rate municipal obligations. This rate resets periodically as the rate on the related security changes. Positions in inverse floating rate municipal obligations have a total value of $17,320,056, which represented less than 1% of the Fund’s Net Assets.

⁽ⁱ⁾  Defaulted security. Currently, the issuer is partially or fully in default with respect to interest payments. The aggregate value of these securities at February 28, 2014 was $2,469,946, which represented less than 1% of the Fund’s Net Assets.

^(j)  Convertible CAB. The interest rate shown represents the coupon rate at which the bond will accrue at a specified future date.

^(k)  Security is subject to a shortfall agreement which may require the Fund to pay amounts to a counterparty in the event of a significant decline in the market value of the security underlying the Dealer Trusts. In case of a shortfall, the maximum potential amount of payments the Fund could ultimately be required to make under the agreement is $13,050,000. However, such shortfall payment would be reduced by the proceeds from the sale of the security underlying the Dealer Trusts.

^(l)  Interest or dividend rate is redetermined periodically. Rate shown is the rate in effect on February 28, 2014.

^(m)  This table provides a listing of those entities that have either issued, guaranteed, backed or otherwise enhanced the credit quality of more than 5% of the securities held in the portfolio. In instances where the entity has guaranteed, backed or otherwise enhanced the credit quality of a security, it is not primarily responsible for the issuer’s obligations but may be called upon to satisfy the issuer’s obligations.

Entities	Percentage
Assured Guaranty Municipal Corp.		10.2	%
Assured Guaranty Corp.		10.0
National Public Finance Guarantee Corp.		7.9

⁽ⁿ⁾  Floating rate note obligations related to securities held. The interest and fee rates shown reflect the rates in effect at February 28, 2014. At February 28, 2014, the Fund’s investments with a value of $292,235,218 are held by Dealer Trusts and serve as collateral for the $168,595,000 in the floating rate note obligations outstanding at that date.

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

34                         Invesco Municipal Income Fund

Statement of Assets and Liabilities

February 28, 2014

Assets:
Investments, at value (Cost $2,191,628,788)	$	2,346,770,987
Receivable for:
Investments sold		6,930,270
Fund shares sold		2,287,959
Interest		28,184,498
Investment for trustee deferred compensation and retirement plans		354,318
Other assets		30,288
Total assets		2,384,558,320
Liabilities:
Floating rate note obligations		168,595,000
Payable for:
Investments purchased		5,272,247
Fund shares reacquired		1,919,480
Amount due custodian		2,508,849
Dividends		2,927,100
Accrued fees to affiliates		680,074
Accrued trustees’ and officers’ fees and benefits		6,591
Accrued other operating expenses		65,201
Trustee deferred compensation and retirement plans		503,151
Total liabilities		182,477,693
Net assets applicable to shares outstanding	$	2,202,080,627
Net assets consist of:
Shares of beneficial interest	$	2,276,715,551
Undistributed net investment income		7,912,647
Undistributed net realized gain (loss)		(237,689,770	)
Net unrealized appreciation		155,142,199
	$	2,202,080,627

Net Assets:
Class A	$	1,567,765,943
Class B	$	15,616,900
Class C	$	94,657,963
Class Y	$	411,717,586
Investor Class	$	112,322,235
Shares outstanding, $0.001 par value per share, with an unlimited number of shares authorized:
Class A		118,318,962
Class B		1,181,247
Class C		7,176,661
Class Y		31,077,784
Investor Class		8,470,719
Class A:
Net asset value per share	$	13.25
Maximum offering price per share
(Net asset value of $13.25 ¸ 95.75%)	$	13.84
Class B:
Net asset value and offering price per share	$	13.22
Class C:
Net asset value and offering price per share	$	13.19
Class Y:
Net asset value and offering price per share	$	13.25
Investor Class:
Net asset value and offering price per share	$	13.26

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

35                         Invesco Municipal Income Fund

Statement of Operations

For the year ended February 28, 2014

Investment income:
Interest	$	115,377,907
Expenses:
Advisory fees		10,015,620
Administrative services fees		450,255
Custodian fees		46,765
Distribution fees:
Class A		3,900,918
Class B		178,853
Class C		926,694
Investor Class		112,865
Interest, facilities and maintenance fees		1,885,239
Transfer agent fees		1,140,431
Trustees’ and officers’ fees and benefits		138,879
Other		521,632
Total expenses		19,318,151
Less: Expense offset arrangement(s)		(1,739	)
Net expenses		19,316,412
Net investment income		96,061,495
Realized and unrealized gain (loss) from:
Net realized gain (loss) from investment securities (includes net gains (losses) from securities sold to affiliates of $(469,495))		(23,834,690	)
Change in net unrealized appreciation (depreciation) of investment securities		(91,985,971	)
Net realized and unrealized gain (loss)		(115,820,661	)
Net increase (decrease) in net assets resulting from operations	$	(19,759,166	)

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

36                         Invesco Municipal Income Fund

Statement of Changes in Net Assets

For the years ended February 28, 2014 and 2013

	2014			2013
Operations:
Net investment income	$	96,061,495		$	87,672,900
Net realized gain (loss)		(23,834,690	)		727,343
Change in net unrealized appreciation (depreciation)		(91,985,971	)		44,430,626
Net increase (decrease) in net assets resulting from operations		(19,759,166	)		132,830,869
Distributions to shareholders from net investment income:
Class A		(66,647,846	)		(63,488,524	)
Class B		(628,152	)		(758,673	)
Class C		(3,270,812	)		(2,488,598	)
Class Y		(19,326,568	)		(20,879,460	)
Investor Class		(3,165,468	)		—
Total distributions from net investment income		(93,038,846	)		(87,615,255	)
Share transactions–net:
Class A		107,271,330			24,750,981
Class B		(3,291,744	)		(4,168,273	)
Class C		19,681,315			9,553,980
Class Y		(26,346,525	)		(25,131,446	)
Investor Class		111,492,355			—
Net increase in net assets resulting from share transactions		208,806,731			5,005,242
Net increase in net assets		96,008,719			50,220,856
Net assets:
Beginning of year		2,106,071,908			2,055,851,052
End of year (includes undistributed net investment income of $7,912,647 and $5,288,350, respectively)	$	2,202,080,627		$	2,106,071,908

Notes to Financial Statements

February 28, 2014

NOTE 1—Significant Accounting Policies

Invesco Municipal Income Fund (the “Fund”) is a series portfolio of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”). The Trust is a Delaware statutory trust registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end series management investment company consisting of six separate portfolios, each authorized to issue an unlimited number of shares of beneficial interest. The assets, liabilities and operations of each portfolio are accounted for separately. Information presented in these financial statements pertains only to the Fund. Matters affecting each portfolio or class will be voted on exclusively by the shareholders of such portfolio or class.

The Fund’s investment objective is to provide investors with a high level of current income exempt from federal income tax, consistent with preservation of capital.

The Fund currently consists of five different classes of shares: Class A, Class B, Class C, Class Y and Investor Class. On July 15, 2013, the Fund began offering Investor Class shares. Class A shares are sold with a front-end sales charge unless certain waiver criteria are met and under certain circumstances load waived shares may be subject to contingent deferred sales charges (“CDSC”). Class C shares are sold with a CDSC. Class Y and Investor Class shares are sold at net asset value. Effective November 30, 2010, new or additional investments in Class B shares are no longer permitted. Existing shareholders of Class B shares may continue to reinvest dividends and capital gains distributions in Class B shares until they convert to Class A shares. Also, shareholders in Class B shares will be able to exchange those shares for Class B shares of other Invesco Funds offering such shares until they convert to Class A shares. Generally, Class B shares will automatically convert to Class A shares on or about the month-end, which is at least eight years after the date of purchase. Redemption of Class B shares prior to conversion date will be subject to a CDSC.

The following is a summary of the significant accounting policies followed by the Fund in the preparation of its financial statements.

A. Security Valuations — Securities, including restricted securities, are valued according to the following policy.

Securities are fair valued using an evaluated quote provided by an independent pricing service approved by the Board of Trustees. Evaluated quotes provided by the pricing service may be determined without exclusive reliance on quoted prices, and may reflect appropriate factors such as institution-size trading in similar groups of securities, developments related to specific securities, dividend rate (for unlisted equities), yield (for debt obligations), quality, type of issue, coupon rate (for debt obligations), maturity (for debt obligations), individual trading characteristics and other market data. Debt obligations are subject to interest rate and credit risks. In addition, all debt obligations involve some risk of default with respect to interest and/or principal payments.

37                         Invesco Municipal Income Fund

Securities for which market quotations either are not readily available or became unreliable are valued at fair value as determined in good faith by or under the supervision of the Trust’s officers following procedures approved by the Board of Trustees. Some of the factors which may be considered in determining fair value are fundamental analytical data relating to the investment; the nature and duration of any restrictions on transferability or disposition; trading in similar securities by the same issuer or comparable companies; relevant political, economic or issuer specific news; and other relevant factors under the circumstances.

The Fund invests in securities that are subject to interest rate risk, meaning the risk that the prices will generally fall as interest rates rise and, conversely, the prices will generally rise as interest rates fall. Specific securities differ in their sensitivity to changes in interest rates depending on their individual characteristics. Changes in interest rates may result in increased market volatility, which may affect the value and/or liquidity of certain of the Fund’s investments.

Valuations change in response to many factors including the historical and prospective earnings of the issuer, the value of the issuer’s assets, general economic conditions, interest rates, investor perceptions and market liquidity. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

B. Securities Transactions and Investment Income — Securities transactions are accounted for on a trade date basis. Realized gains or losses on sales are computed on the basis of specific identification of the securities sold. Interest income is recorded on the accrual basis from settlement date. Dividend income (net of withholding tax, if any) is recorded on the ex-dividend date. Bond premiums and discounts are amortized and/or accreted for financial reporting purposes.

The Fund may periodically participate in litigation related to Fund investments. As such, the Fund may receive proceeds from litigation settlements. Any proceeds received are included in the Statement of Operations as realized gain (loss) for investments no longer held and as unrealized gain (loss) for investments still held.

Brokerage commissions and mark ups are considered transaction costs and are recorded as an increase to the cost basis of securities purchased and/or a reduction of proceeds on a sale of securities. Such transaction costs are included in the determination of net realized and unrealized gain (loss) from investment securities reported in the Statement of Operations and the Statement of Changes in Net Assets and the net realized and unrealized gains (losses) on securities per share in the Financial Highlights. Transaction costs are included in the calculation of the Fund’s net asset value and, accordingly, they reduce the Fund’s total returns. These transaction costs are not considered operating expenses and are not reflected in net investment income reported in the Statement of Operations and Statement of Changes in Net Assets, or the net investment income per share and ratios of expenses and net investment income reported in the Financial Highlights, nor are they limited by any expense limitation arrangements between the Fund and the investment adviser.

The Fund allocates realized and unrealized capital gains and losses to a class based on the relative net assets of each class. The Fund allocates income to a class based on the relative value of the settled shares of each class.

C. Country Determination— For the purposes of making investment selection decisions and presentation in the Schedule of Investments, the investment adviser may determine the country in which an issuer is located and/or credit risk exposure based on various factors. These factors include the laws of the country under which the issuer is organized, where the issuer maintains a principal office, the country in which the issuer derives 50% or more of its total revenues and the country that has the primary market for the issuer’s securities, as well as other criteria. Among the other criteria that may be evaluated for making this determination are the country in which the issuer maintains 50% or more of its assets, the type of security, financial guarantees and enhancements, the nature of the collateral and the sponsor organization. Country of issuer and/or credit risk exposure has been determined to be the United States of America, unless otherwise noted.

D. Distributions— Distributions from income are declared daily and paid monthly. Distributions from net realized capital gain, if any, are generally declared and paid annually and recorded on the ex-dividend date. The Fund may elect to treat a portion of the proceeds from redemptions as distributions for federal income tax purposes.

E. Federal Income Taxes — The Fund intends to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”), necessary to qualify as a regulated investment company and to distribute substantially all of the Fund’s taxable and tax-exempt earnings to shareholders. As such, the Fund will not be subject to federal income taxes on otherwise taxable income (including net realized capital gain) that is distributed to shareholders. Therefore, no provision for federal income taxes is recorded in the financial statements.

In addition, the Fund intends to invest in such municipal securities to allow it to qualify to pay shareholders “exempt-interest dividends”, as defined in the Internal Revenue Code.

The Fund recognizes the tax benefits of uncertain tax positions only when the position is more likely than not to be sustained. Management has analyzed the Fund’s uncertain tax positions and concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions. Management is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next 12 months.

The Fund files tax returns in the U.S. Federal jurisdiction and certain other jurisdictions. Generally, the Fund is subject to examinations by such taxing authorities for up to three years after the filing of the return for the tax period.

F. Expenses — Fees provided for under the Rule 12b-1 plan of a particular class of the Fund and which are directly attributable to that class are charged to the operations of such class. All other expenses are allocated among the classes based on relative net assets.

G. Interest, Facilities and Maintenance Fees — Interest, Facilities and Maintenance Fees include interest and related borrowing costs such as commitment fees and other expenses associated with lines of credit and interest and administrative expenses related to establishing and maintaining floating rate note obligations, if any.

H. Accounting Estimates — The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period including estimates and assumptions related to taxation. Actual results could differ from those estimates by a significant amount. In addition, the Fund monitors for material events or transactions that may occur or become known after the period-end date and before the date the financial statements are released to print.

I. Indemnifications — Under the Trust’s organizational documents, each Trustee, officer, employee or other agent of the Trust is indemnified against certain liabilities that may arise out of the performance of their duties to the Fund. Additionally, in the normal course of business, the

38                         Invesco Municipal Income Fund

Fund enters into contracts, including the Fund’s servicing agreements, that contain a variety of indemnification clauses. The Fund’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund that have not yet occurred. The risk of material loss as a result of such indemnification claims is considered remote.

J. Floating Rate Note Obligations— The Fund invests in inverse floating rate securities, such as Residual Interest Bonds (“RIBs”) or Tender Option Bonds (“TOBs”) for investment purposes and to enhance the yield of the Fund. Inverse floating rate investments tend to underperform the market for fixed rate bonds in a rising interest rate environment, but tend to outperform the market for fixed rate bonds when interest rates decline or remain relatively stable. Such transactions may be purchased in the secondary market without first owning the underlying bond or by the sale of fixed rate bonds by the Fund to special purpose trusts established by a broker dealer (“Dealer Trusts”) in exchange for cash and residual interests in the Dealer Trusts’ assets and cash flows, which are in the form of inverse floating rate securities. The Dealer Trusts finance the purchases of the fixed rate bonds by issuing floating rate notes to third parties and allowing the Fund to retain residual interests in the bonds. The floating rate notes issued by the Dealer Trusts have interest rates that reset weekly and the floating rate note holders have the option to tender their notes to the Dealer Trusts for redemption at par at each reset date. The residual interests held by the Fund (inverse floating rate investments) include the right of the Fund (1) to cause the holders of the floating rate notes to tender their notes at par at the next interest rate reset date, and (2) to transfer the municipal bond from the Dealer Trusts to the Fund, thereby collapsing the Dealer Trusts.

Recently published final rules implementing section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Volcker Rule”) prohibit banking entities from engaging in proprietary trading of certain instruments and limit such entities’ investments in, and relationships with, “covered funds.” These rules may preclude banking entities from sponsoring and/or providing services for existing TOB trust programs. There can be no assurances that TOB trusts can be restructured substantially similar to their present form, that new sponsors of TOB trusts would begin providing these services, or that alternative forms of leverage will be available to the Trust in order to maintain current levels of leverage. Any alternative forms of leverage may be less advantageous to the Trust, and may adversely affect the Trust’s net asset value, distribution rate and ability to achieve its investment objective. The ultimate impact of these rules on the TOBs market and the municipal market generally is not yet certain.

TOBs are presently classified as private placement securities. Private placement securities are subject to restrictions on resale because they have not been registered under the Securities Act of 1933, as amended (the “1933 Act”), or are otherwise not readily marketable. As a result of the absence of a public trading market for these securities, they may be less liquid than publicly traded securities. Although these securities may be resold in privately negotiated transactions, the prices realized from these sales could be less than those originally paid by the Fund or less than what may be considered the fair value of such securities.

The Fund accounts for the transfer of bonds to the Dealer Trusts as secured borrowings, with the securities transferred remaining in the Fund’s investment assets, and the related floating rate notes reflected as Fund liabilities under the caption Floating rate note obligations on the Statement of Assets and Liabilities. The Fund records the interest income from the fixed rate bonds under the caption Interest and records the expenses related to floating rate obligations and any administrative expenses of the Dealer Trusts as a component of Interest, facilities and maintenance fees on the Statement of Operations.

The Fund generally invests in inverse floating rate securities that include embedded leverage, thus exposing the Fund to greater risks and increased costs. The primary risks associated with inverse floating rate securities are varying degrees of liquidity and the changes in the value of such securities in response to changes in market rates of interest to a greater extent than the value of an equal principal amount of a fixed rate security having similar credit quality, redemption provisions and maturity which may cause the Fund’s net asset value to be more volatile than if it had not invested in inverse floating rate securities. In certain instances, the short-term floating rate interests created by the special purpose trust may not be able to be sold to third parties or, in the case of holders tendering (or putting) such interests for repayment of principal, may not be able to be remarketed to third parties. In such cases, the special purpose trust holding the long-term fixed rate bonds may be collapsed. In the case of RIBs or TOBs created by the contribution of long-term fixed income bonds by the Fund, the Fund will then be required to repay the principal amount of the tendered securities. During times of market volatility, illiquidity or uncertainty, the Fund could be required to sell other portfolio holdings at a disadvantageous time to raise cash to meet that obligation.

K. Other Risks — The value of, payment of interest on, repayment of principal for and the ability to sell a municipal security may be affected by constitutional amendments, legislative enactments, executive orders, administrative regulations, voter initiatives and the economics of the regions in which the issuers are located.

Since many municipal securities are issued to finance similar projects, especially those relating to education, health care, transportation and utilities, conditions in those sectors can affect the overall municipal securities market and a Fund’s investments in municipal securities.

There is some risk that a portion or all of the interest received from certain tax-free municipal securities could become taxable as a result of determinations by the Internal Revenue Service.

NOTE 2—Advisory Fees and Other Fees Paid to Affiliates

The Trust has entered into a master investment advisory agreement with Invesco Advisers, Inc. (the “Adviser” or “Invesco”). Under the terms of the investment advisory agreement, the Fund pays an advisory fee to the Adviser based on the annual rate of the Fund’s average daily net assets as follows:

Average Daily Net Assets	Rate
First $500 million		0.50%
Over $500 million		0.45%

Under the terms of a master sub-advisory agreement between the Adviser and each of Invesco Asset Management Deutschland GmbH, Invesco Asset Management Limited, Invesco Asset Management (Japan) Limited, Invesco Australia Limited, Invesco Hong Kong Limited, Invesco Senior Secured Management, Inc. and Invesco Canada Ltd. (collectively, the “Affiliated Sub-Advisers”) the Adviser, not the Fund, may pay 40% of the fees paid to the Adviser to any such Affiliated Sub-Adviser(s) that provide(s) discretionary investment management services to the Fund based on the percentage of assets allocated to such Sub-Adviser(s).

39                         Invesco Municipal Income Fund

Effective July 1, 2013, the Adviser has contractually agreed, through at least June 30, 2014, to waive advisory fees and/or reimburse expenses of all shares to the extent necessary to limit annual fund expenses after fee waiver and/or expense reimbursement (excluding certain items discussed below) of Class A, Class B, Class C, Class Y and Investor Class shares to 1.50%, 2.25%, 2.25%, 1.25% and 1.50% of average daily net assets, respectively. Prior to July 1, 2013, the Adviser had contractually agreed to waive advisory fees and/or reimburse expenses of all shares to the extent necessary to limit total annual fund operating expenses after fee waiver and/or expense reimbursement (excluding certain items discussed below) of Class A, Class B, Class C and Class Y shares to 0.83%, 1.58%, 1.58% and 0.58%, respectively, of average daily net assets. In determining the Adviser’s obligation to waive advisory fees and/or reimburse expenses, the following expenses are not taken into account, and could cause the net annual fund operating expenses after fee waiver and/or expense reimbursement to exceed the numbers reflected above: (1) interest, facilities and maintenance fees; (2) taxes; (3) dividend expense on short sales; (4) extraordinary or non-routine items, including litigation expenses; and (5) expenses that the Fund has incurred but did not actually pay because of an expense offset arrangement. Unless Invesco continues the fee waiver agreement, it will terminate on June 30, 2014. The fee waiver agreement cannot be terminated during its term. The Adviser did not waive fees and/or reimburse expenses during the period under this expense limitation.

The Trust has entered into a master administrative services agreement with Invesco pursuant to which the Fund has agreed to pay Invesco for certain administrative costs incurred in providing accounting services to the Fund. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Administrative services fees.

The Trust has entered into a transfer agency and service agreement with Invesco Investment Services, Inc. (“IIS”) pursuant to which the Fund has agreed to pay IIS a fee for providing transfer agency and shareholder services to the Fund and reimburse IIS for certain expenses incurred by IIS in the course of providing such services. IIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. All fees payable by IIS to intermediaries that provide omnibus account services or sub-accounting are charged back to the Fund, subject to certain limitations approved by the Trust’s Board of Trustees. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Transfer agent fees.

Shares of the Fund are distributed by Invesco Distributors, Inc. (“IDI”). The Fund has adopted a distribution plan pursuant to Rule 12b-1 under the 1940 Act, and a service plan (collectively, the “Plans”) for Class A shares, Class B shares and Class C shares and Investor Class shares to compensate IDI for the sale, distribution, shareholder servicing and maintenance of shareholder accounts for these shares. Under the Plans, the Fund will incur annual fees of up to 0.25% of Class A and Investor Class average daily net assets and up to 1.00% each of Class B and Class C average daily net assets.

With respect to Class B and Class C shares, the Fund is authorized to reimburse in future years any distribution related expenses that exceed the maximum annual reimbursement rate for such class, so long as such reimbursement does not cause the Fund to exceed the Class B and Class C maximum annual reimbursement rate, respectively. With respect to Class A shares, distribution related expenses that exceed the maximum annual reimbursement rate for such class are not carried forward to future years and the Fund will not reimburse IDI for any such expenses.

For the year ended February 28, 2014, expenses incurred under these agreements are shown in the Statement of Operations as Distribution fees.

Front-end sales commissions and CDSC (collectively, the “sales charges”) are not recorded as expenses of the Fund. Front-end sales commissions are deducted from proceeds from the sales of Fund shares prior to investment in Class A shares of the Fund. CDSC are deducted from redemption proceeds prior to remittance to the shareholder. During the year ended February 28, 2014, IDI advised the Fund that IDI retained $150,464 in front-end sales commissions from the sale of Class A shares and $17,638, $58,103 and $13,783 from Class A, Class B and Class C shares, respectively, for CDSC imposed on redemptions by shareholders.

Certain officers and trustees of the Trust are officers and directors of the Adviser, IIS and/or IDI.

NOTE 3—Additional Valuation Information

GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, under current market conditions. GAAP establishes a hierarchy that prioritizes the inputs to valuation methods, giving the highest priority to readily available unadjusted quoted prices in an active market for identical assets (Level 1) and the lowest priority to significant unobservable inputs (Level 3), generally when market prices are not readily available or are unreliable. Based on the valuation inputs, the securities or other investments are tiered into one of three levels. Changes in valuation methods may result in transfers in or out of an investment’s assigned level:

Level 1 — Prices are determined using quoted prices in an active market for identical assets.

Level 2 — Prices are determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk, yield curves, loss severities, default rates, discount rates, volatilities and others.

Level 3 — Prices are determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund’s own assumptions about the factors market participants would use in determining fair value of the securities or instruments and would be based on the best available information.

As of February 28, 2014, all of the securities in this Fund were valued based on Level 2 inputs (see the Schedule of Investments for security categories). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

NOTE 4—Security Transactions with Affiliated Funds

The Fund is permitted to purchase or sell securities from or to certain other Invesco Funds under specified conditions outlined in procedures adopted by the Board of Trustees of the Trust. The procedures have been designed to ensure that any purchase or sale of securities by the Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common Trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under the procedures, each transaction is effected at the current market price. Pursuant to these procedures, for the year ended February 28, 2014, the Fund engaged in securities sales of $6,321,308, which resulted in net gains (losses) of $(469,495).

40                         Invesco Municipal Income Fund

NOTE 5—Expense Offset Arrangement(s)

The expense offset arrangement is comprised of transfer agency credits which result from balances in demand deposit accounts used by the transfer agent for clearing shareholder transactions. For the year ended February 28, 2014, the Fund received credits from this arrangement, which resulted in the reduction of the Fund’s total expenses of $1,739.

NOTE 6—Trustees’ and Officers’ Fees and Benefits

Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to pay remuneration to certain Trustees and Officers of the Fund. Trustees have the option to defer compensation payable by the Fund, and Trustees’ and Officers’ Fees and Benefits also include amounts accrued by the Fund to fund such deferred compensation amounts. Those Trustees who defer compensation have the option to select various Invesco Funds in which their deferral accounts shall be deemed to be invested. Finally, certain current Trustees were eligible to participate in a retirement plan that provided for benefits to be paid upon retirement to Trustees over a period of time based on the number of years of service. The Fund may have certain former Trustees who also participate in a retirement plan and receive benefits under such plan. Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to fund such retirement benefits. Obligations under the deferred compensation and retirement plans represent unsecured claims against the general assets of the Fund.

NOTE 7—Cash Balances and Borrowings

The Fund is permitted to temporarily carry a negative or overdrawn balance in its account with State Street Bank and Trust Company (“SSB”), the custodian bank. Such balances, if any at period end, are shown in the Statement of Assets and Liabilities under the payable caption Amount due custodian. To compensate the custodian bank for such overdrafts, the overdrawn Fund may either (1) leave funds as a compensating balance in the account so the custodian bank can be compensated by earning the additional interest; or (2) compensate by paying the custodian bank at a rate agreed upon by the custodian bank and Invesco, not to exceed the contractually agreed upon rate.

Inverse floating rate obligations resulting from the transfer of bonds to Dealer Trusts are accounted for as secured borrowings. The average floating rate notes outstanding and average annual interest and fee rate related to inverse floating rate note obligations during the year ended February 28, 2014 were $168,286,077 and 1.12%, respectively.

NOTE 8—Distributions to Shareholders and Tax Components of Net Assets

Tax Character of Distributions to Shareholders Paid During the Years Ended February 28, 2014 and 2013:

	2014		2013
Ordinary income	$	93,038,846	$	87,615,255

Tax Components of Net Assets at Period-End:

	2014
Undistributed ordinary income	$	2,637,871
Net unrealized appreciation — investments		160,214,629
Temporary book/tax differences		(475,006	)
Post-October deferrals		(2,960,378	)
Capital loss carryforward		(234,052,040	)
Shares of beneficial interest		2,276,715,551
Total net assets	$	2,202,080,627

The difference between book-basis and tax-basis unrealized appreciation (depreciation) is due to differences in the timing of recognition of gains and losses on investments for tax and book purposes. The Fund’s net unrealized appreciation (depreciation) difference is attributable primarily to wash sales, TOBs, book to tax accretion and amortization differences and defaulted bonds.

The temporary book/tax differences are a result of timing differences between book and tax recognition of income and/or expenses. The Fund’s temporary book/tax differences are the result of the trustee deferral of compensation and retirement plan benefits.

Capital loss carryforward is calculated and reported as of a specific date. Results of transactions and other activity after that date may affect the amount of capital loss carryforward actually available for the Fund to utilize. Capital losses generated in years beginning after December 22, 2010 can be carried forward for an unlimited period, whereas previous losses expire in 8 tax years. Capital losses with an expiration period may not be used to offset capital gains until all net capital losses without an expiration date have been utilized. Capital loss carryforwards with no expiration date will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The ability to utilize capital loss carryforward in the future may be limited under the Internal Revenue Code and related regulations based on the results of future transactions.

41                         Invesco Municipal Income Fund

The Fund has a capital loss carryforward as of February 28, 2014, which expires as follows:

Capital Loss Carryforward*
Expiration	Short-Term		Long-Term		Total
February 28, 2015	$	11,115,783	$	—	$	11,115,783
February 29, 2016		12,308,190		—		12,308,190
February 28, 2017		98,220,453		—		98,220,453
February 28, 2018		22,264,986		—		22,264,986
February 28, 2019		21,329,984		—		21,329,984
Not subject to expiration		16,875,405		51,937,239		68,812,644
	$	182,114,801	$	51,937,239	$	234,052,040

* Capital loss carryforward as of the date listed above is reduced for limitations, if any, to the extent required by the Internal Revenue Code and may be further limited depending upon a variety of factors, including the realization of net unrealized gains or losses as of the date of any reorganization.

NOTE 9—Investment Securities

The aggregate amount of investment securities (other than short-term securities, U.S. Treasury obligations and money market funds, if any) purchased and sold by the Fund during the year ended February 28, 2014 was $164,889,021 and $336,900,499, respectively. Cost of investments on a tax basis includes the adjustments for financial reporting purposes as of the most recently completed federal income tax reporting period-end.

Unrealized Appreciation (Depreciation) of Investment Securities on a Tax Basis
Aggregate unrealized appreciation of investment securities	$	174,423,137
Aggregate unrealized (depreciation) of investment securities		(14,208,508	)
Net unrealized appreciation of investment securities	$	160,214,629

Cost of investments for tax purposes is $2,186,556,358.

NOTE 10—Reclassification of Permanent Differences

Primarily as a result of differing book/tax treatment of taxable income and fair fund adjustments, on February 28, 2014, undistributed net investment income was decreased by $179,020, undistributed net realized gain (loss) was decreased by $7,493 and shares of beneficial interest was increased by $186,513. Further, as a result of tax deferrals acquired in the reorganization of Invesco Municipal Bond Fund into the Fund, undistributed net investment income was decreased by $219,332, undistributed net realized gain (loss) was decreased by $2,371,034 and shares of beneficial interest was increased by $2,590,366. These reclassifications had no effect on the net assets of the Fund.

42                         Invesco Municipal Income Fund

NOTE 11—Share Information

	Summary of Share Activity
	Years ended February 28,
	2014(a)						2013
	Shares			Amount			Shares			Amount
Sold:
Class A		8,862,474		$	118,237,056			11,361,114		$	157,897,319
Class B		17,578			239,297			28,822			397,163
Class C		1,076,658			14,334,605			1,316,574			18,269,118
Class Y		1,654,478			21,740,784			910,857			12,646,277
Investor Class		158,913			2,117,302			—			—
Issued as reinvestment of dividends:
Class A		3,205,094			42,328,052			2,924,603			40,607,489
Class B		27,957			368,973			33,092			458,394
Class C		160,059			2,098,490			116,735			1,615,224
Class Y		808,059			10,678,815			799,960			11,110,548
Investor Class		183,449			2,385,679			—			—
Issued in connection with acquisitions:(b)
Class A		23,387,073			307,145,945			—			—
Class B		372,032			4,878,245			—			—
Class C		3,517,557			46,071,522			—			—
Class Y		2,180,388			28,620,905			—			—
Investor Class(c)		9,217,562			121,103,748			—			—
Automatic conversion of Class B shares to Class A shares:
Class A		170,301			2,246,970			155,987			2,167,558
Class B		(170,649	)		(2,246,970	)		(156,289	)		(2,167,558	)
Reacquired:
Class A		(27,665,808	)		(362,686,693	)		(12,677,918	)		(175,921,385	)
Class B		(496,631	)		(6,531,289	)		(206,046	)		(2,856,272	)
Class C		(3,286,956	)		(42,823,302	)		(747,139	)		(10,330,362	)
Class Y		(6,648,722	)		(87,387,029	)		(3,526,250	)		(48,888,271	)
Investor Class		(1,089,205	)		(14,114,374	)		—			—
Net increase in share activity		15,641,661		$	208,806,731			334,102		$	5,005,242

^(a)  There are entities that are record owners of more than 5% of the outstanding shares of the Fund and in the aggregate own 50% of the outstanding shares of the Fund. IDI has an agreement with these entities to sell Fund shares. The Fund, Invesco and/or Invesco affiliates may make payments to these entities, which are considered to be related to the Fund, for providing services to the Fund, Invesco and/or Invesco affiliates including but not limited to services such as securities brokerage, distribution, third party record keeping and account servicing. The Fund has no knowledge as to whether all or any portion of the shares owned of record by these entities are also owned beneficially.

^(b)  As of the opening of business on July 15, 2013, the Fund acquired all the net assets of Invesco Municipal Bond Fund (the “Target Fund”) pursuant to a plan of reorganization approved by the Trustees of the Fund on December 6, 2012 and by the shareholders of the Target Fund on April 24, 2013. The acquisition was accomplished by a tax-free exchange of 38,674,612 shares of the Fund for 64,144,596 shares outstanding of the Target Fund as of the close of business on July 12, 2013. Each class of the Target Fund was exchanged for the like class of shares of the Fund based on the relative net asset value of the Target Fund to the net asset value of the Fund at the close of business on July 12, 2013. The Target Fund’s net assets at that date of $507,820,365, including $22,487,572 of unrealized appreciation, were combined with those of the Fund. The net assets of the Fund immediately before the acquisition were $1,921,767,301 and $2,429,587,666 immediately after the acquisition.

    The pro forma results of operations for the year ended February 28, 2014 assuming the reorganization had been completed on March 1, 2013, the beginning of the annual reporting period:

Net investment income	$	103,581,239
Net realized/unrealized gains (losses)		(153,066,100	)
Change in net assets resulting from operations	$	(49,484,861	)

    The combined investment portfolios have been managed as a single integrated portfolio since the acquisition was completed, it is not practicable to separate the amounts of revenue and earnings of the Target Fund that have been included in the Fund’s Statement of Operations since July 15, 2013.

^(c)  Commencement date of July 15, 2013.

43                         Invesco Municipal Income Fund

NOTE 12—Financial Highlights

The following schedule presents financial highlights for a share of the Fund outstanding throughout the periods indicated.

	Net asset value, beginning of period		Net investment income(a)		Net gains (losses) on securities (both realized and unrealized)			Total from investment operations			Dividends from net investment income			Net asset value, end of period		Total return			Net assets, end of period (000’s omitted)		Ratio of expenses to average net assets with fee waivers and/or  expenses absorbed			Ratio of expenses to average net assets without fee waivers and/or  expenses absorbed			Supplemental ration of expenses to average net assets with fee  waivers (excluding interest, facilities and maintenance fees)(b)			Ratio of net investment income to average net assets			Portfolio turnover(c)
Class A
Year ended 02/28/14	$	13.99	$	0.58	$	(0.76	)	$	(0.18	)	$	(0.56	)	$	13.25		(1.16	)%(d)	$	1,567,766		0.90	%(e)		0.90	%(e)		0.81	%(e)		4.42	%(e)		8	%
Year ended 02/28/13		13.69		0.58		0.30			0.88			(0.58	)		13.99		6.56	(d)		1,543,852		0.87			0.87			0.81			4.20			11
Year ended 02/29/12		12.54		0.60		1.17			1.77			(0.62	)		13.69		14.47	(d)		1,486,245		0.90			0.90			0.83			4.58			15
Five months ended 02/28/11		13.52		0.27		(0.98	)		(0.71	)		(0.27	)		12.54		(5.25	)(d)		518,732		0.93	(f)		0.93	(f)		0.86	(f)		5.08	(f)		3
Year ended 09/30/10		13.34		0.68		0.16			0.84			(0.66	)		13.52		6.54	(d)		619,236		0.95			0.95			0.87			5.14			10
Year ended 09/30/09		12.45		0.66		0.96			1.62			(0.73	)		13.34		13.88	(g)		640,103		1.01			1.01			0.90			5.57			29
Class B
Year ended 02/28/14		13.97		0.48		(0.77	)		(0.29	)		(0.46	)		13.22		(1.99	)(d)		15,617		1.65	(e)		1.65	(e)		1.56	(e)		3.67	(e)		8
Year ended 02/28/13		13.66		0.48		0.31			0.79			(0.48	)		13.97		5.85	(d)		19,985		1.62			1.62			1.56			3.45			11
Year ended 02/29/12		12.52		0.50		1.16			1.66			(0.52	)		13.66		13.56	(d)		23,656		1.65			1.65			1.58			3.83			15
Five months ended 02/28/11		13.50		0.23		(0.98	)		(0.75	)		(0.23	)		12.52		(5.57	)(d)		17,918		1.68	(f)		1.68	(f)		1.61	(f)		4.33	(f)		3
Year ended 09/30/10		13.32		0.57		0.17			0.74			(0.56	)		13.50		5.76	(d)		23,116		1.70			1.70			1.62			4.38			10
Year ended 09/30/09		12.43		0.57		0.96			1.53			(0.64	)		13.32		13.05	(h)		22,144		1.76			1.76			1.65			4.81			29
Class C
Year ended 02/28/14		13.94		0.48		(0.77	)		(0.29	)		(0.46	)		13.19		(2.00	)(d)		94,658		1.65	(e)		1.65	(e)		1.56	(e)		3.67	(e)		8
Year ended 02/28/13		13.64		0.48		0.30			0.78			(0.48	)		13.94		5.77	(d)		79,577		1.62			1.62			1.56			3.45			11
Year ended 02/29/12		12.50		0.50		1.16			1.66			(0.52	)		13.64		13.58	(d)		68,495		1.65			1.65			1.58			3.83			15
Five months ended 02/28/11		13.47		0.23		(0.97	)		(0.74	)		(0.23	)		12.50		(5.51	)(d)		39,563		1.68	(f)		1.68	(f)		1.61	(f)		4.33	(f)		3
Year ended 09/30/10		13.30		0.57		0.16			0.73			(0.56	)		13.47		5.69	(d)		51,613		1.70			1.70			1.62			4.38			10
Year ended 09/30/09		12.41		0.57		0.96			1.53			(0.64	)		13.30		13.08	(i)		44,133		1.76			1.76			1.65			4.79			29
Class Y(j)
Year ended 02/28/14		13.98		0.62		(0.75	)		(0.13	)		(0.60	)		13.25		(0.84	)(d)		411,718		0.65	(e)		0.65	(e)		0.56	(e)		4.67	(e)		8
Year ended 02/28/13		13.68		0.62		0.30			0.92			(0.62	)		13.98		6.82	(d)		462,658		0.62			0.62			0.56			4.45			11
Year ended 02/29/12		12.53		0.64		1.16			1.80			(0.65	)		13.68		14.76	(d)		477,455		0.65			0.65			0.58			4.83			15
Five months ended 02/28/11		13.51		0.28		(0.97	)		(0.69	)		(0.29	)		12.53		(5.16	)(d)		6,370		0.68	(f)		0.68	(f)		0.61	(f)		5.33	(f)		3
Year ended 09/30/10		13.33		0.71		0.16			0.87			(0.69	)		13.51		6.81	(d)		3,625		0.70			0.70			0.62			5.37			10
Year ended 09/30/09		12.45		0.70		0.94			1.64			(0.76	)		13.33		14.08	(k)		5,064		0.77			0.77			0.66			5.89			29
Investor Class
Year ended 02/28/14(l)		13.14		0.37		0.11			0.48			(0.36	)		13.26		3.75	(d)		112,322		0.82	(e)(f)		0.82	(e)(f)		0.73	(e)(f)		4.50	(e)(f)		8

^(a) Calculated using average shares outstanding.

^(b)  For years ended September 30, 2010 and prior, ratio does not exclude facilities and maintenance fees.

^(c) Portfolio turnover is calculated at the fund level and is not annualized for periods less than one year, if applicable. For the year ended February 28, 2014 the portfolio turnover calculation excludes securities purchased of $477,613,840 and sold of $105,913,153 if effort to realign the Fund’s portfolio after the reorganization of Invesco Municipal Bond Fund into the Fund. For the year ended February 29, 2012, the portfolio turnover calculation excludes securities purchased of $1,346,611,089 and sold of $222,312,073 in effort to realign the Fund’s portfolio after the reorganization of Invesco Van Kampen Insured Tax Free Fund and Invesco Tax-Exempt Securities Fund into the Fund.

^(d)  Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions. Does not include sales charges and is not annualized for periods less than one year, if applicable.

^(e)  Ratios are based on average daily net assets (000’s omitted) of $1,560,367, $17,885, $92,669, $427,886 and $113,692 for Class A, Class B, Class C, Class Y and Investor Class shares, respectively.

^(f)  Annualized.

^(g) Assumes reinvestment of all distributions for the period and does not include payment of the maximum sales charge of 4.75% or contingent deferred sales charge (CDSC). On purchases of $1 million or more, a CDSC of 1% may be imposed on certain redemptions made within eighteen months of purchase. If the sales charges were included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 0.25% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

^(h)  Assumes reinvestment of all distributions for the period and does not include payment of the maximum CDSC of 4%, charged on certain redemptions made within one year of purchase and declining to 0% after the fifth year. If the sales charge was included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 1% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

⁽ⁱ⁾  Assumes reinvestment of all distributions for the period and does not include payment of the maximum CDSC of 1%, charged on certain redemptions made within one year of purchase. If the sales charge was included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 1% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

^(j) On June 1, 2010, Class I shares of Invesco Van Kampen Municipal Income Fund were reorganized into Class Y shares of the Fund.

^(k)  Assumes reinvestment of all distributions for the period. These returns do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption on Fund shares.

^(l)  Commencement date of July 15, 2013.

44                         Invesco Municipal Income Fund

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds)

and Shareholders of Invesco Municipal Income Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Invesco Municipal Income Fund (one of the funds constituting AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds), hereafter referred to as the “Fund”) at February 28, 2014, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the three years in the period then ended, the five month period ended February 28, 2011 and the year ended September 30, 2010, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at February 28, 2014 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion. The financial highlights of the Fund for the period ended September 30, 2009 were audited by another independent registered public accounting firm whose report dated November 20, 2009 expressed an unqualified opinion on such financial statement.

PRICEWATERHOUSECOOPERS LLP

April 28, 2014

Houston, Texas

45                         Invesco Municipal Income Fund

Calculating your ongoing Fund expenses

Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, which may include sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any; and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period September 1, 2013 through February 28, 2014.

Actual expenses

The table below provides information about actual account values and actual expenses. You may use the information in this table, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the table under the heading entitled “Actual Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The table below also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return.

The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher.

Class	Beginning Account Value (09/01/13)		ACTUAL				HYPOTHETICAL (5% annual return before expenses)				Annualized Expense Ratio
			Ending Account Value (02/28/14)1		Expenses Paid During Period2		Ending Account Value (02/28/14)		Expenses Paid During Period2
A	$	1,000.00	$	1,063.60	$	4.81	$	1,020.13	$	4.71		0.94	%
B		1,000.00		1,059.80		8.63		1,016.41		8.45		1.69
C		1,000.00		1,059.80		8.63		1,016.41		8.45		1.69
Y		1,000.00		1,064.90		3.53		1,021.37		3.46		0.69
Investor		1,000.00		1,063.90		4.30		1,020.63		4.21		0.84

¹ The actual ending account value is based on the actual total return of the Fund for the period September 1, 2013 through February 28, 2014, after actual expenses and will differ from the hypothetical ending account value which is based on the Fund’s expense ratio and a hypothetical annual return of 5% before expenses.

²  Expenses are equal to the Fund’s annualized expense ratio as indicated above multiplied by the average account value over the period, multiplied by 181/365 to reflect the most recent fiscal half year.

46                         Invesco Municipal Income Fund

Tax Information

Form 1099-DIV, Form 1042-S and other year–end tax information provide shareholders with actual calendar year amounts that should be included in their tax returns. Shareholders should consult their tax advisors.

The following distribution information is being provided as required by the Internal Revenue Code or to meet a specific state’s requirement.

The Fund designates the following amounts or, if subsequently determined to be different, the maximum amount allowable for its fiscal year ended February 28, 2014:

Federal and State Income Tax
Qualified Dividend Income*	0	%
Corporate Dividends Received Deduction*	0	%
U.S. Treasury Obligations*	0	%
Tax-Exempt Interest Dividends*	100	%

* The above percentages are based on ordinary income dividends paid to shareholders during the Fund’s fiscal year.

47                         Invesco Municipal Income Fund

Trustees and Officers

The address of each trustee and officer is AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”), 11 Greenway Plaza, Suite 1000, Houston, Texas 77046-1173. The trustees serve for the life of the Trust, subject to their earlier death, incapacitation, resignation, retirement or removal as more specifically provided in the Trust’s organizational documents. Each officer serves for a one year term or until their successors are elected and qualified. Column two below includes length of time served with predecessor entities, if any.

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Interested Persons
Martin L. Flanagan1 — 1960 Trustee	2007	Executive Director, Chief Executive Officer and President, Invesco Ltd. (ultimate parent of Invesco and a global investment management firm); Advisor to the Board, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Trustee, The Invesco Funds; Vice Chair, Investment Company Institute; and Member of Executive Board, SMU Cox School of Business Formerly: Chairman and Chief Executive Officer, Invesco Advisers, Inc. (registered investment adviser); Director, Chairman, Chief Executive Officer and President, IVZ Inc. (holding company), INVESCO Group Services, Inc. (service provider) and Invesco North American Holdings, Inc. (holding company); Director, Chief Executive Officer and President, Invesco Holding Company Limited (parent of Invesco and a global investment management firm); Director, Invesco Ltd.; Chairman, Investment Company Institute and President, Co-Chief Executive Officer, Co-President, Chief Operating Officer and Chief Financial Officer, Franklin Resources, Inc. (global investment management organization).	123	None
Philip A. Taylor2 — 1954 Trustee, President and Principal Executive Officer	2006	Head of North American Retail and Senior Managing Director, Invesco Ltd.; Director, Co-Chairman, Co-President and Co-Chief Executive Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Director, Chairman, Chief Executive Officer and President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) (financial services holding company); Director and President, INVESCO Funds Group, Inc. (registered investment adviser and registered transfer agent); Director and Chairman, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) (registered transfer agent) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.) (registered broker dealer); Director, President and Chairman, Invesco Inc. (holding company) and Invesco Canada Holdings Inc. (holding company); Chief Executive Officer, Invesco Corporate Class Inc. (corporate mutual fund company) and Invesco Canada Fund Inc. (corporate mutual fund company); Director, Chairman and Chief Executive Officer, Invesco Canada Ltd. (formerly known as Invesco Trimark Ltd./Invesco Trimark Ltèe) (registered investment adviser and registered transfer agent); Trustee, President and Principal Executive Officer, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); Trustee and Executive Vice President, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only); Director, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Director, Chief Executive Officer and President, Van Kampen Exchange Corp. Formerly: Director and Chairman, Van Kampen Investor Services Inc.; Director, Chief Executive Officer and President, 1371 Preferred Inc. (holding company); and Van Kampen Investments Inc.; Director and President, AIM GP Canada Inc. (general partner for limited partnerships); and Van Kampen Advisors, Inc.; Director and Chief Executive Officer, Invesco Trimark Dealer Inc. (registered broker dealer); Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) (registered broker dealer); Manager, Invesco PowerShares Capital Management LLC; Director, Chief Executive Officer and President, Invesco Advisers, Inc.; Director, Chairman, Chief Executive Officer and President, Invesco Aim Capital Management, Inc.; President, Invesco Trimark Dealer Inc. and Invesco Trimark Ltd./Invesco Trimark Ltèe; Director and President, AIM Trimark Corporate Class Inc. and AIM Trimark Canada Fund Inc.; Senior Managing Director, Invesco Holding Company Limited; Trustee and Executive Vice President, Tax-Free Investments Trust; Director and Chairman, Fund Management Company (former registered broker dealer); President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only); President, AIM Trimark Global Fund Inc. and AIM Trimark Canada Fund Inc.	123	None
Wayne W. Whalen3 — 1939 Trustee	2010	Of Counsel, and prior to 2010, partner in the law firm of Skadden, Arps, Slate, Meagher & Flom LLP, legal counsel to certain funds in the Fund Complex.	136	Director of the Mutual fund Directors Forum, a nonprofit membership organization for investment directors; Chairman and Director of the Abraham Lincoln Presidential Library Foundation; and Director of the Stevenson Center for Democracy

¹  Mr. Flanagan is considered an interested person of the Trust because he is an officer of the adviser to the Trust, and an officer and a director of Invesco Ltd., ultimate parent of the adviser to the Trust.

²  Mr. Taylor is considered an interested person of the Trust because he is an officer and a director of the adviser to, and a director of the principal underwriter of, the Trust.

³  Mr. Whalen is considered an “interested person” (within the meaning of Section 2(a)(19) of the 1940 Act) of certain funds in the Fund Complex because his firm currently provides legal services as legal counsel to such Funds.

T-1                         Invesco Municipal Income Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees
Bruce L. Crockett — 1944 Trustee and Chair	1993	Chairman, Crockett Technologies Associates (technology consulting company) Formerly: Director, Captaris (unified messaging provider); Director, President and Chief Executive Officer COMSAT Corporation; Chairman, Board of Governors of INTELSAT (international communications company); ACE Limited (insurance company); and Investment Company Institute	123	ALPS (Attorneys Liability Protection Society) (insurance company)
David C. Arch — 1945 Trustee	2010	Chairman of Blistex Inc., a consumer health care products manufacturer	136	Board member of the Illinois Manufacturers’ Association; Member of the Board of Visitors, Institute for the Humanities University of Michigan; Member of the Audit Committee of the Edward-Elmhurst Hospital
Frank S. Bayley — 1939 Trustee	2001	Retired. Formerly: Director, Badgley Funds Inc. (registered investment company) (2 portfolios) and General Partner and Of Counsel, law firm of Baker & McKenzie, LLP	123	Director and Chairman, C.D. Stimson Company (a real estate investment company); Trustee, The Curtis Institute of Music
James T. Bunch — 1942 Trustee	2003	Managing Member, Grumman Hill Group LLC (family office private equity investments) Formerly: Founder, Green Manning & Bunch Ltd. (investment banking firm) (1988-2010); Executive Committee, United States Golf Association; and Director, Policy Studies, Inc. and Van Gilder Insurance Corporation.	123	Chairman, Board of Governors, Western Golf Association, Chairman, Evans Scholars Foundation and Director, Denver Film Society
Rodney F. Dammeyer — 1940 Trustee	2010	Chairman of CAC,LLC, (private company offering capital investment and management advisory services) Formerly: Prior to 2001, Managing Partner at Equity Group Corporate Investments. Prior to 1995, Chief Executive Officer of Itel Corporation (formerly Anixter International). Prior to 1985, experience includes Senior Vice President and Chief Financial Officer of Household International, Inc., Executive Vice President and Chief Financial Officer of Northwest Industries, Inc. and Partner of Arthur Andersen & Co.; From 1987 to 2010, Director/Trustee of investment companies in the Van Kampen Funds complex	123	Director of Quidel Corporation and Stericycle, Inc.
Albert R. Dowden — 1941 Trustee	2000	Director of a number of public and private business corporations, including the Boss Group, Ltd. (private investment and management); Nature’s Sunshine Products, Inc. and Reich & Tang Funds (5 portfolios) (registered investment company) Formerly: Director, Homeowners of America Holding Corporation/Homeowners of America Insurance Company (property casualty company); Director, Continental Energy Services, LLC (oil and gas pipeline service); Director, CompuDyne Corporation (provider of product and services to the public security market) and Director, Annuity and Life Re (Holdings), Ltd. (reinsurance company); Director, President and Chief Executive Officer, Volvo Group North America, Inc.; Senior Vice President, AB Volvo; Director of various public and private corporations; Chairman, DHJ Media, Inc.; Director, Magellan Insurance Company; and Director, The Hertz Corporation, Genmar Corporation (boat manufacturer), National Media Corporation; Advisory Board of Rotary Power International (designer, manufacturer, and seller of rotary power engines); and Chairman, Cortland Trust, Inc. (registered investment company)	123	Director of: Nature’s Sunshine Products, Inc., Reich & Tang Funds, Homeowners of America Holding Corporation/ Homeowners of America Insurance Company, the Boss Group
Jack M. Fields — 1952 Trustee	1997	Chief Executive Officer, Twenty First Century Group, Inc. (government affairs company); Owner and Chief Executive Officer, Dos Angeles Ranch, L.P. (cattle, hunting, corporate entertainment); and Discovery Global Education Fund (non-profit) Formerly: Chief Executive Officer, Texana Timber LP (sustainable forestry company); Director of Cross Timbers Quail Research Ranch (non-profit); and member of the U.S. House of Representatives	123	Insperity, Inc. (formerly known as Administaff)
Prema Mathai-Davis — 1950 Trustee	1998	Retired. Formerly: Chief Executive Officer, YWCA of the U.S.A.	123	None
Larry Soll — 1942 Trustee	2003	Retired. Formerly: Chairman, Chief Executive Officer and President, Synergen Corp. (a biotechnology company)	123	None

T-2                         Invesco Municipal Income Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees—(continued)
Hugo F. Sonnenschein — 1940 Trustee	2010	President Emeritus and Honorary Trustee of the University of Chicago and the Adam Smith Distinguished Service Professor in the Department of Economics at the University of Chicago. Prior to 2000, President of the University of Chicago	136	Trustee of the University of Rochester and a member of its investment committee; Member of the National Academy of Sciences and the American Philosophical Society; Fellow of the American Academy of Arts and Sciences
Raymond Stickel, Jr. — 1944 Trustee	2005	Retired. Formerly: Director, Mainstay VP Series Funds, Inc. (25 portfolios) and Partner, Deloitte & Touche	123	None
Other Officers
Russell C. Burk — 1958 Senior Vice President and Senior Officer	2005	Senior Vice President and Senior Officer, The Invesco Funds	N/A	N/A
John M. Zerr — 1962 Senior Vice President, Chief Legal Officer and Secretary	2006	Director, Senior Vice President, Secretary and General Counsel, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Senior Vice President and Secretary, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Vice President and Secretary, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.); Director and Vice President, INVESCO Funds Group, Inc.; Senior Vice President, Chief Legal Officer and Secretary, The Invesco Funds; Manager, Invesco PowerShares Capital Management LLC; Director, Secretary and General Counsel, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Secretary and General Counsel, Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.) and Chief Legal Officer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Director and Vice President, Van Kampen Advisors Inc.; Director, Vice President, Secretary and General Counsel, Van Kampen Investor Services Inc.; Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Senior Vice President, General Counsel and Secretary, Invesco Aim Advisers, Inc. and Van Kampen Investments Inc.; Director, Vice President and Secretary, Fund Management Company; Director, Senior Vice President, Secretary, General Counsel and Vice President, Invesco Aim Capital Management, Inc.; Chief Operating Officer and General Counsel, Liberty Ridge Capital, Inc. (an investment adviser); Vice President and Secretary, PBHG Funds (an investment company) and PBHG Insurance Series Fund (an investment company); Chief Operating Officer, General Counsel and Secretary, Old Mutual Investment Partners (a broker-dealer); General Counsel and Secretary, Old Mutual Fund Services (an administrator) and Old Mutual Shareholder Services (a shareholder servicing center); Executive Vice President, General Counsel and Secretary, Old Mutual Capital, Inc. (an investment adviser); and Vice President and Secretary, Old Mutual Advisors Funds (an investment company)	N/A	N/A
Sheri Morris — 1964 Vice President, Treasurer and Principal Financial Officer	1999	Vice President, Treasurer and Principal Financial Officer, The Invesco Funds; Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); and Vice President, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Vice President, Invesco Aim Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; Assistant Vice President and Assistant Treasurer, The Invesco Funds and Assistant Vice President, Invesco Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; and Treasurer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust	N/A	N/A

T-3                         Invesco Municipal Income Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Other Officers—(continued)
Karen Dunn Kelley — 1960 Vice President	1993	Senior Managing Director, Investments; Director, Co-President, Co-Chief Executive Officer, and Co-Chairman, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Chairman, Invesco Senior Secured Management, Inc.; Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.); Executive Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Invesco Mortgage Capital Inc. and Invesco Management Company Limited; Director and President, INVESCO Asset Management (Bermuda) Ltd., Vice President, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); and President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only) Formerly: Director, INVESCO Global Asset Management Limited and INVESCO Management S.A.; Senior Vice President, Van Kampen Investments Inc. and Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Director of Cash Management and Senior Vice President, Invesco Advisers, Inc. and Invesco Aim Capital Management, Inc.; President and Principal Executive Officer, Tax-Free Investments Trust; Director and President, Fund Management Company; Chief Cash Management Officer, Director of Cash Management, Senior Vice President, and Managing Director, Invesco Aim Capital Management, Inc.; Director of Cash Management, Senior Vice President, and Vice President, Invesco Advisers, Inc. and The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only)	N/A	N/A
Crissie M. Wisdom — 1969 Anti-Money Laundering Compliance Officer	2013	Anti-Money Laundering Compliance Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser), Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.), Invesco Distributors, Inc., Invesco Investment Services, Inc., Invesco Management Group, Inc., Van Kampen Exchange Corp., The Invesco Funds, Invesco Funds (Chicago), and PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust, and PowerShares Actively Managed Exchange-Traded Fund Trust; and Fraud Prevention Manager and Controls and Risk Analysis Manager for Invesco Investment Services, Inc.	N/A	N/A
Todd L. Spillane — 1958 Chief Compliance Officer	2006	Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President and Chief Compliance Officer, Invesco Advisers, Inc. (registered investment adviser) (formerly known as Invesco Institutional (N.A.), Inc.); Chief Compliance Officer, The Invesco Funds; Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) and Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) Formerly: Chief Compliance Officer, Invesco Funds (Chicago); Senior Vice President, Van Kampen Investments Inc.; Senior Vice President and Chief Compliance Officer, Invesco Aim Advisers, Inc. and Invesco Aim Capital Management, Inc.; Chief Compliance Officer, INVESCO Private Capital Investments, Inc. (holding company), Invesco Private Capital, Inc. (registered investment adviser), Invesco Global Asset Management (N.A.), Inc., Invesco Senior Secured Management, Inc. (registered investment adviser), Van Kampen Investor Services Inc., PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust; and Vice President, Invesco Aim Capital Management, Inc. and Fund Management Company	N/A	N/A

The Statement of Additional Information of the Trust includes additional information about the Fund’s Trustees and is available upon request, without charge, by calling 1.800.959.4246. Please refer to the Fund’s prospectus for information on the Fund’s sub-advisers.

Office of the Fund 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Investment Adviser Invesco Advisers, Inc. 1555 Peachtree Street, N.E. Atlanta, GA 30309	Distributor Invesco Distributors, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Auditors PricewaterhouseCoopers LLP 1201 Louisiana Street, Suite 2900 Houston, TX 77002-5678
Counsel to the Fund Stradley Ronon Stevens & Young, LLP 2005 Market Street, Suite 2600 Philadelphia, PA 19103-7018	Counsel to the Independent Trustees Goodwin Procter LLP 901 New York Avenue, N.W. Washington, D.C. 20001	Transfer Agent Invesco Investment Services, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Custodian State Street Bank and Trust Company 225 Franklin Street Boston, MA 02110-2801

T-4                         Invesco Municipal Income Fund

Invesco mailing information

Send general correspondence to Invesco Investment Services, Inc., P.O. Box 219078, Kansas City, MO 64121-9078.

Important notice regarding delivery of security holder documents

To reduce Fund expenses, only one copy of most shareholder documents may be mailed to shareholders with multiple accounts at the same address (Householding). Mailing of your shareholder documents may be householded indefinitely unless you instruct us otherwise. If you do not want the mailing of these documents to be combined with those for other members of your household, please contact Invesco Investment Services, Inc. at 800 959 4246 or contact your financial institution. We will begin sending you individual copies for each account within 30 days after receiving your request.

Fund holdings and proxy voting information

The Fund provides a complete list of its holdings four times in each fiscal year, at the quarter ends. For the second and fourth quarters, the lists appear in the Fund’s semiannual and annual reports to shareholders. For the first and third quarters, the Fund files the lists with the Securities and Exchange Commission (SEC) on Form N-Q. The most recent list of portfolio holdings is available at invesco.com/completeqtrholdings. Shareholders can also look up the Fund’s Forms N-Q on the SEC website at sec.gov. Copies of the Fund’s Forms N-Q may be reviewed and copied at the SEC Public Reference Room in Washington, D.C. You can obtain information on the operation of the Public Reference Room, including information about duplicating fee charges, by calling 202 551 8090 or 800 732 0330, or by electronic request at the following email address: publicinfo@sec.gov. The SEC file numbers for the Fund are shown below.

    A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, from our Client Services department at 800 959 4246 or at invesco.com/proxyguidelines. The information is also available on the SEC website, sec.gov.

    Information regarding how the Fund voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 is available at invesco.com/proxysearch. The information is also available on the SEC website, sec.gov.     Invesco Advisers, Inc. is an investment adviser; it provides investment advisory services to individual and institutional clients and does not sell securities. Invesco Distributors, Inc. is the US distributor for Invesco Ltd.’s retail mutual funds, exchange-traded funds and institutional money market funds. Both are wholly owned, indirect subsidiaries of Invesco Ltd.

SEC file numbers: 811-07890 and 033-66242 VK-MINC-AR-1 Invesco Distributors, Inc.

Letters to Shareholders

Philip Taylor Dear Shareholders: This annual report includes information about your Fund, including performance data and a complete list of its investments as of the close of the reporting period. Inside, your Fund’s portfolio managers discuss how they managed your Fund and the factors that affected its performance during the reporting period. I hope you find this report of interest.     During the reporting period covered by this report, major US and global equity market indexes hit multiyear or all-time highs¹, the result of a strengthening US economy and relatively healthy corporate profits. Also helping equities was a return of individual investors to stocks – due in part to monetary policies that kept interest rates (and yields on fixed income securities) low. Despite some volatility in the summer of 2013, overseas equity market indexes in developed and emerging nations generally rose during the reporting period – although developed markets generally outpaced emerging markets. In January 2014, amid widespread signs of an improving

economy, the US Federal Reserve began a long-anticipated reduction in its bond-buying program.

    Extended periods of strong market performance can lull some investors into a false sense of security – just as extended periods of volatility or market weakness can discourage some investors from undertaking disciplined, long-term investment plans. That’s why Invesco believes it can often be helpful to work with a skilled and trusted financial adviser; he or she can emphasize the importance of adhering to an investment plan designed to achieve long-term goals like a first home, a college education for a child or a comfortable retirement. A financial adviser who is familiar with your individual financial situation, investment goals and risk tolerance can be an invaluable partner as you work toward your financial goals. He or she can provide insight and perspective when markets are volatile; encouragement and reassurance when times are uncertain; and advice and guidance when your financial situation or investment goals change.

Timely information when and where you want it

Invesco’s efforts to help investors achieve their financial objectives include providing individual investors and financial professionals with timely information about the markets, the economy and investing – whenever and wherever they want it.

Our website, invesco.com/us, offers a wide range of market insights and investment perspectives. On the website, you’ll find detailed information about our funds, including prices, performance, holdings and portfolio manager commentaries. You can access information about your individual Invesco account whenever it’s convenient for you; just complete a simple, secure online registration. Use the “Login” box on our home page to get started.

Invesco’s mobile app for iPad^® (available free from the App Store^SM) allows you to obtain the same detailed information about your Fund and the same investment insights from our investment leaders, market strategists, economists and retirement experts on the go. You also can watch portfolio manager videos and have instant access to Invesco news and updates wherever you may be.

In addition to the resources accessible on our website and through our mobile app, you can obtain timely updates to help you stay informed about the markets, the economy and investing by connecting with Invesco on Twitter, LinkedIn or Facebook. You can access our blog at blog.invesco.us.com or by visiting the “Intentional Investing Forum” on our home page. Our goal is to provide you the information you want, when and where you want it.

Have questions?

For questions about your account, feel free to contact an Invesco client services representative at 800 959 4246. For Invesco-related questions or comments, please email me directly at phil@invesco.com.

All of us at Invesco look forward to serving your investment management needs for many years to come. Thank you for investing with us.

Sincerely,

Philip Taylor

Senior Managing Director, Invesco Ltd.

1 Source: Reuters

iPad is a trademark of Apple Inc., registered in the US and other countries. App Store is a service mark of Apple Inc. Invesco Distributors, Inc. is not affiliated with Apple Inc.

2                         Invesco New York Tax Free Income Fund

Bruce Crockett Dear Fellow Shareholders: Members of the Invesco Funds Board work continually to oversee how the Invesco Funds are performing in light of ever-changing and often unpredictable economic and market conditions. One of the ways we do this is by verifying that the teams that manage funds understand the risks associated with the investments they make in the funds they manage.     In light of market conditions over the last few years, the financial news media of late have given increased attention to “alternative investment strategies.” Despite this increased attention, many investors don’t know very much about these types of investment strategies.     Let me put alternative investment strategies and the new focus on them in some perspective. First, these types of investment strategies have been used predominately by institutional investors and investment professionals for decades to increase diversification – in an effort to dampen portfolio volatility (risk) with the goal of increasing returns. The focal point of the

increased news coverage is that these types of strategies are now being made more widely available to individual investors.

Alternative investment strategies generally seek to provide measured exposure to various asset classes whose performance, historically, has not been highly correlated with one another. These strategies may help mitigate the impact to a portfolio from severe or prolonged market downturns while potentially providing reasonable returns over time. After a careful and thorough examination of the potential risks and potential benefits of alternative investment strategies, the Invesco Funds Board has approved the launch of several new alternative funds for the Invesco product lineup, to be managed by teams we determined have the depth and experience to pursue the funds’ investment objectives.

While no single investment product can provide complete downside protection in falling markets and full upside participation in rising markets, your Board believes alternative funds can be a prudent tool to work in concert with more traditional mutual funds and other investments to build well diversified portfolios. Your financial adviser can determine whether or not such investments are appropriate for your individual needs, goals and risk tolerance. Also, he or she can explain the risks associated with alternative investment strategies. This type of professional guidance is why Invesco believes it’s so important that individual investors work with trusted, experienced financial advisers.

Whether you’re invested in equity, fixed income, cash management or alternative investment funds, be assured that the Invesco Funds Board will continue working on your behalf and on behalf of all our fund shareholders, keeping your needs and interests uppermost in our minds.

As always, please contact me at bruce@brucecrockett.com with any questions or concerns you may have. On behalf of the Board, we look forward to continuing to represent your interests and serving your needs.

Sincerely,

Bruce L. Crockett

Independent Chair

Invesco Funds Board of Trustees

Asset allocation/diversification does not guarantee a profit or eliminate the risk of loss.

Alternative products typically hold more non-traditional investments and employ more complex trading strategies, including hedging and leveraging through derivatives, short selling and opportunistic strategies that change with market conditions. Investors considering alternatives should be aware of their unique characteristics and additional risks from the strategies they use. Like all investments, performance will fluctuate. You can lose money.

3                         Invesco New York Tax Free Income Fund

Management’s Discussion of Fund Performance

Performance summary

For the fiscal year ended February 28, 2014, Invesco New York Tax Free Income Fund posted negative returns. The Fund underperformed its broad market and style-specific benchmarks, the Barclays Municipal Bond Index and the Barclays New York Municipal Index, respectively. The main driver of returns was the Fund’s exposure to the long end of the yield curve.

    Your Fund’s long-term performance appears later in this report.

Fund vs. Indexes

Total returns, 2/28/13 to 2/28/14, at net asset value (NAV). Performance shown does not include applicable contingent deferred sales charges (CDSC) or front-end sales charges, which would have reduced performance.

Class A Shares	-3.26	%
Class B Shares	-3.30
Class C Shares	-4.04
Class Y Shares	-3.08
Barclays Municipal Bond Index‚ (Broad Market Index)	-0.21
Barclays New York Municipal Indexn(Style-Specific Index)	0.12

Source(s): ^‚Lipper Inc., ⁿBarclays via Factset Research Systems Inc.

How we invest

The Fund’s investment objective is to provide investors with a high level of current income exempt from federal, New York State and New York City income taxes, consistent with preservation of capital. Under normal market conditions, we seek to achieve the Fund’s investment objective by investing primarily in a portfolio of New York municipal securities that are investment grade at the time of investment. The Fund is designed for investors who are residents of New York, for New York tax purposes.

    Under normal market conditions, the Fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in New York municipal securities at the time of investment. However, the Fund may not invest more than 20% of its total assets in unrated investment-grade securities.

    Under normal market conditions, the Fund may invest up to 20% of its total assets in securities with below investment-grade credit quality at the time of purchase. Lower-grade securities are

commonly referred to as junk bonds and involve greater risks than higher-grade securities. The Fund does not purchase municipal securities that are in default or considered extremely speculative.

    Under normal market conditions, the Fund may invest up to 20% of its total assets in municipal securities subject to the federal alternative minimum tax.

    From time to time, the Fund temporarily may invest up to 10% of its net assets in tax-exempt money market funds and such instruments will be treated as investments in municipal securities. Investments in other mutual funds may involve duplication of management fees and certain other expenses.

    Sell decisions generally are based on:

n A deterioration or likely deterioration of an individual issuer’s capacity to meet its debt obligations on a timely basis.

n A deterioration or likely deterioration of the broader fundamentals of a particular industry or sector.

n Opportunities in the secondary or primary market to purchase a security with better relative value.

Portfolio Composition
By credit sector, based on total investments
Revenue Bonds	92.4	%
General Obligation Bonds	3.3
Pre-Refunded Bonds	2.3
Other	2.0

Total Net Assets	$143.2 million
Total Number of Holdings	148

The Fund’s holdings are subject to change, and there is no assurance that the Fund will continue to hold any particular security.

Top Five Fixed Income Holdings
1.	New York (State of) Dormitory Authority (Cornell University); Series 2006 A	3.54	%
2.	New York (City of) Municipal Water Finance Authority; Series 2005 D	2.92
3.	Erie (County of) Industrial Development Agency (City of Buffalo School District); Series 2011 A	2.20
4.	New York (State of) Dormitory Authority (School Districts Financing Program); Series 2008 C	1.69
5.	New York (State of) Dormitory Authority; Series 2008 C	1.52

Market conditions and your Fund

New York continues to benefit from a well-diversified economy with strong demographic trends, including median household income above the national average and a highly educated workforce. The state’s challenges center on the economy’s cyclical nature and the state’s dependence on the New York City-based financial services industry, volatile state finances due to above-average dependence on income taxes and high recurring expenditures resulting from a generous social services regime. However, we believe that when compared to other states, New York’s pension system is extremely well funded.

    For the fiscal year ended February 28, 2014, the municipal bond market returned –0.21%1, as measured by the Barclays Municipal Bond Index. Record outflows from municipal bond funds, driven by concerns over rising interest rates and high-profile credit events, resulted in a challenging year for municipal bond investors. The $67 billion2 in municipal bond fund redemptions between March and December 2013 was in stark contrast to inflows of $65 billion2 and strong performance for the asset class over the prior two years.

    Shortly after the fiscal year began, investors became apprehensive that the US Federal Reserve (the Fed) would reduce its asset purchase program, known as quantitative easing (QE), as the US economy improved. Concerned that Fed action would cause interest rates to rise and bond prices to fall, investors began trimming their allocations to fixed income investments, including municipal bonds. The rate of outflows increased dramatically in June following comments made by then-Fed Chairman Ben Bernanke on the timing for tapering QE.

    Over the summer of 2013, several high-profile credit events had an adverse impact on the municipal bond market. These included downgrades to the credit ratings of Chicago debt on pension concerns, Detroit filing the largest municipal bankruptcy in US history3 and increased uncertainty about the financial condition of Puerto Rico.

    The market received a two-month reprieve in September when the Fed decided not to reduce QE, although it reversed that decision in December when it announced that it would decrease its asset purchases by $10 billion per month, beginning in January 2014.⁴ A final

4                Invesco New York Tax Free Income Fund

headwind for the municipal bond market was significant tax-loss selling of municipal bonds in December to offset gains from strong equity returns during 2013.

    In the first two months of 2014, the municipal bond market turned positive. Softer economic data reduced expectations for hawkish Fed action. Relatively high yields on municipal bonds, coupled with higher personal income tax rates and improving municipal fundamentals, drew investors back to the asset class. Net positive fund flows in January and February, combined with limited supply of new issuance, produced strong returns in the final two months of the fiscal year.

    During the fiscal year, the largest driver of Fund performance relative to its style-specific index was its overweight position in longer-maturity bonds. This position had a negative impact on relative performance as investors sold longer-dated bonds on concerns over rising interest rates. Security selection in the intermediate-to-long end of the yield curve was positive and helped offset the impact of rising rates.

    At the sector level, the primary detractors from Fund performance relative to its style-specific index were electric, transportation and special-tax bonds. A significant portion of the underperformance in those sectors was driven by bonds issued by Puerto Rico. State-specific funds purchase bonds issued by US territories, such as Puerto Rico, because interest income from those bonds is exempt from state taxes.

    During the reporting period, leverage detracted from Fund performance. The Fund achieved a leveraged position through the use of inverse floating rate securities or Tender Option Bonds (TOBs). The Fund uses leverage because we believe that, over time, leveraging provides opportunities for additional income and total return for shareholders. However, use of leverage also can expose shareholders to additional volatility. For more information about the Fund’s use of leverage, see the Notes to Financial Statements later in this report.

    We wish to remind you that the Fund is subject to interest rate risk, meaning when interest rates rise, the value of fixed income securities generally will fall. This risk may be greater in the current market environment because interest rates are at or near historic lows. We are monitoring interest rates and market and economic factors that may impact interest rates, including the potential impact of the Fed’s tapering of QE. If interest rates rise, markets may experience increased volatility,

which may affect the value and/or liquidity of certain of the Fund’s investments.

    Recently published rules implementing section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act may preclude banking entities from sponsoring and/or providing services for TOB trust programs. As a result, the Trust’s ability to utilize TOBs for leverage purposes may be adversely affected.

    Thank you for investing in Invesco New York Tax Free Income Fund and for sharing our long-term investment horizon.

1 Source: Barclays

2 Source: Morningstar

3 Source: Moody’s

4 Source: US Federal Reserve

The views and opinions expressed in management’s discussion of Fund performance are those of Invesco Advisers, Inc. These views and opinions are subject to change at any time based on factors such as market and economic conditions. These views and opinions may not be relied upon as investment advice or recommendations, or as an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but Invesco Advisers, Inc. makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.

See important Fund and, if applicable, index disclosures later in this report.

	Robert Wimmel Portfolio manager, is manager of Invesco New York Tax Free Income Fund and head of Investment Grade
Municipals for Invesco. He joined Invesco in 2010. Mr. Wimmel earned a BA in anthropology from the University of Cincinnati and an MA in economics from the University of Illinois at Chicago.

	Thomas Byron Portfolio manager, is manager of Invesco New York Tax Free Income Fund. He joined Invesco in 2010.
Mr. Byron earned a BS in finance from Marquette University and an MBA in finance from DePaul University.

	Robert Stryker Chartered Financial Analyst, portfolio manager, is manager of Invesco New York Tax Free Income Fund. He
joined Invesco in 2010. Mr. Stryker earned a BS in finance from the University of Illinois at Chicago.

	Julius Williams Portfolio manager, is manager of Invesco New York Tax Free Income Fund. He joined Invesco in 2010.
Mr. Williams earned a BA in economics and sociology and a Master of Education degree in educational psychology from the University of Virginia.

5                Invesco New York Tax Free Income Fund

Your Fund’s Long-Term Performance

Results of a $10,000 Investment – Oldest Share Class(es)

Fund and index data from 2/29/04

1 Source: Lipper Inc.

2 Source(s): Barclays via FactSet Research Systems Inc.

Past performance cannot guarantee comparable future results.

    The data shown in the chart include reinvested distributions, applicable sales charges and Fund expenses including management fees. Results for Class B shares are calculated as if a hypothetical

shareholder had liquidated his entire investment in the Fund at the close of the reporting period and paid the contingent deferred sales charges, if applicable. Index results include reinvested dividends, but they do not reflect sales charges. Performance of the peer group,

if applicable, reflects fund expenses and management fees; performance of a market index does not. Performance shown in the chart and table(s) does not reflect deduction of taxes a shareholder would pay on Fund distributions or sale of Fund shares.

6                         Invesco New York Tax Free Income Fund

Average Annual Total Returns
As of 2/28/14, including maximum applicable sales charges
Class A Shares
Inception (7/29/94)	5.03	%
10 Years	3.20
5 Years	5.89
1 Year	-7.36
Class B Shares
Inception (7/29/94)	4.95	%
10 Years	3.37
5 Years	6.40
1 Year	-7.94
Class C Shares
Inception (7/29/94)	4.49	%
10 Years	2.87
5 Years	6.03
1 Year	-4.97
Class Y Shares
10 Years	3.73	%
5 Years	6.99
1 Year	-3.08

Effective June 1, 2010, Class A, Class B and Class C shares of the predecessor fund, Van Kampen New York Tax-Free Income Fund, advised by Van Kampen Asset Management were reorganized into Class A, Class B and Class C shares, respectively, of Invesco Van Kampen New York Tax Free Income Fund (renamed Invesco New York Tax Free Income Fund). Returns shown above for Class A, Class B and Class C shares are blended returns of the predecessor fund and Invesco New York Tax Free Income Fund. Share class returns will differ from the predecessor fund because of different expenses.

    Class Y shares incepted on June 1, 2010. Performance shown prior to that date is that of the predecessor fund’s Class A shares and includes the 12b-1 fees applicable to Class A shares. Class A shares performance reflects any applicable fee waivers or expense reimbursements.

    The performance data quoted represent past performance and cannot guarantee comparable future results; current performance may be lower or higher. Please visit invesco.com/performance for the most recent month-end performance. Performance figures reflect reinvested distributions, changes in net asset value and the effect of the maximum sales charge unless otherwise stated.

Average Annual Total Returns
As of 12/31/13, the most recent calendar quarter end, including maximum applicable sales charges
Class A Shares
Inception (7/29/94)	4.90	%
10 Years	3.09
5 Years	6.51
1 Year	-9.34
Class B Shares
Inception (7/29/94)	4.81	%
10 Years	3.22
5 Years	7.07
1 Year	-9.90
Class C Shares
Inception (7/29/94)	4.36	%
10 Years	2.76
5 Years	6.65
1 Year	-6.94
Class Y Shares
10 Years	3.61	%
5 Years	7.61
1 Year	-5.13

Investment return and principal value will fluctuate so that you may have a gain or loss when you sell shares.

    The total annual Fund operating expense ratio set forth in the most recent Fund prospectus as of the date of this report for Class A, Class B, Class C and Class Y shares was 0.91%, 0.91%, 1.66% and 0.66%, respectively. The expense ratios presented above may vary from the expense ratios presented in other sections of this report that are based on expenses incurred during the period covered by this report.

    Class A share performance reflects the maximum 4.25% sales charge, and Class B and Class C share performance reflects the applicable contingent deferred sales charge (CDSC) for the period involved. For shares purchased prior to June 1, 2010, the CDSC on Class B shares declines from 4% at the time of purchase to 0% at the beginning of the seventh year. For shares purchased on or after June 1, 2010, the CDSC on Class B shares declines from 5% at the time of purchase to 0% at the beginning of the seventh year. The CDSC on Class C shares is 1% for the first year after purchase. Class Y shares do not have a front-end sales charge or a CDSC; therefore, performance is at net asset value.

    The performance of the Fund’s share classes will differ primarily due to different sales charge structures and class expenses.

    Had the adviser not waived fees and/ or reimbursed expenses in the past, performance would have been lower.

7                Invesco New York Tax Free Income Fund

Invesco New York Tax Free Income Fund’s investment objective is to provide investors with a high level of current income exempt from federal, New York State and New York City income taxes, consistent with preservation of capital.

n Unless otherwise stated, information presented in this report is as of February 28, 2014, and is based on total net assets.

n Unless otherwise noted, all data provided by Invesco.

n To access your Fund’s reports/prospectus, visit invesco.com/fundreports.

About share classes

n Class B shares may not be purchased for new or additional investments. Please see the prospectus for more information.

n Class Y shares are available to only certain investors. Please see the prospectus for more information.

Principal risks of investing in the Fund

n Alternative minimum tax risk. A portion of the Fund’s otherwise tax-exempt income may be taxable to those shareholders subject to the federal alternative minimum tax.

n Call risk. If interest rates fall, it is possible that issuers of debt securities with high interest rates will prepay or call their securities before their maturity dates. In this event, the proceeds from the called securities would likely be reinvested by the Fund in securities bearing the new, lower interest rates, resulting in a possible decline in the Fund’s income and distributions to shareholders.

n Credit risk. The issuer of instruments in which the Fund invests may be unable to meet interest and/or principal payments, thereby causing its instruments to decrease in value and lowering the issuer’s credit rating.

n Derivatives risk. The value of a derivative instrument depends largely on (and is derived from) the value of an underlying security, currency, commodity, interest rate, index or other asset (each referred to as an underlying asset). In addition to risks relating to the underlying assets, the use of derivatives may include other, possibly greater, risks, including counterparty, leverage and liquidity risks. Counterparty risk is the risk that the counterparty to the derivative contract will default on its obligation to pay the Fund the amount owed or otherwise perform under the derivative contract. Derivatives create leverage risk because they do not require

payment up front equal to the economic exposure created by owning the derivative. As a result, an adverse change in the value of the underlying asset could result in the Fund sustaining a loss that is substantially greater than the amount invested in the derivative, which may make the Fund’s returns more volatile and increase the risk of loss. Derivative instruments may also be less liquid than more traditional investments and the Fund may be unable to sell or close out its derivative positions at a desirable time or price. This risk may be more acute under adverse market conditions, during which the Fund may be most in need of liquidating its derivative positions. Derivatives may also be harder to value, less tax efficient and subject to changing government regulation that could impact the Fund’s ability to use certain derivatives or their cost. Also, derivatives used for hedging or to gain or limit exposure to a particular market segment may not provide the expected benefits, particularly during adverse market conditions.

n High yield bond (junk bond) risk. Junk bonds involve a greater risk of default or price changes due to changes in the credit quality of the issuer. The values of junk bonds fluctuate more than those of high-quality bonds in response to company, political, regulatory or economic developments. Values of junk bonds can decline significantly over short periods of time.

n Income risk. The income you receive from the Fund is based primarily on prevailing interest rates, which can vary widely over the short- and long-term. If interest rates drop, your income from the Fund may drop as well.

n Interest rate risk. Interest rate risk refers to the risk that bond prices generally fall as interest rates rise; conversely, bond prices generally rise as interest rates fall. Specific bonds differ in their sensitivity to changes in interest rates depending on their individual

This report must be accompanied or preceded by a currently effective Fund prospectus, which contains more complete information, including sales charges and expenses. Investors should read it carefully before investing.

NOT FDIC INSURED  |  MAY LOSE VALUE  |  NO BANK GUARANTEE

characteristics, including duration.

n Inverse floating rate obligations risk. Inverse floating rate obligations, including tender option bonds, may be subject to greater price volatility than a fixed income security with similar qualities. When short-term interest rates rise, they may decrease in value and produce less or no income. Additionally, these securities may lose principal. Similar to derivatives, inverse floating rate obligations have the following risks: counterparty, leverage, correlation, liquidity, market, interest rate, and management risks.

n Leverage risk. Leverage exists when the Fund purchases or sells an instrument or enters into a transaction without investing cash in an amount equal to the full economic exposure of the asset or transaction and the Fund could lose more than it invested. Leverage created from certain types of transactions or instruments may impair the Fund’s liquidity, cause it to liquidate positions at an unfavorable time, increase volatility or otherwise not achieve its intended objective.

n Liquidity risk. The Fund may hold illiquid securities that it is unable to sell at the preferred time or price and could lose its entire investment in such securities.

n Management risk. The investment techniques and risk analysis used by the Fund’s portfolio managers may not produce the desired results.

n Market risk. The prices of and the income generated by the Fund’s securities may decline in response to, among other things, investor sentiment, general economic and market conditions, regional or global instability, and currency and interest rate fluctuations.

n Medium- and lower-grade municipal securities risk. Securities which are in the medium- and lower-grade categories generally offer higher yields than are offered by higher-grade securities of similar maturity, but they also generally involve more volatility and greater risks, such as greater credit risk, market risk, liquidity risk, management risk, and regulatory risk. Furthermore, many medium- and lower-grade securities are not listed for trading on any national securities exchange and many issuers of

8                Invesco New York Tax Free Income Fund

medium- and lower-grade securities choose not to have a rating assigned to their obligations by any nationally recognized statistical rating organization. As a result, the Fund’s portfolio may consist of a higher portion of unlisted or unrated securities as compared with an investment company that invests solely in higher-grade securities. Unrated securities are usually not as attractive to as many buyers as are rated securities, a factor which may make unrated securities less marketable. These factors may have the effect of limiting the availability of the securities for purchase by the Fund and may also limit the ability of the Fund to sell such securities at their fair value either to meet redemption requests or in response to changes in the economy or the financial markets.

n Municipal issuer focus risk. The Fund generally considers investments in municipal securities not to be subject to industry concentration policies (issuers of municipal securities as a group is not an industry) and the Fund may invest in municipal securities issued by entities having similar characteristics. The issuers may be located in the same geographic area or may pay their interest obligations from revenue of similar projects, such as hospitals, airports, utility systems and housing finance agencies. This may make the Fund’s investments more susceptible to similar social, economic, political or regulatory occurrences. As the similarity in issuers increases, the potential for fluctuation in the Fund’s net asset value also increases.

n Municipal securities risk. The Fund may invest in municipal securities. Constitutional amendments, legislative enactments, executive orders, administrative regulations, voter initiatives, and the issuer’s regional economic conditions may affect the municipal security’s value, interest payments, repayment of principal and the Fund’s ability to sell it. Failure of a municipal security issuer to comply with applicable tax requirements may make income paid thereon taxable, resulting in a decline in the security’s value. In addition, there could be changes in applicable tax laws or tax treatments that reduce or eliminate the current federal income

tax exemption on municipal securities or otherwise adversely affect the current federal or state tax status of municipal securities.

n New York municipal securities risk. The Fund invests primarily in a portfolio of New York municipal securities. Because the Fund invests substantially all of its assets in a portfolio of New York municipal securities, the Fund is more susceptible to political, economic, regulatory or other factors affecting issuers of New York municipal securities than a fund which does not limit its investments to such issuers. These risks include possible legislative, state constitutional or regulatory amendments that may affect the ability of state and local governments or regional governmental authorities to raise money to pay principal and interest on their municipal securities. Economic, fiscal and budgetary conditions throughout the state may also influence the Fund’s performance. More detailed information concerning New York municipal securities and the State of New York is set forth in the Statement of Additional Information.

n Reinvestment risk. Reinvestment risk is the risk that a bond’s cash flows (coupon income and principal repayment) will be reinvested at an interest rate below that on the original bond.

n Variable-rate demand notes risk. The absence of an active secondary market for certain variable and floating rate notes could make it difficult to dispose of the instruments, and a portfolio could suffer a loss if the issuer defaults during periods in which a portfolio is not entitled to exercise its demand rights.

n When-issued and delayed delivery risk. When-issued and delayed delivery transactions are subject to market risk as the value or yield of a security at delivery may be more or less than the purchase price or the yield generally available on securities when delivery occurs. In addition, the Fund is subject to counterparty risk because it relies on the buyer or seller, as the case may be, to consummate the transaction, and failure by the other party to complete the transaction may result in the Fund missing the opportunity of obtaining a price or yield considered to be advantageous.

n Zero coupon or pay-in-kind securities risk. The value, interest rates, and liquidity of non-cash paying instruments, such as zero coupon and pay-in-kind securities, are subject to greater fluctuation than other types of securities.

About indexes used in this report

n The Barclays Municipal Bond Index is an unmanaged index considered representative of the tax-exempt bond market.

n The Barclays New York Municipal Index is an unmanaged index considered representative of New York investment-grade municipal bonds.

n The Fund is not managed to track the performance of any particular index, including the index(es) described here, and consequently, the performance of the Fund may deviate significantly from the performance of the index(es).

n A direct investment cannot be made in an index. Unless otherwise indicated, index results include reinvested dividends, and they do not reflect sales charges. Performance of the peer group, if applicable, reflects fund expenses; performance of a market index does not.

Other information

n The returns shown in management’s discussion of Fund performance are based on net asset values (NAVs) calculated for shareholder transactions. Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes, and as such, the NAVs for shareholder transactions and the returns based on those NAVs may differ from the NAVs and returns reported in the Financial Highlights.

9                Invesco New York Tax Free Income Fund

Schedule of Investments

February 28, 2014

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Municipal Obligations–107.31%
New York–101.25%
Albany (City of) Industrial Development Agency (Albany College of Pharmacy); Series 2004 A, Civic Facility RB		5.63	%		12/01/34	$	1,290	$	1,298,204
Albany (City of) Industrial Development Agency (Albany Law School University); Series 2007 A, Civic Facility RB		5.00	%		07/01/31		1,000		1,010,660
Albany (City of) Industrial Development Agency (St. Peter’s Hospital); Series 2008 D, Civic Facility RB		5.75	%		11/15/27		400		431,972
Albany (County of) Airport Authority; Series 2010 A, Ref. RB (INS–AGM)(a)		5.00	%		12/15/25		500		544,065
Albany Capital Resource Corp. (St. Peter’s Hospital); Series 2011, RB		6.25	%		11/15/38		1,000		1,107,680
Battery Park City Authority; Series 2009 B, Sr. RB		5.00	%		11/01/34		500		562,160
Brooklyn Arena Local Development Corp. (Barclays Center);
Series 2009, PILOT CAB RB(b)		0.00	%		07/15/34		3,685		1,140,065
Series 2009, PILOT RB		6.25	%		07/15/40		475		509,870
Series 2009, PILOT RB		6.38	%		07/15/43		475		511,646
Build NYC Resource Corp. (Bronx Charter School for Excellence); Series 2013 A, RB		5.00	%		04/01/33		500		484,435
Build NYC Resource Corp. (YMCA of Greater New York);
Series 2012, RB		5.00	%		08/01/32		350		368,035
Series 2012, RB		5.00	%		08/01/42		1,750		1,808,870
Dutchess (County of) Industrial Development Agency (Elant at Fishkill, Inc.); Series 2007 A, Civic Facility RB		5.25	%		01/01/37		365		311,250
East Rochester (Village of) Housing Authority (Woodland Village, Inc.); Series 2006, Ref. Senior Living RB		5.50	%		08/01/33		1,000		923,650
Erie (County of) Industrial Development Agency (City of Buffalo School District); Series 2011 A, School Facility RB(c)		5.25	%		05/01/30		2,850		3,143,921
Essex (County of) Industrial Development Agency (International Paper); Series 2005 A, Ref. Solid Waste Disposal RB(d)		5.20	%		12/01/23		1,100		1,120,064
Hempstead Town Local Development Corp. (Molloy College); Series 2009, RB		5.75	%		07/01/39		1,340		1,408,595
Hudson Yards Infrastructure Corp.; Series 2011 A, RB		5.75	%		02/15/47		1,400		1,529,766
Islip (Town of) Resource Recovery Agency (1985 Facility); Series 2004 E, RB (INS–AGM)(a)(d)		5.75	%		07/01/22		1,290		1,323,540
Livingston (County of) Industrial Development Agency (Nicholas H. Noyes Memorial Hospital); Series 2005, Civic Facility RB		6.00	%		07/01/30		1,000		1,000,030
Long Island Power Authority;
Series 2000 A, Electric System General CAB RB (INS–AGM)(a)(b)		0.00	%		06/01/18		2,000		1,867,320
Series 2008 A, Electric System General RB (INS–BHAC)(a)		5.50	%		05/01/33		355		397,572
Madison (County of) Industrial Development Agency (Colgate University); Series 2005 A, RB (INS–AMBAC)(a)		5.00	%		07/01/35		750		765,030
Metropolitan Transportation Authority;
Series 2009 B, Dedicated Tax Fund RB		5.25	%		11/15/27		615		711,967
Series 2009 B, Dedicated Tax Fund RB		5.00	%		11/15/34		1,500		1,597,530
Series 2012 H, RB		5.00	%		11/15/30		750		811,853
Series 2013 E, RB		5.00	%		11/15/30		1,000		1,090,290
Monroe County Industrial Development Corp. (Nazareth College of Rochester); Series 2011, RB		5.50	%		10/01/41		370		388,818
Monroe County Industrial Development Corp. (University of Rochester); Series 2011 A, RB		5.00	%		07/01/36		875		929,863
Nassau (County of) Industrial Development Agency (Amsterdam at Harborside); Series 2007 A, Continuing Care Retirement Community RB		6.70	%		01/01/43		240		130,848
Nassau County Local Economic Assistance Corp. (South Nassau Communities); Series 2012, Ref. RB		5.00	%		07/01/27		930		982,526
Nassau County Local Economic Assistance Corp. (Winthrop University Hospital Association); Series 2012, Ref. RB		5.00	%		07/01/37		1,250		1,267,800
Nassau County Tobacco Settlement Corp.; Series 2006 A-2, Sr. Asset-Backed RB		5.25	%		06/01/26		1,000		883,400
New York & New Jersey (States of) Port Authority (JFK International Air Terminal LLC);
Series 1997, Special Obligation RB (INS–NATL)(a)(d)		5.75	%		12/01/22		2,000		2,012,500
Series 2010, Special Obligation RB		6.00	%		12/01/42		860		938,570
New York (City of) Industrial Development Agency (IAC/InterActive Corp.); Series 2005, Liberty RB		5.00	%		09/01/35		1,515		1,515,500

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

10                         Invesco New York Tax Free Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
New York–(continued)
New York (City of) Industrial Development Agency (Polytechnic University); Series 2007, Ref. Civic Facility RB (INS–ACA)(a)		5.25	%		11/01/37	$	1,300	$	1,356,979
New York (City of) Industrial Development Agency (Queens Baseball Stadium); Series 2006, PILOT RB (INS–AMBAC)(a)		5.00	%		01/01/36		1,140		1,065,900
New York (City of) Industrial Development Agency (Terminal One Group Association, L.P.);
Series 2005, Special Facility RB(d)(e)		5.50	%		01/01/16		2,000		2,144,540
Series 2005, Special Facility RB(d)(e)		5.50	%		01/01/16		2,000		2,141,520
New York (City of) Municipal Water Finance Authority;
Series 2005 D, Water & Sewer System RB(c)		5.00	%		06/15/37		4,000		4,175,640
Series 2009 FF-2, Water & Sewer System RB		5.50	%		06/15/40		2,000		2,170,120
New York (City of) Transitional Finance Authority;
Series 2009 S-1, Building Aid RB		5.50	%		07/15/38		500		560,125
Series 2009 S-2, Building Aid RB		6.00	%		07/15/33		850		965,558
Series 2009 S-3, Building Aid RB(c)		5.25	%		01/15/27		1,310		1,493,937
Series 2009 S-3, Building Aid RB(c)		5.25	%		01/15/39		1,000		1,089,040
Series 2009 S-5, Building Aid RB		5.00	%		01/15/31		595		643,439
Subseries 2009 A-1, Future Tax Sec. RB(c)		5.00	%		05/01/28		755		862,293
Subseries 2009 A-1, Future Tax Sec. RB(c)		5.00	%		05/01/29		605		690,977
Subseries 2009 A-1, Future Tax Sec. RB(c)		5.00	%		05/01/30		605		669,566
Subseries 2011 E, Future Tax Sec. RB		5.00	%		11/01/24		660		757,297
New York (City of) Trust for Cultural Resources (American Museum of Natural History); Series 2004 A, Ref. RB (INS–NATL)(a)(c)		5.00	%		07/01/44		960		971,990
New York (City of) Trust for Cultural Resources (Carnegie Hall); Series 2009 A, RB		5.00	%		12/01/39		850		884,187
New York (City of) Trust for Cultural Resources (Lincoln Center); Series 2008 A-1, Ref. VRD RB (LOC–JPMorgan Chase Bank, N.A.)(f)(g)		0.04	%		12/01/35		500		500,000
New York (City of) Trust for Cultural Resources (The Museum of Modern Art); Series 2008 1A, Ref. RB		5.00	%		04/01/31		800		882,216
New York (City of) Trust for Cultural Resources (Wildlife Conservation Society); Series 2013 A, RB		5.00	%		08/01/33		1,000		1,085,620
New York (City of);
Subseries 2004 H-1, VRD Unlimited Tax GO Bonds (LOC–Bank of New York Mellon)(f)(g)		0.03	%		03/01/14		1,925		1,925,000
Subseries 2008 F-1, Unlimited Tax GO Bonds		5.50	%		11/15/28		1,750		2,019,797
Subseries 2008 G-1, Unlimited Tax GO Bonds		6.25	%		12/15/35		400		459,768
Subseries 2008 I-1, Unlimited Tax GO Bonds		5.00	%		02/01/25		405		455,090
New York (State of) Dormitory Authority (Brooklyn Law School);
Series 2009, RB		5.75	%		07/01/33		660		697,937
Series 2012 A, RB		5.00	%		07/01/26		1,000		1,085,440
New York (State of) Dormitory Authority (Catholic Health Services of Long Island–St. Francis Hospital); Series 2004, RB		5.00	%		07/01/27		1,000		1,006,360
New York (State of) Dormitory Authority (City of New York);
Series 2005 A, Court Facilities Lease RB (INS–AMBAC)(a)		5.50	%		05/15/27		710		870,183
Series 2005 A, Court Facilities Lease RB (INS–AMBAC)(a)		5.50	%		05/15/30		750		908,843
Series 2005 A, Court Facilities Lease RB (INS–AMBAC)(a)		5.50	%		05/15/31		555		672,194
New York (State of) Dormitory Authority (Columbia University); Series 2011 A, RB		5.00	%		10/01/41		510		554,487
New York (State of) Dormitory Authority (Cornell University); Series 2006 A, RB(c)		5.00	%		07/01/35		4,725		5,065,011
New York (State of) Dormitory Authority (Education); Series 2008 B, State Personal Income Tax RB		5.75	%		03/15/36		1,000		1,141,620
New York (State of) Dormitory Authority (Fashion Institute of Technology Student Housing Corp.); Series 2007, RB (INS–NATL)(a)		5.25	%		07/01/28		935		1,042,590
New York (State of) Dormitory Authority (Fordham University);
Series 2008 B, RB (INS–AGC)(a)		5.00	%		07/01/33		500		548,240
Series 2011 A, RB		5.13	%		07/01/29		500		553,375
New York (State of) Dormitory Authority (Manhattan College); Series 2007 A, RB (INS–Radian)(a)		5.00	%		07/01/41		1,150		1,150,978
New York (State of) Dormitory Authority (Marymount Manhattan College); Series 2009, RB		5.25	%		07/01/29		1,000		1,030,650
New York (State of) Dormitory Authority (Memorial Sloan-Kettering Cancer Center); Series 1998, RB (INS–NATL)(a)		5.50	%		07/01/23		1,250		1,526,300

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

11                         Invesco New York Tax Free Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
New York–(continued)
New York (State of) Dormitory Authority (Montefiore Medical Center); Series 2004, Hospital RB (INS–NATL)(a)		5.00	%		08/01/29	$	1,000	$	1,033,710
New York (State of) Dormitory Authority (Mount Sinai Hospital Obligated Group); Series 2011 A, RB		5.00	%		07/01/31		875		919,914
New York (State of) Dormitory Authority (Mount Sinai School of Medicine of New York University); Series 2009, RB		5.13	%		07/01/39		1,250		1,298,375
New York (State of) Dormitory Authority (New York University Hospitals Center); Series 2011 A, RB		6.00	%		07/01/40		1,500		1,641,000
New York (State of) Dormitory Authority (New York University); Series 2001 1, RB (INS–BHAC)(a)		5.50	%		07/01/31		1,070		1,262,632
New York (State of) Dormitory Authority (North Shore-Long Island Jewish Obligated Group);
Series 2009 A, RB		5.50	%		05/01/37		1,250		1,327,187
Subseries 2005 A, RB		5.00	%		11/01/26		750		781,080
New York (State of) Dormitory Authority (Pace University); Series 2013 A, RB		5.00	%		05/01/27		1,000		981,960
New York (State of) Dormitory Authority (Rochester Institute of Technology); Series 2010, RB		5.00	%		07/01/40		1,250		1,343,612
New York (State of) Dormitory Authority (Rockefeller University); Series 2010 A, RB		5.00	%		07/01/41		775		864,210
New York (State of) Dormitory Authority (School Districts Financing Program);
Series 2008 C, RB		7.50	%		04/01/39		2,000		2,415,740
Series 2008 D, RB (INS–AGC)(a)		5.75	%		10/01/24		500		587,350
Series 2009 C, RB (INS–AGC)(a)		5.00	%		10/01/24		1,500		1,698,705
New York (State of) Dormitory Authority (St. John’s University); Series 2012 B, RB		5.00	%		07/01/30		1,220		1,322,395
New York (State of) Dormitory Authority (St. Joseph’s College); Series 2010, RB		5.25	%		07/01/35		500		515,865
New York (State of) Dormitory Authority (State University Educational Facilities); Series 1993 A, RB		5.25	%		05/15/15		2,000		2,054,700
New York (State of) Dormitory Authority (State University of New York); Series 2013 A, RB		5.00	%		07/01/29		1,185		1,320,043
New York (State of) Dormitory Authority (Suffolk County); Series 1986, Judicial Facilities Lease RB(h)		7.38	%		07/01/16		930		1,013,523
New York (State of) Dormitory Authority (The New School);
Series 2010, RB		5.50	%		07/01/40		1,245		1,335,287
Series 2011, Ref. RB		5.00	%		07/01/31		750		804,420
New York (State of) Dormitory Authority;
Series 1996 B, City University System Consolidated RB		6.00	%		07/01/14		155		157,426
Series 2001, RB (INS–AMBAC)(a)		5.50	%		07/01/15		60		60,284
Series 2007 A, Mental Health Services Facilities Improvement RB (INS–AGM)(a)		5.00	%		02/15/27		1,000		1,093,190
Series 2008 C, Mental Health Services Facilities Improvement RB (INS–AGM)(a)(d)		5.25	%		02/15/28		2,000		2,175,940
New York (State of) Energy Research & Development Authority (Brooklyn Union Gas Co.); Series 1991 B, Gas Facilities Residual Interest RB(d)(i)		13.57	%		07/01/26		1,200		1,211,880
New York (State of) Long Island Power Authority; Series 2012 D, VRD Electric System General RB (LOC–TD Bank, N.A.)(f)(g)		0.02	%		12/01/29		700		700,000
New York (State of) Power Authority; Series 2011 A, RB		5.00	%		11/15/38		730		790,846
New York (State of) Thruway Authority;
Series 2008 B, Second General Highway & Bridge Trust Fund RB		5.00	%		04/01/25		500		567,850
Series 2009 B, Second General Highway & Bridge Trust Fund RB		5.00	%		04/01/29		500		543,065
Series 2014 J, RB		5.00	%		01/01/34		1,620		1,739,054
New York City Housing Development Corp.; Series 2005 K, MFH RB(d)		5.00	%		11/01/37		1,000		1,006,550
New York Liberty Development Corp. (4 World Trade Center); Series 2011, Ref. Liberty RB		5.00	%		11/15/31		875		939,444
New York Liberty Development Corp. (7 World Trade Center); Series 2012, Class 2, Ref. Liberty RB		5.00	%		09/15/43		1,410		1,450,890
New York Liberty Development Corp. (Bank of America Tower at One Bryant Park); Series 2010, Ref. Second Priority Liberty RB		6.38	%		07/15/49		1,215		1,306,805
New York Liberty Development Corp. (Goldman Sachs Headquarters); Series 2007, RB		5.50	%		10/01/37		855		967,031
New York Liberty Development Corp. (National Sports Museum); Series 2006 A, RB (Acquired 08/07/06; Cost $636,422)(j)(k)		6.13	%		02/15/19		750		8
New York State Environmental Facilities Corp. (Municipal Water Finance Authority); Series 2011 B, State Clean Water & Drinking Water Revolving Funds RB		5.00	%		06/15/31		1,430		1,583,997
New York State Environmental Facilities Corp. (Pooled Financing Program) ; Series 2005 B, State Clean Water & Drinking Water Revolving Funds RB		5.50	%		04/15/35		310		378,150
New York State Urban Development Corp.; Series 2008 B, Ref. Service Contract RB		5.25	%		01/01/24		750		856,200
North Syracuse Central School District; Series 2007, Ref. Unlimited Tax GO Bonds (INS–NATL)(a)		5.00	%		06/15/23		935		1,097,353

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

12                         Invesco New York Tax Free Income Fund

	Interest Rate				Maturity Date		Principal Amount (000)		Value
New York–(continued)
Oneida (County of) Industrial Development Agency (St. Elizabeth Medical Center Facility); Series 1999 A, Civic Facility RB		5.88	%			12/01/29	$	995	$	995,597
Onondaga Civic Development Corp. (Le Moyne College); Series 2010, RB		5.38	%			07/01/40		1,065		1,102,477
Rensselaer (County of) Industrial Development Agency (Franciscan Heights, L.P.); Series 2004 A, IDR (LOC–JPMorgan Chase Bank, N.A.)(d)(g)		5.38	%			12/01/36		1,000		1,006,640
Rockland (County of) Solid Waste Management Authority; Series 2003 B, RB (INS–AMBAC)(a)(d)		5.00	%			12/15/23		1,000		1,003,500
Suffolk (County of) Industrial Development Agency (Eastern Long Island Hospital Association); Series 2007, Civic Facility RB(j)		5.38	%			01/01/27		1,175		1,113,818
Suffolk (County of) Industrial Development Agency (Family Service League of Suffolk County, Inc.); Series 2004, Civic Facility RB(e)(h)		5.00	%	��		11/01/14		825		851,516
Suffolk (County of) Industrial Development Agency (Jefferson’s Ferry); Series 2006, Ref. First Mortgage Continuing Care Retirement Community RB		5.00	%			11/01/28		1,000		1,026,860
Suffolk County Economic Development Corp. (Peconic Landing at Southold, Inc.); Series 2010, Ref. RB		6.00	%			12/01/40		465		495,462
Syracuse (City of) Industrial Development Agency (Jewish Home of Central New York, Inc.); Series 2001 A, First Mortgage RB		7.38	%			03/01/21		190		180,318
Syracuse (City of); Series 2011 A, Airport Terminal Security & Access Improvement Unlimited Tax GO Bonds(d)		5.00	%			11/01/36		1,000		1,029,790
Tomkins County Development Corp. (Tompkins Cortland Community College Foundation, Inc.); Series 2013 A, RB		5.00	%			07/01/32		1,250		1,240,287
Tompkins (County of) Industrial Development Agency (Cornell University); Series 2008 A, Civic Facility RB		5.00	%			07/01/37		250		271,520
Triborough Bridge & Tunnel Authority; Series 2008 A, General Purpose RB		4.75	%			11/15/29		200		218,556
Troy Capital Resource Corp. (Rensselaer Polytechnic Institute); Series 2010 A, RB		5.00	%			09/01/30		1,250		1,322,100
TSASC, Inc.; Series 2006 1, Tobacco Settlement Asset-Backed RB		5.13	%			06/01/42		900		709,839
Ulster (County of) Resource Recovery Agency; Series 2002, Ref. RB (INS–AMBAC)(a)		5.25	%			03/01/18		200		200,794
United Nations Development Corp.;
Series 2009 A, Ref. RB		5.00	%			07/01/25		1,000		1,082,090
Series 2009 A, Ref. RB		5.00	%			07/01/26		810		870,944
Westchester (County of) Industrial Development Agency (Guiding Eyes For The Blind, Inc.); Series 2004, Civic Facility RB		5.38	%			08/01/24		940		964,308
Westchester Tobacco Asset Securitization Corp.; Series 2005, Tobacco Settlement Asset-Backed RB		5.13	%			06/01/45		570		448,721
Yonkers Economic Development Corp. (Charter School of Educational Excellence); Series 2010 A, Educational RB		6.25	%			10/15/40		1,000		1,015,060
										144,952,540
Guam–2.69%
Guam (Territory of) (Section 30);
Series 2009 A, Limited Obligation RB		5.63	%			12/01/29		135		143,286
Series 2009 A, Limited Obligation RB		5.75	%			12/01/34		1,250		1,324,813
Guam (Territory of) Power Authority;
Series 2010 A, RB		5.50	%			10/01/40		450		462,276
Series 2012 A, Ref. RB		5.00	%			10/01/34		610		608,804
Guam (Territory of) Waterworks Authority; Series 2010, Water & Wastewater System RB		5.63	%			07/01/40		740		746,408
Guam (Territory of); Series 2011 A, Business Privilege Tax RB		5.25	%			01/01/36		550		565,076
		3,850,663
Puerto Rico–1.70%
Puerto Rico (Commonwealth of) Highway & Transportation Authority; Series 1993 X, Ref. RB(h)		5.50	%			07/01/15		1,535		1,592,624
Puerto Rico (Commonwealth of) Infrastructure Financing Authority; Series 2005 C, Ref. Special Tax RB (INS–AMBAC)(a)		5.50	%			07/01/28		675		553,426
Puerto Rico Sales Tax Financing Corp.; Series 2011 C, RB		5.25	%			08/01/40		350		293,933
										2,439,983
Virgin Islands–1.67%
Virgin Islands (Government of) Public Finance Authority (Matching Fund Loan Note–Diageo); Series 2009 A, Sub. RB		6.63	%			10/01/29		845		933,294

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

13                         Invesco New York Tax Free Income Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Virgin Islands–(continued)
Virgin Islands (Government of) Public Finance Authority (Matching Fund Loan Note);
Series 2010 A, Sr. Lien RB		5.00	%		10/01/29	$	1,000	$	1,026,200
Series 2012 A, RB(j)		4.00	%		10/01/22		410		425,305
									2,384,799
TOTAL INVESTMENTS(l)–107.31% (Cost $146,748,687)									153,627,985
FLOATING RATE NOTE OBLIGATIONS–(7.80)%
Notes with interest rates and rate fees ranging from 0.55% to 0.58% at 02/28/14 and contractual maturities of collateral ranging from 01/15/27 to 07/01/44 (See Note 1J)(m)									(11,170,000	)
OTHER ASSETS LESS LIABILITIES–0.49%									701,088
NET ASSETS–100.00%								$	143,159,073

Investment Abbreviations:

ACA	– ACA Financial Guaranty Corp.
AGC	– Assured Guaranty Corp.
AGM	– Assured Guaranty Municipal Corp.
AMBAC	– American Municipal Bond Assurance Corp.
BHAC	– Berkshire Hathaway Assurance Corp.
CAB	– Capital Appreciation Bonds
GO	– General Obligation
IDR	– Industrial Development Revenue Bonds
INS	– Insurer
LOC	– Letter of Credit
MFH	– Multi-Family Housing
NATL	– National Public Finance Guarantee Corp.
PILOT	– Payment-in-Lieu-of-Tax
Radian	– Radian Asset Assurance, Inc.
RB	– Revenue Bonds
Ref.	– Refunding
Sec.	– Secured
Sr.	– Senior
Sub.	– Subordinated
VRD	– Variable Rate Demand

Notes to Schedule of Investments:

^(a) Principal and/or interest payments are secured by the bond insurance company listed.

^(b) Zero coupon bond issued at a discount.

^(c) Underlying security related to Dealer Trusts entered into by the Fund. See Note 1J.

^(d) Security subject to the alternative minimum tax.

^(e) Security has an irrevocable call by the issuer or mandatory put by the holder. Maturity date reflects such call or put.

^(f) Demand security payable upon demand by the Fund at specified time intervals no greater than thirteen months. Interest rate is redetermined periodically. Rate shown is the rate in effect on February 28, 2014.

^(g) Principal and interest payments are fully enhanced by a letter of credit from the bank listed or a predecessor bank, branch or subsidiary.

^(h) Advance refunded; secured by an escrow fund of U.S. Government obligations or other highly rated collateral.

⁽ⁱ⁾ Current coupon rate for an inverse floating rate municipal obligation. This rate resets periodically as the rate on the related security changes. Positions in an inverse floating rate municipal obligation have a total value of $1,211,880 which represents less than 1% of the Fund’s Net Assets.

^(j) Security purchased or received in a transaction exempt from registration under the Securities Act of 1933, as amended (the “1933 Act”). The security may be resold pursuant to an exemption from registration under the 1933 Act, typically to qualified institutional buyers. The aggregate value of these securities at February 28, 2014 was $1,539,131, which represented 1.08% of the Fund’s Net Assets.

^(k) Defaulted security. Currently, the issuer is partially or fully in default with respect to interest payments. The value of this security at February 28, 2014 represented less than 1% of the Fund’s Net Assets.

^(l) This table provides a listing of those entities that have either issued, guaranteed, backed or otherwise enhanced the credit quality of more than 5% of the securities held in the portfolio. In instances where the entity has guaranteed, backed or otherwise enhanced the credit quality of a security, it is not primarily responsible for the issuer’s obligations but may be called upon to satisfy the issuer’s obligations.

Entity	Percentage
National Public Finance Guarantee Corp.		5.0	%

^(m) Floating rate note obligations related to securities held. The interest rates shown reflect the rates in effect at February 28, 2014. At February 28, 2014, the Fund’s investments with a value of $18,162,375 are held by Dealer Trusts and serve as collateral for the $11,170,000 in the floating rate note obligations outstanding at that date.

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

14                         Invesco New York Tax Free Income Fund

Statement of Assets and Liabilities

February 28, 2014

Assets:
Investments, at value (Cost $146,748,687)	$	153,627,985
Receivable for:
Investments sold		20,000
Fund shares sold		380
Interest		1,695,336
Investment for trustee deferred compensation and retirement plans		32,750
Other assets		2,625
Total assets		155,379,076
Liabilities:
Floating rate note obligations		11,170,000
Payable for:
Fund shares reacquired		368,335
Amount due custodian		310,149
Dividends		160,923
Accrued fees to affiliates		70,212
Accrued trustees’ and officers’ fees and benefits		3,097
Accrued other operating expenses		42,404
Trustee deferred compensation and retirement plans		94,883
Total liabilities		12,220,003
Net assets applicable to shares outstanding	$	143,159,073
Net assets consist of:
Shares of beneficial interest	$	147,861,651
Undistributed net investment income		427,072
Undistributed net realized gain (loss)		(12,008,948	)
Net unrealized appreciation		6,879,298
	$	143,159,073

Net Assets:
Class A	$	116,781,870
Class B	$	2,827,587
Class C	$	18,496,393
Class Y	$	5,053,223
Shares outstanding, $0.001 par value per share, with an unlimited number of shares authorized:
Class A		7,634,431
Class B		184,476
Class C		1,210,394
Class Y		330,668
Class A:
Net asset value per share	$	15.30
Maximum offering price per share
(Net asset value of $15.30 ¸ 95.75%)	$	15.98
Class B:
Net asset value and offering price per share	$	15.33
Class C:
Net asset value and offering price per share	$	15.28
Class Y:
Net asset value and offering price per share	$	15.28

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

15                         Invesco New York Tax Free Income Fund

Statement of Operations

For the year ended February 28, 2014

Investment income:
Interest	$	7,962,259
Expenses:
Advisory fees		741,647
Administrative services fees		50,000
Custodian fees		5,991
Distribution fees:
Class A		320,308
Class B		8,358
Class C		193,538
Interest, facilities and maintenance fees		68,184
Transfer agent fees		88,837
Trustees’ and officers’ fees and benefits		35,921
Other		121,143
Total expenses		1,633,927
Net investment income		6,328,332
Realized and unrealized gain (loss) from:
Net realized gain (loss) from investment securities		(4,437,564	)
Change in net unrealized appreciation (depreciation) of investment securities		(8,566,563	)
Net realized and unrealized gain (loss)		(13,004,127	)
Net increase (decrease) in net assets resulting from operations	$	(6,675,795	)

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

16                         Invesco New York Tax Free Income Fund

Statement of Changes in Net Assets

For the years ended February 28, 2014 and 2013

	2014			2013
Operations:
Net investment income	$	6,328,332		$	6,667,395
Net realized gain (loss)		(4,437,564	)		159,431
Change in net unrealized appreciation (depreciation)		(8,566,563	)		3,632,808
Net increase (decrease) in net assets resulting from operations		(6,675,795	)		10,459,634
Distributions to shareholders from net investment income:
Class A		(5,036,243	)		(5,690,517	)
Class B		(131,180	)		(192,639	)
Class C		(614,269	)		(660,118	)
Class Y		(291,109	)		(358,227	)
Total distributions from net investment income		(6,072,801	)		(6,901,501	)
Share transactions–net:
Class A		(18,769,262	)		5,833,992
Class B		(1,187,349	)		(1,344,828	)
Class C		(1,486,246	)		2,604,518
Class Y		(2,935,054	)		1,696,028
Net increase (decrease) in net assets resulting from share transactions		(24,377,911	)		8,789,710
Net increase (decrease) in net assets		(37,126,507	)		12,347,843
Net assets:
Beginning of year		180,285,580			167,937,737
End of year (includes undistributed net investment income of $427,072 and $200,164, respectively)	$	143,159,073		$	180,285,580

Notes to Financial Statements

February 28, 2014

NOTE 1—Significant Accounting Policies

Invesco New York Tax Free Income Fund (the “Fund”) is a series portfolio of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”). The Trust is a Delaware statutory trust registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end series management investment company consisting of six separate portfolios, each authorized to issue an unlimited number of shares of beneficial interest. The assets, liabilities and operations of each portfolio are accounted for separately. Information presented in these financial statements pertains only to the Fund. Matters affecting each portfolio or class will be voted on exclusively by the shareholders of such portfolio or class.

The Fund’s investment objective is to provide investors with a high level of current income exempt from federal, New York State and New York City income taxes, consistent with preservation of capital.

The Fund currently consists of four different classes of shares: Class A, Class B, Class C and Class Y. Class A shares are sold with a front-end sales charge unless certain waiver criteria are met and under certain circumstances load waived shares may be subject to contingent deferred sales charges (“CDSC”). Class C shares are sold with a CDSC. Class Y shares are sold at net asset value. Effective November 30, 2010, new or additional investments in Class B shares are no longer permitted. Existing shareholders of Class B shares may continue to reinvest dividends and capital gains distributions in Class B shares until they convert to Class A shares. Also, shareholders in Class B shares will be able to exchange those shares for Class B shares of other Invesco Funds offering such shares until they convert to Class A shares. Generally, Class B shares will automatically convert to Class A shares on or about the month-end, which is at least eight years after the date of purchase. Redemption of Class B shares prior to conversion date will be subject to a CDSC.

The following is a summary of the significant accounting policies followed by the Fund in the preparation of its financial statements.

A. Security Valuations — Securities, including restricted securities, are valued according to the following policy.

Securities are fair valued using an evaluated quote provided by an independent pricing service approved by the Board of Trustees. Evaluated quotes provided by the pricing service may be determined without exclusive reliance on quoted prices, and may reflect appropriate factors such as institution-size trading in similar groups of securities, developments related to specific securities, dividend rate (for unlisted equities), yield (for debt obligations), quality, type of issue, coupon rate (for debt obligations), maturity (for debt obligations), individual trading characteristics and other market data. Debt obligations are subject to interest rate and credit risks. In addition, all debt obligations involve some risk of default with respect to interest and/or principal payments.

Securities for which market quotations either are not readily available or became unreliable are valued at fair value as determined in good faith by or under the supervision of the Trust’s officers following procedures approved by the Board of Trustees. Some of the factors which may be considered in determining fair value are fundamental analytical data relating to the investment; the nature and duration of any restrictions on

17                         Invesco New York Tax Free Income Fund

transferability or disposition; trading in similar securities by the same issuer or comparable companies; relevant political, economic or issuer specific news; and other relevant factors under the circumstances.

The Fund invests in securities that are subject to interest rate risk, meaning the risk that the prices will generally fall as interest rates rise and, conversely, the prices will generally rise as interest rates fall. Specific securities differ in their sensitivity to changes in interest rates depending on their individual characteristics. Changes in interest rates may result in increased market volatility, which may affect the value and/or liquidity of certain of the Fund’s investments.

Valuations change in response to many factors including the historical and prospective earnings of the issuer, the value of the issuer’s assets, general economic conditions, interest rates, investor perceptions and market liquidity. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

B. Securities Transactions and Investment Income — Securities transactions are accounted for on a trade date basis. Realized gains or losses on sales are computed on the basis of specific identification of the securities sold. Interest income is recorded on the accrual basis from settlement date. Dividend income (net of withholding tax, if any) is recorded on the ex-dividend date. Bond premiums and discounts are amortized and/or accreted for financial reporting purposes.

The Fund may periodically participate in litigation related to Fund investments. As such, the Fund may receive proceeds from litigation settlements. Any proceeds received are included in the Statement of Operations as realized gain (loss) for investments no longer held and as unrealized gain (loss) for investments still held.

Brokerage commissions and mark ups are considered transaction costs and are recorded as an increase to the cost basis of securities purchased and/or a reduction of proceeds on a sale of securities. Such transaction costs are included in the determination of net realized gain (loss) and unrealized gain (loss) from investment securities reported in the Statement of Operations and the Statement of Changes in Net Assets and the net realized and unrealized gains (losses) on securities per share in the Financial Highlights. Transaction costs are included in the calculation of the Fund’s net asset value and, accordingly, they reduce the Fund’s total returns. These transaction costs are not considered operating expenses and are not reflected in net investment income reported in the Statement of Operations and Statement of Changes in Net Assets, or the net investment income per share and ratios of expenses and net investment income reported in the Financial Highlights, nor are they limited by any expense limitation arrangements between the Fund and the investment adviser.

The Fund allocates realized and unrealized capital gains and losses to a class based on the relative net assets of each class. The Fund allocates income to a class based on the relative value of the settled shares of each class.

C. Country Determination — For the purposes of making investment selection decisions and presentation in the Schedule of Investments, the investment adviser may determine the country in which an issuer is located and/or credit risk exposure based on various factors. These factors include the laws of the country under which the issuer is organized, where the issuer maintains a principal office, the country in which the issuer derives 50% or more of its total revenues and the country that has the primary market for the issuer’s securities, as well as other criteria. Among the other criteria that may be evaluated for making this determination are the country in which the issuer maintains 50% or more of its assets, the type of security, financial guarantees and enhancements, the nature of the collateral and the sponsor organization. Country of issuer and/or credit risk exposure has been determined to be the United States of America, unless otherwise noted.

D. Distributions — Distributions from income are declared daily and paid monthly. Distributions from net realized capital gain, if any, are generally declared and paid annually and recorded on the ex-dividend date. The Fund may elect to treat a portion of the proceeds from redemptions as distributions for federal income tax purposes.

E. Federal Income Taxes — The Fund intends to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”), necessary to qualify as a regulated investment company and to distribute substantially all of the Fund’s taxable and tax-exempt earnings to shareholders. As such, the Fund will not be subject to federal income taxes on otherwise taxable income (including net realized capital gain) that is distributed to shareholders. Therefore, no provision for federal income taxes is recorded in the financial statements.

The Fund recognizes the tax benefits of uncertain tax positions only when the position is more likely than not to be sustained. Management has analyzed the Fund’s uncertain tax positions and concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions. Management is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next 12 months.

In addition, the Fund intends to invest in such municipal securities to allow it to qualify to pay shareholders “exempt-interest dividends”, as defined in the Internal Revenue Code.

The Fund files tax returns in the U.S. Federal jurisdiction and certain other jurisdictions. Generally, the Fund is subject to examinations by such taxing authorities for up to three years after the filing of the return for the tax period.

F. Expenses — Fees provided for under the Rule 12b-1 plan of a particular class of the Fund and which are directly attributable to that class are charged to the operations of such class. All other expenses are allocated among the classes based on relative net assets.

G. Interest, Facilities and Maintenance Fees — Interest, Facilities and Maintenance Fees include interest and related borrowing costs such as commitment fees and other expenses associated with lines of credit and interest and administrative expenses related to establishing and maintaining floating rate note obligations, if any.

H. Accounting Estimates — The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period including estimates and assumptions related to taxation. Actual results could differ from those estimates by a significant amount. In addition, the Fund monitors for material events or transactions that may occur or become known after the period-end date and before the date the financial statements are released to print.

I. Indemnifications — Under the Trust’s organizational documents, each Trustee, officer, employee or other agent of the Trust is indemnified against certain liabilities that may arise out of the performance of their duties to the Fund. Additionally, in the normal course of business, the Fund enters into contracts, including the Fund’s servicing agreements, that contain a variety of indemnification clauses. The Fund’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund that have not yet occurred. The risk of material loss as a result of such indemnification claims is considered remote.

18                         Invesco New York Tax Free Income Fund

J. Floating Rate Note Obligations — The Fund invests in inverse floating rate securities, such as Residual Interest Bonds (“RIBs”) or Tender Option Bonds (“TOBs”) for investment purposes and to enhance the yield of the Fund. Inverse floating rate investments tend to underperform the market for fixed rate bonds in a rising interest rate environment, but tend to outperform the market for fixed rate bonds when interest rates decline or remain relatively stable. Such transactions may be purchased in the secondary market without first owning the underlying bond or by the sale of fixed rate bonds by the Fund to special purpose trusts established by a broker dealer (“Dealer Trusts”) in exchange for cash and residual interests in the Dealer Trusts’ assets and cash flows, which are in the form of inverse floating rate securities. The Dealer Trusts finance the purchases of the fixed rate bonds by issuing floating rate notes to third parties and allowing the Fund to retain residual interests in the bonds. The floating rate notes issued by the Dealer Trusts have interest rates that reset weekly and the floating rate note holders have the option to tender their notes to the Dealer Trusts for redemption at par at each reset date. The residual interests held by the Fund (inverse floating rate investments) include the right of the Fund (1) to cause the holders of the floating rate notes to tender their notes at par at the next interest rate reset date, and (2) to transfer the municipal bond from the Dealer Trusts to the Fund, thereby collapsing the Dealer Trusts.

Recently published final rules implementing section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Volcker Rule”) prohibit banking entities from engaging in proprietary trading of certain instruments and limit such entities’ investments in, and relationships with, “covered funds.” These rules may preclude banking entities from sponsoring and/or providing services for existing TOB trust programs. There can be no assurances that TOB trusts can be restructured substantially similar to their present form, that new sponsors of TOB trusts would begin providing these services, or that alternative forms of leverage will be available to the Fund in order to maintain current levels of leverage. Any alternative forms of leverage may be less advantageous to the Fund, and may adversely affect the Fund’s net asset value, distribution rate and ability to achieve its investment objective. The ultimate impact of these rules on the TOBs market and the municipal market generally is not yet certain.

TOBs are presently classified as private placement securities. Private placement securities are subject to restrictions on resale because they have not been registered under the Securities Act of 1933, as amended (the “1933 Act”), or are otherwise not readily marketable. As a result of the absence of a public trading market for these securities, they may be less liquid than publicly traded securities. Although these securities may be resold in privately negotiated transactions, the prices realized from these sales could be less than those originally paid by the Fund or less than what may be considered the fair value of such securities.

The Fund accounts for the transfer of bonds to the Dealer Trusts as secured borrowings, with the securities transferred remaining in the Fund’s investment assets, and the related floating rate notes reflected as Fund liabilities under the caption Floating rate note obligations on the Statement of Assets and Liabilities. The Fund records the interest income from the fixed rate bonds under the caption Interest and records the expenses related to floating rate obligations and any administrative expenses of the Dealer Trusts as a component of Interest, facilities and maintenance fees on the Statement of Operations.

The Fund generally invests in inverse floating rate securities that include embedded leverage, thus exposing the Fund to greater risks and increased costs. The primary risks associated with inverse floating rate securities are varying degrees of liquidity and the changes in the value of such securities in response to changes in market rates of interest to a greater extent than the value of an equal principal amount of a fixed rate security having similar credit quality, redemption provisions and maturity which may cause the Fund’s net asset value to be more volatile than if it had not invested in inverse floating rate securities. In certain instances, the short-term floating rate interests created by the special purpose trust may not be able to be sold to third parties or, in the case of holders tendering (or putting) such interests for repayment of principal, may not be able to be remarketed to third parties. In such cases, the special purpose trust holding the long-term fixed rate bonds may be collapsed. In the case of RIBs or TOBs created by the contribution of long-term fixed income bonds by the Fund, the Fund will then be required to repay the principal amount of the tendered securities. During times of market volatility, illiquidity or uncertainty, the Fund could be required to sell other portfolio holdings at a disadvantageous time to raise cash to meet that obligation.

K. Other Risks — The value of, payment of interest on, repayment of principal for and the ability to sell a municipal security may be affected by constitutional amendments, legislative enactments, executive orders, administrative regulations, voter initiatives and the economics of the regions in which the issuers are located.

Since many municipal securities are issued to finance similar projects, especially those relating to education, health care, transportation and utilities, conditions in those sectors can affect the overall municipal securities market and a Fund’s investments in municipal securities.

There is some risk that a portion or all of the interest received from certain tax-free municipal securities could become taxable as a result of determinations by the Internal Revenue Service.

NOTE 2—Advisory Fees and Other Fees Paid to Affiliates

The Trust has entered into a master investment advisory agreement with Invesco Advisers, Inc. (the “Adviser” or “Invesco”). Under the terms of the investment advisory agreement, the Fund pays an advisory fee to the Adviser based on the annual rate of the Fund’s average daily net assets as follows:

Average Daily Net Assets	Rate
First $500 million		0	.47%
Over $500 million		0	.445%

Under the terms of a master sub-advisory agreement between the Adviser and each of Invesco Asset Management Deutschland GmbH, Invesco Asset Management Limited, Invesco Asset Management (Japan) Limited, Invesco Australia Limited, Invesco Hong Kong Limited, Invesco Senior Secured Management, Inc. and Invesco Canada Ltd. (collectively, the “Affiliated Sub-Advisers”) the Adviser, not the Fund, may pay 40% of the fees paid to the Adviser to any such Affiliated Sub-Adviser(s) that provide(s) discretionary investment management services to the Fund based on the percentage of assets allocated to such Sub-Adviser(s).

The Adviser has contractually agreed, through at least June 30, 2014, to waive advisory fees and/or reimburse expenses to the extent necessary to limit total annual fund operating expenses after fee waiver and/or expense reimbursement (excluding certain items discussed below) of Class A, Class B, Class C and Class Y shares to 1.50%, 2.25%, 2.25% and 1.25% of average daily net assets, respectively. In determining the Adviser’s

19                         Invesco New York Tax Free Income Fund

obligation to waive advisory fees and/or reimburse expenses, the following expenses are not taken into account, and could cause total annual fund operating expenses after fee waiver and/or expense reimbursement to exceed the numbers reflected above: (1) interest, facilities and maintenance fees; (2) taxes; (3) dividend expense on short sales; (4) extraordinary or non-routine items, including litigation expenses; and (5) expenses that the Fund has incurred but did not actually pay because of an expense offset arrangement. Unless Invesco continues the fee waiver agreement, it will terminate on June 30, 2014. The fee waiver agreement cannot be terminated during its term. The Adviser did not waive fees and/or reimburse expenses during the period under this expense limitation.

The Trust has entered into a master administrative services agreement with Invesco pursuant to which the Fund has agreed to pay Invesco for certain administrative costs incurred in providing accounting services to the Fund. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Administrative services fees.

The Trust has entered into a transfer agency and service agreement with Invesco Investment Services, Inc. (“IIS”) pursuant to which the Fund has agreed to pay IIS a fee for providing transfer agency and shareholder services to the Fund and reimburse IIS for certain expenses incurred by IIS in the course of providing such services. IIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. All fees payable by IIS to intermediaries that provide omnibus account services or sub-accounting are charged back to the Fund, subject to certain limitations approved by the Trust’s Board of Trustees. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Transfer agent fees.

Shares of the Fund are distributed by Invesco Distributors, Inc. (“IDI”). The Fund has adopted a distribution plan pursuant to Rule 12b-1 under the 1940 Act, and a service plan (collectively, the “Plans”) for Class A shares, Class B shares and Class C shares to compensate IDI for the sale, distribution, shareholder servicing and maintenance of shareholder accounts for these shares. Under the Plans, the Fund will incur annual fees of up to 0.25% of Class A average daily net assets and up to 1.00% each of Class B and Class C average daily net assets.

With respect to Class B and Class C shares, the Fund is authorized to reimburse in future years any distribution related expenses that exceed the maximum annual reimbursement rate for such class, so long as such reimbursement does not cause the Fund to exceed the Class B and Class C maximum annual reimbursement rate, respectively. With respect to Class A shares, distribution related expenses that exceed the maximum annual reimbursement rate for such class are not carried forward to future years and the Fund will not reimburse IDI for any such expenses.

For the year ended February 28, 2014, expenses incurred under these agreements are shown in the Statement of Operations as Distribution fees.

Front-end sales commissions and CDSC (collectively, the “sales charges”) are not recorded as expenses of the Fund. Front-end sales commissions are deducted from proceeds from the sales of Fund shares prior to investment in Class A shares of the Fund. CDSC are deducted from redemption proceeds prior to remittance to the shareholder. During the year ended February 28, 2014, IDI advised the Fund that IDI retained $15,144 in front-end sales commissions from the sale of Class A shares and $35,438, $6,506 and $1,461 from Class A, Class B and Class C shares, respectively, for CDSC imposed on redemptions by shareholders.

Certain officers and trustees of the Trust are officers and directors of the Adviser, IIS and/or IDI.

NOTE 3—Additional Valuation Information

GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, under current market conditions. GAAP establishes a hierarchy that prioritizes the inputs to valuation methods, giving the highest priority to readily available unadjusted quoted prices in an active market for identical assets (Level 1) and the lowest priority to significant unobservable inputs (Level 3), generally when market prices are not readily available or are unreliable. Based on the valuation inputs, the securities or other investments are tiered into one of three levels. Changes in valuation methods may result in transfers in or out of an investment’s assigned level:

Level 1 — Prices are determined using quoted prices in an active market for identical assets.

Level 2 — Prices are determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk, yield curves, loss severities, default rates, discount rates, volatilities and others.

Level 3 — Prices are determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund’s own assumptions about the factors market participants would use in determining fair value of the securities or instruments and would be based on the best available information.

As of February 28, 2014, all of the securities in this Fund were valued based on Level 2 inputs (see the Schedule of Investments for security categories). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

NOTE 4—Trustees’ and Officers’ Fees and Benefits

Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to pay remuneration to certain Trustees and Officers of the Fund. Trustees have the option to defer compensation payable by the Fund, and Trustees’ and Officers’ Fees and Benefits also include amounts accrued by the Fund to fund such deferred compensation amounts. Those Trustees who defer compensation have the option to select various Invesco Funds in which their deferral accounts shall be deemed to be invested. Finally, certain current Trustees were eligible to participate in a retirement plan that provided for benefits to be paid upon retirement to Trustees over a period of time based on the number of years of service. The Fund may have certain former Trustees who also participate in a retirement plan and receive benefits under such plan. Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to fund such retirement benefits. Obligations under the deferred compensation and retirement plans represent unsecured claims against the general assets of the Fund.

20                         Invesco New York Tax Free Income Fund

NOTE 5—Cash Balances and Borrowings

The Fund is permitted to temporarily carry a negative or overdrawn balance in its account with SSB, the custodian bank. Such balances, if any at period end, are shown in the Statement of Assets and Liabilities under the payable caption Amount due custodian. To compensate the custodian bank for such overdrafts, the overdrawn Fund may either (1) leave funds as a compensating balance in the account so the custodian bank can be compensated by earning the additional interest; or (2) compensate by paying the custodian bank at a rate agreed upon by the custodian bank and Invesco, not to exceed the contractually agreed upon rate.

Inverse floating rate obligations resulting from the transfer of bonds to Dealer Trusts are accounted for as secured borrowings. The average floating rate notes outstanding and average annual interest and fee rate related to inverse floating rate note obligations during the year ended February 28, 2014 were $11,225,000 and 0.60%, respectively.

NOTE 6—Distributions to Shareholders and Tax Components of Net Assets

Tax Character of Distributions to Shareholders Paid During the Years Ended February 28, 2014 and 2013:

	2014		2013
Ordinary income	$	—	$	26,417
Tax-exempt income		6,072,801		6,875,084
Total distributions	$	6,072,801	$	6,901,501

Tax Components of Net Assets at Period-End:

	2014
Undistributed ordinary income	$	206,358
Net unrealized appreciation — investments		6,951,483
Temporary book/tax differences		(91,030	)
Post-October deferrals		(2,089,573	)
Capital loss carryforward		(9,679,816	)
Shares of beneficial interest		147,861,651
Total net assets	$	143,159,073

The difference between book-basis and tax-basis unrealized appreciation (depreciation) is due to differences in the timing of recognition of gains and losses on investments for tax and book purposes. The Fund’s net unrealized appreciation difference is attributable primarily to TOBs and book to tax accretion and amortization differences.

The temporary book/tax differences are a result of timing differences between book and tax recognition of income and/or expenses. The Fund’s temporary book/tax differences are the result of the trustee deferral of compensation and retirement plan benefits.

Capital loss carryforward is calculated and reported as of a specific date. Results of transactions and other activity after that date may affect the amount of capital loss carryforward actually available for the Fund to utilize. Capital losses generated in years beginning after December 22, 2010 can be carried forward for an unlimited period, whereas previous losses expire in 8 tax years. Capital losses with an expiration period may not be used to offset capital gains until all net capital losses without an expiration date have been utilized. Capital loss carryforwards with no expiration date will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The ability to utilize capital loss carryforward in the future may be limited under the Internal Revenue Code and related regulations based on the results of future transactions.

The Fund has a capital loss carryforward as of February 28, 2014, which expires as follows:

Capital Loss Carryforward*
Expiration	Short-Term		Long-Term		Total
February 28, 2017	$	2,489,228	$	—	$	2,489,228
February 28, 2018		3,515,499		—		3,515,499
February 28, 2019		896,118		—		896,118
Not subject to expiration		1,893,313		885,658		2,778,971
Total capital loss carryforward	$	8,794,158	$	885,658	$	9,679,816

* Capital loss carryforward as of the date listed above is reduced for limitations, if any, to the extent required by the Internal Revenue Code and may be further limited depending upon a variety of factors, including the realization of net unrealized gains or losses as of the date of any reorganization.

NOTE 7—Investment Securities

The aggregate amount of investment securities (other than short-term securities, U.S. Treasury obligations and money market funds, if any) purchased and sold by the Fund during the year ended February 28, 2014 was $13,675,047 and $39,269,013, respectively. Cost of investments on a tax basis includes the adjustments for financial reporting purposes as of the most recently completed federal income tax reporting period-end.

Unrealized Appreciation (Depreciation) of Investment Securities on a Tax Basis
Aggregate unrealized appreciation of investment securities	$	9,363,947
Aggregate unrealized (depreciation) of investment securities		(2,412,464	)
Net unrealized appreciation of investment securities	$	6,951,483

Cost of investments for tax purposes is $146,676,502.

21                         Invesco New York Tax Free Income Fund

NOTE 8—Reclassification of Permanent Differences

Primarily as a result of differing book/tax treatment of taxable income and book to tax accretion and amortization differences, on February 28, 2014, undistributed net investment income was decreased by $28,623, undistributed net realized gain (loss) was increased by $8,275 and shares of beneficial interest was increased by $20,348. This reclassification had no effect on the net assets of the Fund.

NOTE 9—Share Information

	Summary of Share Activity
	Years ended February 28,
	2014(a)						2013
	Shares			Amount			Shares			Amount
Sold:
Class A		761,422		$	11,764,217			1,796,491		$	29,382,383
Class B		3,377			50,532			319			5,189
Class C		187,454			2,929,736			236,330			3,843,650
Class Y		98,225			1,503,411			218,414			3,562,579
Issued as reinvestment of dividends:
Class A		211,149			3,237,290			218,227			3,562,959
Class B		4,810			74,208			7,592			124,034
Class C		23,945			367,464			24,582			401,062
Class Y		9,039			138,864			12,416			202,539
Automatic conversion of Class B shares to Class A shares:
Class A		30,265			462,632			55,973			909,494
Class B		(30,204	)		(462,632	)		(55,868	)		(909,494	)
Reacquired:
Class A		(2,228,015	)		(34,233,401	)		(1,716,186	)		(28,020,844	)
Class B		(54,409	)		(849,457	)		(34,776	)		(564,557	)
Class C		(312,444	)		(4,783,446	)		(100,626	)		(1,640,194	)
Class Y		(303,234	)		(4,577,329	)		(126,077	)		(2,069,090	)
Net increase (decrease) in share activity		(1,598,620	)	$	(24,377,911	)		536,811		$	8,789,710

^(a) There are entities that are record owners of more than 5% of the outstanding shares of the Fund and in the aggregate own 67% of the outstanding shares of the Fund. IDI has an agreement with these entities to sell Fund shares. The Fund, Invesco and/or Invesco affiliates may make payments to these entities, which are considered to be related to the Fund, for providing services to the Fund, Invesco and/or Invesco affiliates including but not limited to services such as securities brokerage, distribution, third party record keeping and account servicing. The Fund has no knowledge as to whether all or any portion of the shares owned of record by these entities are also owned beneficially.

22                         Invesco New York Tax Free Income Fund

NOTE 10—Financial Highlights

The following schedule presents financial highlights for a share of the Fund outstanding throughout the periods indicated.

	Net asset value, beginning of period		Net investment income(a)		Net gains (losses) on securities (both realized and unrealized)			Total from investment operations			Dividends from net investment income			Net asset value, end of period		Total return			Net assets, end of period (000’s omitted)		Ratio of expenses to average net assets with fee waivers and/or expenses absorbed			Ratio of expenses to average net assets without fee waivers and/or expenses absorbed			Ratio of expenses to average net assets with fee  waiver (excluding interest, facilities and maintenance fees)(b)			Ratio of net investment income to average net assets			Portfolio turnover(c)
Class A
Year ended 02/28/14	$	16.45	$	0.63	$	(1.17	)	$	(0.54	)	$	(0.61	)	$	15.30		(3.26	)%(d)	$	116,782		0.95	%(e)		0.95	%(e)		0.91	%(e)		4.10	%(e)		8	%
Year ended 02/28/13		16.12		0.63		0.36			0.99			(0.66	)		16.45		6.22	(d)		145,772		0.83			0.91			0.78			3.88			10
Year ended 02/29/12		14.66		0.71		1.46			2.17			(0.71	)		16.12		15.16	(d)		137,064		0.69			0.94			0.65			4.64			18
Period ended 02/28/11		15.78		0.30		(1.12	)		(0.82	)		(0.30	)		14.66		(5.25	)(d)		66,813		0.68	(f)		0.93	(f)		0.66	(f)		4.86	(f)		10
Year ended 09/30/10		15.40		0.70		0.39			1.09			(0.71	)		15.78		7.32	(d)		74,722		0.76			1.01			0.73			4.59			18
Year ended 09/30/09		14.31		0.70		1.10			1.80			(0.71	)		15.40		13.24	(g)		72,726		0.84			1.09			0.78			5.06			32
Class B
Year ended 02/28/14		16.49		0.64		(1.19	)		(0.55	)		(0.61	)		15.33		(3.30	)(d)(h)		2,828		0.95	(e)(h)		0.95	(e)(h)		0.91	(e)(h)		4.10	(e)(h)		8
Year ended 02/28/13		16.15		0.63		0.37			1.00			(0.66	)		16.49		6.28	(d)(h)		4,301		0.83	(h)		0.91	(h)		0.78	(h)		3.88	(h)		10
Year ended 02/29/12		14.62		0.74		1.47			2.21			(0.68	)		16.15		15.49	(d)(h)		5,549		0.48	(h)		0.73	(h)		0.44	(h)		4.85	(h)		18
Period ended 02/28/11		15.70		0.30		(1.13	)		(0.83	)		(0.25	)		14.62		(5.30	)(d)(h)		7,143		0.77	(f)(h)		1.02	(f)(h)		0.75	(f)(h)		4.77	(f)(h)		10
Year ended 09/30/10		15.35		0.62		0.39			1.01			(0.66	)		15.70		6.76	(d)(h)		8,895		1.26	(h)		1.51	(h)		1.23	(h)		4.09	(h)		18
Year ended 09/30/09		14.27		0.69		1.09			1.78			(0.70	)		15.35		13.13	(i)(j)		11,666		0.92	(i)		1.17	(i)		0.86	(i)		4.99	(i)		32
Class C
Year ended 02/28/14		16.44		0.52		(1.19	)		(0.67	)		(0.49	)		15.28		(4.04	)(d)		18,496		1.70	(e)		1.70	(e)		1.66	(e)		3.35	(e)		8
Year ended 02/28/13		16.10		0.51		0.36			0.87			(0.53	)		16.44		5.50	(d)		21,556		1.58			1.66			1.53			3.13			10
Year ended 02/29/12		14.64		0.59		1.46			2.05			(0.59	)		16.10		14.33	(d)		18,533		1.44			1.69			1.40			3.89			18
Period ended 02/28/11		15.77		0.25		(1.13	)		(0.88	)		(0.25	)		14.64		(5.62	)(d)		16,684		1.43	(f)		1.68	(f)		1.41	(f)		4.11	(f)		10
Year ended 09/30/10		15.39		0.59		0.38			0.97			(0.59	)		15.77		6.50	(d)		19,049		1.51			1.76			1.48			3.84			18
Year ended 09/30/09		14.29		0.61		1.10			1.71			(0.61	)		15.39		12.51	(i)(k)		19,444		1.50	(i)		1.75	(i)		1.44	(i)		4.40	(i)		32
Class Y
Year ended 02/28/14		16.44		0.67		(1.18	)		(0.51	)		(0.65	)		15.28		(3.08	)(d)		5,053		0.70	(e)		0.70	(e)		0.66	(e)		4.35	(e)		8
Year ended 02/28/13		16.10		0.67		0.37			1.04			(0.70	)		16.44		6.55	(d)		8,657		0.58			0.66			0.53			4.13			10
Year ended 02/29/12		14.64		0.76		1.45			2.21			(0.75	)		16.10		15.46	(d)		6,792		0.44			0.69			0.40			4.89			18
Period ended 02/28/11		15.78		0.32		(1.15	)		(0.83	)		(0.31	)		14.64		(5.27	)(d)		10		0.43	(f)		0.68	(f)		0.41	(f)		5.11	(f)		10
Year ended 09/30/10(l)		15.44		0.25		0.34			0.59			(0.25	)		15.78		3.83	(d)		10		0.51	(f)		0.76	(f)		0.73	(f)		4.77	(f)		18

^(a)  Calculated using average shares outstanding.

^(b)  For the years ended September 30, 2010 and prior, ratio does not exclude facilities and maintenance fees.

^(c)  Portfolio turnover is calculated at the fund level and is not annualized for periods less than one year, if applicable. For the year ended February 29, 2012, the portfolio turnover calculation excludes the value of securities purchased of $61,546,396 and sold of $9,539,859 in the effort to realign the Fund’s portfolio holdings after the reorganization of Invesco New York Tax-Free Income Fund into the Fund.

^(d)  Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions. Does not include sales charges and is not annualized for periods less than one year, if applicable.

^(e)  Ratios are based on average daily net assets (000’s omitted) of $128,123, $3,343, $19,354 and $6,977 for Class A, Class B, Class C and Class Y shares, respectively.

^(f)  Annualized.

^(g)  Assumes reinvestment of all distributions for the period and does not include payment of the maximum sales charge of 4.75% or contingent deferred sales charge (CDSC). On purchases of $1 million or more, a CDSC of 1% may be imposed on certain redemptions made within eighteen months of purchase. If the sales charges were included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 0.25% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

^(h)  The total return, ratio of expenses to average net assets and ratio of net investment income to average net assets reflect actual 12b-1 fees of 0.25%, 0.25%, 0.04%, 0.33% and 0.75% for the year ended February 28, 2014, the year ended February 28, 2013, the year ended February 29, 2012, period ended February 28, 2011 and the year ended September 30, 2010, respectively.

⁽ⁱ⁾  The total return, ratio of expenses to average net assets and ratio of net investment income to average net assets reflect actual 12b-1 fees of less than 1%.

^(j)  Assumes reinvestment of all distributions for the period and does not include payment of the maximum CDSC of 4%, charged on certain redemptions made within one year of purchase and declining to 0% after the fifth year. If the sales charge was included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 1% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

^(k)  Assumes reinvestment of all distributions for the period and does not include payment of the maximum CDSC of 1%, charged on certain redemptions made within one year of purchase. If the sales charge was included, total returns would be lower. These returns include combined Rule 12b-1 fees and service fees of up to 1% and do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

^(l)  Commencement date of June 1, 2010.

23                         Invesco New York Tax Free Income Fund

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds)

and Shareholders of Invesco New York Tax Free Income Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Invesco New York Tax Free Income Fund (one of the funds constituting AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds), hereafter referred to as the “Fund”) at February 28, 2014, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the three years in the period then ended, the five month period ended February 28, 2011 and the year ended September 30, 2010, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at February 28, 2014 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion. The financial highlights of the Fund for the year ended September 30, 2009 were audited by another independent registered public accounting firm whose report dated November 20, 2009 expressed an unqualified opinion on such financial statement.

PRICEWATERHOUSECOOPERS LLP

April 28, 2014

Houston, Texas

24                         Invesco New York Tax Free Income Fund

Calculating your ongoing Fund expenses

Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, which may include sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any; and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period September 1, 2013 through February 28, 2014.

Actual expenses

The table below provides information about actual account values and actual expenses. You may use the information in this table, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the table under the heading entitled “Actual Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The table below also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return.

The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher.

Class	Beginning Account Value (09/01/13)		ACTUAL				HYPOTHETICAL (5% annual return before expenses)				Annualized Expense Ratio
			Ending Account Value (02/28/14)1		Expenses Paid During Period2		Ending Account Value (02/28/14)		Expenses Paid During Period2
A	$	1,000.00	$	1,057.60	$	4.90	$	1,020.03	$	4.81		0.96	%
B		1,000.00		1,057.50		4.90		1,020.03		4.81		0.96
C		1,000.00		1,053.10		8.70		1,016.31		8.55		1.71
Y		1,000.00		1,058.30		3.62		1,021.27		3.56		0.71

¹  The actual ending account value is based on the actual total return of the Fund for the period September 1, 2013 through February 28, 2014, after actual expenses and will differ from the hypothetical ending account value which is based on the Fund’s expense ratio and a hypothetical annual return of 5% before expenses.

²  Expenses are equal to the Fund’s annualized expense ratio as indicated above multiplied by the average account value over the period, multiplied by 181/365 to reflect the most recent fiscal half year.

25                         Invesco New York Tax Free Income Fund

Tax Information

Form 1099-DIV, Form 1042-S and other year–end tax information provide shareholders with actual calendar year amounts that should be included in their tax returns. Shareholders should consult their tax advisors.

The following distribution information is being provided as required by the Internal Revenue Code or to meet a specific state’s requirement.

The Fund designates the following amounts or, if subsequently determined to be different, the maximum amount allowable for its fiscal year ended February 28, 2014:

Federal and State Income Tax
Qualified Dividend Income*	0	%
Corporate Dividends Received Deduction*	0	%
U.S. Treasury Obligations*	0	%
Tax-Exempt Interest Dividends*	100	%

* The above percentages are based on ordinary income dividends paid to shareholders during the Fund’s fiscal year.

26                         Invesco New York Tax Free Income Fund

Trustees and Officers

The address of each trustee and officer is AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”), 11 Greenway Plaza, Suite 1000, Houston, Texas 77046-1173. The trustees serve for the life of the Trust, subject to their earlier death, incapacitation, resignation, retirement or removal as more specifically provided in the Trust’s organizational documents. Each officer serves for a one year term or until their successors are elected and qualified. Column two below includes length of time served with predecessor entities, if any.

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Interested Persons
Martin L. Flanagan1 — 1960 Trustee	2007	Executive Director, Chief Executive Officer and President, Invesco Ltd. (ultimate parent of Invesco and a global investment management firm); Advisor to the Board, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Trustee, The Invesco Funds; Vice Chair, Investment Company Institute; and Member of Executive Board, SMU Cox School of Business Formerly: Chairman and Chief Executive Officer, Invesco Advisers, Inc. (registered investment adviser); Director, Chairman, Chief Executive Officer and President, IVZ Inc. (holding company), INVESCO Group Services, Inc. (service provider) and Invesco North American Holdings, Inc. (holding company); Director, Chief Executive Officer and President, Invesco Holding Company Limited (parent of Invesco and a global investment management firm); Director, Invesco Ltd.; Chairman, Investment Company Institute and President, Co-Chief Executive Officer, Co-President, Chief Operating Officer and Chief Financial Officer, Franklin Resources, Inc. (global investment management organization).	123	None
Philip A. Taylor2 — 1954 Trustee, President and Principal Executive Officer	2006	Head of North American Retail and Senior Managing Director, Invesco Ltd.; Director, Co-Chairman, Co-President and Co-Chief Executive Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Director, Chairman, Chief Executive Officer and President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) (financial services holding company); Director and President, INVESCO Funds Group, Inc. (registered investment adviser and registered transfer agent); Director and Chairman, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) (registered transfer agent) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.) (registered broker dealer); Director, President and Chairman, Invesco Inc. (holding company) and Invesco Canada Holdings Inc. (holding company); Chief Executive Officer, Invesco Corporate Class Inc. (corporate mutual fund company) and Invesco Canada Fund Inc. (corporate mutual fund company); Director, Chairman and Chief Executive Officer, Invesco Canada Ltd. (formerly known as Invesco Trimark Ltd./Invesco Trimark Ltèe) (registered investment adviser and registered transfer agent); Trustee, President and Principal Executive Officer, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); Trustee and Executive Vice President, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only); Director, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Director, Chief Executive Officer and President, Van Kampen Exchange Corp. Formerly: Director and Chairman, Van Kampen Investor Services Inc.; Director, Chief Executive Officer and President, 1371 Preferred Inc. (holding company); and Van Kampen Investments Inc.; Director and President, AIM GP Canada Inc. (general partner for limited partnerships); and Van Kampen Advisors, Inc.; Director and Chief Executive Officer, Invesco Trimark Dealer Inc. (registered broker dealer); Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) (registered broker dealer); Manager, Invesco PowerShares Capital Management LLC; Director, Chief Executive Officer and President, Invesco Advisers, Inc.; Director, Chairman, Chief Executive Officer and President, Invesco Aim Capital Management, Inc.; President, Invesco Trimark Dealer Inc. and Invesco Trimark Ltd./Invesco Trimark Ltèe; Director and President, AIM Trimark Corporate Class Inc. and AIM Trimark Canada Fund Inc.; Senior Managing Director, Invesco Holding Company Limited; Trustee and Executive Vice President, Tax-Free Investments Trust; Director and Chairman, Fund Management Company (former registered broker dealer); President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only); President, AIM Trimark Global Fund Inc. and AIM Trimark Canada Fund Inc.	123	None
Wayne W. Whalen3 — 1939 Trustee	2010	Of Counsel, and prior to 2010, partner in the law firm of Skadden, Arps, Slate, Meagher & Flom LLP, legal counsel to certain funds in the Fund Complex.	136	Director of the Mutual fund Directors Forum, a nonprofit membership organization for investment directors; Chairman and Director of the Abraham Lincoln Presidential Library Foundation; and Director of the Stevenson Center for Democracy

¹  Mr. Flanagan is considered an interested person of the Trust because he is an officer of the adviser to the Trust, and an officer and a director of Invesco Ltd., ultimate parent of the adviser to the Trust.

²  Mr. Taylor is considered an interested person of the Trust because he is an officer and a director of the adviser to, and a director of the principal underwriter of, the Trust.

³  Mr. Whalen is considered an “interested person” (within the meaning of Section 2(a)(19) of the 1940 Act) of certain funds in the Fund Complex because his firm currently provides legal services as legal counsel to such Funds.

T-1                         Invesco New York Tax Free Income Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees
Bruce L. Crockett — 1944 Trustee and Chair	1993	Chairman, Crockett Technologies Associates (technology consulting company) Formerly: Director, Captaris (unified messaging provider); Director, President and Chief Executive Officer COMSAT Corporation; Chairman, Board of Governors of INTELSAT (international communications company); ACE Limited (insurance company); and Investment Company Institute	123	ALPS (Attorneys Liability Protection Society) (insurance company)
David C. Arch — 1945 Trustee	2010	Chairman of Blistex Inc., a consumer health care products manufacturer	136	Board member of the Illinois Manufacturers’ Association; Member of the Board of Visitors, Institute for the Humanities University of Michigan; Member of the Audit Committee of the Edward-Elmhurst Hospital
Frank S. Bayley — 1939 Trustee	2001	Retired. Formerly: Director, Badgley Funds Inc. (registered investment company) (2 portfolios) and General Partner and Of Counsel, law firm of Baker & McKenzie, LLP	123	Director and Chairman, C.D. Stimson Company (a real estate investment company); Trustee, The Curtis Institute of Music
James T. Bunch — 1942 Trustee	2003	Managing Member, Grumman Hill Group LLC (family office private equity investments) Formerly: Founder, Green Manning & Bunch Ltd. (investment banking firm) (1988-2010); Executive Committee, United States Golf Association; and Director, Policy Studies, Inc. and Van Gilder Insurance Corporation.	123	Chairman, Board of Governors, Western Golf Association, Chairman, Evans Scholars Foundation and Director, Denver Film Society
Rodney F. Dammeyer — 1940 Trustee	2010	Chairman of CAC,LLC, (private company offering capital investment and management advisory services) Formerly: Prior to 2001, Managing Partner at Equity Group Corporate Investments. Prior to 1995, Chief Executive Officer of Itel Corporation (formerly Anixter International). Prior to 1985, experience includes Senior Vice President and Chief Financial Officer of Household International, Inc., Executive Vice President and Chief Financial Officer of Northwest Industries, Inc. and Partner of Arthur Andersen & Co.; From 1987 to 2010, Director/Trustee of investment companies in the Van Kampen Funds complex	123	Director of Quidel Corporation and Stericycle, Inc.
Albert R. Dowden — 1941 Trustee	2000	Director of a number of public and private business corporations, including the Boss Group, Ltd. (private investment and management); Nature’s Sunshine Products, Inc. and Reich & Tang Funds (5 portfolios) (registered investment company) Formerly: Director, Homeowners of America Holding Corporation/Homeowners of America Insurance Company (property casualty company); Director, Continental Energy Services, LLC (oil and gas pipeline service); Director, CompuDyne Corporation (provider of product and services to the public security market) and Director, Annuity and Life Re (Holdings), Ltd. (reinsurance company); Director, President and Chief Executive Officer, Volvo Group North America, Inc.; Senior Vice President, AB Volvo; Director of various public and private corporations; Chairman, DHJ Media, Inc.; Director, Magellan Insurance Company; and Director, The Hertz Corporation, Genmar Corporation (boat manufacturer), National Media Corporation; Advisory Board of Rotary Power International (designer, manufacturer, and seller of rotary power engines); and Chairman, Cortland Trust, Inc. (registered investment company)	123	Director of: Nature’s Sunshine Products, Inc., Reich & Tang Funds, Homeowners of America Holding Corporation/ Homeowners of America Insurance Company, the Boss Group
Jack M. Fields — 1952 Trustee	1997	Chief Executive Officer, Twenty First Century Group, Inc. (government affairs company); Owner and Chief Executive Officer, Dos Angeles Ranch, L.P. (cattle, hunting, corporate entertainment); and Discovery Global Education Fund (non-profit) Formerly: Chief Executive Officer, Texana Timber LP (sustainable forestry company); Director of Cross Timbers Quail Research Ranch (non-profit); and member of the U.S. House of Representatives	123	Insperity, Inc. (formerly known as Administaff)
Prema Mathai-Davis — 1950 Trustee	1998	Retired. Formerly: Chief Executive Officer, YWCA of the U.S.A.	123	None
Larry Soll — 1942 Trustee	2003	Retired. Formerly: Chairman, Chief Executive Officer and President, Synergen Corp. (a biotechnology company)	123	None

T-2                         Invesco New York Tax Free Income Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees—(continued)
Hugo F. Sonnenschein — 1940 Trustee	2010	President Emeritus and Honorary Trustee of the University of Chicago and the Adam Smith Distinguished Service Professor in the Department of Economics at the University of Chicago. Prior to 2000, President of the University of Chicago	136	Trustee of the University of Rochester and a member of its investment committee; Member of the National Academy of Sciences and the American Philosophical Society; Fellow of the American Academy of Arts and Sciences
Raymond Stickel, Jr. — 1944 Trustee	2005	Retired. Formerly: Director, Mainstay VP Series Funds, Inc. (25 portfolios) and Partner, Deloitte & Touche	123	None
Other Officers
Russell C. Burk — 1958 Senior Vice President and Senior Officer	2005	Senior Vice President and Senior Officer, The Invesco Funds	N/A	N/A
John M. Zerr — 1962 Senior Vice President, Chief Legal Officer and Secretary	2006	Director, Senior Vice President, Secretary and General Counsel, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Senior Vice President and Secretary, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Vice President and Secretary, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.); Director and Vice President, INVESCO Funds Group, Inc.; Senior Vice President, Chief Legal Officer and Secretary, The Invesco Funds; Manager, Invesco PowerShares Capital Management LLC; Director, Secretary and General Counsel, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Secretary and General Counsel, Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.) and Chief Legal Officer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Director and Vice President, Van Kampen Advisors Inc.; Director, Vice President, Secretary and General Counsel, Van Kampen Investor Services Inc.; Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Senior Vice President, General Counsel and Secretary, Invesco Aim Advisers, Inc. and Van Kampen Investments Inc.; Director, Vice President and Secretary, Fund Management Company; Director, Senior Vice President, Secretary, General Counsel and Vice President, Invesco Aim Capital Management, Inc.; Chief Operating Officer and General Counsel, Liberty Ridge Capital, Inc. (an investment adviser); Vice President and Secretary, PBHG Funds (an investment company) and PBHG Insurance Series Fund (an investment company); Chief Operating Officer, General Counsel and Secretary, Old Mutual Investment Partners (a broker-dealer); General Counsel and Secretary, Old Mutual Fund Services (an administrator) and Old Mutual Shareholder Services (a shareholder servicing center); Executive Vice President, General Counsel and Secretary, Old Mutual Capital, Inc. (an investment adviser); and Vice President and Secretary, Old Mutual Advisors Funds (an investment company)	N/A	N/A
Sheri Morris — 1964 Vice President, Treasurer and Principal Financial Officer	1999	Vice President, Treasurer and Principal Financial Officer, The Invesco Funds; Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); and Vice President, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Vice President, Invesco Aim Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; Assistant Vice President and Assistant Treasurer, The Invesco Funds and Assistant Vice President, Invesco Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; and Treasurer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust	N/A	N/A

T-3                         Invesco New York Tax Free Income Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Other Officers—(continued)
Karen Dunn Kelley — 1960 Vice President	1993	Senior Managing Director, Investments; Director, Co-President, Co-Chief Executive Officer, and Co-Chairman, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Chairman, Invesco Senior Secured Management, Inc.; Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.); Executive Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Invesco Mortgage Capital Inc. and Invesco Management Company Limited; Director and President, INVESCO Asset Management (Bermuda) Ltd., Vice President, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); and President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only) Formerly: Director, INVESCO Global Asset Management Limited and INVESCO Management S.A.; Senior Vice President, Van Kampen Investments Inc. and Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Director of Cash Management and Senior Vice President, Invesco Advisers, Inc. and Invesco Aim Capital Management, Inc.; President and Principal Executive Officer, Tax-Free Investments Trust; Director and President, Fund Management Company; Chief Cash Management Officer, Director of Cash Management, Senior Vice President, and Managing Director, Invesco Aim Capital Management, Inc.; Director of Cash Management, Senior Vice President, and Vice President, Invesco Advisers, Inc. and The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only)	N/A	N/A
Crissie M. Wisdom — 1969 Anti-Money Laundering Compliance Officer	2013	Anti-Money Laundering Compliance Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser), Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.), Invesco Distributors, Inc., Invesco Investment Services, Inc., Invesco Management Group, Inc., Van Kampen Exchange Corp., The Invesco Funds, Invesco Funds (Chicago), and PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust, and PowerShares Actively Managed Exchange-Traded Fund Trust; and Fraud Prevention Manager and Controls and Risk Analysis Manager for Invesco Investment Services, Inc.	N/A	N/A
Todd L. Spillane — 1958 Chief Compliance Officer	2006	Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President and Chief Compliance Officer, Invesco Advisers, Inc. (registered investment adviser) (formerly known as Invesco Institutional (N.A.), Inc.); Chief Compliance Officer, The Invesco Funds; Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) and Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) Formerly: Chief Compliance Officer, Invesco Funds (Chicago); Senior Vice President, Van Kampen Investments Inc.; Senior Vice President and Chief Compliance Officer, Invesco Aim Advisers, Inc. and Invesco Aim Capital Management, Inc.; Chief Compliance Officer, INVESCO Private Capital Investments, Inc. (holding company), Invesco Private Capital, Inc. (registered investment adviser), Invesco Global Asset Management (N.A.), Inc., Invesco Senior Secured Management, Inc. (registered investment adviser), Van Kampen Investor Services Inc., PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust; and Vice President, Invesco Aim Capital Management, Inc. and Fund Management Company	N/A	N/A

The Statement of Additional Information of the Trust includes additional information about the Fund’s Trustees and is available upon request, without charge, by calling 1.800.959.4246. Please refer to the Fund’s prospectus for information on the Fund’s sub-advisers.

Office of the Fund 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Investment Adviser Invesco Advisers, Inc. 1555 Peachtree Street, N.E. Atlanta, GA 30309	Distributor Invesco Distributors, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Auditors PricewaterhouseCoopers LLP 1201 Louisiana Street, Suite 2900 Houston, TX 77002-5678
Counsel to the Fund Stradley Ronon Stevens & Young, LLP 2005 Market Street, Suite 2600 Philadelphia, PA 19103-7018	Counsel to the Independent Trustees Goodwin Procter LLP 901 New York Avenue, N.W. Washington, D.C. 20001	Transfer Agent Invesco Investment Services, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Custodian State Street Bank and Trust Company 225 Franklin Street Boston, MA 02110-2801

T-4                         Invesco New York Tax Free Income Fund

Invesco mailing information

Send general correspondence to Invesco Investment Services, Inc., P.O. Box 219078, Kansas City, MO 64121-9078.

Important notice regarding delivery of security holder documents

To reduce Fund expenses, only one copy of most shareholder documents may be mailed to shareholders with multiple accounts at the same address (Householding). Mailing of your shareholder documents may be householded indefinitely unless you instruct us otherwise. If you do not want the mailing of these documents to be combined with those for other members of your household, please contact Invesco Investment Services, Inc. at 800 959 4246 or contact your financial institution. We will begin sending you individual copies for each account within 30 days after receiving your request.

Fund holdings and proxy voting information

The Fund provides a complete list of its holdings four times in each fiscal year, at the quarter ends. For the second and fourth quarters, the lists appear in the Fund’s semiannual and annual reports to shareholders. For the first and third quarters, the Fund files the lists with the Securities and Exchange Commission (SEC) on Form N-Q. The most recent list of portfolio holdings is available at invesco.com/completeqtrholdings. Shareholders can also look up the Fund’s Forms N-Q on the SEC website at sec.gov. Copies of the Fund’s Forms N-Q may be reviewed and copied at the SEC Public Reference Room in Washington, D.C. You can obtain information on the operation of the Public Reference Room, including information about duplicating fee charges, by calling 202 551 8090 or 800 732 0330, or by electronic request at the following email address: publicinfo@sec.gov. The SEC file numbers for the Fund are shown below.

    A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, from our Client Services department at 800 959 4246 or at invesco.com/proxyguidelines. The information is also available on the SEC website, sec.gov.

    Information regarding how the Fund voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 is available at invesco.com/proxysearch. The information is also available on the SEC website, sec.gov.     Invesco Advisers, Inc. is an investment adviser; it provides investment advisory services to individual and institutional clients and does not sell securities. Invesco Distributors, Inc. is the US distributor for Invesco Ltd.’s retail mutual funds, exchange-traded funds and institutional money market funds. Both are wholly owned, indirect subsidiaries of Invesco Ltd.

SEC file numbers: 811-07890 and 033-66242 VK-NYTFI-AR-1 Invesco Distributors, Inc.

Letters to Shareholders

           Philip Taylor Dear Shareholders: This annual report includes information about your Fund, including performance data and a complete list of its investments as of the close of the reporting period. Inside, your Fund’s portfolio managers discuss how they managed your Fund and the factors that affected its performance during the reporting period. I hope you find this report of interest.     During the reporting period covered by this report, major US and global equity market indexes hit multiyear or all-time highs¹, the result of a strengthening US economy and relatively healthy corporate profits. Also helping equities was a return of individual investors to stocks – due in part to monetary policies that kept interest rates (and yields on fixed income securities) low. Despite some volatility in the summer of 2013, overseas equity market indexes in developed and emerging nations generally rose during the reporting period – although developed markets generally

outpaced emerging markets. In January 2014, amid widespread signs of an improving economy, the US Federal Reserve began a long-anticipated reduction in its bond-buying program.

Extended periods of strong market performance can lull some investors into a false sense of security – just as extended periods of volatility or market weakness can discourage some investors from undertaking disciplined, long-term investment plans. That’s why Invesco believes it can often be helpful to work with a skilled and trusted financial adviser; he or she can emphasize the importance of adhering to an investment plan designed to achieve long-term goals like a first home, a college education for a child or a comfortable retirement. A financial adviser who is familiar with your individual financial situation, investment goals and risk tolerance can be an invaluable partner as you work toward your financial goals. He or she can provide insight and perspective when markets are volatile; encouragement and reassurance when times are uncertain; and advice and guidance when your financial situation or investment goals change.

Timely information when and where you want it

Invesco’s efforts to help investors achieve their financial objectives include providing individual investors and financial professionals with timely information about the markets, the economy and investing – whenever and wherever they want it.

Our website, invesco.com/us, offers a wide range of market insights and investment perspectives. On the website, you’ll find detailed information about our funds, including prices, performance, holdings and portfolio manager commentaries. You can access information about your individual Invesco account whenever it’s convenient for you; just complete a simple, secure online registration. Use the “Login” box on our home page to get started.

Invesco’s mobile app for iPad^® (available free from the App Store^SM) allows you to obtain the same detailed information about your Fund and the same investment insights from our investment leaders, market strategists, economists and retirement experts on the go. You also can watch portfolio manager videos and have instant access to Invesco news and updates wherever you may be.

In addition to the resources accessible on our website and through our mobile app, you can obtain timely updates to help you stay informed about the markets, the economy and investing by connecting with Invesco on Twitter, LinkedIn or Facebook. You can access our blog at blog.invesco.us.com or by visiting the “Intentional Investing Forum” on our home page. Our goal is to provide you the information you want, when and where you want it.

Have questions?

For questions about your account, feel free to contact an Invesco client services representative at 800 959 4246. For Invesco-related questions or comments, please email me directly at phil@invesco.com.

All of us at Invesco look forward to serving your investment management needs for many years to come. Thank you for investing with us.

Sincerely,

Philip Taylor

Senior Managing Director, Invesco Ltd.

1 Source: Reuters

iPad is a trademark of Apple Inc., registered in the US and other countries. App Store is a service mark of Apple Inc. Invesco Distributors, Inc. is not affiliated with Apple Inc.

2                         Invesco Tax-Exempt Cash Fund

         Bruce Crockett Dear Fellow Shareholders: Members of the Invesco Funds Board work continually to oversee how the Invesco Funds are performing in light of ever-changing and often unpredictable economic and market conditions. One of the ways we do this is by verifying that the teams that manage funds understand the risks associated with the investments they make in the funds they manage.     In light of market conditions over the last few years, the financial news media of late have given increased attention to “alternative investment strategies.” Despite this increased attention, many investors don’t know very much about these types of investment strategies.     Let me put alternative investment strategies and the new focus on them in some perspective. First, these types of investment strategies have been used predominately by institutional investors and investment professionals for decades to increase diversification – in an effort to dampen

portfolio volatility (risk) with the goal of increasing returns. The focal point of the increased news coverage is that these types of strategies are now being made more widely available to individual investors.

Alternative investment strategies generally seek to provide measured exposure to various asset classes whose performance, historically, has not been highly correlated with one another. These strategies may help mitigate the impact to a portfolio from severe or prolonged market downturns while potentially providing reasonable returns over time. After a careful and thorough examination of the potential risks and potential benefits of alternative investment strategies, the Invesco Funds Board has approved the launch of several new alternative funds for the Invesco product lineup, to be managed by teams we determined have the depth and experience to pursue the funds’ investment objectives.

While no single investment product can provide complete downside protection in falling markets and full upside participation in rising markets, your Board believes alternative funds can be a prudent tool to work in concert with more traditional mutual funds and other investments to build well diversified portfolios. Your financial adviser can determine whether or not such investments are appropriate for your individual needs, goals and risk tolerance. Also, he or she can explain the risks associated with alternative investment strategies. This type of professional guidance is why Invesco believes it’s so important that individual investors work with trusted, experienced financial advisers.

Whether you’re invested in equity, fixed income, cash management or alternative investment funds, be assured that the Invesco Funds Board will continue working on your behalf and on behalf of all our fund shareholders, keeping your needs and interests uppermost in our minds.

As always, please contact me at bruce@brucecrockett.com with any questions or concerns you may have. On behalf of the Board, we look forward to continuing to represent your interests and serving your needs.

Sincerely,

Bruce L. Crockett

Independent Chair

Invesco Funds Board of Trustees

Asset allocation/diversification does not guarantee a profit or eliminate the risk of loss.

Alternative products typically hold more non-traditional investments and employ more complex trading strategies, including hedging and leveraging through derivatives, short selling and opportunistic strategies that change with market conditions. Investors considering alternatives should be aware of their unique characteristics and additional risks from the strategies they use. Like all investments, performance will fluctuate. You can lose money.

3                          Invesco Tax-Exempt Cash Fund

Management’s Discussion of your Fund

This annual report for Invesco Tax-Exempt Cash Fund covers the fiscal year ended February 28, 2014. As of that date, the Fund had 72 holdings and its net assets totaled $111.5 million. As of the same date, the Fund’s weighted average maturity was 18 days and the Fund’s weighted average life was 18 days.¹

How we invest

We seek to provide as high a level of tax-exempt income as is consistent with the preservation of capital and maintenance of liquidity. We invest in high-quality, short-term municipal obligations, focusing on:

n Safety, or preservation of capital, through rigorous credit analysis

n Liquidity, through a combination of short-term cash management vehicles and selective use of longer maturity investments; and

n Yield that is exempt from federal income tax.

    The overall portfolio’s structure depends on the supply and availability of municipal securities. Liquidity is managed using daily and weekly variable-rate demand notes. We consider selling a security if the issuer’s credit quality declines; if a geographic region in which the issuers the Fund invests in undergoes a negative change; as a result of interest rate changes; or to enhance yield.

    Because we generally do not purchase securities that generate taxable income or that are subject to the alternative minimum tax, we expect the Fund to generate fully tax-exempt income. While the Fund’s distributions are primarily exempt from federal income tax, a portion of the Fund’s distributions may be subject to the federal alternative minimum tax and state and local taxes.

Market conditions affecting money market funds

The fiscal year ended February 28, 2014, was characterized by steady improvement in the US economy and market environment, which continued to be shaped by monetary and fiscal policies. Gross

domestic product (GDP), the broadest measure of overall US economic activity, continued to expand in 2013, growing at an annualized rate of 2.6% in the fourth quarter, down from 4.1% in the third quarter.² At the same time, the labor market continued to improve and inflation remained subdued. The unemployment rate stood at 6.7% in February 2014.³

    Throughout 2013, the US Federal Reserve (the Fed) continued its aggressive monetary stimulus policies, including $40 billion in mortgage-backed securities and $45 billion in longer term Treasury securities it purchased each month as part of the third round of quantitative easing (QE).⁴ The Fed also maintained its target policy rate in a range of between zero and 0.25%, committing to keep interest rates exceptionally low as long as unemployment remains above 6.5%, while keeping inflation below 2.5%.⁴

    In May 2013, the Fed first announced that it was considering tapering, or slowing down, its asset purchases. The announcement caused a brief, but broad, sell-off in capital markets in the US and emerging markets. While markets stabilized in midsummer, throughout the second half of the year they continued to be dominated by concerns regarding the timing and scope of possible Fed tapering. Finally, in December 2013, the Fed put an end to the speculation, announcing that it would begin reducing the scope of QE in January 2014. Given the Fed’s commitment to accommodative monetary policy, money market funds continued to operate in an ultra-low interest rate environment.

    Fiscal policy remained a concern throughout the reporting period. A political standoff over raising the US debt limit culminated in a 16-day federal government shutdown in October. A last-minute compromise helped stave off the risk of default but failed to address fundamental spending and tax issues including entitlements. Another debt ceiling deadline neared in February 2014, but a showdown was avoided when Congress voted to raise the debt ceiling without condition until March 2015.

    In an evolving and challenging environment for money market funds, we remain committed to the preservation of principal and providing daily liquidity, while seeking to deliver a competitive yield. Thank you for investing with us.

1 Weighted average maturity (WAM) is an average of all the maturities of all securities held in the portfolio, weighted by each security’s percentage of net assets. The days to maturity for WAM is the lower of the stated maturity date or next interest rate reset date. WAM reflects how a portfolio would react to interest rate changes. Weighted average life (WAL) is an average of all the maturities of all securities held in the portfolio, weighted by each security’s percentage of net assets. The days to maturity for WAL is the lower of the stated maturity date or next demand feature date. WAL reflects how a portfolio would react to deteriorating credit (widening spreads) or tightening liquidity conditions.

2 Source: Bureau of Economic Analysis

3 Source: Bureau of Labor Statistics

4 Source: US Federal Reserve

Team managed by Invesco Advisers, Inc.

The views and opinions expressed in management’s discussion of Fund performance are those of Invesco Advisers, Inc. These views and opinions are subject to change at any time based on factors such as market and economic conditions. These views and opinions may not be relied upon as investment advice or recommendations, or as an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but Invesco Advisers, Inc. makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.

See important Fund and, if applicable, index disclosures later in this report.

Portfolio Composition by Maturity
In days, as of 2/28/14
1 – 7	91.5	%
8 – 30	0.0
31 – 60	0.9
61 – 90	0.1
91 – 180	4.7
181+	2.8

The number of days to maturity of each holding is determined in accordance with the provisions of Rule 2a-7 of the Investment Company Act of 1940.

continued from page 5

n Variable-rate demand notes risk. The absence of an active secondary market for certain variable and floating rate notes could make it difficult to dispose of the instruments, and a

portfolio could suffer a loss if the issuer defaults during periods in which a portfolio is not entitled to exercise its demand rights.

n Yield risk. The Fund’s yield will vary as

the short-term securities in its portfolio mature or are sold and the proceeds are reinvested in other securities. Additionally, inflation may outpace and diminish investment returns over time.

An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund.

4                          Invesco Tax-Exempt Cash Fund

Invesco Tax-Exempt Cash Fund’s investment objective is to provide tax-exempt income consistent with preservation of capital and liquidity.

n Unless otherwise stated, information presented in this report is as of February 28, 2014, and is based on total net assets.

n Unless otherwise noted, all data provided by Invesco.

n To access your Fund’s reports/prospectus, visit invesco.com/fundreports.

Principal risks of investing in the Fund

n Alternative minimum tax risk. A portion of the Fund’s otherwise tax-exempt income may be taxable to those shareholders subject to the federal alternative minimum tax.

n Banking and financial services industry focus risk. From time to time, the Fund may invest more than 25% of its assets in unsecured bank instruments, including but not limited to certificates of deposit, time deposits and bankers acceptances. To the extent the Fund focuses its investments in these instruments or invests in securities issued or guaranteed by companies in the banking and financial services industries, the Fund’s performance will depend on the overall condition of those industries and the individual banks and financial institutions in which the Fund invests. Financial services companies may be dependent on the supply of short-term financing. The value of bank instruments and securities of issuers in the banking and financial services industry can be affected by and sensitive to changes in government regulation and interest rates and to economic downturns in the US and abroad. The risk of holding bank instruments is also directly tied to the risk of insolvency or bankruptcy of the issuing banks, which risk may be higher for larger or more complex financial institutions that combine traditional, commercial and investment banking.

n Cash/cash equivalents risk. Holding cash or cash equivalents may negatively affect performance.

n Counterparty risk. Counterparty risk is the risk that the other party to the contract will not fulfill its contractual obligations, which may cause losses or additional costs to the Fund.

n Credit risk. The issuer of instruments in which the Fund invests may be unable to meet interest and/or principal payments, thereby causing its instruments to decrease in value and lowering the issuer’s credit rating.

n Foreign credit exposure risk. U.S. dollar-denominated securities carrying foreign credit exposure may be affected by unfavorable political, economic or governmental developments that could affect payments of principal and interest.

n Foreign securities risk. The Fund’s foreign investments may be adversely affected by political and social instability, changes in economic or taxation policies, difficulties when enforcing obligations; decreased liquidity, and increased volatility. Foreign companies may be subject to less regulation resulting in less publicly available information about the companies.

n Interest rate risk. Interest rate risk refers to the risk that bond prices generally fall as interest rates rise; conversely, bond prices generally rise as interest rates fall. Specific bonds differ in their sensitivity to changes in interest rates depending on their individual characteristics, including duration.

n Liquidity risk. The Fund may hold illiquid securities that it is unable to sell at the preferred time or price and could lose its entire investment in such securities. Liquidity is also the risk that a Fund may not be able to pay redemption proceeds within an allowable amount of time.

n Management risk. The investment techniques and risk analysis used by the Fund’s portfolio managers may not produce the desired results.

n Market risk. The prices of and the income generated by the Fund’s securities may decline in response to, among other things, investor sentiment, general economic and market conditions, regional or global instability, and interest rate fluctuations.

n Money market fund risk. Although the Fund seeks to preserve the value of your investment at $1.00 per share, you may lose money by investing in the Fund. The share price of money market funds can fall below the $1.00 share price. You should not rely on or expect

This report must be accompanied or preceded by a currently effective Fund prospectus, which contains more complete information, including sales charges and expenses. Investors should read it carefully before investing.

NOT FDIC INSURED  |  MAY LOSE VALUE  |  NO BANK GUARANTEE

the Fund’s adviser or its affiliates to enter into support agreements or take other actions to maintain the Fund’s $1.00 share price. The credit quality of the Fund’s holdings can change rapidly in certain markets, and the default of a single holding could have an adverse impact on the Fund’s share price. The Fund’s share price can also be negatively affected during periods of high redemption pressures and/or illiquid markets. Furthermore, additional government regulation, including by the SEC, could impact the way the Fund is managed and possibly negatively impacting its return.

n Municipal securities risk. The Fund may invest in municipal securities. Constitutional amendments, legislative enactments, executive orders, administrative regulations, voter initiatives, and the issuer’s regional economic conditions may affect the municipal security’s value, interest payments, repayment of principal and the Fund’s ability to sell it. Failure of a municipal security issuer to comply with applicable tax requirements may make income paid thereon taxable, resulting in a decline in the security’s value. In addition, there could be changes in applicable tax laws or tax treatments that reduce or eliminate the current federal income tax exemption on municipal securities or otherwise adversely affect the current federal or state tax status of municipal securities.

n Reinvestment risk. Reinvestment risk is the risk that a bond’s cash flows (coupon income and principal repayment) will be reinvested at an interest rate below that on the original bond.

n Repurchase agreement risk. If the seller of a repurchase agreement defaults or otherwise does not fulfill its obligations, the Fund may incur delays and losses arising from selling the underlying securities, enforcing its rights, or declining collateral value. These risks are magnified to the extent that a repurchase agreement is secured by securities other than cash or US government securities.

n US government obligations risk. The Fund may invest in obligations issued by US government agencies and instrumentalities that may receive varying levels of support from the government, which could affect the Fund’s ability to recover should they default.

continued on page 4

5                         Invesco Tax-Exempt Cash Fund

Schedule of Investments

February 28, 2014

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Municipal Obligations–99.37%
Alabama–5.38%
Mobile (County of) Industrial Development Authority (SSAB Alabama Inc.); Series 2010 A, VRD Recovery Zone Facility RB (LOC–Swedbank AB)(a)(b)(c)		0.07	%		07/01/40	$	6,000	$	6,000,000
California–0.90%
California (State of) Health Facilities Financing Authority (Children’s Hospital of Orange County); Series 2009 C, VRD RB (LOC–U.S. Bank, N.A.)(a)(b)		0.02	%		11/01/38		1,000		1,000,000
Colorado–5.02%
Bachelor Gulch Metropolitan District; Series 2004, VRD Unlimited Tax GO Bonds (LOC–U.S. Bank, N.A.)(a)(b)		0.04	%		12/01/23		745		745,000
Colorado (State of) Health Facilities Authority (Crossroads); Series 2003 A, VRD RB (LOC–U.S. Bank, N.A.)(a)(b)		0.03	%		11/01/28		790		790,000
Colorado (State of) Housing & Finance Authority (Winridge Apartments); Series 1998, Ref. VRD MFH RB (CEP–FNMA)(a)		0.04	%		02/15/28		365		365,000
Colorado (State of) Housing & Finance Authority (Woodstream Village); Series 1985, VRD MFH RB (CEP–FNMA)(a)		0.05	%		02/01/31		1,585		1,585,000
Englewood (City of) (Marks East Apartments); Series 2004, Ref. VRD MFH RB (CEP–FHLMC)(a)		0.05	%		12/01/34		2,110		2,110,000
									5,595,000
Florida–3.97%
Broward (County of) Educational Facilities Authority (City College, Inc.); Series 2004, VRD RB (LOC–Citibank, N.A.)(a)(b)		0.04	%		11/01/31		600		600,000
Palm Beach (County of) (Henry Morrison Flagler Museum); Series 2003, VRD RB (LOC–Northern Trust Co.)(a)(b)		0.04	%		11/01/36		675		675,000
Palm Beach (County of) (The Raymond F. Kravis Center for the Performing Arts, Inc.); Series 2002, VRD RB (LOC–Northern Trust Co.)(a)(b)		0.04	%		07/01/32		3,150		3,150,000
									4,425,000
Georgia–2.42%
Glynn-Brunswick Memorial Hospital Authority (Southeast Georgia Health System); Series 2008 B, VRD RAC (LOC–Branch Banking & Trust Co.)(a)(b)		0.03	%		08/01/38		900		900,000
Marietta (City of) Housing Authority (Wood Knoll Apartments); Series 1994, Ref. VRD MFH RB (CEP–FHLMC)(a)		0.03	%		07/01/24		1,200		1,200,000
Private Colleges & Universities Authority (Emory University); Series 2005 B-2, VRD RB(a)		0.02	%		09/01/35		600		600,000
									2,700,000
Illinois–12.10%
Chicago (City of) (Churchview Supportive Living Facility); Series 2003, VRD MFH RB (LOC–BMO Harris N.A.)(a)(b)(d)(e)		0.09	%		03/01/33		2,700		2,700,000
Illinois (State of) Finance Authority (Foundation for Safety & Health); Series 1992, VRD Safety Education RB (LOC–BMO Harris, N.A.)(a)(b)(d)		0.08	%		10/01/17		1,750		1,750,000
Illinois (State of) Finance Authority (Garrett-Evangelical Theological Seminary); Series 2010, VRD RB (CEP–FHLB of Chicago)(a)(b)		0.03	%		06/01/40		4,760		4,760,000
Illinois (State of) Finance Authority (Institute of Gas Technology); Series 1999, VRD IDR (LOC–BMO Harris N.A.)(a)(b)		0.06	%		09/01/24		900		900,000
Illinois (State of) Finance Authority (Radiological Society of North America, Inc.); Series 1997, VRD RB (LOC–JPMorgan Chase Bank, N.A.)(a)(b)(d)		0.14	%		06/01/17		829		829,000
Illinois (State of) Housing Development Authority (Brainard Landings II Apartments); Series 2007, VRD MFH RB (LOC–U.S. Bank, N.A.)(a)(b)(e)		0.09	%		05/01/42		2,555		2,555,000
									13,494,000
Iowa–2.28%
Iowa (State of) Finance Authority (Windsor on the River, LLC); Series 2007 A, VRD MFH RB (LOC–PNC Bank, N.A.)(a)(b)(e)		0.06	%		05/01/42		2,000		2,000,000
West Des Moines (City of); Series 2013 A, Ref. Unlimited Tax GO Bonds		2.00	%		06/01/14		540		542,335
									2,542,335

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

6                         Invesco Tax-Exempt Cash Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Kansas–0.23%
Olathe Unified School District No. 233; Series 2009 C, Ref. Unlimited Tax GO Bonds		4.00	%		09/01/14	$	250	$	254,642
Kentucky–9.49%
Breckinridge (County of) (Kentucky Association of Counties Leasing Trust); Series 1999, VRD Lease Program RB (LOC–U.S. Bank, N.A.)(a)(b)		0.04	%		12/01/29		3,000		3,000,000
Williamstown (City of) (Kentucky League of Cities Funding Trust);
Series 2008 A, VRD Lease Program RB (LOC–U.S. Bank, N.A.)(a)(b)		0.04	%		07/01/38		4,590		4,590,000
Series 2008 B, VRD Lease Program RB (LOC–U.S. Bank, N.A.)(a)(b)		0.04	%		12/01/38		2,995		2,995,000
									10,585,000
Louisiana–0.81%
St. Tammany Parish Wide School District No. 12; Series 2013, Unlimited Tax GO Bonds		3.00	%		04/01/14		900		902,143
Massachusetts–3.85%
Massachusetts (State of) Development Finance Agency (Clark University); Series 2008, VRD RB (LOC–TD Bank, N.A.)(a)(b)		0.02	%		10/01/38		4,000		4,000,000
Massachusetts (State of) Development Finance Agency (Harrington Memorial Hospital, Inc.); Series 2008 A, VRD RB (LOC–TD Bank, N.A.)(a)(b)		0.03	%		07/01/38		300		300,000
									4,300,000
Michigan–0.85%
Michigan (State of) Hospital Finance Authority (McLaren Health Care Corp.); Series 2008 B-3, Ref. VRD RB (LOC–JPMorgan Chase Bank, N.A.)(a)(b)		0.04	%		10/15/38		850		850,000
Southfield (City of) Economic Development Corp. (Lawrence Technological University); Series 2001, VRD Limited Obligation RB (LOC–JPMorgan Chase Bank, N.A.)(a)(b)		0.04	%		10/01/31		100		100,000
									950,000
Minnesota–2.24%
Minneapolis (City of) & St. Paul (City of) Housing & Redevelopment Authority (Allina Health System); Series 2009 C, Ref. VRD Health Care RB (LOC–Wells Fargo Bank, N.A.)(a)(b)		0.03	%		11/15/35		2,500		2,500,000
Missouri–3.69%
Bridgeton (City of) Industrial Development Authority (Stolze Printing); Series 2010, VRD IDR (LOC–FHLB of Chicago)(a)(b)		0.12	%		11/01/37		2,970		2,970,000
St. Louis (City of) Industrial Development Authority (St. Louis Art Museum); Series 2009 B, VRD Cultural Facilities RB (LOC–U.S. Bank, N.A.)(a)(b)		0.04	%		12/01/40		1,150		1,150,000
									4,120,000
New Hampshire–3.23%
New Hampshire (State of) Health & Education Facilities Authority (Riverbend Community Mental Health, Inc.); Series 2008, VRD RB (LOC–TD Bank, N.A.)(a)(b)		0.03	%		07/01/38		3,600		3,600,000
New Jersey–0.90%
New Jersey (State of) Turnpike Authority; Series 2009 A, VRD RB (LOC–JPMorgan Chase Bank, N.A.)(a)(b)		0.04	%		01/01/24		1,000		1,000,000
North Carolina–1.33%
Mecklenburg (County of); Series 2009 A, Ref. Unlimited Tax GO Bonds		5.00	%		08/01/14		150		152,946
North Carolina (State of) Capital Facilities Finance Agency (Duke University); Series 1991 B, VRD RB(a)		0.03	%		12/01/21		900		900,000
Winston-Salem (City of); Series 2013, Stormwater Fee RB		2.00	%		06/01/14		430		431,888
									1,484,834
North Dakota–1.79%
Fargo (City of) (Cass Oil Co.); Series 1984, VRD Commercial Development RB (LOC–U.S. Bank, N.A.)(a)(b)		0.14	%		12/01/14		2,000		2,000,000
Ohio–4.01%
Coshocton (County of) (Coshocton County Memorial Hospital); Series 1999, VRD Hospital Facilities RB (LOC–JPMorgan Chase Bank, N.A.)(a)(b)		0.04	%		03/01/19		2,165		2,165,000

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

7                         Invesco Tax-Exempt Cash Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Ohio–(continued)
Lorain (County of) Port Authority (St. Ignatius High School); Series 2008, VRD Educational Facilities RB (LOC–U.S. Bank, N.A.)(a)(b)		0.05	%		08/02/38	$	1,600	$	1,600,000
Ohio (State of); Series 2010 N, Highway Capital Improvement Unlimited Tax GO Bonds(f)(g)		5.00	%		06/15/14		700		709,634
									4,474,634
Oklahoma–0.22%
Oklahoma (City of); Series 2006, Unlimited Tax GO Bonds		5.00	%		03/01/14		250		250,000
Oregon–2.33%
Clackamas (County of) Hospital Facility Authority (Legacy Health System); Series 2008 C, VRD RB (LOC–U.S. Bank, N.A.)(a)(b)		0.03	%		06/01/37		1,000		1,000,000
Oregon (State of) Housing & Community Services Department (Redwood Park Apartments LLC); Series 2005 F, VRD Housing Development RB (CEP–FNMA)(a)(e)		0.07	%		10/15/38		1,600		1,600,000
									2,600,000
Pennsylvania–16.21%
Derry (Township of) Industrial & Commercial Development Authority (Hershey Arena); Series 2000 A, VRD Hotel Tax RB (LOC–PNC Bank, N. A.)(a)(b)		0.04	%		11/01/30		580		580,000
Emmaus (City of) General Authority (Pennsylvania Variable Rate Loan Program); Series 2000 A, VRD RB (LOC–U.S. Bank, N.A.)(a)(b)		0.03	%		03/01/30		2,500		2,500,000
Haverford Township School District; Series 2009, VRD Limited Tax GO Bonds (LOC–TD Bank, N.A.)(a)(b)		0.03	%		03/01/30		1,100		1,100,000
Lebanon (County of) Health Facilities Authority (E.C.C. Retirement Village); Series 2000, VRD RB (LOC–PNC Bank, N.A.)(a)(b)		0.05	%		10/15/25		400		400,000
Montgomery (County of) Redevelopment Authority (Forge Gate Apartments); Series 2001 A, VRD MFH RB (CEP–FNMA)(a)		0.03	%		08/15/31		4,575		4,575,000
Moon (Township of) Industrial Development Authority (Providence Point); Series 2007, VRD First Mortgage RB (LOC–Lloyds Bank PLC)(a)(b)(c)		0.05	%		07/01/38		5,930		5,930,000
Pennsylvania (State of) Higher Educational Facilities Authority (Association of Independent Colleges & Universities of Pennsylvania Financing Program-The Waynesburg College); Series 2004 N-2, VRD RB (LOC–PNC Bank, N.A.)(a)(b)		0.05	%		05/01/34		3,000		3,000,000
									18,085,000
Rhode Island–0.78%
Rhode Island (State of) Health & Educational Building Corp. (Brown University); Series 2013, Higher Education Facility RB		5.00	%		09/01/14		850		870,557
South Carolina–1.08%
South Carolina (State of) Jobs-Economic Development Authority (Heathwood Hall Episcopal School); Series 2001, VRD RB (LOC–Wells Fargo Bank, N.A.)(a)(b)		0.04	%		08/01/29		1,200		1,200,000
Tennessee–0.83%
Clarksville (City of) Public Building Authority (Tennessee Municipal Bond Fund); Series 1994, VRD Pooled Financing RB (LOC–Bank of America, N.A.)(a)(b)(d)		0.08	%		06/01/24		930		930,000
Texas–7.07%
El Paso (City of); Series 2012 A, Ref. Water & Sewer Improvement RB		2.00	%		03/01/14		175		175,000
Midway Independent School District; Series 2010, Ref. Unlimited Tax GO Bonds (CEP–Texas Permanent School Fund)		5.00	%		08/15/14		550		562,083
Plains Independent School District; Series 2013 A, Unlimited Tax GO Bonds (CEP–Texas Permanent School Fund)		2.00	%		08/15/14		880		887,086
Tarrant (County of) Housing Finance Corp. (Remington Hill Development); Series 1998, VRD MFH RB (CEP–FNMA)(a)		0.05	%		02/15/28		1,400		1,400,000
Southeast Texas Housing Finance Corp. (Mansions at Moses Lake Apartments); Series 2008, VRD MFH RB (CEP–FHLMC)(a)(e)		0.05	%		06/01/41		3,700		3,700,000
Texas (State of); Series 2013, TRAN		2.00	%		08/28/14		1,050		1,059,344
Texas A&M University System Board of Regents; Series 2010 A, Ref. Financing System RB		4.00	%		05/15/14		100		100,760
									7,884,273

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

8                         Invesco Tax-Exempt Cash Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Utah–1.24%
Davis School District; Series 2009, Unlimited Tax GO Bonds (CEP–Utah School Bond Guarantee Program)		3.00	%		06/01/14	$	875	$	880,827
Utah (County of) (IHC Health Services, Inc.); Series 2002 B, VRD Hospital RB(a)		0.02	%		05/15/35		500		500,000
									1,380,827
Virginia–1.25%
Hampton (County of) Roads Sanitation District; Series 2009 A, Wastewater RB		4.00	%		11/01/14		100		102,472
Roanoke (City of); Series 2004 B, Public Improvement Unlimited Tax GO Bonds(f)(g)		5.00	%		02/01/15		750		789,841
Virginia (State of); Series 2011 A-1, Unlimited Tax GO Bonds		3.00	%		06/01/14		500		503,450
									1,395,763
Washington–0.18%
Washington (State of) Housing Finance Commission (District Council No. 5 Apprenticeship & Training Trust Fund); Series 2006, VRD Non-profit RB (LOC–Wells Fargo Bank, N.A.)(a)(b)		0.14	%		11/01/32		200		200,000
Wisconsin–3.69%
Appleton (City of) Public Improvement; Series 2012 C, Unlimited Tax GO Bonds		2.00	%		04/01/14		110		110,159
New Berlin (City of); Series 2012 A, Ref. Corporate Purpose Unlimited Tax GO Bonds		2.00	%		06/01/14		500		502,263
Oneida Tribe of Indians of Wisconsin; Series 2001, VRD Health Facilities RB (LOC–Bank of America, N.A.)(a)(b)		0.08	%		07/01/16		2,500		2,500,000
Wisconsin (State of) Health & Educational Facilities Authority (Indian Community School of Milwaukee, Inc.); Series 2006, VRD RB (LOC–JPMorgan Chase Bank, N.A.)(a)(b)		0.04	%		12/01/36		1,000		1,000,000
									4,112,422
TOTAL INVESTMENTS(h)(i)–99.37% (Cost $110,836,430)									110,836,430
OTHER ASSETS LESS LIABILITIES–0.63%									706,918
NET ASSETS–100.00%								$	111,543,348

Investment Abbreviations:

CEP	–  Credit Enhancement Provider
FHLB	–  Federal Home Loan Bank
FHLMC	–  Federal Home Loan Mortgage Corp.
FNMA	–  Federal National Mortgage Association
GO	–  General Obligation

IDR	–  Industrial Development Revenue Bonds
LOC	–  Letter of Credit
MFH	–  Multi-Family Housing
RAC	–  Revenue Anticipation Certificates

RB	–  Revenue Bonds
Ref.	-  Refunding
TRAN	–  Tax and Revenue Anticipation Notes
VRD	–  Variable Rate Demand

Notes to Schedule of Investments:

^(a)  Demand security payable upon demand by the Fund at specified time intervals no greater than thirteen months. Interest rate is redetermined periodically. Rate shown is the rate in effect on February 28, 2014.

^(b)  Principal and interest payments are fully enhanced by a letter of credit from the bank listed or a predecessor bank, branch or subsidiary.

^(c)  The security is credit guaranteed, enhanced or has credit risk by a foreign entity. The foreign credit exposure to countries other than the United States of America (as a percentage of net assets) is summarized as follows: Sweden: 5.4%; United Kingdom: 5.3%.

^(d)  Security purchased or received in a transaction exempt from registration under the Securities Act of 1933, as amended (the “1933 Act”). The security may be resold pursuant to an exemption from registration under the 1933 Act, typically to qualified institutional buyers. The aggregate value of these securities at February 28, 2014 was $6,209,000, which represented 5.57% of the Fund’s Net Assets.

^(e)  Security subject to the alternative minimum tax.

^(f)  Advance refunded; secured by an escrow fund of U.S. Government obligations or other highly rated collateral.

^(g)  Security has an irrevocable call by the issuer or mandatory put by the holder. Maturity date reflects such call or put.

^(h)  This table provides a listing of those entities that have either issued, guaranteed, backed or otherwise enhanced the credit quality of more than 5% of the securities held in the portfolio. In instances where the entity has guaranteed, backed or otherwise enhanced the credit quality of a security, it is not primarily responsible for the issuer’s obligations but may be called upon to satisfy the issuer’s obligations.

Entities	Percentage
U.S. Bank, N.A.		21.6	%
Federal National Mortgage Association		8.6
TD Bank, N.A.		8.1
Federal Home Loan Bank		7.0
Federal Home Loan Mortgage Corp.		6.3
Swedbank AB		5.4
PNC Bank, N.A.		5.4
JPMorgan Chase Bank, N.A.		5.4
Lloyds Bank PLC		5.4

⁽ⁱ⁾  Also represents cost for federal income tax purposes.

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

9                         Invesco Tax-Exempt Cash Fund

Statement of Assets and Liabilities

February 28, 2014

Assets:
Investments, at value and cost	$	110,836,430
Cash		182,555
Receivable for:
Investments sold		350,000
Fund shares sold		255,333
Interest		86,105
Fund expenses absorbed		12,512
Investment for trustee deferred compensation and retirement plans		54,828
Other assets		14,345
Total assets		111,792,108
Liabilities:
Payable for:
Fund shares reacquired		140,125
Dividends		340
Accrued fees to affiliates		21,537
Accrued trustees’ and officers’ fees and benefits		3,150
Accrued other operating expenses		27,941
Trustee deferred compensation and retirement plans		55,667
Total liabilities		248,760
Net assets applicable to shares outstanding	$	111,543,348
Net assets consist of:
Shares of beneficial interest	$	111,541,411
Undistributed net investment income		18,494
Undistributed net realized gain (loss)		(16,557	)
	$	111,543,348

Net Assets:
Class A	$	81,582,959
Class Y	$	10,991,103
Investor Class	$	18,969,286
Shares outstanding, $0.001 par value per share, with an unlimited number of shares authorized:
Class A		81,582,814
Class Y		10,991,051
Investor Class		18,969,196
Net asset value, offering and redemption price per share for each class	$	1.00

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

10                         Invesco Tax-Exempt Cash Fund

Statement of Operations

For the year ended February 28, 2014

Investment income:
Interest	$	111,582
Expenses:
Advisory fees		320,974
Administrative services fees		50,000
Custodian fees		3,046
Distribution fees — Class A		62,789
Transfer agent fees		74,693
Trustees’ and officers’ fees and benefits		28,779
Registration and filing fees		39,918
Professional service fees		37,965
Other		31,070
Total expenses		649,234
Less: Fees waived, expenses reimbursed and expense offset arrangement(s)		(616,213	)
Net expenses		33,021
Net investment income		78,561
Net realized gain from investment securities		284
Net increase in net assets resulting from operations	$	78,845

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

11                         Invesco Tax-Exempt Cash Fund

Statement of Changes in Net Assets

For the years ended February 28, 2014 and 2013

	2014			2013
Operations:
Net investment income	$	78,561		$	85,116
Net realized gain		284			1,738
Net increase in net assets resulting from operations		78,845			86,854
Distributions to shareholders from net investment income:
Class A		(52,027	)		(26,249	)
Class Y		(14,554	)		(10,509	)
Investor Class		(11,980	)		(6,625	)
Total distributions from net investment income		(78,561	)		(43,383	)
Share transactions–net:
Class A		52,479,826			(2,758,143	)
Class Y		(7,744,013	)		6,272,408
Investor Class		10,333,381			(895,326	)
Net increase in net assets resulting from share transactions		55,069,194			2,618,939
Net increase in net assets		55,069,478			2,662,410
Net assets:
Beginning of year		56,473,870			53,811,460
End of year (includes undistributed net investment income of $18,494 and $19,518, respectively)	$	111,543,348		$	56,473,870

Notes to Financial Statements

February 28, 2014

NOTE 1—Significant Accounting Policies

Invesco Tax-Exempt Cash Fund (the “Fund”) is a series portfolio of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”). The Trust is a Delaware statutory trust registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end series management investment company consisting of six separate portfolios, each authorized to issue an unlimited number of shares of beneficial interest. The assets, liabilities and operations of each portfolio are accounted for separately. Information presented in these financial statements pertains only to the Fund. Matters affecting each portfolio or class will be voted on exclusively by the shareholders of such portfolio or class.

The Fund’s investment objective is to provide tax-exempt income consistent with preservation of capital and liquidity.

The Fund currently consists of three different classes of shares: Class A, Class Y and Investor Class. Investor Class shares of the Fund are offered only to certain grandfathered investors. Under certain circumstances, Class A shares are subject to contingent deferred sales charges (“CDSC”). Class A, Class Y and Investor Class shares are sold at net asset value.

The following is a summary of the significant accounting policies followed by the Fund in the preparation of its financial statements.

A. Security Valuations — The Fund’s securities are recorded on the basis of amortized cost which approximates value as permitted by Rule 2a-7 under the 1940 Act. This method values a security at its cost on the date of purchase and, thereafter, assumes a constant amortization to maturity of any premiums or accretion of any discounts.

Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

The Fund invests in securities that are subject to interest rate risk, meaning the risk that the prices will generally fall as interest rates rise and, conversely, the prices will generally rise as interest rates fall. Specific securities differ in their sensitivity to changes in interest rates depending on their individual characteristics. Changes in interest rates may result in increased market volatility, which may affect the value and/or liquidity of certain of the Fund’s investments.

B. Securities Transactions and Investment Income — Securities transactions are accounted for on a trade date basis. Realized gains or losses on sales are computed on the basis of specific identification of the securities sold. Interest income, adjusted for amortization of premiums and accretion of discounts on investments, is recorded on the accrual basis from settlement date.

The Fund may periodically participate in litigation related to Fund investments. As such, the Fund may receive proceeds from litigation settlements. Any proceeds received are included in the Statement of Operations as realized gain (loss) for investments no longer held and as unrealized gain (loss) for investments still held.

Brokerage commissions and mark ups are considered transaction costs and are recorded as an increase to the cost basis of securities purchased and/or a reduction of proceeds on a sale of securities. Such transaction costs are included in the determination of net realized gain (loss) from investment securities reported in the Statement of Operations and the Statement of Changes in Net Assets and the net realized gains (losses) on securities per share in the Financial Highlights. Transaction costs are included in the calculation of the Fund’s net asset value and, accordingly, they reduce the Fund’s total returns. These transaction costs are not considered operating expenses and are not reflected in net

12                         Invesco Tax-Exempt Cash Fund

investment income reported in the Statement of Operations and Statement of Changes in Net Assets, or the net investment income per share and ratios of expenses and net investment income reported in the Financial Highlights, nor are they limited by any expense limitation arrangements between the Fund and the investment adviser.

The Fund allocates realized capital gains and losses to a class based on the relative net assets of each class. The Fund allocates income to a class based on the relative value of the settled shares of each class.

C. Country Determination — For the purposes of making investment selection decisions and presentation in the Schedule of Investments, the investment adviser may determine the country in which an issuer is located and/or credit risk exposure based on various factors. These factors include the laws of the country under which the issuer is organized, where the issuer maintains a principal office, the country in which the issuer derives 50% or more of its total revenues and the country that has the primary market for the issuer’s securities, as well as other criteria. Among the other criteria that may be evaluated for making this determination are the country in which the issuer maintains 50% or more of its assets, the type of security, financial guarantees and enhancements, the nature of the collateral and the sponsor organization. Country of issuer and/or credit risk exposure has been determined to be the United States of America, unless otherwise noted.

D. Distributions — Distributions from income are declared daily and paid monthly. Distributions from net realized capital gain, if any, are generally declared and paid annually and recorded on the ex-dividend date. The Fund may elect to treat a portion of the proceeds from redemptions as distributions for federal income tax purposes.

E. Federal Income Taxes — The Fund intends to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”), necessary to qualify as a regulated investment company and to distribute substantially all of the Fund’s taxable and tax-exempt earnings to shareholders. As such, the Fund will not be subject to federal income taxes on otherwise taxable income (including net realized capital gain) that is distributed to shareholders. Therefore, no provision for federal income taxes is recorded in the financial statements.

The Fund recognizes the tax benefits of uncertain tax positions only when the position is more likely than not to be sustained. Management has analyzed the Fund’s uncertain tax positions and concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions. Management is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next 12 months.

In addition, the Fund intends to invest in such municipal securities to allow it to qualify to pay shareholders “exempt-interest dividends”, as defined in the Internal Revenue Code.

The Fund files tax returns in the U.S. Federal jurisdiction and certain other jurisdictions. Generally, the Fund is subject to examinations by such taxing authorities for up to three years after the filing of the return for the tax period.

F. Expenses — Fees provided for under the Rule 12b-1 plan of a particular class of the Fund and which are directly attributable to that class are charged to the operations of such class. All other expenses are allocated among the classes based on relative net assets.

G. Accounting Estimates — The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period including estimates and assumptions related to taxation. Actual results could differ from those estimates by a significant amount. In addition, the Fund monitors for material events or transactions that may occur or become known after the period-end date and before the date the financial statements are released to print.

H. Indemnifications — Under the Trust’s organizational documents, each Trustee, officer, employee or other agent of the Trust is indemnified against certain liabilities that may arise out of the performance of their duties to the Fund. Additionally, in the normal course of business, the Fund enters into contracts, including the Fund’s servicing agreements, that contain a variety of indemnification clauses. The Fund’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund that have not yet occurred. The risk of material loss as a result of such indemnification claims is considered remote.

I. Other Risks — The value of, payment of interest on, repayment of principal for and the ability to sell a municipal security may be affected by constitutional amendments, legislative enactments, executive orders, administrative regulations, voter initiatives and the economics of the regions in which the issuers are located.

Since many municipal securities are issued to finance similar projects, especially those relating to education, health care, transportation and utilities, conditions in those sectors can affect the overall municipal securities market and a Fund’s investments in municipal securities.

There is some risk that a portion or all of the interest received from certain tax-free municipal securities could become taxable as a result of determinations by the Internal Revenue Service.

NOTE 2—Advisory Fees and Other Fees Paid to Affiliates

The Trust has entered into a master investment advisory agreement with Invesco Advisers, Inc. (the “Adviser” or “Invesco”). Under the terms of the investment advisory agreement, the Fund pays an advisory fee to the Adviser at the annual rate of 0.35% of the Fund’s average daily net assets.

Under the terms of a master sub-advisory agreement between the Adviser and each of Invesco Asset Management Deutschland GmbH, Invesco Asset Management Limited, Invesco Asset Management (Japan) Limited, Invesco Australia Limited, Invesco Hong Kong Limited, Invesco Senior Secured Management, Inc. and Invesco Canada Ltd. (collectively, the “Affiliated Sub-Advisers”) the Adviser, not the Fund, may pay 40% of the fees paid to the Adviser to any such Affiliated Sub-Adviser(s) that provide(s) discretionary investment management services to the Fund based on the percentage of assets allocated to such Sub-Adviser(s).

Invesco and/or Invesco Distributors, Inc. (“IDI”) voluntarily agreed to waive fees and/or reimburse expenses in order to increase the Fund’s yield. Voluntary fee waivers and/or reimbursements may be modified at any time upon consultation with the Board of Trustees without further notice to investors.

For the year ended February 28, 2014, the Adviser reimbursed Fund expenses of $553,228.

The Trust has entered into a master administrative services agreement with Invesco pursuant to which the Fund has agreed to pay Invesco for certain administrative costs incurred in providing accounting services to the Fund. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Administrative services fees.

13                         Invesco Tax-Exempt Cash Fund

The Trust has entered into a transfer agency and service agreement with Invesco Investment Services, Inc. (“IIS”) pursuant to which the Fund has agreed to pay IIS a fee for providing transfer agency and shareholder services to the Fund and reimburse IIS for certain expenses incurred by IIS in the course of providing such services. IIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. All fees payable by IIS to intermediaries that provide omnibus account services or sub-accounting are charged back to the Fund, subject to certain limitations approved by the Trust’s Board of Trustees. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Transfer agent fees.

The Trust has entered into master distribution agreements with IDI to serve as the distributor for the Class A, Class Y and Investor Class shares of the Fund. The Trust has adopted plans pursuant to Rule 12b-1 under the 1940 Act with respect to the Fund’s Class A shares (collectively, the “Plans”). The Fund, pursuant to the Plans, pays IDI compensation up to a maximum annual rate of 0.10% of the Fund’s average daily net assets of Class A shares. Of the Rule 12b-1 payments, up to 0.10% of the average daily net assets of Class A shares may be paid to furnish continuing personal shareholder services to customers who purchase and own the shares of such classes. Any amounts not paid as a service fee under the Plans would constitute an asset-based sales charge. Rules of the Financial Industry Regulatory Authority (“FINRA”) also impose a cap on the total sales charges, including asset-based sales charges, that may be paid by any class of shares of the Fund. Pursuant to the Plans, for the year ended February 28, 2014, the Class A shares paid $0 after IDI waived Plan fees of $62,789.

CDSC are not recorded as expenses of the Fund. CDSC are deducted from redemption proceeds prior to remittance to the shareholder. During the year ended February 28, 2014, IDI advised the Fund that IDI retained $12,776 from Class A shares for CDSC imposed on redemptions by shareholders.

Certain officers and trustees of the Trust are officers and directors of the Adviser, IIS and/or IDI.

NOTE 3—Additional Valuation Information

GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, under current market conditions. GAAP establishes a hierarchy that prioritizes the inputs to valuation methods, giving the highest priority to readily available unadjusted quoted prices in an active market for identical assets (Level 1) and the lowest priority to significant unobservable inputs (Level 3), generally when market prices are not readily available or are unreliable. Based on the valuation inputs, the securities or other investments are tiered into one of three levels. Changes in valuation methods may result in transfers in or out of an investment’s assigned level:

Level 1 — Prices are determined using quoted prices in an active market for identical assets.

Level 2 — Prices are determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk, yield curves, loss severities, default rates, discount rates, volatilities and others.

Level 3 — Prices are determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund’s own assumptions about the factors market participants would use in determining fair value of the securities or instruments and would be based on the best available information.

As of February 28, 2014, all of the securities in this Fund were valued based on Level 2 inputs (see the Schedule of Investments for security categories). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

NOTE 4—Security Transactions with Affiliated Funds

The Fund is permitted to purchase or sell securities from or to certain other Invesco Funds under specified conditions outlined in procedures adopted by the Board of Trustees of the Trust. The procedures have been designed to ensure that any purchase or sale of securities by the Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common Trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under the procedures, each transaction is effected at the current market price. Pursuant to these procedures, for the year ended February 28, 2014, the Fund engaged in securities purchases of $190,916,973 and securities sales of $112,709,825, which did not result in any net realized gains (losses).

NOTE 5—Expense Offset Arrangement(s)

The expense offset arrangement is comprised of transfer agency credits which result from balances in demand deposit accounts used by the transfer agent for clearing shareholder transactions. For the year ended February 28, 2014, the Fund received credits from this arrangement, which resulted in the reduction of the Fund’s total expenses of $196.

NOTE 6—Trustees’ and Officers’ Fees and Benefits

Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to pay remuneration to certain Trustees and Officers of the Fund. Trustees have the option to defer compensation payable by the Fund, and Trustees’ and Officers’ Fees and Benefits also include amounts accrued by the Fund to fund such deferred compensation amounts. Those Trustees who defer compensation have the option to select various Invesco Funds in which their deferral accounts shall be deemed to be invested. Finally, certain current Trustees were eligible to participate in a retirement plan that provided for benefits to be paid upon retirement to Trustees over a period of time based on the number of years of service. The Fund may have certain former Trustees who also participate in a retirement plan and receive benefits under such plan. Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to fund such retirement benefits. Obligations under the deferred compensation and retirement plans represent unsecured claims against the general assets of the Fund.

14                         Invesco Tax-Exempt Cash Fund

NOTE 7—Cash Balances

The Fund is permitted to temporarily carry a negative or overdrawn balance in its account with The Bank of New York Mellon, the custodian bank. Such balances, if any at period end, are shown in the Statement of Assets and Liabilities under the payable caption Amount due custodian. To compensate the custodian bank for such overdrafts, the overdrawn Fund may either (1) leave funds as a compensating balance in the account so the custodian bank can be compensated by earning the additional interest; or (2) compensate by paying the custodian bank at a rate agreed upon by the custodian bank and Invesco, not to exceed the contractually agreed upon rate.

NOTE 8—Distributions to Shareholders and Tax Components of Net Assets

Tax Character of Distributions to Shareholders Paid During the Years Ended February 28, 2014 and 2013:

	2014		2013
Ordinary income-tax exempt	$	78,561	$	43,383

Tax Components of Net Assets at Period-End:

	2014
Undistributed ordinary income	$	66,780
Temporary book/tax differences		(48,286	)
Capital loss carryforward		(16,557	)
Shares of beneficial interest		111,541,411
Total net assets	$	111,543,348

The temporary book/tax differences are a result of timing differences between book and tax recognition of income and/or expenses. The Fund’s temporary book/tax differences are the result of the trustee deferral of compensation and retirement plan benefits.

Capital loss carryforward is calculated and reported as of a specific date. Results of transactions and other activity after that date may affect the amount of capital loss carryforward actually available for the Fund to utilize. Capital losses generated in years beginning after December 22, 2010 can be carried forward for an unlimited period, whereas previous losses expire in 8 tax years. Capital losses with an expiration period may not be used to offset capital gains until all net capital losses without an expiration date have been utilized. Capital loss carryforwards with no expiration date will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The ability to utilize capital loss carryforward in the future may be limited under the Internal Revenue Code and related regulations based on the results of future transactions.

The Fund utilized $284 of capital loss carryforward in the current period to offset net realized capital gain for federal income tax purposes. The Fund has a capital loss carryforward as of February 28, 2014, which expires as follows:

Capital Loss Carryforward*
Expiration	Short-Term		Long-Term		Total
February 28, 2017	$	8,282	$	—	$	8,282
February 28, 2018		3,681		—		3,681
February 28, 2019		4,594		—		4,594
	$	16,557	$	—	$	16,557

* Capital loss carryforward as of the date listed above is reduced for limitations, if any, to the extent required by the Internal Revenue Code and may be further limited depending upon a variety of factors, including the realization of net unrealized gains or losses as of the date of any reorganization.

NOTE 9—Reclassification of Permanent Differences

Primarily as a result of differing book/tax treatment of taxable income, on February 28, 2014, undistributed net investment income was decreased by $1,024 and shares of beneficial interest was increased by $1,024. This reclassification had no effect on the net assets of the Fund.

15                         Invesco Tax-Exempt Cash Fund

NOTE 10—Share Information

	Summary of Share Activity
	Years ended February 28,
	2014(a)						2013
	Shares			Amount			Shares			Amount
Sold:
Class A		168,230,831		$	168,230,831			73,167,119		$	73,167,119
Class Y		24,887,917			24,887,917			34,393,095			34,393,095
Investor Class		25,413,813			25,413,813			2,470,520			2,470,520
Issued as reinvestment of dividends:
Class A		32,756			32,756			20,603			20,603
Class Y		14,543			14,543			10,505			10,505
Investor Class		11,749			11,749			6,564			6,564
Reacquired:
Class A		(115,783,761	)		(115,783,761	)		(75,945,865	)		(75,945,865	)
Class Y		(32,646,473	)		(32,646,473	)		(28,131,192	)		(28,131,192	)
Investor Class		(15,092,181	)		(15,092,181	)		(3,372,410	)		(3,372,410	)
Net increase in share activity		55,069,194		$	55,069,194			2,618,939		$	2,618,939

^(a)  There are entities that are record owners of more than 5% of the outstanding shares of the Fund and in the aggregate own 52% of the outstanding shares of the Fund. IDI has an agreement with these entities to sell Fund shares. The Fund, Invesco and/or Invesco affiliates may make payments to these entities, which are considered to be related to the Fund, for providing services to the Fund, Invesco and/or Invesco affiliates including but not limited to services such as securities brokerage, distribution, third party record keeping and account servicing. The Trust has no knowledge as to whether all or any portion of the shares owned of record by these entities are also owned beneficially.

NOTE 11—Financial Highlights

The following schedule presents financial highlights for a share of the Fund outstanding throughout the periods indicated.

	Net asset value, beginning of period		Net investment income(a)		Net gains on securities (both realized and unrealized)		Total from investment operations		Dividends from net investment income			Net asset value, end of period		Total return(b)			Net assets, end of period (000s omitted)		Ratio of expenses to average net assets with fee waivers and/or expenses absorbed			Ratio of expenses to average net assets without fee waivers and/or expenses absorbed			Ratio of net investment income to average net assets
Class A
Year ended 02/28/14	$	1.00	$	0.00	$	0.00	$	0.00	$	(0.00	)	$	1.00		0.10	%	$	81,583		0.04	%(c)		0.74	%(c)		0.08	%(c)
Year ended 02/28/13		1.00		0.00		0.00		0.00		(0.00	)		1.00		0.07			29,103		0.08			0.79			0.14
Year ended 02/29/12		1.00		0.00		—		0.00		(0.00	)		1.00		0.05			31,831		0.17			0.89			0.05
Year ended 02/28/11		1.00		0.00		—		0.00		(0.00	)		1.00		0.05			36,425		0.29			0.82			0.05
Eleven months ended 02/28/10		1.00		0.00		—		0.00		(0.00	)		1.00		0.07			19,008		0.36	(d)		1.07	(d)		0.08	(d)
Year ended 03/31/09		1.00		0.01		—		0.01		(0.01	)		1.00		1.06			18,838		0.98			1.18			1.05
Class Y
Year ended 02/28/14		1.00		0.00		0.00		0.00		(0.00	)		1.00		0.10			10,991		0.04	(c)		0.64	(c)		0.08	(c)
Year ended 02/28/13		1.00		0.00		0.00		0.00		(0.00	)		1.00		0.07			18,735		0.08			0.69			0.14
Year ended 02/29/12		1.00		0.00		—		0.00		(0.00	)		1.00		0.05			12,459		0.17			0.79			0.05
Year ended 02/28/11		1.00		0.00		—		0.00		(0.00	)		1.00		0.05			12,464		0.29			0.72			0.05
Eleven months ended 02/28/10		1.00		0.00		—		0.00		(0.00	)		1.00		0.07			16,782		0.36	(d)		0.93	(d)		0.08	(d)
Year ended 03/31/09(e)		1.00		0.00		—		0.00		(0.00	)		1.00		0.27			11,169		0.94	(d)		1.01	(d)		1.09	(d)
Investor Class
Year ended 02/28/14		1.00		0.00		0.00		0.00		(0.00	)		1.00		0.10			18,969		0.04	(c)		0.64	(c)		0.08	(c)
Year ended 02/28/13		1.00		0.00		0.00		0.00		(0.00	)		1.00		0.07			8,636		0.08			0.69			0.14
Year ended 02/29/12		1.00		0.00		—		0.00		(0.00	)		1.00		0.05			9,521		0.17			0.79			0.05
Year ended 02/28/11		1.00		0.00		—		0.00		(0.00	)		1.00		0.05			9,762		0.29			0.72			0.05
Eleven months ended 02/28/10		1.00		0.00		—		0.00		(0.00	)		1.00		0.07			11,960		0.36	(d)		0.93	(d)		0.08	(d)
Year ended 03/31/09		1.00		0.01		—		0.01		(0.01	)		1.00		1.14			12,647		0.90			0.93			1.13

^(a)  Calculated using average shares outstanding.

^(b)  Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions. Does not include sales charges and is not annualized for periods less than one year, if applicable.

^(c) Ratios are based on average daily net assets (000’s) of $62,789, $14,787 and $14,131 for Class A, Class Y and Investor Class shares, respectively.

^(d)  Annualized.

^(e)  Commencement date of October 3, 2008.

16                         Invesco Tax-Exempt Cash Fund

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds)

and Shareholders of Invesco Tax-Exempt Cash Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Invesco Tax-Exempt Cash Fund (one of the funds constituting AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds), hereafter referred to as the “Fund”) at February 28, 2014, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the periods indicated, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at February 28, 2014 by correspondence with the custodian, provide a reasonable basis for our opinion.

PRICEWATERHOUSECOOPERS LLP

April 28, 2014

Houston, Texas

17                         Invesco Tax-Exempt Cash Fund

Calculating your ongoing Fund expenses

Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, which may include sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any; and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period September 1, 2013 through February 28, 2014.

Actual expenses

The table below provides information about actual account values and actual expenses. You may use the information in this table, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the table under the heading entitled “Actual Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The table below also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return.

The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher.

Class	Beginning Account Value (09/01/13)		ACTUAL				HYPOTHETICAL (5% annual return before expenses)				Annualized Expense Ratio
			Ending Account Value (02/28/14)1		Expenses Paid During Period2		Ending Account Value (02/28/14)		Expenses Paid During Period2
A	$	1,000.00	$	1,000.30	$	0.15	$	1,024.65	$	0.15		0.03	%
Y		1,000.00		1,000.30		0.15		1,024.65		0.15		0.03
Investor		1,000.00		1,000.30		0.15		1,024.65		0.15		0.03

¹  The actual ending account value is based on the actual total return of the Fund for the period September 1, 2013 through February 28, 2014, after actual expenses and will differ from the hypothetical ending account value which is based on the Fund’s expense ratio and a hypothetical annual return of 5% before expenses.

²  Expenses are equal to the Fund’s annualized expense ratio as indicated above multiplied by the average account value over the period, multiplied by 181/365 to reflect the most recent fiscal half year.

18                         Invesco Tax-Exempt Cash Fund

Tax Information

Form 1099-DIV, Form 1042-S and other year–end tax information provide shareholders with actual calendar year amounts that should be included in their tax returns. Shareholders should consult their tax advisors.

The following distribution information is being provided as required by the Internal Revenue Code or to meet a specific state’s requirement.

The Fund designates the following amounts or, if subsequently determined to be different, the maximum amount allowable for its fiscal year ended February 28, 2014:

Federal and State Income Tax
Qualified Dividend Income*	0	%
Corporate Dividends Received Deduction*	0	%
Tax-Exempt Interest Dividends*	100	%
U.S. Treasury Obligations*	0	%

* The above percentages are based on ordinary income dividends paid to shareholders during the Fund’s fiscal year.

19                         Invesco Tax-Exempt Cash Fund

Trustees and Officers

The address of each trustee and officer is AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”), 11 Greenway Plaza, Suite 1000, Houston, Texas 77046-1173. The trustees serve for the life of the Trust, subject to their earlier death, incapacitation, resignation, retirement or removal as more specifically provided in the Trust’s organizational documents. Each officer serves for a one year term or until their successors are elected and qualified. Column two below includes length of time served with predecessor entities, if any.

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Interested Persons
Martin L. Flanagan1 — 1960 Trustee	2007	Executive Director, Chief Executive Officer and President, Invesco Ltd. (ultimate parent of Invesco and a global investment management firm); Advisor to the Board, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Trustee, The Invesco Funds; Vice Chair, Investment Company Institute; and Member of Executive Board, SMU Cox School of Business Formerly: Chairman and Chief Executive Officer, Invesco Advisers, Inc. (registered investment adviser); Director, Chairman, Chief Executive Officer and President, IVZ Inc. (holding company), INVESCO Group Services, Inc. (service provider) and Invesco North American Holdings, Inc. (holding company); Director, Chief Executive Officer and President, Invesco Holding Company Limited (parent of Invesco and a global investment management firm); Director, Invesco Ltd.; Chairman, Investment Company Institute and President, Co-Chief Executive Officer, Co-President, Chief Operating Officer and Chief Financial Officer, Franklin Resources, Inc. (global investment management organization).	123	None
Philip A. Taylor2 — 1954 Trustee, President and Principal Executive Officer	2006	Head of North American Retail and Senior Managing Director, Invesco Ltd.; Director, Co-Chairman, Co-President and Co-Chief Executive Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Director, Chairman, Chief Executive Officer and President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) (financial services holding company); Director and President, INVESCO Funds Group, Inc. (registered investment adviser and registered transfer agent); Director and Chairman, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) (registered transfer agent) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.) (registered broker dealer); Director, President and Chairman, Invesco Inc. (holding company) and Invesco Canada Holdings Inc. (holding company); Chief Executive Officer, Invesco Corporate Class Inc. (corporate mutual fund company) and Invesco Canada Fund Inc. (corporate mutual fund company); Director, Chairman and Chief Executive Officer, Invesco Canada Ltd. (formerly known as Invesco Trimark Ltd./Invesco Trimark Ltèe) (registered investment adviser and registered transfer agent); Trustee, President and Principal Executive Officer, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); Trustee and Executive Vice President, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only); Director, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Director, Chief Executive Officer and President, Van Kampen Exchange Corp. Formerly: Director and Chairman, Van Kampen Investor Services Inc.; Director, Chief Executive Officer and President, 1371 Preferred Inc. (holding company); and Van Kampen Investments Inc.; Director and President, AIM GP Canada Inc. (general partner for limited partnerships); and Van Kampen Advisors, Inc.; Director and Chief Executive Officer, Invesco Trimark Dealer Inc. (registered broker dealer); Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) (registered broker dealer); Manager, Invesco PowerShares Capital Management LLC; Director, Chief Executive Officer and President, Invesco Advisers, Inc.; Director, Chairman, Chief Executive Officer and President, Invesco Aim Capital Management, Inc.; President, Invesco Trimark Dealer Inc. and Invesco Trimark Ltd./Invesco Trimark Ltèe; Director and President, AIM Trimark Corporate Class Inc. and AIM Trimark Canada Fund Inc.; Senior Managing Director, Invesco Holding Company Limited; Trustee and Executive Vice President, Tax-Free Investments Trust; Director and Chairman, Fund Management Company (former registered broker dealer); President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only); President, AIM Trimark Global Fund Inc. and AIM Trimark Canada Fund Inc.	123	None
Wayne W. Whalen3 — 1939 Trustee	2010	Of Counsel, and prior to 2010, partner in the law firm of Skadden, Arps, Slate, Meagher & Flom LLP, legal counsel to certain funds in the Fund Complex.	136	Director of the Mutual fund Directors Forum, a nonprofit membership organization for investment directors; Chairman and Director of the Abraham Lincoln Presidential Library Foundation; and Director of the Stevenson Center for Democracy

¹  Mr. Flanagan is considered an interested person of the Trust because he is an officer of the adviser to the Trust, and an officer and a director of Invesco Ltd., ultimate parent of the adviser to the Trust.

²  Mr. Taylor is considered an interested person of the Trust because he is an officer and a director of the adviser to, and a director of the principal underwriter of, the Trust.

³  Mr. Whalen is considered an “interested person” (within the meaning of Section 2(a)(19) of the 1940 Act) of certain funds in the Fund Complex because his firm currently provides legal services as legal counsel to such Funds.

T-1                         Invesco Tax-Exempt Cash Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees
Bruce L. Crockett — 1944 Trustee and Chair	1993	Chairman, Crockett Technologies Associates (technology consulting company) Formerly: Director, Captaris (unified messaging provider); Director, President and Chief Executive Officer COMSAT Corporation; Chairman, Board of Governors of INTELSAT (international communications company); ACE Limited (insurance company); and Investment Company Institute	123	ALPS (Attorneys Liability Protection Society) (insurance company)
David C. Arch — 1945 Trustee	2010	Chairman of Blistex Inc., a consumer health care products manufacturer	136	Board member of the Illinois Manufacturers’ Association; Member of the Board of Visitors, Institute for the Humanities University of Michigan; Member of the Audit Committee of the Edward-Elmhurst Hospital
Frank S. Bayley — 1939 Trustee	2001	Retired. Formerly: Director, Badgley Funds Inc. (registered investment company) (2 portfolios) and General Partner and Of Counsel, law firm of Baker & McKenzie, LLP	123	Director and Chairman, C.D. Stimson Company (a real estate investment company); Trustee, The Curtis Institute of Music
James T. Bunch — 1942 Trustee	2003	Managing Member, Grumman Hill Group LLC (family office private equity investments) Formerly: Founder, Green Manning & Bunch Ltd. (investment banking firm) (1988-2010); Executive Committee, United States Golf Association; and Director, Policy Studies, Inc. and Van Gilder Insurance Corporation.	123	Chairman, Board of Governors, Western Golf Association, Chairman, Evans Scholars Foundation and Director, Denver Film Society
Rodney F. Dammeyer — 1940 Trustee	2010	Chairman of CAC, LLC, (private company offering capital investment and management advisory services) Formerly: Prior to 2001, Managing Partner at Equity Group Corporate Investments. Prior to 1995, Chief Executive Officer of Itel Corporation (formerly Anixter International). Prior to 1985, experience includes Senior Vice President and Chief Financial Officer of Household International, Inc., Executive Vice President and Chief Financial Officer of Northwest Industries, Inc. and Partner of Arthur Andersen & Co.; From 1987 to 2010, Director/Trustee of investment companies in the Van Kampen Funds complex	123	Director of Quidel Corporation and Stericycle, Inc.
Albert R. Dowden — 1941 Trustee	2000	Director of a number of public and private business corporations, including the Boss Group, Ltd. (private investment and management); Nature’s Sunshine Products, Inc. and Reich & Tang Funds (5 portfolios) (registered investment company) Formerly: Director, Homeowners of America Holding Corporation/Homeowners of America Insurance Company (property casualty company); Director, Continental Energy Services, LLC (oil and gas pipeline service); Director, CompuDyne Corporation (provider of product and services to the public security market) and Director, Annuity and Life Re (Holdings), Ltd. (reinsurance company); Director, President and Chief Executive Officer, Volvo Group North America, Inc.; Senior Vice President, AB Volvo; Director of various public and private corporations; Chairman, DHJ Media, Inc.; Director, Magellan Insurance Company; and Director, The Hertz Corporation, Genmar Corporation (boat manufacturer), National Media Corporation; Advisory Board of Rotary Power International (designer, manufacturer, and seller of rotary power engines); and Chairman, Cortland Trust, Inc. (registered investment company)	123	Director of: Nature’s Sunshine Products, Inc., Reich & Tang Funds, Homeowners of America Holding Corporation/ Homeowners of America Insurance Company, the Boss Group
Jack M. Fields — 1952 Trustee	1997	Chief Executive Officer, Twenty First Century Group, Inc. (government affairs company); Owner and Chief Executive Officer, Dos Angeles Ranch, L.P. (cattle, hunting, corporate entertainment); and Discovery Global Education Fund (non-profit) Formerly: Chief Executive Officer, Texana Timber LP (sustainable forestry company); Director of Cross Timbers Quail Research Ranch (non-profit); and member of the U.S. House of Representatives	123	Insperity, Inc. (formerly known as Administaff)
Prema Mathai-Davis — 1950 Trustee	1998	Retired. Formerly: Chief Executive Officer, YWCA of the U.S.A.	123	None
Larry Soll — 1942 Trustee	2003	Retired. Formerly: Chairman, Chief Executive Officer and President, Synergen Corp. (a biotechnology company)	123	None
Hugo F. Sonnenschein — 1940 Trustee	2010	President Emeritus and Honorary Trustee of the University of Chicago and the Adam Smith Distinguished Service Professor in the Department of Economics at the University of Chicago. Prior to 2000, President of the University of Chicago	136	Trustee of the University of Rochester and a member of its investment committee; Member of the National Academy of Sciences and the American Philosophical Society; Fellow of the American Academy of Arts and Sciences

T-2                         Invesco Tax-Exempt Cash Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees—(continued)
Raymond Stickel, Jr. — 1944 Trustee	2005	Retired. Formerly: Director, Mainstay VP Series Funds, Inc. (25 portfolios) and Partner, Deloitte & Touche	123	None
Other Officers
Russell C. Burk — 1958 Senior Vice President and Senior Officer	2005	Senior Vice President and Senior Officer, The Invesco Funds	N/A	N/A
John M. Zerr — 1962 Senior Vice President, Chief Legal Officer and Secretary	2006	Director, Senior Vice President, Secretary and General Counsel, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Senior Vice President and Secretary, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Vice President and Secretary, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.); Director and Vice President, INVESCO Funds Group, Inc.; Senior Vice President, Chief Legal Officer and Secretary, The Invesco Funds; Manager, Invesco PowerShares Capital Management LLC; Director, Secretary and General Counsel, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Secretary and General Counsel, Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.) and Chief Legal Officer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Director and Vice President, Van Kampen Advisors Inc.; Director, Vice President, Secretary and General Counsel, Van Kampen Investor Services Inc.; Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Senior Vice President, General Counsel and Secretary, Invesco Aim Advisers, Inc. and Van Kampen Investments Inc.; Director, Vice President and Secretary, Fund Management Company; Director, Senior Vice President, Secretary, General Counsel and Vice President, Invesco Aim Capital Management, Inc.; Chief Operating Officer and General Counsel, Liberty Ridge Capital, Inc. (an investment adviser); Vice President and Secretary, PBHG Funds (an investment company) and PBHG Insurance Series Fund (an investment company); Chief Operating Officer, General Counsel and Secretary, Old Mutual Investment Partners (a broker-dealer); General Counsel and Secretary, Old Mutual Fund Services (an administrator) and Old Mutual Shareholder Services (a shareholder servicing center); Executive Vice President, General Counsel and Secretary, Old Mutual Capital, Inc. (an investment adviser); and Vice President and Secretary, Old Mutual Advisors Funds (an investment company)	N/A	N/A
Sheri Morris — 1964 Vice President, Treasurer and Principal Financial Officer	1999	Vice President, Treasurer and Principal Financial Officer, The Invesco Funds; Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); and Vice President, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Vice President, Invesco Aim Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; Assistant Vice President and Assistant Treasurer, The Invesco Funds and Assistant Vice President, Invesco Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; and Treasurer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust	N/A	N/A

T-3                         Invesco Tax-Exempt Cash Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Other Officers—(continued)
Karen Dunn Kelley — 1960 Vice President	1993	Senior Managing Director, Investments; Director, Co-President, Co-Chief Executive Officer, and Co-Chairman, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Chairman, Invesco Senior Secured Management, Inc.; Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.); Executive Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Invesco Mortgage Capital Inc. and Invesco Management Company Limited; Director and President, INVESCO Asset Management (Bermuda) Ltd., Vice President, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); and President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only) Formerly: Director, INVESCO Global Asset Management Limited and INVESCO Management S.A.; Senior Vice President, Van Kampen Investments Inc. and Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Director of Cash Management and Senior Vice President, Invesco Advisers, Inc. and Invesco Aim Capital Management, Inc.; President and Principal Executive Officer, Tax-Free Investments Trust; Director and President, Fund Management Company; Chief Cash Management Officer, Director of Cash Management, Senior Vice President, and Managing Director, Invesco Aim Capital Management, Inc.; Director of Cash Management, Senior Vice President, and Vice President, Invesco Advisers, Inc. and The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only)	N/A	N/A
Crissie M. Wisdom — 1969 Anti-Money Laundering Compliance Officer	2013	Anti-Money Laundering Compliance Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser), Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.), Invesco Distributors, Inc., Invesco Investment Services, Inc., Invesco Management Group, Inc., Van Kampen Exchange Corp., The Invesco Funds, Invesco Funds (Chicago), and PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust, and PowerShares Actively Managed Exchange-Traded Fund Trust; and Fraud Prevention Manager and Controls and Risk Analysis Manager for Invesco Investment Services, Inc.	N/A	N/A
Todd L. Spillane — 1958 Chief Compliance Officer	2006	Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President and Chief Compliance Officer, Invesco Advisers, Inc. (registered investment adviser) (formerly known as Invesco Institutional (N.A.), Inc.); Chief Compliance Officer, The Invesco Funds; Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) and Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) Formerly: Chief Compliance Officer, Invesco Funds (Chicago); Senior Vice President, Van Kampen Investments Inc.; Senior Vice President and Chief Compliance Officer, Invesco Aim Advisers, Inc. and Invesco Aim Capital Management, Inc.; Chief Compliance Officer, INVESCO Private Capital Investments, Inc. (holding company), Invesco Private Capital, Inc. (registered investment adviser), Invesco Global Asset Management (N.A.), Inc., Invesco Senior Secured Management, Inc. (registered investment adviser), Van Kampen Investor Services Inc., PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust; and Vice President, Invesco Aim Capital Management, Inc. and Fund Management Company	N/A	N/A

The Statement of Additional Information of the Trust includes additional information about the Fund’s Trustees and is available upon request, without charge, by calling 1.800.959.4246. Please refer to the Fund’s prospectus for information on the Fund’s sub-advisers.

Office of the Fund 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Investment Adviser Invesco Advisers, Inc. 1555 Peachtree Street, N.E. Atlanta, GA 30309	Distributor Invesco Distributors, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Auditors PricewaterhouseCoopers LLP 1201 Louisiana Street, Suite 2900 Houston, TX 77002-5678
Counsel to the Fund Stradley Ronon Stevens & Young, LLP 2005 Market Street, Suite 2600 Philadelphia, PA 19103-7018	Counsel to the Independent Trustees Goodwin Procter LLP 901 New York Avenue, N.W. Washington, D.C. 20001	Transfer Agent Invesco Investment Services, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Custodian Bank of New York Mellon 2 Hanson Place Brooklyn, NY 11217-1431

T-4                         Invesco Tax-Exempt Cash Fund

Invesco mailing information

Send general correspondence to Invesco Investment Services, Inc., P.O. Box 219078, Kansas City, MO 64121-9078.

Important notice regarding delivery of security holder documents

To reduce Fund expenses, only one copy of most shareholder documents may be mailed to shareholders with multiple accounts at the same address (Householding). Mailing of your shareholder documents may be householded indefinitely unless you instruct us otherwise. If you do not want the mailing of these documents to be combined with those for other members of your household, please contact Invesco Investment Services, Inc. at 800 959 4246 or contact your financial institution. We will begin sending you individual copies for each account within 30 days after receiving your request.

Fund holdings and proxy voting information

The Fund provides a complete list of its holdings four times in each fiscal year, at the quarter ends. For the second and fourth quarters, the lists appear in the Fund’s semiannual and annual reports to shareholders. For the first and third quarters, the Fund files the lists with the Securities and Exchange Commission (SEC) on Form N-Q. The most recent list of portfolio holdings is available at invesco.com/completeqtrholdings. Shareholders can also look up the Fund’s
Forms N-Q on the SEC website at sec.gov. Copies of the Fund’s Forms N-Q may be reviewed and copied at the SEC Public Reference Room in Washington, D.C. You can obtain information on the operation of the Public Reference Room, including information about duplicating fee charges, by calling 202 551 8090 or 800 732 0330, or by electronic request at the following email address: publicinfo@sec.gov. The SEC file numbers for the Fund are shown below.

    A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, from our Client Services department at 800 959 4246 or at invesco.com/proxyguidelines. The information is also available on the SEC website, sec.gov.

    Information regarding how the Fund voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 is available at invesco.com/proxysearch. The information is also available on the SEC website, sec.gov.     Invesco Advisers, Inc. is an investment adviser; it provides investment advisory services to individual and institutional clients and does not sell securities. Invesco Distributors, Inc. is the US distributor for Invesco Ltd.’s retail mutual funds, exchange-traded funds and institutional money market funds. Both are wholly owned, indirect subsidiaries of Invesco Ltd.

SEC file numbers: 811-07890 and 033-66242 TEC-AR-1 Invesco Distributors, Inc.

Letters to Shareholders

           Philip Taylor Dear Shareholders: This annual report includes information about your Fund, including performance data and a complete list of its investments as of the close of the reporting period. Inside, your Fund’s portfolio managers discuss how they managed your Fund and the factors that affected its performance during the reporting period. I hope you find this report of interest.     During the reporting period covered by this report, major US and global equity market indexes hit multiyear or all-time highs¹, the result of a strengthening US economy and relatively healthy corporate profits. Also helping equities was a return of individual investors to stocks – due in part to monetary policies that kept interest rates (and yields on fixed income securities) low. Despite some volatility in the summer of 2013, overseas equity market indexes in developed and emerging nations generally rose during the reporting period – although developed markets

generally outpaced emerging markets. In January 2014, amid widespread signs of an improving economy, the US Federal Reserve began a long-anticipated reduction in its bond-buying program.

    Extended periods of strong market performance can lull some investors into a false sense of security – just as extended periods of volatility or market weakness can discourage some investors from undertaking disciplined, long-term investment plans. That’s why Invesco believes it can often be helpful to work with a skilled and trusted financial adviser; he or she can emphasize the importance of adhering to an investment plan designed to achieve long-term goals like a first home, a college education for a child or a comfortable retirement. A financial adviser who is familiar with your individual financial situation, investment goals and risk tolerance can be an invaluable partner as you work toward your financial goals. He or she can provide insight and perspective when markets are volatile; encouragement and reassurance when times are uncertain; and advice and guidance when your financial situation or investment goals change.

Timely information when and where you want it

Invesco’s efforts to help investors achieve their financial objectives include providing individual investors and financial professionals with timely information about the markets, the economy and investing – whenever and wherever they want it.

    Our website, invesco.com/us, offers a wide range of market insights and investment perspectives. On the website, you’ll find detailed information about our funds, including prices, performance, holdings and portfolio manager commentaries. You can access information about your individual Invesco account whenever it’s convenient for you; just complete a simple, secure online registration. Use the “Login” box on our home page to get started.

    Invesco’s mobile app for iPad^® (available free from the App Store^SM) allows you to obtain the same detailed information about your Fund and the same investment insights from our investment leaders, market strategists, economists and retirement experts on the go. You also can watch portfolio manager videos and have instant access to Invesco news and updates wherever you may be.

    In addition to the resources accessible on our website and through our mobile app, you can obtain timely updates to help you stay informed about the markets, the economy and investing by connecting with Invesco on Twitter, LinkedIn or Facebook. You can access our blog at blog.invesco.us.com or by visiting the “Intentional Investing Forum” on our home page. Our goal is to provide you the information you want, when and where you want it.

Have questions?

For questions about your account, feel free to contact an Invesco client services representative at 800 959 4246. For Invesco-related questions or comments, please email me directly at phil@invesco.com.

    All of us at Invesco look forward to serving your investment management needs for many years to come. Thank you for investing with us.

Sincerely,

Philip Taylor

Senior Managing Director, Invesco Ltd.

1 Source: Reuters

iPad is a trademark of Apple Inc., registered in the US and other countries. App Store is a service mark of Apple Inc. Invesco Distributors, Inc. is not affiliated with Apple Inc.

2                         Invesco Tax-Free Intermediate Fund

         Bruce Crockett Dear Fellow Shareholders: Members of the Invesco Funds Board work continually to oversee how the Invesco Funds are performing in light of ever-changing and often unpredictable economic and market conditions. One of the ways we do this is by verifying that the teams that manage funds understand the risks associated with the investments they make in the funds they manage.     In light of market conditions over the last few years, the financial news media of late have given increased attention to “alternative investment strategies.” Despite this increased attention, many investors don’t know very much about these types of investment strategies.     Let me put alternative investment strategies and the new focus on them in some perspective. First, these types of investment strategies have been used predominately by institutional investors and investment professionals for decades to increase diversification – in an effort to dampen

portfolio volatility (risk) with the goal of increasing returns. The focal point of the increased news coverage is that these types of strategies are now being made more widely available to individual investors.

    Alternative investment strategies generally seek to provide measured exposure to various asset classes whose performance, historically, has not been highly correlated with one another. These strategies may help mitigate the impact to a portfolio from severe or prolonged market downturns while potentially providing reasonable returns over time. After a careful and thorough examination of the potential risks and potential benefits of alternative investment strategies, the Invesco Funds Board has approved the launch of several new alternative funds for the Invesco product lineup, to be managed by teams we determined have the depth and experience to pursue the funds’ investment objectives.

    While no single investment product can provide complete downside protection in falling markets and full upside participation in rising markets, your Board believes alternative funds can be a prudent tool to work in concert with more traditional mutual funds and other investments to build well diversified portfolios. Your financial adviser can determine whether or not such investments are appropriate for your individual needs, goals and risk tolerance. Also, he or she can explain the risks associated with alternative investment strategies. This type of professional guidance is why Invesco believes it’s so important that individual investors work with trusted, experienced financial advisers.

    Whether you’re invested in equity, fixed income, cash management or alternative investment funds, be assured that the Invesco Funds Board will continue working on your behalf and on behalf of all our fund shareholders, keeping your needs and interests uppermost in our minds.

    As always, please contact me at bruce@brucecrockett.com with any questions or concerns you may have. On behalf of the Board, we look forward to continuing to represent your interests and serving your needs.

Sincerely,

Bruce L. Crockett

Independent Chair

Invesco Funds Board of Trustees

Asset allocation/diversification does not guarantee a profit or eliminate the risk of loss.

Alternative products typically hold more non-traditional investments and employ more complex trading strategies, including hedging and leveraging through derivatives, short selling and opportunistic strategies that change with market conditions. Investors considering alternatives should be aware of their unique characteristics and additional risks from the strategies they use. Like all investments, performance will fluctuate. You can lose money.

3                         Invesco Tax-Free Intermediate Fund

Management’s Discussion of Fund Performance

Performance summary

For the fiscal year ended February 28, 2014, Invesco Tax-Free Intermediate Fund at net asset value (NAV) performed in line with its broad market benchmark, the Barclays Municipal Bond Index but underperformed its style-specific benchmark, the Bank of America Merrill Lynch 3–7 Year Municipal Index. The main contributor to the Fund’s return was its allocation of short-to-intermediate maturity bonds.

    Your Fund’s long-term performance appears later in this report.

Fund vs. Indexes

Total returns, 2/28/13 to 2/28/14, at net asset value (NAV). Performance shown does not include applicable contingent deferred sales charges (CDSC) or front-end sales charges, which would have reduced performance.

Class A Shares	0.16	%
Class A2 Shares	0.49
Class C Shares*	-0.60
Class Y Shares	0.40
Class R5 Shares	0.48
Barclays Municipal Bond Index‚ (Broad Market Index)	-0.21
Bank of America Merrill Lynch 3–7 Year Municipal Index‚ (Style-Specific Index)	1.80
Lipper Intermediate Municipal Debt Funds Index‚ (Peer Group Index)	0.02

Source(s): ^‚ Lipper Inc.

* Class C shares incepted during the reporting period. See page 7 for a detailed explanation of Fund performance.

How we invest

The Fund’s investment objective is to provide investors with current income exempt from federal income tax, consistent with preservation of capital.

    Under normal market conditions, we seek to achieve the Fund’s investment objective by investing at least 80% of the Fund’s total assets in municipal securities rated investment grade by at least one nationally recognized statistical rating organization – or, if not rated, securities we determine to be of comparable quality – at the time of purchase.

    Under normal market conditions, the Fund may invest up to 20% of its total assets in municipal securities rated below investment grade and unrated municipal securities which we determine to be of comparable quality at the time of investment. Lower-grade securities are commonly referred to as junk bonds and

involve greater risks than investments in higher-grade securities. With respect to such investments, the Fund has not established any limit on the percentage of its portfolio that may be invested in securities in any one rating category.

    At the present time, the Fund will not invest in municipal debt securities if the interest on such securities is subject to the federal alternative minimum tax (AMT).

    We may sell securities based on factors such as degradation in credit quality, a decision to shorten or lengthen the Fund’s duration or reducing exposure to a particular sector or issuer.

Market conditions and your Fund

For the fiscal year ended February 28, 2014, the municipal bond market returned –0.21%1, as measured by the Barclays Municipal Bond Index. Record outflows from municipal bond funds, driven by concerns over rising interest

Portfolio Composition
By credit sector, based on total investments
Revenue Bonds	84.4	%
General Obligation Bonds	12.4
Pre-Refunded Bonds	3.2

Total Net Assets	$1.4 billion
Total Number of Holdings	757

The Fund’s holdings are subject to change, and there is no assurance that the Fund will continue to hold any particular security.

Top Five Fixed Income Holdings
1. Louisville (City of) & Jefferson       (County of) Metropolitan Sewer       District; Series 2009 B	0.9	%
2. Chicago (City of) Board of       Education; Series 2013 A3	0.7
3. Citizens Property Insurance       Corp.; Series 2012 A-1	0.7
4. Massachusetts (State of)       Development Finance Agency       (Partners HealthCare System);       Series 2014 M	0.7
5. Ohio (State of) Air Quality       Development Authority       (FirstEnergy Generation Corp.);       Series 2009 A	0.6

rates and high-profile credit events, resulted in a challenging year for municipal bond investors. The $67 billion² in municipal bond fund redemptions between March and December 2013 was in stark contrast to inflows of $65 billion² and strong performance for the asset class over the prior two years.

    Shortly after the fiscal year began, investors became apprehensive that the US Federal Reserve (the Fed) would reduce its asset purchase program, known as quantitative easing (QE), as the US economy improved. Concerned that Fed action would cause interest rates to rise and bond prices to fall, investors began trimming their allocations to fixed income investments, including municipal bonds. The rate of outflows increased dramatically in June following comments made by then-Fed Chairman Ben Bernanke on the timing for tapering QE.

    Over the summer of 2013, several high-profile credit events had an adverse impact on the municipal bond market. These included downgrades to the credit ratings of Chicago debt on pension concerns, Detroit filing the largest municipal bankruptcy in US history³ and increased uncertainty about the financial condition of Puerto Rico.

    The market received a two-month reprieve in September when the Fed decided not to reduce QE, although it reversed that decision in December when it announced that it would decrease its asset purchases by $10 billion per month, beginning in January 2014.⁴ A final headwind for the municipal bond market was significant tax-loss selling of municipal bonds in December to offset gains from strong equity returns during 2013.

    In the first two months of 2014, the municipal bond market turned positive. Softer economic data reduced expectations for hawkish Fed action. Relatively high yields on municipal bonds, coupled with higher personal income tax rates and improving municipal fundamentals, drew investors back to the asset class. Net positive fund flows in January and February, combined with limited supply of new issuance, produced strong returns in the final two months of the fiscal year.

    During the fiscal year, the primary driver of Fund performance versus the broad market benchmark was its maturity and duration positioning. The Fund’s overweight allocation in shorter-maturity bonds and a shorter average duration contributed to relative performance. Conversely, the Fund’s allocation in longer

4                         Invesco Tax-Free Intermediate Fund

average duration bonds detracted from relative performance.

    At the sector level, hospitals, the Fund’s largest sector and largest overweight position relative to the broad market benchmark, contributed to performance. The Fund’s underweight position in Puerto Rico contributed to relative performance.

    We wish to remind you that the Fund is subject to interest rate risk, meaning when interest rates rise, the value of fixed income securities generally will fall. This risk may be greater in the current market environment because interest rates are at or near historic lows. We are monitoring interest rates and market and economic factors that may impact interest rates, including the potential impact of the Fed’s tapering of QE. If interest rates rise, markets may experience increased volatility, which may affect the value and/or liquidity of certain of the Fund’s investments.

    Thank you for investing in Invesco Tax-Free Intermediate Fund and for sharing our long-term investment horizon.

1 Source: Barclays

2 Source: Morningstar

3 Source: Moody’s

4 Source: US Federal Reserve

The views and opinions expressed in management’s discussion of Fund performance are those of Invesco Advisers, Inc. These views and opinions are subject to change at any time based on factors such as market and economic conditions. These views and opinions may not be relied upon as investment advice or recommendations, or as an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but Invesco Advisers, Inc. makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.

See important Fund and, if applicable, index disclosures later in this report.

	Robert Wimmel Portfolio manager, is manager of Invesco Tax-Free Intermediate Fund and is head of Investment Grade Municipals. He joined
Invesco in 2010. Mr. Wimmel earned a BA in anthropology from the University of Cincinnati and an MA in economics from the University of Illinois at Chicago.

	Thomas Byron Portfolio manager, is manager of Invesco Tax-Free Intermediate Fund. He joined Invesco in 2010. Mr. Byron earned a
BS in finance from Marquette University and an MBA in finance from DePaul University.

	Robert Stryker Chartered Financial Analyst, portfolio manager, is manager of Invesco Tax-Free Intermediate Fund. He joined Invesco in 2010.
Mr. Stryker earned a BS in finance from the University of Illinois at Chicago.

5                         Invesco Tax-Free Intermediate Fund

Your Fund’s Long-Term Performance

Results of a $10,000 Investment – Oldest Share Class(es)

Fund and index data from 2/29/04

1  Source: Lipper Inc.

Past performance cannot guarantee comparable future results.

    The data shown in the chart include reinvested distributions, applicable sales charges and Fund expenses including

management fees. Index results include reinvested dividends, but they do not reflect sales charges. Performance of the peer group, if applicable, reflects fund expenses and management fees; performance

of a market index does not. Performance shown in the chart and table(s) does not reflect deduction of taxes a shareholder would pay on Fund distributions or sale of Fund shares.

continued from page 8

regulations, voter initiatives, and the issuer’s regional economic conditions may affect the municipal security’s value, interest payments, repayment of principal and the Fund’s ability to sell it. Failure of a municipal security issuer to comply with applicable tax requirements may make income paid thereon taxable, resulting in a decline in the security’s value. In addition, there could be changes in applicable tax laws or tax treatments that reduce or eliminate the current federal income tax exemption on municipal securities or otherwise adversely affect the current federal or state tax status of municipal securities.

n Reinvestment risk. Reinvestment risk is the risk that a bond’s cash flows (coupon income and principal repayment) will be reinvested at an interest rate below that on the original bond.

n Variable-rate demand notes risk. The absence of an active secondary market for certain variable and floating rate notes could make it difficult to dispose of the instruments, and a portfolio could suffer a loss if the issuer defaults during periods in which a portfolio is not entitled to exercise its demand rights.

n When-issued and delayed delivery risks. When-issued and delayed delivery

transactions are subject to market risk as the value or yield of a security at delivery may be more or less than the purchase price or the yield generally available on securities when delivery occurs. In addition, the Fund is subject to counterparty risk because it relies on the buyer or seller, as the case may be, to consummate the transaction, and failure by the other party to complete the transaction may result in the Fund missing the opportunity of obtaining a price or yield considered to be advantageous.

n Zero coupon or pay-in-kind securities risk. The value, interest rates, and liquidity of non-cash paying instruments, such as zero coupon and pay-in-kind securities, are subject to greater fluctuation than other types of securities.

About indexes used in this report

n The Barclays Municipal Bond Index is an unmanaged index considered representative of the tax-exempt bond market.

n The Bank of America Merrill Lynch 3-7 Year Municipal Index is an unmanaged index comprising bonds with outstanding par of at least $25 million and maturities of three to seven years.

n The Lipper Intermediate Municipal Debt Funds Index is an unmanaged index considered representative of intermediate municipal debt funds tracked by Lipper.

n The Fund is not managed to track the performance of any particular index, including the index(es) described here, and consequently, the performance of the Fund may deviate significantly from the performance of the index(es).

n A direct investment cannot be made in an index. Unless otherwise indicated, index results include reinvested dividends, and they do not reflect sales charges. Performance of the peer group, if applicable, reflects fund expenses; performance of a market index does not.

 continued on page 7

6                         Invesco Tax-Free Intermediate Fund

Average Annual Total Returns
As of 2/28/14, including maximum applicable sales charges
Class A Shares
Inception (10/31/02)	3.53	%
10 Years	3.33
5 Years	4.32
1 Year	-2.38
Class A2 Shares
Inception (5/11/87)	5.23	%
10 Years	3.76
5 Years	4.90
1 Year	-0.51
Class C Shares
10 Years	2.83	%
5 Years	4.06
1 Year	-1.58
Class Y Shares
10 Years	3.85	%
5 Years	5.08
1 Year	0.40
Class R5 Shares
10 Years	3.85	%
5 Years	5.12
1 Year	0.48

Class C shares incepted on June 28, 2013. Performance shown prior to that date is that of Class A2 shares, restated to reflect the higher 12b-1 fees applicable to Class C shares. Class A2 share performance reflects any applicable fee waivers or expense reimbursements.

    Class Y shares incepted on October 3, 2008. Performance shown prior to that date is that of Class A2 shares and includes the 12b-1 fees applicable to Class A2 shares. Class A2 share performance

Average Annual Total Returns
As of 12/31/13, the most recent calendar quarter end, including maximum applicable sales charges
Class A Shares
Inception (10/31/02)	3.41	%
10 Years	3.28
5 Years	4.53
1 Year	-3.22
Class A2 Shares
Inception (5/11/87)	5.18	%
10 Years	3.72
5 Years	5.12
1 Year	-1.51
Class C Shares
10 Years	2.79	%
5 Years	4.27
1 Year	-2.56
Class Y Shares
10 Years	3.82	%
5 Years	5.32
1 Year	-0.52
Class R5 Shares
10 Years	3.81	%
5 Years	5.32
1 Year	-0.54

reflects any applicable fee waivers or expense reimbursements.

    Class R5 shares incepted on July 30, 2004. Performance shown prior to that date is that of Class A2 shares and includes the 12b-1 fees applicable to Class A2 shares. Class A2 share performance reflects any applicable fee waivers or expense reimbursements.

    The performance data quoted represent past performance and cannot guarantee comparable future results; current performance may

be lower or higher. Please visit invesco.com/performance for the most recent month-end performance. Performance figures reflect reinvested distributions, changes in net asset value and the effect of the maximum applicable sales charge unless otherwise stated. Investment return and principal value will fluctuate so that you may have a gain or loss when you sell shares.

    The total annual Fund operating expense ratio set forth in the most recent Fund prospectus as of the date of this report for Class A, Class A2, Class C, Class Y and Class R5 shares was 0.60%, 0.35%, 1.35%, 0.35% and 0.41%, respectively. The expense ratios presented above may vary from the expense ratios presented in other sections of this report that are based on expenses incurred during the period covered by this report.

    Class A share performance reflects the maximum 2.50% sales charge. Class A2 share performance reflects the maximum 1.00% sales charge. The CDSC on Class C shares is 1% for the first year after purchase. Class Y and Class R5 shares do not have a front-end sales charge or a CDSC; therefore, performance is at net asset value.

    The performance of the Fund’s share classes will differ primarily due to different sales charge structures and class expenses.

    Had the adviser not waived fees and/ or reimbursed expenses in the past, performance would have been lower.

continued from page 6

Other information

n The returns shown in management’s discussion of Fund performance are based on net asset values (NAVs) calculated for shareholder transactions. Generally accepted accounting principles require adjustments to be made to the net assets of the Fund at period end for financial reporting purposes, and as such, the NAVs for shareholder transactions and the returns based on those NAVs may differ from the NAVs and returns reported in the Financial Highlights.

7                         Invesco Tax-Free Intermediate Fund

Invesco Tax-Free Intermediate Fund’s investment objective is federal tax-exempt current income.

n Unless otherwise stated, information presented in this report is as of February 28, 2014, and is based on total net assets.

n Unless otherwise noted, all data provided by Invesco.

n To access your Fund’s reports/prospectus, visit invesco.com/fundreports.

About share classes

n As of close of business October 30, 2002, Class A2 shares were closed to new investors.

n Class Y shares are available only to certain investors. Please see the prospectus for more information.

n Class R5 shares are primarily intended for employer sponsored retirement and benefit plans that meet certain standards and for institutional investors. Please see the prospectus for more information.

Principal risks of investing in the Fund

n Alternative minimum tax risk. A portion of the Fund’s otherwise tax-exempt income may be taxable to those shareholders subject to the federal alternative minimum tax.

n Call risk. If interest rates fall, it is possible that issuers of debt securities with high interest rates will prepay or call their securities before their maturity dates. In this event, the proceeds from the called securities would likely be reinvested by the Fund in securities bearing the new, lower interest rates, resulting in a possible decline in the Fund’s income and distributions to shareholders.

n Credit risk. The issuer of instruments in which the Fund invests may be unable to meet interest and/or principal payments, thereby causing its instruments to decrease in value and lowering the issuer’s credit rating.

n Derivatives risk. The value of a derivative instrument depends largely on (and is derived from) the value of an underlying security, currency, commodity, interest rate, index or other asset (each referred to as an underlying asset). In addition to risks relating to the underlying assets, the use of derivatives may include other, possibly greater, risks, including counterparty, leverage and liquidity risks. Counterparty risk is the risk that the counterparty to the derivative contract will default on its obligation to pay the Fund the amount owed or otherwise perform under the derivative contract.

Derivatives create leverage risk because they do not require payment up front equal to the economic exposure created by owning the derivative. As a result, an adverse change in the value of the underlying asset could result in the Fund sustaining a loss that is substantially greater than the amount invested in the derivative, which may make the Fund’s returns more volatile and increase the risk of loss. Derivative instruments may also be less liquid than more traditional investments and the Fund may be unable to sell or close out its derivative positions at a desirable time or price. This risk may be more acute under adverse market conditions, during which the Fund may be most in need of liquidating its derivative positions. Derivatives may also be harder to value, less tax efficient and subject to changing government regulation that could impact the Fund’s ability to use certain derivatives or their cost. Also, derivatives used for hedging or to gain or limit exposure to a particular market segment may not provide the expected benefits, particularly during adverse market conditions.

n High yield bond (junk bond) risk. Junk bonds involve a greater risk of default or price changes due to changes in the credit quality of the issuer. The values of junk bonds fluctuate more than those of high-quality bonds in response to company, political, regulatory or economic developments. Values of junk bonds can decline significantly over short periods of time.

n Income risk. The income you receive from the Fund is based primarily on prevailing interest rates, which can vary widely over the short- and long-term. If interest rates drop, your income from the Fund may drop as well.

n Intermediate dollar-weighted average life risk. Market prices of municipal securities with intermediate lives generally fluctuate more in response to changes in interest rates than do market prices of municipal securities with shorter lives but generally fluctuate less than market prices of municipal securities with longer lives.

This report must be accompanied or preceded by a currently effective Fund prospectus, which contains more complete information, including sales charges and expenses. Investors should read it carefully before investing.

NOT FDIC INSURED  |  MAY LOSE VALUE  |  NO BANK GUARANTEE

n Interest rate risk. Interest rate risk refers to the risk that bond prices generally fall as interest rates rise; conversely, bond prices generally rise as interest rates fall. Specific bonds differ in their sensitivity to changes in interest rates depending on their individual characteristics, including duration.

n Leverage risk. Leverage exists when the Fund purchases or sells an instrument or enters into a transaction without investing cash in an amount equal to the full economic exposure of the asset or transaction and the Fund could lose more than it invested. Leverage created from certain types of transactions or instruments may impair the Fund’s liquidity, cause it to liquidate positions at an unfavorable time, increase volatility or otherwise not achieve its intended objective.

n Liquidity risk. The Fund may hold illiquid securities that it is unable to sell at the preferred time or price and could lose its entire investment in such securities.

n Management risk. The investment techniques and risk analysis used by the Fund’s portfolio managers may not produce the desired results.

n Market risk. The prices of and the income generated by the Fund’s securities may decline in response to, among other things, investor sentiment, general economic and market conditions, regional or global instability, and currency and interest rate fluctuations.

n Municipal issuer focus risk. The Fund generally considers investments in municipal securities not to be subject to industry concentration policies (issuers of municipal securities as a group is not an industry) and the Fund may invest in municipal securities issued by entities having similar characteristics. The issuers may be located in the same geographic area or may pay their interest obligations from revenue of similar projects, such as hospitals, airports, utility systems and housing finance agencies. This may make the Fund’s investments more susceptible to similar social, economic, political or regulatory occurrences. As the similarity in issuers increases, the potential for fluctuation in the Fund’s net asset value also increases.

n Municipal securities risk. The Fund may invest in municipal securities. Constitutional amendments, legislative enactments, executive orders, administrative

continued on page 6

8                         Invesco Tax-Free Intermediate Fund

Schedule of Investments

February 28, 2014

	Interest Rate			Maturity Date		Principal Amount (000)			Value
Municipal Obligations–98.35%
Alabama–3.06%
Alabama (State of) 21st Century Authority;
Series 2012 A, Tobacco Settlement RB		5.00	%		06/01/19	$	1,750		$	2,034,480
Series 2012 A, Tobacco Settlement RB		5.00	%		06/01/21		1,500			1,721,115
Alabama (State of) Public School & College Authority;
Series 2009 A, Ref. Capital Improvement RB		5.00	%		05/01/15		1,000			1,056,890
Series 2009 A, Ref. Capital Improvement RB		5.00	%		05/01/18		1,000			1,172,350
Birmingham (City of) Airport Authority;
Series 2003 A, Ref. RB (INS–AGM)(a)		4.00	%		07/01/15		1,930			2,006,293
Series 2003 A, Ref. RB (INS–AGM)(a)		4.00	%		07/01/16		2,335			2,486,892
Series 2003 A, Ref. RB (INS–AGM)(a)		4.00	%		07/01/17		2,465			2,672,233
Series 2003 A, Ref. RB (INS–AGM)(a)		4.00	%		07/01/18		1,985			2,176,572
Series 2003 A, Ref. RB (INS–AGM)(a)		4.00	%		07/01/19		1,410			1,558,572
Series 2003 A, Ref. RB (INS–AGM)(a)		4.50	%		07/01/20		1,375	��		1,523,307
Birmingham (City of) Special Care Facilities Financing Authority (Ascension Health Senior Credit Group); Series 2006 C-1, RB(b)		4.10	%		11/03/16		2,000			2,180,120
Birmingham (City of) Special Care Facilities Financing Authority (Children’s Hospital);
Series 2009, Health Care Facility RB(b)(c)		4.50	%		06/01/14		990			1,001,167
Series 2009, Health Care Facility RB(b)(c)		4.63	%		06/01/14		750			758,722
Series 2009, Health Care Facility RB(b)(c)		5.00	%		06/01/14		525			531,631
Series 2009, Health Care Facility RB(b)(c)		5.25	%		06/01/14		1,000			1,013,270
Series 2009, Health Care Facility RB(b)(c)		5.75	%		06/01/14		2,000			2,029,120
Chatom (Town of) Industrial Development Board (PowerSouth Energy Cooperative);
Series 2010 A, Ref. Gulf Opportunity Zone RB (INS–AGC)(a)		4.25	%		08/01/18		3,540			4,015,316
Series 2010 A, Ref. Gulf Opportunity Zone RB (INS–AGC)(a)		4.25	%		08/01/19		3,535			4,037,571
Huntsville (City of) Health Care Authority;
Series 2010 A, RB		4.50	%		06/01/15		1,970			2,057,842
Series 2010 A, RB		5.00	%		06/01/18		2,740			3,101,379
Mobile (City of) Industrial Development Board (Alabama Power Co.–Barry Plant); Series 2007 C, PCR(b)		5.00	%		03/19/15		2,150			2,246,750
										41,381,592
Alaska–1.14%
Alaska (State of) Industrial Development & Export Authority (Greater Fairbanks Community Hospital Foundation);
Series 2004 A, RB (INS–AGM)(a)		5.13	%		04/01/19		1,000			1,169,030
Series 2009 C, Ref. RB		4.25	%		04/01/15		1,025			1,057,431
Alaska (State of) Industrial Development & Export Authority; Series 2010 A, Ref. Revolving Fund RB		5.25	%		04/01/21		765			896,396
Alaska (State of) International Airports System; Series 2006 B, RB (INS–NATL)(a)		5.00	%		10/01/27		1,135			1,225,562
Alaska (State of) Municipal Bond Bank Authority; Series 2009 1, RB		5.63	%		09/01/29		250			285,348
North Slope (Borough of); Series 2008 A, Unlimited Tax GO Bonds		5.50	%		06/30/19		1,000			1,217,410
Southeast Alaska Power Agency; Series 2009, Ref. Electric RB (INS–AGC)(a)		5.13	%		06/01/24		650			707,128
Valdez (City of) (BP Pipelines);
Series 2003 B, Ref. Marine Terminal RB		5.00	%		01/01/21		1,800			2,107,854
Series 2003 C, Ref. Marine Terminal RB		5.00	%		01/01/21		5,730			6,710,002
										15,376,161
Arizona–1.96%
Amphitheater Unified School District No. 10; Series 2009 B, School Improvement Unlimited Tax GO Bonds (INS–AGC)(a)		4.00	%		07/01/18		1,250			1,393,962

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

9                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Arizona–(continued)
Arizona (State of);
Series 2010 A, COP (INS–AGM)(a)		5.00	%		10/01/14	$	3,000	$	3,083,910
Series 2010 A, COP (INS–AGM)(a)		5.00	%		10/01/15		2,000		2,141,000
Series 2010 A, COP (INS–AGM)(a)		5.00	%		10/01/16		3,000		3,318,030
Series 2010 A, COP (INS–AGM)(a)		5.00	%		10/01/18		2,000		2,298,380
Series 2010 A, COP (INS–AGM)(a)		5.00	%		10/01/19		1,000		1,161,950
Series 2010 B, COP (INS–AGM)(a)		5.00	%		10/01/21		2,000		2,253,760
Series 2010 B, COP (INS–AGM)(a)		5.00	%		10/01/22		2,000		2,223,780
Series 2010 B, COP (INS–AGM)(a)		5.00	%		10/01/23		2,000		2,200,660
Kingman Unified School District No. 20; Series 2009 C, School Improvement Unlimited Tax GO Bonds (INS–AGC)(a)		5.00	%		07/01/23		1,500		1,727,685
Pima (County of);
Series 2010, COP		3.50	%		06/01/14		2,130		2,148,488
Series 2010, COP		3.50	%		06/01/15		1,200		1,249,296
Yuma (City of) Industrial Development Authority (Regional Medical Center); Series 2014 A, Hospital RB		5.00	%		08/01/19		500		570,710
Yuma Municipal Property Corp.; Series 2007 D, Municipal Facilities RB (INS–SGI)(a)		5.00	%		07/01/24		750		815,258
									26,586,869
California–9.32%
Albany Unified School District (Election of 2008); Series 2009 A, Unlimited Tax GO Bonds (INS–AGC)(a)		5.00	%		08/01/25		1,520		1,682,898
Alhambra Unified School District (Election of 2004); Series 2009 B, Unlimited Tax GO Bonds (INS–AGC)(a)		5.25	%		08/01/28		1,350		1,462,658
Association of Bay Area Governments Finance Authority for Non-profit Corps. (Casa de las Campanas, Inc.); Series 2010, RB (INS–Cal-Mortgage)(a)		4.00	%		09/01/15		675		704,781
California (State of) Health Facilities Financing Authority (Cedars-Sinai Medical Center); Series 2011, Ref. RB		5.00	%		08/15/15		1,000		1,068,870
California (State of) Health Facilities Financing Authority (St. Joseph Health System);
Series 2009 C, Ref. RB(b)		5.00	%		10/16/14		3,125		3,220,125
Series 2009 D, Ref. RB(b)		5.00	%		10/18/16		6,000		6,687,300
California (State of) Health Facilities Financing Authority (The Episcopal Home);
Series 2010 B, RB(c)		5.10	%		02/01/19		620		697,308
Series 2010 B, RB(b)(c)		5.50	%		02/01/20		1,250		1,529,425
California (State of) Pollution Control Financing Authority (BP West Coast Products LLC); Series 2009, Ref. Environmental Improvement RB(b)		2.60	%		09/02/14		4,650		4,701,010
California (State of) Statewide Communities Development Authority (American Baptist Homes of the West); Series 2013 B-3, TEMPS-40SM RB		2.10	%		10/01/19		2,250		2,254,140
California (State of) Statewide Communities Development Authority (Enloe Medical Center);
Series 2008 A, RB (INS–Cal-Mortgage)(a)		5.00	%		08/15/17		385		431,916
Series 2008 A, RB (INS–Cal-Mortgage)(a)		5.25	%		08/15/19		325		369,697
California (State of) Statewide Communities Development Authority (Henry Mayo Newhall Memorial Hospital); Series 2007 B, RB(b)(c)		5.05	%		10/01/18		1,500		1,779,345
California (State of) Statewide Communities Development Authority (Kaiser Permanente); Series 2012, Floating Rate RB(b)(d)		0.98	%		05/01/17		6,000		6,000,000
California (State of);
Series 2009, Various Purpose Unlimited Tax GO Bonds		5.00	%		10/01/20		1,900		2,231,113
Series 2009 B, Ref. Economic Recovery Unlimited Tax GO Bonds(b)		5.00	%		07/01/14		1,095		1,113,035
Series 2011, Ref. Unlimited Tax GO Bonds		5.00	%		09/01/17		2,000		2,307,140
Series 2012 A, Ref. Floating Rate Unlimited Tax GO Bonds(b)(d)		0.71	%		05/01/15		3,000		3,000,000
Series 2012 B, Ref. Floating Rate Unlimited Tax GO Bonds(d)		1.03	%		05/01/19		4,000		4,000,000
California Infrastructure & Economic Development Bank (The Paul Getty Trust); Series 2011 J, Ref. Floating Rate RB(b)(d)		0.53	%		04/01/14		2,000		2,000,000
Chula Vista (City of) (San Diego Gas & Electric Co.); Series 2006 A, Ref. IDR		1.65	%		07/01/18		3,000		3,028,740
Corona-Norco Unified School District (Election of 2006); Series 2009 C, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(e)		0.00	%		08/01/21		1,500		1,213,005

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

10                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
California–(continued)
Fresno (City of); Series 2008 A, Sewer System RB (INS–AGC)(a)		5.00	%		09/01/25	$	2,040	$	2,314,176
Hayward Unified School District (Election of 2008);
Series 2010 A, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(e)		0.00	%		08/01/17		1,000		947,680
Series 2010 A, Unlimited Tax CAB GO Bonds (INS–AGM)(a)(e)		0.00	%		08/01/20		1,000		844,120
Inland Valley Development Agency;
Series 2011 B, Tax Allocation RB(b)		4.25	%		03/01/15		2,500		2,568,750
Series 2011 C, Tax Allocation RB(b)		4.50	%		03/01/16		2,500		2,645,150
Irvine (City of) (Reassessment District No. 13-1);
Series 2013, Limited Obligation Special Assessment RB		4.00	%		09/02/17		575		631,419
Series 2013, Limited Obligation Special Assessment RB		4.00	%		09/02/18		450		497,907
Irvine (City of) Public Facilities & Infrastructure Authority; Series 2012 A, Special Assessment RB		3.00	%		09/02/14		445		449,833
Kern Community College District; Series 2010, Ref. COP		4.00	%		04/01/14		2,000		2,006,940
Lake Tahoe Unified School District (Election of 2008); Series 2009, Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		08/01/24		1,000		1,113,140
Los Angeles (City of) Department of Airports (Los Angeles International Airport);
Series 2008 C, Sub. RB		5.00	%		05/15/28		1,000		1,110,910
Series 2009 A, Sr. RB		5.25	%		05/15/29		1,000		1,148,800
Los Angeles (City of) Harbor Department; Series 2009 C, Ref. RB		5.00	%		08/01/21		2,000		2,409,160
Los Angeles Unified School District (Election of 2004); Series 2009 I, Unlimited Tax GO Bonds		5.00	%		07/01/26		670		773,703
Madera (City of) Irrigation District; Series 2008, Ref. Water RB		5.00	%		01/01/23		2,250		2,415,848
Monterey (County of) (2009 Refinancing);
Series 2009, COP (INS–AGM)(a)		5.00	%		08/01/16		1,000		1,100,820
Series 2009, COP (INS–AGM)(a)		5.00	%		08/01/19		2,360		2,749,022
Murrieta (City of) Public Financing Authority; Series 2012, Ref. Special Tax RB		5.00	%		09/01/21		1,155		1,294,547
New Haven Unified School District; Series 2009, Ref. Unlimited Tax GO Bonds (INS–AGC)(a)		5.00	%		08/01/20		2,530		2,939,986
Northern California Power Agency;
Series 2010 A, Ref. Capital Facilities RB		4.00	%		08/01/14		1,000		1,015,430
Series 2010 A, Ref. Capital Facilities RB		4.00	%		08/01/16		1,000		1,081,760
Series 2010 A, Ref. Capital Facilities RB		5.00	%		08/01/20		1,000		1,162,620
Series 2010 A, Ref. Capital Facilities RB		5.00	%		08/01/21		1,000		1,137,220
Rowland Unified School District (Election of 2006); Series 2009 B, Unlimited Tax CAB GO Bonds(e)		0.00	%		08/01/23		1,300		924,105
Sacramento (County of);
Series 2009 B, Sr. Airport System RB		5.00	%		07/01/18		1,000		1,153,620
Series 2009 D, Sub. & Passenger Facility Charge Grant Airport System RB (INS–AGC)(a)		5.13	%		07/01/25		1,500		1,623,090
Series 2010, Ref. COP		5.00	%		02/01/16		4,665		5,004,379
Series 2010, Ref. COP		5.00	%		02/01/17		4,000		4,373,400
Series 2010, Ref. COP		5.25	%		02/01/18		3,000		3,341,760
Series 2010, Ref. COP		5.25	%		02/01/19		1,500		1,680,495
Series 2010, Sr. Airport System RB		5.00	%		07/01/23		500		561,185
San Diego (City of) Public Facilities Financing Authority; Series 2009 B, Ref. Sr. Sewer RB		5.00	%		05/15/14		500		505,245
San Francisco (City & County of) Airport Commission (San Francisco International Airport); Series 2009 E, Second Series RB		5.50	%		05/01/26		2,000		2,332,320
San Francisco (City & County of) Successor Agency to the Redevelopment Agency (Mission Bay South Redevelopment);
Series 2014 A, Tax Allocation RB		5.00	%		08/01/20		125		144,101
Series 2014 A, Tax Allocation RB		5.00	%		08/01/21		150		171,408
Series 2014 A, Tax Allocation RB		5.00	%		08/01/22		125		141,804
Santa Ana (City of) (Local Street Improvement); Series 2007, Gas Tax Revenue COP (INS–NATL)(a)		4.38	%		01/01/24		1,000		1,020,870
Torrance Unified School District (Election of 2008–Measure Z);
Series 2009 B-1, Unlimited Tax CAB GO Bonds(e)		0.00	%		08/01/22		1,900		1,451,011
Series 2009 B-1, Unlimited Tax CAB GO Bonds(e)		0.00	%		08/01/23		2,000		1,421,700
Twin Rivers Unified School District (School Facility Bridge Funding Program); Series 2007, COP (INS–AGM)(a)(b)		3.20	%		06/01/20		4,355		4,357,308

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

11                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
California–(continued)
Val Verde Unified School District; Series 2009 A, Ref. COP (INS–AGC)(a)		5.00	%		03/01/29	$	2,040	$	2,105,117
Vernon (City of);
Series 2009 A, Electric System RB		5.13	%		08/01/21		4,600		5,079,090
Series 2009 A, Electric System RB		5.50	%		08/01/15		625		667,719
West Contra Costa Unified School District (Election of 2005); Series 2008 B, Unlimited Tax GO Bonds		6.00	%		08/01/27		1,000		1,240,600
West Sacramento (City of) Area Flood Control Agency; Series 2008, Special Assessment RB		5.13	%		09/01/23		1,075		1,126,299
									126,268,073
Colorado–1.29%
Adams State College;
Series 2009 A, Auxiliary Facilities Improvement RB (CEP-Colorado Higher Education Intercept Program)		5.00	%		05/15/29		450		481,338
Series 2009 A, Auxiliary Facilities Improvement RB (CEP-Colorado Higher Education Intercept Program)		5.20	%		05/15/27		340		370,529
Aurora (City of) (The Children’s Hospital Association); Series 2004 D, Hospital RB (INS–AGM)(a)		5.00	%		12/01/20		1,000		1,128,470
Colorado (State of) Educational & Cultural Facilities Authority (The Classical Academy); Series 2008 A, Charter School RB		6.75	%		12/01/23		760		827,176
Colorado (State of) Health Facilities Authority (North Colorado Medical Center, Inc.);
Series 2003 A, Hospital RB (INS–AGM)(a)		5.00	%		05/15/15		1,000		1,051,190
Series 2003 A, Hospital RB (INS–AGM)(a)		5.25	%		05/15/26		1,000		1,081,960
Colorado (State of) Health Facilities Authority (Sisters of Charity of Leavenworth Health System); Series 2010 B, RB		5.00	%		01/01/19		2,795		3,266,517
Colorado School of Mines Board of Trustees; Series 2009 A, Ref. & Improvement Enterprise RB (CEP–Colorado Higher Education Intercept Program)		5.00	%		12/01/29		500		540,300
Denver School District No. 1; Series 2009 A, Unlimited Tax GO Bonds		5.00	%		12/01/28		1,000		1,139,010
Glenwood Springs (City of);
Series 2010, Ref. Sales & Use Tax RB		3.00	%		10/01/14		1,005		1,020,728
Series 2010, Ref. Sales & Use Tax RB		3.00	%		10/01/15		1,000		1,040,310
Northern Colorado Water Conservancy District; Series 2007 J, Ref. RB (INS–AMBAC)(a)		5.00	%		12/01/14		1,300		1,346,644
Public Authority for Colorado Energy;
Series 2008, Natural Gas Purchase RB		6.13	%		11/15/23		1,525		1,817,495
Series 2008, Natural Gas Purchase RB		6.25	%		11/15/28		2,000		2,359,260
									17,470,927
Connecticut–0.72%
Connecticut (State of) (Transportation Infrastructure); Series 2009 A, Special Tax Obligation RB		5.00	%		12/01/16		2,000		2,254,360
Connecticut (State of) Health & Educational Facilities Authority (Hartford Healthcare); Series 2011 A, RB		4.00	%		07/01/23		1,500		1,564,935
Connecticut (State of) Health & Educational Facility Authority (Sacred Heart University); Series 2012 H, Ref. RB (INS–AGM)(a)		4.00	%		07/01/22		2,590		2,823,825
Connecticut (State of); Series 2013 A, Floating Rate Unlimited Tax GO Bonds(d)		0.58	%		03/01/19		2,000		2,000,000
New Haven (City of) Solid Waste & Recycling Authority; Series 2008, RB		5.13	%		06/01/23		1,000		1,123,710
									9,766,830
Delaware–0.21%
Delaware (State of) Health Facilities Authority (Bayhealth Medical Center);
Series 2009 A, RB		4.05	%		07/01/22		1,000		1,040,910
Series 2009 A, RB		5.00	%		07/01/18		1,540		1,745,575
									2,786,485
District of Columbia–0.80%
District of Columbia (Center for Strategic & International Studies, Inc.); Series 2011, RB		4.75	%		03/01/17		2,035		2,075,822

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

12                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
District of Columbia–(continued)
District of Columbia (Georgetown University);
Series 2001 C, University RB(b)		5.25	%		04/01/23	$	2,000	$	2,232,340
Series 2009 A, Ref. University RB		5.00	%		04/01/15		2,000		2,100,220
Series 2011, University RB(b)		5.00	%		04/01/21		2,055		2,360,722
District of Columbia; Series 2011 E, Ref. Income Tax Sec. Floating Rate RB(d)		0.63	%		12/01/15		2,000		2,000,000
									10,769,104
Florida–5.08%
Broward (County of); Series 2009 O, Ref. Airport System RB		5.00	%		10/01/14		1,490		1,532,942
Citizens Property Insurance Corp. (Coastal Account); Series 2011 A-1, Sr. Sec. RB		5.00	%		06/01/20		1,000		1,159,620
Citizens Property Insurance Corp. (High Risk Account);
Series 2009 A-1, Sr. Sec. RB (INS–AGC)(a)		5.00	%		06/01/16		2,000		2,202,000
Series 2010 A-1, Sr. Sec. RB (INS–AGM)(a)		5.00	%		06/01/14		2,500		2,531,575
Series 2010 A-1, Sr. Sec. RB (INS–AGM)(a)		5.00	%		06/01/17		2,000		2,259,240
Citizens Property Insurance Corp.; Series 2012 A-1, Sr. Sec. RB		5.00	%		06/01/22		8,000		9,218,800
Florida (State of) Board of Education;
Series 2009 A, Lottery RB		5.00	%		07/01/23		2,000		2,284,040
Series 2009 A, Lottery RB		5.25	%		07/01/24		1,715		1,972,662
Florida (State of) Department of Education; Series 2006 A, Community College Capital Improvement RB (INS–NATL)(a)		5.00	%		07/01/18		1,335		1,482,077
Florida (State of) Municipal Power Agency (St. Lucie);
Series 2011 A, RB		4.00	%		10/01/16		500		543,175
Series 2011 A, RB		4.00	%		04/01/17		500		549,085
Florida Hurricane Catastrophe Fund Finance Corp.; Series 2010 A, RB		5.00	%		07/01/15		5,250		5,581,957
Gulf Breeze (City of) (2010 A Loan Program–Loans to City of Pensacola);
Series 2010 A, Capital Funding RB (INS–AGM)(a)		5.00	%		10/01/15		1,590		1,704,210
Series 2010 A, Capital Funding RB (INS–AGM)(a)		5.00	%		10/01/16		1,495		1,657,551
Gulf Breeze (City of) (Local Government Loan Program); Series 1985 J, RB(f)		4.50	%		12/01/20		3,050		3,469,680
Highlands (County of) Health Facilities Authority (Adventist Health System/Sunbelt Obligated Group);
Series 2005 I, Hospital RB		4.50	%		11/15/15		2,000		2,141,340
Series 2005 I, Hospital RB		5.00	%		11/15/16		2,000		2,240,120
JEA; Series 2009 Three A, Electric System RB(b)(c)		5.00	%		04/01/14		1,125		1,130,051
Kissimmee (City of) Utility Authority;
Series 2003, Ref. Electric System RB (INS–AGM)(a)		5.00	%		10/01/17		1,900		2,168,508
Series 2003, Ref. Electric System RB (INS–AGM)(a)		5.25	%		10/01/15		1,500		1,612,935
Series 2003, Ref. Electric System RB (INS–AGM)(a)		5.25	%		10/01/16		1,500		1,674,555
Lakeland (City of) (Lakeland Regional Health Systems); Series 2011, Ref. Hospital System RB		4.00	%		11/15/14		585		598,262
Miami (City of) (Homeland Defense); Series 2007, Ref. Limited Tax GO Bonds (INS–AGM)(a)		5.00	%		01/01/16		1,000		1,072,510
Miami (City of);
Series 1998, Ref. Parking System RB (INS–NATL)(a)		5.25	%		10/01/15		900		939,645
Series 2009, Ref. Parking System RB (INS–AGC)(a)		5.00	%		10/01/28		750		794,737
Miami-Dade (County of) (Double-Barreled Aviation); Series 2010, Unlimited Tax GO Bonds		5.00	%		07/01/17		500		571,330
Miami-Dade (County of) (Jackson Health System);
Series 2009, Public Facilities RB (INS–AGC)(a)		5.00	%		06/01/18		1,000		1,142,130
Series 2009, Public Facilities RB (INS–AGC)(a)		5.50	%		06/01/29		2,455		2,630,312
Miami-Dade (County of) (Miami International Airport);
Series 2009 A, Aviation RB (INS–AGC)(a)		5.00	%		10/01/27		120		129,097
Series 2009 B, Aviation RB (INS–AGC)(a)		5.00	%		10/01/26		1,000		1,082,010
Series 2009 B, Aviation RB (INS–AGC)(a)		5.00	%		10/01/29		1,000		1,061,200
Miami-Dade (County of);
Series 2008 C, Ref. Water & Sewer System RB (INS–BHAC)(a)		5.00	%		10/01/24		1,500		1,696,365
Series 2008 C, Ref. Water & Sewer System RB (INS–BHAC)(a)		5.13	%		10/01/25		1,525		1,727,947
Series 2008 C, Ref. Water & Sewer System RB (INS–BHAC)(a)		5.50	%		10/01/20		1,500		1,732,935
Orange (County of) Health Facilities Authority (Orlando Health, Inc.); Series 2009, Hospital RB		5.00	%		10/01/14		1,085		1,113,080

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

13                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Florida–(continued)
Pasco (County of); Series 2009 A, Water & Sewer RB		5.00	%		10/01/16	$	750	$	836,685
Port St. Lucie (City of) (Municipal Complex); Series 2008, Ref. Master Lease Project COP (INS–AGC)(a)		6.25	%		09/01/27		500		545,845
Volusia (County of) School Board; Series 2011, Ref. Sales Tax RB (INS–AGM)(a)		5.00	%		10/01/14		2,000		2,047,000
									68,837,213
Georgia–3.78%
Atlanta (City of);
Series 2009 B, Water & Wastewater RB (INS–AGM)(a)		4.13	%		11/01/19		970		1,108,244
Series 2009 B, Water & Wastewater RB (INS–AGM)(a)		5.00	%		11/01/17		1,500		1,725,795
Series 2009 B, Water & Wastewater RB (INS–AGM)(a)		5.00	%		11/01/20		1,500		1,733,520
Series 2009 B, Water & Wastewater RB (INS–AGM)(a)		5.00	%		11/01/21		1,500		1,703,550
Series 2009 B, Water & Wastewater RB (INS–AGM)(a)		5.25	%		11/01/27		2,000		2,332,960
Burke (County of) Development Authority (Oglethorpe Power Vogtle); Series 2013 A, PCR(b)		2.40	%		04/01/20		2,000		1,985,900
DeKalb (County of) Hospital Authority (DeKalb Medical Center, Inc.); Series 2010, RAC		5.25	%		09/01/20		2,440		2,626,514
Fayette (County of) Hospital Authority (Fayette Community Hospital);
Series 2009 A, RAC		4.38	%		06/15/20		2,500		2,772,875
Series 2009 A, RAC		4.50	%		06/15/21		2,500		2,735,750
Fulton (County of) Development Authority (Catholic Health East); Series 2010, Health System RB(c)		4.00	%		11/15/16		2,460		2,699,678
Fulton (County of) Development Authority (Piedmont Healthcare, Inc.); Series 2009 A, RB		5.00	%		06/15/29		2,830		3,042,703
Gainesville (City of) & Hall (County of) Development Authority (Acts Retirement-Life Community); Series 2012, Retirement Community RB		5.00	%		11/15/22		2,000		2,251,860
Gainesville (City of) & Hall (County of) Hospital Authority (Northeast Georgia Health System, Inc.); Series 2010 A, RAC		5.00	%		02/15/16		1,245		1,334,914
Glynn-Brunswick Memorial Hospital Authority (Southeast Georgia Health System);
Series 2008 A, RAC		5.00	%		08/01/20		1,000		1,098,880
Series 2008 A, RAC		5.25	%		08/01/23		1,000		1,078,220
Gwinnett (County of) Hospital Authority (Gwinnett Hospital System, Inc.); Series 2007 D, RAC (INS–AGM)(a)		5.25	%		07/01/29		2,000		2,111,180
Macon-Bibb (County of) Hospital Authority (Medical Center of Central Georgia, Inc.);
Series 2009, RAC		4.00	%		08/01/19		635		705,599
Series 2009, RAC		5.00	%		08/01/24		1,260		1,420,285
Medical Center Hospital Authority (Columbus Regional Healthcare System, Inc.);
Series 2010, RAC (INS–AGM)(a)		3.50	%		08/01/20		2,000		2,128,000
Series 2010, RAC (INS–AGM)(a)		5.00	%		08/01/21		1,500		1,689,585
Private Colleges & Universities Authority (Mercer University);
Series 2012 A, RB		4.00	%		10/01/14		585		594,500
Series 2012 A, RB		4.00	%		10/01/16		1,660		1,765,294
Series 2012 C, RB		5.25	%		10/01/27		1,000		1,069,450
Richmond (County of) Hospital Authority (University Health Services, Inc.); Series 2009, RAC		5.25	%		01/01/29		2,500		2,644,075
South Regional Joint Development Authority (Valdosta State University Parking & Health Center);
Series 2007, RB (INS–SGI)(a)		5.00	%		08/01/20		1,385		1,536,145
Series 2007, RB (INS–SGI)(a)		5.00	%		08/01/21		1,490		1,680,318
Series 2007, RB (INS–SGI)(a)		5.00	%		08/01/22		605		682,277
Thomasville (City of) Hospital Authority (John D. Archbold Memorial Hospital, Inc.); Series 2010, RAC		4.75	%		11/01/25		750		759,997
Valdosta (City of) & Lowndes (County of) Hospital Authority (South Medical Center); Series 2011 B, RB		5.00	%		10/01/24		2,000		2,232,300
									51,250,368
Guam–0.78%
Guam (Territory of) (Section 30); Series 2009 A, Limited Obligation RB		5.00	%		12/01/15		1,085		1,146,509
Guam (Territory of) Power Authority;
Series 2012 A, Ref. RB (INS–AGM)(a)		5.00	%		10/01/19		1,000		1,153,920
Series 2012 A, Ref. RB (INS–AGM)(a)		5.00	%		10/01/20		1,595		1,839,290
Series 2012 A, Ref. RB (INS–AGM)(a)		5.00	%		10/01/23		2,000		2,272,520
Series 2012 A, Ref. RB (INS–AGM)(a)		5.00	%		10/01/24		2,250		2,517,525
Series 2012 A, Ref. RB (INS–AGM)(a)		5.00	%		10/01/25		1,500		1,660,680
									10,590,444

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

14                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Idaho–0.64%
Idaho (State of) Health Facilities Authority (Trinity Health Credit Group); Series 2008 B, Ref. RB		5.63	%		12/01/19	$	1,000	$	1,175,130
Idaho (State of) Housing & Finance Association (Federal Highway Trust Fund); Series 2009 A, Grant & RAB		5.25	%		07/15/25		500		552,535
Idaho (State of) Housing & Finance Association;
Series 2008 D, Class III, Single Family Mortgage RB		5.35	%		01/01/29		260		265,720
Series 2009 B, Class III, Single Family Mortgage RB		5.65	%		07/01/26		290		305,912
Regents of the University of Idaho;
Series 2007 B, General RB (INS–AGM)(a)(b)		4.50	%		04/01/18		1,760		1,959,162
Series 2011, Ref. General RB(b)		5.25	%		04/01/21		3,850		4,473,738
									8,732,197
Illinois–6.06%
Bolingbrook (Village of); Series 2010 A, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		01/01/23		1,260		1,385,206
Bourbonnais (Village of) (Olivet Nazarene University); Series 2010, Industrial Project RB		5.13	%		11/01/25		1,145		1,206,017
Chicago (City of) (Midway Airport); Series 2013 B, Ref. Second Lien RB		5.00	%		01/01/20		2,000		2,327,400
Chicago (City of) (O’Hare International Airport);
Series 2008 A, Ref. Passenger Facility Charge RB (INS–AGM)(a)		5.00	%		01/01/16		1,400		1,516,550
Series 2010 C, Third Lien General Airport RB (INS–AGC)(a)		5.25	%		01/01/21		1,025		1,183,004
Chicago (City of) Board of Education; Series 2013 A3, Ref. Floating Rate Unlimited Tax GO Bonds(b)(d)		0.86	%		06/02/18		10,000		10,000,000
Chicago (City of) Transit Authority (FTA Section 5309 Fixed Guideway Modernization Formula Funds); Series 2008 A, Capital Grant Receipts RB (INS–AGC)(a)		5.25	%		06/01/23		2,500		2,719,250
Cook (County of);
Series 2004 A, Ref. Unlimited Tax GO Bonds(b)(c)		5.00	%		05/15/14		1,590		1,622,547
Series 2004 A, Ref. Unlimited Tax GO Bonds(b)(c)		5.00	%		05/15/14		3,410		3,479,803
Series 2009 A, Ref. Unlimited Tax GO Bonds		5.00	%		11/15/19		2,015		2,349,006
Series 2009 C, Ref. Unlimited Tax GO Bonds		5.00	%		11/15/20		5,150		5,873,781
Cook County School District No. 144 (Prairie Hills);
Series 2010 A, School Limited Tax GO Bonds(c)		4.00	%		12/01/16		870		953,215
Series 2010 A, School Limited Tax GO Bonds(c)		4.25	%		12/01/20		555		642,956
DeKalb County Community Unit School District No. 428;
Series 2010, School Building Unlimited Tax CAB GO Bonds(e)		0.00	%		01/01/19		1,000		903,370
Series 2010, School Building Unlimited Tax CAB GO Bonds(e)		0.00	%		01/01/20		1,000		859,930
Illinois (State of) Finance Authority (Advocate Health Care Network);
Series 2003 A, RB(b)		4.38	%		07/01/14		640		648,928
Series 2010 D, Ref. RB		5.00	%		04/01/20		1,200		1,373,280
Illinois (State of) Finance Authority (OSF Healthcare System); Series 2009 A, RB(b)(c)		7.00	%		11/17/14		1,000		1,049,440
Illinois (State of) Finance Authority (Resurrection Health Care Corp.); Series 1999 A, RB (INS–AGM)(a)		5.00	%		05/15/17		2,000		2,188,140
Illinois (State of) Finance Authority (Southern Illinois Healthcare Enterprises, Inc.);
Series 2005, RB (INS–AGM)(a)		5.25	%		03/01/22		1,275		1,442,650
Series 2005, RB (INS–AGM)(a)		5.25	%		03/01/23		1,500		1,677,600
Illinois (State of) Finance Authority (The University of Chicago Medical Center); Series 2009 C, RB		5.25	%		08/15/29		2,015		2,049,718
Illinois (State of);
Series 2010, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		01/01/16		1,000		1,082,480
Series 2010, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		01/01/17		800		889,784
Series 2012, Ref. Unlimited Tax GO Bonds		5.00	%		08/01/24		2,000		2,201,240
Series 2012, Ref. Unlimited Tax GO Bonds		5.00	%		08/01/25		2,000		2,181,640
Series 2013, Unlimited Tax GO Bonds		5.00	%		07/01/21		2,500		2,862,725
Series 2014, Unlimited Tax GO Bonds		5.00	%		02/01/20		2,500		2,866,350
Joliet (City of); Series 2012, Ref. Waterworks & Sewage RB		4.00	%		01/01/15		1,000		1,029,570
Kane & DeKalb Counties Community Unit School District No. 302 (Kaneland); Series 2008, School Building Unlimited Tax GO Bonds (INS–AGM)(a)		5.50	%		02/01/28		1,500		1,611,330
Kendall (County of) Forest Preserve District; Series 2007, Unlimited Tax GO Bonds (INS–NATL)(a)		5.25	%		01/01/23		4,000		4,510,720

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

15                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Illinois–(continued)
Kendall, Kane & Will Counties Community Unit School District No. 308;
Series 2007, Unlimited Tax GO Bonds (INS–AGC)(a)		5.00	%		02/01/23	$	5,795	$	6,385,047
Series 2007 A, Ref. Unlimited Tax GO Bonds (INS–NATL)(a)		4.38	%		10/01/21		1,020		1,106,119
Northern Illinois Municipal Power Agency (Prairie State Power); Series 2007 A, RB (INS–NATL)(a)		5.00	%		01/01/19		1,000		1,119,230
Railsplitter Tobacco Settlement Authority; Series 2010, RB		5.50	%		06/01/23		1,000		1,156,060
St. Clair (County of) (Alternative Revenue Source);
Series 2009, Ref. Unlimited Tax GO Bonds		5.00	%		10/01/19		1,000		1,179,960
Series 2009, Ref. Unlimited Tax GO Bonds		5.00	%		10/01/21		1,480		1,674,413
Will County Community Unit School District No. 365 (Valley View); Series 2011 B, Ref. Unlimited Tax GO Bonds		5.00	%		11/01/17		1,060		1,210,446
Will, Grundy, Etc. Counties Community College District No. 525 (Joliet Junior College);
Series 2008, Unlimited Tax GO Bonds(b)(c)		5.75	%		06/01/18		240		288,574
Series 2008, Unlimited Tax GO Bonds		5.75	%		06/01/27		1,195		1,322,674
									82,130,153
Indiana–1.00%
Clark-Pleasant Middle School Building Corp.; Series 2009, First Mortgage RB		5.00	%		07/15/22		1,000		1,120,000
Indiana (State of) Health Facility Financing Authority (Ascension Health Subordinate Credit Group); Series 2005 A-6, RB(b)		5.00	%		06/01/14		3,500		3,542,875
Indiana (State of) Municipal Power Agency;
Series 2011 A, Power Supply System RB		5.00	%		01/01/21		250		293,447
Series 2011 A, Power Supply System RB		5.00	%		01/01/22		250		292,498
Indianapolis Local Public Improvement Bond Bank (Waterworks); Series 2009 A, RB (INS–AGC)(a)		5.25	%		01/01/29		1,040		1,129,773
Monroe County Community 1996 School Building Corp.; Series 2008, First Mortgage RB (INS–AGM)(a)		5.13	%		01/15/24		2,285		2,609,744
Portage (City of) Redevelopment District; Series 2008, Ref. Tax Increment Allocation RB (INS–AGC)(a)		5.00	%		01/15/22		2,470		2,646,877
Rockport (City of) (Indiana Michigan Power Co.);
Series 2009 A, Ref. PCR(b)		6.25	%		06/02/14		1,000		1,014,020
Series 2009 B, Ref. PCR(b)		6.25	%		06/02/14		500		507,010
University of Southern Indiana; Series 2009 J, Student Fee RB (INS–AGC)(a)		5.00	%		10/01/23		400		442,516
									13,598,760
Iowa–1.64%
Ames (City of) (Mary Greeley Medical Center); Series 2011, Hospital RB		5.38	%		06/15/28		1,825		1,941,417
Iowa (State of) Finance Authority (Iowa Health System);
Series 2005 A, Health Facilities RB (INS–AGC)(a)		5.00	%		02/15/18		1,000		1,145,420
Series 2005 A, Health Facilities RB (INS–AGC)(a)		5.00	%		02/15/19		500		581,465
Iowa (State of) Finance Authority (Mercy Medical Center); Series 2012, Health Facilities RB		4.00	%		08/15/21		1,830		1,984,891
Iowa Student Loan Liquidity Corp.;
Series 2009 1, RB		5.00	%		12/01/15		2,500		2,660,075
Series 2009 1, RB		5.00	%		12/01/16		2,525		2,763,082
Series 2009 1, RB		5.25	%		12/01/17		2,500		2,812,150
Series 2009 1, RB		5.25	%		12/01/18		2,500		2,845,200
Series 2009 2, RB		5.40	%		12/01/23		2,500		2,663,050
Series 2009 3, RB		5.00	%		12/01/19		2,500		2,824,775
									22,221,525
Kansas–0.34%
Dodge City (City of); Series 2009, Sales Tax RB (INS–AGC)(a)		5.00	%		06/01/21		1,000		1,143,070
Kansas (State of) Development Finance Authority (Adventist Health System/Sunbelt Obligated Group);
Series 2009 C, Hospital RB		5.00	%		11/15/16		1,000		1,117,760
Series 2009 D, Hospital RB		5.00	%		11/15/24		1,585		1,773,821
Kansas (State of) Development Finance Authority (University of Kansas Health System); Series 2011 H, Health Facilities RB		5.00	%		03/01/24		500		543,995
									4,578,646

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

16                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Kentucky–3.13%
Christian (County of) (Jennie Stuart Medical Center, Inc.); Series 2006, Ref. Hospital RB (INS–AGC)(a)		5.25	%		02/01/28	$	1,030	$	1,067,214
Kentucky (State of) Economic Development Finance Authority (Louisville Arena Authority, Inc.); Subseries 2008 A-1, RB (INS–AGC)(a)		5.75	%		12/01/28		550		579,051
Kentucky (State of) Municipal Power Agency (Prairie State);
Series 2010 A, Power System RB (INS–AGM)(a)		4.00	%		09/01/16		800		865,904
Series 2010 A, Power System RB (INS–AGM)(a)		5.00	%		09/01/21		5,860		6,748,141
Series 2010 A, Power System RB (INS–AGM)(a)		5.00	%		09/01/22		4,560		5,178,701
Series 2010 A, Power System RB (INS–AGM)(a)		5.00	%		09/01/23		1,000		1,120,680
Kentucky (State of) Public Transportation Infrastructure Authority (Downtown Crossing); Series 2013 A, Sub. Toll Revenue BAN		5.00	%		07/01/17		5,000		5,589,900
Louisville (City of) & Jefferson (County of) Metropolitan Government (Louisville Gas & Electric Co.); Series 2005 A, PCR(b)		2.20	%		08/01/19		3,000		3,059,340
Louisville (City of) & Jefferson (County of) Metropolitan Sewer District;
Series 2009 B, Sewer & Drainage System RB		5.00	%		05/15/14		1,500		1,515,585
Series 2009 B, Sewer & Drainage System RB		5.00	%		05/15/15		2,500		2,645,650
Series 2009 B, Sewer & Drainage System RB		5.00	%		05/15/20		10,000		11,816,400
Paducah (City of) Electric Plant Board; Series 2009 A, RB (INS–AGC)(a)		5.00	%		10/01/24		2,000		2,235,100
									42,421,666
Louisiana–4.01%
Greater New Orleans Expressway Commission; Series 2009, Ref. RB (INS–AGC)(a)		2.75	%		11/01/14		600		609,366
Jefferson (Parish of) Hospital Service District No. 1 (West Jefferson Medical Center); Series 1998 B, Hospital RB (INS–AGM)(a)		5.25	%		01/01/28		1,000		1,054,440
Louisiana (State of) Energy & Power Authority (Rodemacher Unit No. 2); Series 2013, Power RB		5.00	%		01/01/21		1,100		1,272,293
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (BRCC Facilities Corp.);
Series 2011, Ref. RB (INS–AGM)(a)		3.00	%		12/01/15		1,750		1,829,590
Series 2011, Ref. RB (INS–AGM)(a)		4.00	%		12/01/17		1,690		1,878,604
Series 2011, Ref. RB (INS–AGM)(a)		4.00	%		12/01/18		1,775		1,970,356
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (Caddo/Bossier Parishes Port Commission); Series 2010, Ref. RB (INS–AGM)(a)		4.00	%		04/01/18		1,600		1,779,376
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (City of Lake Charles Public Improvement); Series 2010, RB (INS–AGC)(a)		3.00	%		05/01/14		1,000		1,004,550
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (City of Lake Charles);
Series 2009, Ref. RB (INS–AGC)(a)		4.00	%		04/01/16		1,435		1,530,356
Series 2009, Ref. RB (INS–AGC)(a)		4.00	%		04/01/18		1,555		1,722,100
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (Jefferson Parish); Series 2009 A, Ref. RB		5.00	%		04/01/18		1,000		1,144,820
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (Louisiana Community & Technical College System Facilities Corp.); Series 2009 B, RB (INS–AGC)(a)		5.00	%		10/01/26		1,500		1,608,795
Louisiana (State of) Local Government Environmental Facilities & Community Development Authority (Monroe Regional Airport Terminal); Series 2009, Airport RB (INS–AGC)(a)		5.00	%		02/01/29		1,000		1,070,490
Louisiana (State of) Offshore Terminal Authority (Loop LCC); Series 2007 B-2A, Deepwater Port RB(b)		2.13	%		10/01/15		1,000		1,018,670
Louisiana (State of) Public Facilities Authority (Black & Gold Facilities); Series 2007 A, RB (INS–AGC)(a)		5.00	%		07/01/22		500		526,505
Louisiana (State of) Public Facilities Authority (CHRISTUS Health);
Series 2008 B, Ref. RB (INS–AGC)(a)		5.75	%		07/01/18		620		671,962
Series 2009 A, Ref. RB		5.00	%		07/01/15		1,000		1,054,130
Series 2009 A, Ref. RB		5.00	%		07/01/16		1,000		1,089,170
Series 2009 A, Ref. RB		5.25	%		07/01/20		1,000		1,166,070
Louisiana (State of) Public Facilities Authority (Hurricane Recovery Program); Series 2007, RB (INS–AMBAC)(a)		5.00	%		06/01/18		1,000		1,098,800
Louisiana (State of) Public Facilities Authority (Nineteenth Judicial District Court Building); Series 2007, RB (INS–NATL)(a)		4.50	%		06/01/21		1,000		1,046,940

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

17                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Louisiana–(continued)
Louisiana (State of) Stadium & Exposition District; Series 2013 A, Ref. Sr. RB		5.00	%		07/01/24	$	1,500	$	1,699,650
Louisiana Citizens Property Insurance Corp.;
Series 2006 B, Assessment RB (INS–AMBAC)(a)		5.00	%		06/01/16		1,000		1,090,690
Series 2006 B, Assessment RB (INS–AMBAC)(a)		5.25	%		06/01/14		1,280		1,295,693
Series 2006 C-3, Assessment RB (INS–AGC)(a)		6.13	%		06/01/25		1,550		1,780,718
Series 2012, Ref. RB		5.00	%		06/01/24		1,020		1,129,497
New Orleans (City of) Aviation Board (Consolidated Rental Car);
Series 2009 A, Gulf Opportunity Zone Customer Facility Charge RB		5.00	%		01/01/16		1,250		1,334,938
Series 2009 A, Gulf Opportunity Zone Customer Facility Charge RB		5.13	%		01/01/17		1,730		1,901,512
Series 2009 A, Gulf Opportunity Zone Customer Facility Charge RB		5.25	%		01/01/18		1,575		1,770,473
Series 2009 A, Gulf Opportunity Zone Customer Facility Charge RB		5.50	%		01/01/19		1,100		1,265,000
Series 2009 A, Gulf Opportunity Zone Customer Facility Charge RB		5.75	%		01/01/20		1,890		2,160,516
Series 2009 A, Gulf Opportunity Zone Customer Facility Charge RB		6.00	%		01/01/25		1,000		1,124,380
New Orleans (City of) Aviation Board;
Series 2009 A-1, Ref. & Restructuring General Airport RB (INS–AGC)(a)		5.00	%		01/01/19		500		576,995
Series 2009 A-1, Ref. & Restructuring General Airport RB (INS–AGC)(a)		6.00	%		01/01/23		1,025		1,168,264
New Orleans (City of); Series 2009, Ref. Sewerage Service RB (INS–AGC)(a)		6.25	%		06/01/29		1,000		1,124,580
Plaquemines (Parish of) Law Enforcement District;
Series 2009, Limited Tax GO Bonds		4.00	%		09/01/14		415		421,167
Series 2009, Limited Tax GO Bonds		4.50	%		09/01/17		1,350		1,479,222
Terrebonne (Parish of) Hospital Service District No. 1 (Terrebonne General Medical Center); Series 2010, Ref. RB		4.00	%		04/01/20		1,000		1,079,270
Tobacco Settlement Financing Corp.; Series 2013 A, Ref. Asset-Backed RB		5.00	%		05/15/22		5,000		5,715,200
									54,265,148
Maine–0.54%
Lewiston (City of) (UBS Financial Services, Inc.);
Series 2008 B, Unlimited Tax GO School Bonds (INS–AGM)(a)		5.00	%		12/15/19		750		840,285
Series 2008 B, Unlimited Tax GO School Bonds (INS–AGM)(a)		5.00	%		12/15/20		870		973,156
Series 2008 B, Unlimited Tax GO School Bonds (INS–AGM)(a)		5.50	%		12/15/23		950		1,073,253
Maine (State of) Health & Higher Educational Facilities Authority (Eastern Maine Medical Center Obligated Group);
Series 2013, RB		5.00	%		07/01/22		300		340,194
Series 2013, RB		5.00	%		07/01/25		1,290		1,422,457
Maine (State of) Housing Authority; Series 2009 B, Mortgage Purchase RB		5.00	%		11/15/29		2,500		2,603,550
									7,252,895
Maryland–0.32%
Baltimore (City of) (Water); Series 2009 A, Sub. Project RB		5.13	%		07/01/29		250		276,295
Maryland (State of) Health & Higher Educational Facilities Authority (LifeBridge Health);
Series 2008, RB		5.00	%		07/01/18		1,000		1,115,030
Series 2008, RB (INS–AGC)(a)		5.00	%		07/01/20		1,000		1,086,010
Maryland (State of) Health & Higher Educational Facilities Authority (The Johns Hopkins Health System Obligated Group); Series 2008 B, RB(b)		5.00	%		05/15/15		715		756,549
Montgomery (County of) Housing Opportunities Commission; Series 2009 A, Single Family Mortgage RB		3.38	%		07/01/16		1,000		1,060,940
									4,294,824
Massachusetts–1.15%
Massachusetts (State of) Development Finance Agency (Cape Cod Healthcare Obligated Group); Series 2004 D, RB (INS–AGC)(a)		4.00	%		11/15/17		730		805,000
Massachusetts (State of) Development Finance Agency (Dominion Energy Brayton); Series 2010 A, RB(b)(c)		2.25	%		09/01/16		920		962,522
Massachusetts (State of) Development Finance Agency (Lesley University); Series 2009 A, RB (INS–AGC)(a)		5.00	%		07/01/23		1,095		1,227,276

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

18                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Massachusetts–(continued)
Massachusetts (State of) Development Finance Agency (Partners HealthCare System); Series 2014 M, Floating Rate RB(b)(d)		0.58	%		01/30/18	$	8,930	$	8,930,000
Massachusetts (State of) Development Finance Agency (Suffolk University); Series 2009 A, Ref. RB		6.00	%		07/01/24		1,500		1,696,020
Worcester (City of); Series 2009, Limited Tax GO Bonds (INS–AGC)(a)		4.00	%		11/01/16		1,860		2,012,781
									15,633,599
Michigan–4.05%
Adrian City School District; Series 2007, Ref. Unlimited Tax GO Bonds (INS–AGM)(a)		5.50	%		05/01/15		755		801,523
Battle Creek (City of); Series 2008, Ref. Downtown Development Limited Tax GO Bonds (INS–AMBAC)(a)		5.00	%		05/01/15		1,110		1,172,748
Central Michigan University Board of Trustees; Series 2009, Ref. General RB		5.00	%		10/01/14		1,510		1,550,679
Hastings Area School System; Series 2009, Ref. Unlimited Tax GO Bonds (INS–AGC)(a)		3.25	%		05/01/15		1,475		1,516,492
Michigan (State of) Building Authority (Facilities Program);
Series 2009 I, Ref. RB (INS–AGC)(a)		5.00	%		10/15/23		7,150		8,071,992
Series 2009 I, Ref. RB (INS–AGC)(a)		5.25	%		10/15/24		1,040		1,182,896
Series 2009 II, RB		4.00	%		10/15/15		1,000		1,058,550
Series 2009 II, RB		4.00	%		10/15/16		1,950		2,124,213
Series 2009 II, RB (INS–AGM)(a)		5.00	%		10/15/21		1,180		1,323,287
Series 2009 II, RB (INS–AGM)(a)		5.00	%		10/15/22		520		577,429
Michigan (State of) Hospital Finance Authority (Ascension Health Senior Credit Group); Series 2010 F-3, Ref. & Project RB(b)		2.63	%		06/30/14		2,700		2,721,195
Michigan (State of) Hospital Finance Authority (Henry Ford Health System);
Series 2009, Ref. RB		4.00	%		11/15/14		655		667,956
Series 2009, Ref. RB		5.00	%		11/15/19		1,500		1,701,240
Series 2009, Ref. RB		5.50	%		11/15/18		1,000		1,143,230
Michigan (State of) Hospital Finance Authority (McLaren Health Care Corp.); Series 2008 A, Ref. RB		5.25	%		05/15/18		1,100		1,274,460
Michigan (State of) Municipal Bond Authority (Local Government Loan Program);
Series 2009 A, City of Grand Rapids Downtown Development Limited Tax GO Bonds		5.00	%		05/01/21		1,515		1,692,710
Series 2009 A, City of Grand Rapids Downtown Development Limited Tax GO Bonds		5.13	%		05/01/23		300		329,160
Series 2009 A, City of Grand Rapids Downtown Development Limited Tax GO Bonds		5.25	%		05/01/24		500		548,220
Series 2009 C, State Qualified School Limited Obligation Bonds (CEP–Michigan School Bond Loan Fund)		5.00	%		05/01/15		1,850		1,947,144
Series 2009 C, State Qualified School Limited Obligation Bonds (CEP–Michigan School Bond Loan Fund)		5.00	%		05/01/16		1,860		2,034,096
Michigan (State of);
Series 2009, Ref. & State Trunk Line Fund RB		5.00	%		11/01/19		3,000		3,556,680
Series 2009, Ref. & State Trunk Line Fund RB		5.00	%		11/01/23		1,500		1,668,225
Royal Oak (City of) Hospital Finance Authority (William Beaumont Hospital Obligated Group);
Series 2009 W, Ref. RB		5.00	%		08/01/15		1,000		1,053,570
Series 2009 W, Ref. RB		5.25	%		08/01/16		3,000		3,268,620
Series 2009 W, Ref. RB		5.25	%		08/01/17		2,000		2,228,160
Series 2009 W, Ref. RB		5.50	%		08/01/19		1,775		2,048,616
Southgate Community School District; Series 2005, Ref. Unlimited Tax GO Bonds (INS–NATL)(a)		5.00	%		05/01/18		1,710		1,791,567
Wayne State University Board of Governors; Series 2009 A, Ref. General RB		5.00	%		11/15/17		2,000		2,299,620
Ypsilanti School District;
Series 2009, Ref. Unlimited Tax GO Bonds (INS–AGC)(a)		4.00	%		05/01/14		1,985		1,998,002
Series 2009, Ref. Unlimited Tax GO Bonds (INS–AGC)(a)		5.00	%		05/01/18		1,270		1,471,854
									54,824,134
Minnesota–2.12%
Duluth Independent School District No. 709;
Series 2009 B, COP		4.00	%		03/01/14		1,360		1,360,313
Series 2009 B, COP		4.00	%		03/01/15		1,400		1,435,588

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

19                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Minnesota–(continued)
Minneapolis & St. Paul (Cities of) Housing & Redevelopment Authority (Children’s Health Care);
Series 1995 B, Health Care RB (INS–AGM)(a)		5.00	%		08/15/19	$	1,400	$	1,641,500
Series 1995 B, Health Care RB (INS–AGM)(a)		5.00	%		08/15/21		1,350		1,560,883
Series 2010 A, Health Care Facilities RB		5.00	%		08/15/20		730		861,093
Minneapolis & St. Paul (Cities of) Metropolitan Airports Commission;
Series 2007 B, Ref. Sub. RB (INS–NATL)(a)		5.00	%		01/01/19		2,930		3,223,234
Series 2009 A, Ref. Sr. RB		4.00	%		01/01/16		135		143,844
Series 2009 A, Ref. Sr. RB		5.00	%		01/01/20		1,000		1,136,520
Series 2011, Ref. RB		5.00	%		01/01/20		1,500		1,761,810
Series 2011, Ref. RB		5.00	%		01/01/21		1,240		1,457,223
Minnesota (State of) Agricultural & Economic Development Board (Essentia Health Obligated Group);
Series 2008 C-1, Health Care Facilities RB (INS–AGC)(a)		4.00	%		02/15/20		1,500		1,665,870
Series 2008 C-1, Health Care Facilities RB (INS–AGC)(a)		5.00	%		02/15/16		570		615,914
Series 2008 C-1, Health Care Facilities RB (INS–AGC)(a)		5.00	%		02/15/21		1,500		1,722,360
Minnesota (State of) Higher Education Facilities Authority (University of St. Thomas);
Series 2009 Seven-A, RB		4.00	%		10/01/15		1,000		1,058,460
Series 2009 Seven-A, RB		4.00	%		10/01/16		1,000		1,088,110
Series 2009 Seven-A, RB		4.50	%		10/01/22		1,000		1,102,780
Series 2009 Six-X, RB		5.00	%		04/01/24		500		558,200
Minnesota (State of) Housing Finance Agency;
Series 2009 A, Residential RB		5.20	%		01/01/23		365		386,185
Series 2009 B, Residential RB		5.45	%		07/01/24		340		364,283
St. Cloud (City of) (CentraCare Health System);
Series 2010 A, Health Care RB		5.00	%		05/01/15		500		527,015
Series 2010 B, Health Care RB		5.00	%		05/01/16		1,000		1,094,930
St. Paul (City of) Housing & Redevelopment Authority (Gillette Children’s Specialty Healthcare);
Series 2009, Health Care RB		5.00	%		02/01/16		1,470		1,572,709
Series 2009, Health Care RB		5.25	%		02/01/21		2,175		2,388,128
									28,726,952
Mississippi–0.56%
Alcorn State University Educational Building Corp. (Student Housing); Series 2009 A, RB		4.63	%		09/01/26		1,695		1,808,005
Mississippi (State of) Development Bank (Jackson County Limited Tax Note); Series 2009, Special Obligation RB (INS–AGC)(a)		5.00	%		07/01/24		1,000		1,096,450
Mississippi (State of) Development Bank (Lowndes County Industrial Development); Series 2007, Special Obligation RB (INS–AGM)(a)		5.00	%		07/01/19		1,160		1,311,844
Mississippi (State of) Development Bank (Mississippi Power Co.); Series 2007 A, Special Obligation RB (INS–AMBAC)(a)		5.00	%		07/01/16		1,000		1,089,050
Mississippi (State of) Hospital Equipment & Facilities Authority (Baptist Memorial Health Care); Series 2004 B-2, RB		5.00	%		09/01/23		1,975		2,236,826
									7,542,175
Missouri–1.41%
Cass (County of); Series 2007, Hospital RB		5.00	%		05/01/17		500		530,800
Kansas City (City of);
Series 2008 A, Ref. General Improvement Airport RB(c)		4.00	%		09/01/14		1,000		1,019,430
Series 2010 B, Ref. Special Obligation Tax Allocation RB		4.13	%		01/01/21		2,000		2,165,940
Ladue School District; Series 2007, Ref. & Improvement Unlimited Tax GO Bonds		5.00	%		03/01/25		1,250		1,396,500
Missouri (State of) Health & Educational Facilities Authority (SSM Health Care);
Series 2010 B, Health Facilities RB		5.00	%		06/01/19		1,000		1,163,740
Series 2010 B, Health Facilities RB		5.00	%		06/01/21		4,645		5,345,188
Missouri (State of) Health & Educational Facilities Authority (St. Luke’s Health System, Inc.); Series 2010 A, RB		5.00	%		11/15/20		1,000		1,176,750
St. Charles (City of); Series 2012, COP		2.00	%		05/01/15		1,885		1,917,384

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

20                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Missouri–(continued)
St. Louis (City of) (Lambert–St. Louis International Airport); Series 2007 A, Ref. Airport RB (INS–AGM)(a)		5.00	%		07/01/20	$	1,125	$	1,258,065
St. Louis (County of) Industrial Development Authority (Friendship Village of Sunset Hills); Series 2013 A, Senior Living Facilities RB		5.00	%		09/01/23		1,385		1,475,025
St. Louis Municipal Finance Corp. (Convention Center Capital Improvement); Series 2008, Leasehold RB (INS–AGC)(a)		5.00	%		07/15/21		1,500		1,604,505
									19,053,327
Montana–0.56%
Gallatin (County of) Airport Authority (Passenger Facility Charge Supported); Series 2009, RB		4.38	%		06/01/29		1,500		1,545,735
Helena (City of); Series 2009, COP		5.00	%		01/01/29		400		429,904
Montana (State of) Facility Finance Authority (Kalispell Regional Medical Center Obligated Group); Series 2010, Health Care Facilities RB		5.00	%		07/01/30		400		425,192
Montana (State of) Facility Finance Authority (Master Loan Program–Glendive Medical Center, Inc.); Series 2008 A, Health Care Facilities RB (CEP–State of Montana Board of Investments)		4.63	%		07/01/18		1,010		1,160,753
Montana (State of) Facility Finance Authority (Sisters of Charity of Leavenworth Health System);
Series 2010 B, Ref. RB		4.00	%		01/01/20		1,000		1,107,690
Series 2010 B, Ref. RB		5.00	%		01/01/19		2,500		2,912,825
									7,582,099
Nevada–2.47%
Carson City (City of) (Carson-Tahoe Regional Medical Center); Series 2012, Ref. Hospital RB		5.00	%		09/01/27		2,000		2,078,160
Clark (County of);
Series 2006, Bond Bank Limited Tax GO Bonds (INS–AMBAC)(a)		5.00	%		11/01/21		5,235		5,832,418
Series 2009 C, Sub. Lien Airport System RB (INS–AGM)(a)		5.00	%		07/01/22		1,000		1,140,650
Series 2009 C, Sub. Lien Airport System RB (INS–AGM)(a)		5.00	%		07/01/23		4,000		4,543,160
Series 2009 C, Sub. Lien Airport System RB (INS–AGM)(a)		5.00	%		07/01/24		1,855		2,104,887
Series 2009 C, Sub. Lien Airport System RB (INS–AGM)(a)		5.00	%		07/01/25		1,500		1,692,405
Sr. Series 2010 D, Airport System RB		4.00	%		07/01/17		2,000		2,210,260
Clark County School District; Series 2004 A, Ref. Limited Tax GO Bonds (INS–AGM)(a)		5.00	%		06/15/16		5,000		5,069,250
Humboldt (County of) (Idaho Power Co.); Series 2003, Ref. PCR		5.15	%		12/01/24		4,100		4,483,104
Las Vegas (City of) Valley Water District; Series 2009 D, Ref. Limited Tax GO Bonds		5.00	%		06/01/16		500		550,600
Reno (City of) (Washoe Medical Center);
Series 2004 C, Hospital RB (INS–AGM)(a)		5.00	%		06/01/15		750		788,603
Series 2004 C, Hospital RB (INS–AGM)(a)		5.00	%		06/01/17		1,365		1,525,114
Series 2005 A, Hospital RB (INS–AGM)(a)		5.25	%		06/01/17		1,300		1,462,825
									33,481,436
New Hampshire–0.38%
Manchester (City of);
Series 2009 A, Ref. General Airport RB		5.00	%		01/01/15		1,750		1,806,770
Series 2009 A, Ref. General Airport RB		5.00	%		01/01/17		500		546,375
New Hampshire (State of) Health & Education Facilities Authority (Concord Hospital);
Series 2011, RB		5.25	%		10/01/25		525		576,775
Series 2011, RB		5.50	%		10/01/26		510		564,213
New Hampshire (State of) Housing Finance Authority;
Series 2008 E, Single Family Mortgage Acquisition RB		5.05	%		07/01/23		325		341,338
Series 2008 E, Single Family Mortgage Acquisition RB		5.30	%		07/01/28		215		226,133
Series 2009 A, Single Family Mortgage Acquisition RB		5.13	%		07/01/29		980		1,031,342
									5,092,946
New Jersey–3.53%
New Jersey (State of) Economic Development Authority (Provident Group-Montclair Properties LLC–Montclair State University Student Housing);
Series 2010 A, RB		5.00	%		06/01/21		1,500		1,653,930
Series 2010 A, RB		5.25	%		06/01/20		1,295		1,461,589

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

21                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
New Jersey–(continued)
New Jersey (State of) Economic Development Authority;
Series 2004, Cigarette Tax RB(c)		5.50	%		06/15/16	$	1,805	$	2,019,272
Series 2010 DD-1, Ref. School Facilities Construction RB		5.00	%		12/15/16		630		709,638
Series 2010 DD-1, Ref. School Facilities Construction RB		5.00	%		12/15/17		1,550		1,791,955
Series 2012, Ref. RB		5.00	%		06/15/23		1,500		1,672,245
Series 2012, Ref. RB		5.00	%		06/15/24		4,500		4,913,370
New Jersey (State of) Educational Facilities Authority (Seton Hall University); Series 2011 A, Ref. RB		2.00	%		07/01/14		1,000		1,005,610
New Jersey (State of) Health Care Facilities Financing Authority (Barnabas Health);
Series 2012 A, Ref. RB		5.00	%		07/01/22		650		732,004
Series 2012 A, Ref. RB		5.00	%		07/01/23		1,000		1,109,190
New Jersey (State of) Health Care Facilities Financing Authority (Meridian Health System Obligated Group); Series 2011, Ref. RB		5.00	%		07/01/15		1,000		1,057,170
New Jersey (State of) Transportation Trust Fund Authority;
Series 2011 B, Transportation System RB		5.00	%		06/15/19		1,000		1,180,020
Series 2011 B, Transportation System RB		5.00	%		06/15/20		1,000		1,181,210
Series 2011 B, Transportation System RB		5.00	%		06/15/21		1,000		1,172,580
New Jersey (State of) Turnpike Authority;
Series 2009 H, RB		5.00	%		01/01/20		2,000		2,313,020
Series 2009 H, RB		5.00	%		01/01/21		2,000		2,276,000
Series 2013 D, Floating Rate RB(b)(d)		0.71	%		01/01/18		4,000		4,038,000
Series 2013 E, Floating Rate RB(b)(d)		0.71	%		01/01/18		3,000		3,000,000
Newark (City of) Housing Authority (South Ward Police Facility);
Series 2009 A, City-Secured Police Facility RB (INS–AGC)(a)		5.00	%		12/01/21		1,130		1,289,036
Series 2009 A, City-Secured Police Facility RB (INS–AGC)(a)		5.38	%		12/01/26		750		832,657
Newark (City of); Series 2010 A, Ref. Qualified General Improvement Unlimited Tax GO Bonds		4.00	%		10/01/16		3,710		4,003,424
North Hudson Sewerage Authority; Series 2012 A, Gross Revenue Lease Ctfs.		5.00	%		06/01/25		1,500		1,710,390
Perth Amboy (City of) Board of Education;
Series 2010, Ref. COP (INS–AGC)(a)		4.00	%		06/15/15		1,345		1,396,097
Series 2010, Ref. COP (INS–AGC)(a)		4.00	%		12/15/15		1,395		1,467,024
South Jersey Port Corp.; Series 2009 P-2, Marine Terminal RB		4.00	%		01/01/16		1,505		1,599,288
South Jersey Transportation Authority; Series 2012 A, Ref. RB		5.00	%		11/01/24		2,000		2,216,320
									47,801,039
New Mexico–0.36%
New Mexico (State of) Hospital Equipment Loan Council (Haverland Charter Lifestyle Group); Series 2013, First Mortgage RB		4.00	%		07/01/22		4,965		4,897,228
New York–2.72%
Amherst Development Corp. (UBF Faculty-Student Housing Corp.–Greiner & Hadley Projects at SUNY Buffalo); Series 2010 A, Student Housing Facility RB (INS–AGM)(a)		4.00	%		10/01/16		1,000		1,074,820
Babylon (Town of) Industrial Development Agency (Covanta Babylon, Inc.);
Series 2009 A, Resource Recovery RB		5.00	%		01/01/18		445		509,467
Series 2009 A, Resource Recovery RB		5.00	%		01/01/19		365		423,604
Nassau (County of) Industrial Development Agency (New York Institute of Technology);
Series 2000 A, Ref. Civic Facility RB		5.25	%		03/01/17		930		1,028,227
Series 2000 A, Ref. Civic Facility RB		5.25	%		03/01/19		1,585		1,806,266
New York (City of) Transitional Finance Authority;
Series 2009 S-5, Building Aid RB		5.00	%		01/15/16		2,000		2,174,600
Series 2009 S-5, Building Aid RB		5.00	%		01/15/17		1,875		2,112,300
New York (City of);
Subseries 2008 J-1, Unlimited Tax GO Bonds		5.00	%		08/01/17		750		861,878
Subseries 2008 J-4, Floating Rate Unlimited Tax GO Bonds(d)		0.58	%		08/01/25		3,250		3,250,000
New York (State of) Dormitory Authority (Mount Sinai Hospital Obligated Group); Series 2010 A, RB		5.00	%		07/01/19		500		582,790

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

22                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
New York–(continued)
New York (State of) Dormitory Authority (Mount Sinai School of Medicine of New York University); Series 2009, RB		5.50	%		07/01/22	$	2,925	$	3,312,679
New York (State of) Dormitory Authority (North Shore—Long Island Jewish Obligated Group); Series 2011 A, RB		5.00	%		05/01/15		500		526,060
New York (State of) Dormitory Authority (School Districts Financing Program); Series 2008 D, RB (INS–AGC)(a)		5.75	%		10/01/24		1,000		1,174,700
New York (State of) Dormitory Authority (St. Lawrence University); Series 2009, RB(c)		5.00	%		07/01/14		2,000		2,033,500
New York (State of) Thruway Authority; Series 2013 A, Jr. General RB		5.00	%		05/01/19		5,000		5,865,050
Niagara Falls (City of) Bridge Commission; Series 1993 A, Toll Bridge System RB (INS–AGC)(a)		4.00	%		10/01/19		1,100		1,193,005
Tobacco Settlement Financing Corp.;
Series 2011 A, Asset-Backed RB		3.00	%		06/01/16		3,000		3,178,650
Series 2011 A, Asset-Backed RB		4.00	%		06/01/17		4,000		4,436,320
Yonkers (City of);
Series 2010 A, Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		11/15/20		655		760,612
Series 2010 A, Unlimited Tax GO Bonds (INS–AGM)(a)		5.00	%		11/15/22		500		560,665
									36,865,193
North Carolina–1.01%
Charlotte (City of) & Mecklenburg (County of) Hospital Authority (Carolinas HealthCare System);
Series 2007 A, Ref. Health Care RB		5.00	%		01/15/19		1,000		1,115,370
Series 2009 A, Ref. Health Care RB		5.00	%		01/15/20		3,500		4,027,660
North Carolina (State of) Eastern Municipal Power Agency; Series 2008 C, Power System RB (INS–AGC)(a)		6.00	%		01/01/19		355		394,458
North Carolina (State of) Medical Care Commission (Wake Forest Baptist); Series 2012, Ref. Floating Rate Health Care Facilities RB(b)(d)		0.77	%		07/01/17		4,800		4,800,000
North Carolina (State of); Series 2011, Vehicle Grant Anticipation RB(b)		4.00	%		03/01/18		2,000		2,191,300
Oak Island (Town of); Series 2008 A, Enterprise System RB (INS–NATL)(a)		5.00	%		06/01/20		1,065		1,177,028
									13,705,816
Ohio–5.66%
Akron (City of);
Series 2009, Ref. & Improvement Waterworks System Mortgage RB (INS–AGC)(a)		5.00	%		03/01/16		2,675		2,916,285
Series 2009, Ref. & Improvement Waterworks System Mortgage RB (INS–AGC)(a)		5.00	%		03/01/18		2,010		2,321,349
Akron, Bath & Copley Joint Township Hospital District (Medical Center of Akron); Series 2012, RB		5.00	%		11/15/25		1,000		1,087,800
Allen (County of) (Catholic Healthcare Partners);
Series 2010 B, Hospital Facilities RB		5.00	%		09/01/16		1,000		1,106,070
Series 2010 B, Hospital Facilities RB		5.00	%		09/01/18		2,000		2,320,880
Series 2010 B, Hospital Facilities RB		5.00	%		09/01/20		2,920		3,418,648
American Municipal Power, Inc. (Hydroelectric); Series 2009 C, RB		5.00	%		02/15/23		2,850		3,141,156
Buckeye Tobacco Settlement Financing Authority;
Series 2007 A-1, Sr. Asset-Backed RB		5.00	%		06/01/16		1,430		1,542,326
Series 2007 A-1, Sr. Asset-Backed RB		5.00	%		06/01/17		1,985		2,189,078
Cleveland (City of);
Series 2006 A, Airport System RB (INS–AMBAC)(a)		5.25	%		01/01/21		3,980		4,536,603
Series 2009 C, Airport System RB (INS–AGC)(a)		5.00	%		01/01/18		2,000		2,263,940
Series 2009 C, Airport System RB (INS–AGC)(a)		5.00	%		01/01/19		2,000		2,282,960
Series 2009 C, Airport System RB (INS–AGC)(a)		5.00	%		01/01/20		4,000		4,475,480
Series 2009 C, Airport System RB (INS–AGC)(a)		5.00	%		01/01/23		2,000		2,151,360
Series 2009 C, Airport System RB (INS–AGC)(a)		5.00	%		01/01/27		1,000		1,055,510
Series 2011 A, Airport System RB		5.00	%		01/01/17		7,605		8,390,749
Series 2011 A, Airport System RB		5.00	%		01/01/22		2,315		2,568,377
Franklin (County of) (OhioHealth Corp.); Series 2011 D, Ref. Hospital Facilities RB(b)		4.00	%		08/01/16		2,500		2,699,175

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

23                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Ohio–(continued)
Hancock (County of) (Blanchard Valley Regional Health Center);
Series 2011 A, Hospital Facilities RB		4.00	%		12/01/16	$	250	$	267,358
Series 2011 A, Hospital Facilities RB		5.00	%		12/01/18		170		192,549
Series 2011 A, Hospital Facilities RB		5.75	%		12/01/26		250		275,515
Ohio (State of) (Cleveland Clinic Health System Obligated Group);
Series 2009 B-1, Hospital RB		4.75	%		01/01/20		3,000		3,415,230
Series 2009 B-1, Hospital RB		4.75	%		01/01/21		1,000		1,118,680
Series 2009 B-1, Hospital RB		5.00	%		01/01/22		1,000		1,115,480
Series 2011 B-1, Ref. Hospital RB		5.00	%		01/01/24		1,000		1,134,410
Ohio (State of) Air Quality Development Authority (FirstEnergy Generation Corp.);
Series 2009, Ref. PCR(b)		2.25	%		09/15/16		1,000		1,005,270
Series 2009 A, RB		5.70	%		08/01/20		7,620		8,539,658
Series 2009 C, Ref. PCR		5.63	%		06/01/18		3,200		3,557,632
Ohio (State of) Higher Educational Facility Commission (University Hospitals Health System, Inc.); Series 2009 C, Hospital RB(b)		4.88	%		07/15/15		2,525		2,679,277
Ohio (State of) Higher Educational Facility Commission (University of Dayton); Series 2013, RB		5.00	%		12/01/24		585		667,479
Ohio (State of); Series 2009 A II, Parks & Recreation Capital Facilities RB		5.00	%		12/01/19		1,825		2,168,264
									76,604,548
Oklahoma–1.49%
Cleveland (County of) Justice Authority (Detention Facility); Series 2009 A, Sales Tax RB		5.00	%		03/01/22		1,000		1,037,160
Oklahoma (County of) Finance Authority (Western Heights Public Schools); Series 2009, Educational Facilities Lease RB		4.50	%		09/01/19		2,000		2,268,220
Oklahoma (State of) Development Finance Authority (Oklahoma State System of Higher Education); Series 2009 A, Master Real Property Lease RB		4.00	%		06/01/20		1,000		1,110,860
Oklahoma (State of) Industries Authority (Oklahoma Medical Research Foundation); Series 2008, RB		5.50	%		07/01/29		1,280		1,359,424
Oklahoma (State of) Municipal Power Authority;
Series 2008 A, Power Supply System RB		5.25	%		01/01/18		300		347,745
Series 2008 A, Power Supply System RB		5.38	%		01/01/19		250		287,087
Series 2008 A, Power Supply System RB		5.88	%		01/01/28		250		282,133
Okmulgee (City of) Municipal Authority; Series 2009 A, Utility System & Sales Tax RB		4.00	%		12/01/19		2,165		2,392,650
Tulsa (City of) Airports Improvement Trust;
Series 2009 A, General RB		4.00	%		06/01/15		670		695,936
Series 2009 A, General RB		5.38	%		06/01/24		1,750		1,803,865
Tulsa (County of) Industrial Authority (Jenks Public Schools); Series 2009, Educational Facilities Lease RB		4.00	%		09/01/14		2,000		2,037,860
Tulsa (County of) Industrial Authority;
Series 2003 A, Capital Improvements RB		4.00	%		05/15/16		5,000		5,402,400
Series 2005 A, Capital Improvements RB		4.00	%		05/15/17		1,000		1,107,840
									20,133,180
Oregon–0.75%
Lane (County of); Series 2009 A, Limited Tax GO Bonds		4.00	%		11/01/16		1,000		1,093,570
Oregon (State of) Department of Administrative Services; Series 2009 A, Lottery RB		5.00	%		04/01/28		500		568,895
Oregon (State of) Facilities Authority (Legacy Health System); Series 2010 A, Ref. RB		5.00	%		03/15/16		1,490		1,613,819
Oregon (State of) Facilities Authority (PeaceHealth);
Series 2009 A, Ref. RB		5.00	%		11/01/15		660		710,160
Series 2009 A, Ref. RB		5.00	%		11/01/16		1,880		2,095,053
Oregon (State of) Facilities Authority (Samaritan Health Services); Series 2010 A, Ref. RB		4.00	%		10/01/16		1,000		1,069,100
Portland (City of); Series 2011 B, Central Eastside Urban Renewal & Redevelopment Tax Allocation RB		5.25	%		06/15/29		1,000		1,074,120
Salem-Keizer School District No. 24J; Series 2009 B, Unlimited Tax CAB GO Bonds (CEP–Oregon School Bond Guaranty)(e)		0.00	%		06/15/23		2,500		1,919,925
									10,144,642

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

24                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Pennsylvania–5.45%
Bethel Park School District; Series 2009, Limited Tax GO Bonds		4.00	%		08/01/17	$	800	$	892,016
Delaware (County of) Authority (Villanova University); Series 2010, RB		4.00	%		12/01/16		500		545,540
Montgomery (County of) Industrial Development Authority (ACTS Retirement-Life Community); Series 2012, Ref. RB		5.00	%		11/15/25		1,000		1,050,240
Pennsylvania (State of) Economic Development Financing Agency (Forum Place);
Series 2012, Governmental Lease RB		3.00	%		03/01/14		450		450,095
Series 2012, Governmental Lease RB		4.00	%		03/01/16		250		265,330
Pennsylvania (State of) Economic Development Financing Authority (Shippingport); Series 2006 A, Exempt Facilities RB(b)		2.55	%		12/03/18		2,000		2,003,480
Pennsylvania (State of) Economic Development Financing Authority (Waste Management); Series 2009, Solid Waste Disposal RB(b)		1.75	%		12/01/15		2,000		2,031,340
Pennsylvania (State of) Higher Educational Facilities Authority (Carnegie Mellon University);
Series 2009, RB		4.25	%		08/01/19		3,000		3,411,570
Series 2009, RB		5.00	%		08/01/17		1,000		1,132,760
Series 2009, RB		5.00	%		08/01/21		775		886,019
Pennsylvania (State of) Higher Educational Facilities Authority (University of Pittsburgh Medical Center); Series 2010 E, RB		5.00	%		05/15/21		5,000		5,736,900
Pennsylvania (State of) Turnpike Commission;
Series 2008 C-1, Sub. RB (INS–AGC)(a)		6.00	%		06/01/23		500		583,600
Series 2009 B, Sub. RB		5.00	%		06/01/21		3,550		3,994,318
Series 2009 B, Sub. RB		5.25	%		06/01/24		2,500		2,799,425
Series 2011 A, RB		5.00	%		12/01/22		1,500		1,768,380
Series 2011 A, RB		5.00	%		12/01/23		1,500		1,761,090
Series 2012 B, Floating Rate RB(d)		0.58	%		12/01/16		5,000		5,000,000
Series 2013 B, Floating Rate RB(d)		1.18	%		12/01/19		3,000		3,000,000
Philadelphia (City of) (1975 General Ordinance); Twentieth Series 2011, Ref. Gas Works RB		4.00	%		07/01/15		2,465		2,563,452
Philadelphia (City of) (1998 General Ordinance);
Tenth Series 2011, Ref. Gas Works RB		4.00	%		07/01/14		1,605		1,622,896
Tenth Series 2011, Ref. Gas Works RB (INS–AGM)(a)		4.00	%		07/01/17		1,000		1,082,700
Philadelphia (City of) Industrial Development Authority (Discovery Charter School); Series 2012, RB		5.50	%		04/01/27		1,320		1,296,992
Philadelphia (City of);
Series 2009 A, Ref. Unlimited Tax GO Bonds (INS–AGC)(a)		4.50	%		08/01/20		2,150		2,398,131
Series 2009 A, Ref. Unlimited Tax GO Bonds (INS–AGC)(a)		5.25	%		08/01/21		2,500		2,860,375
Series 2009 A, Ref. Unlimited Tax GO Bonds (INS–AGC)(a)		5.25	%		08/01/22		5,000		5,649,450
Series 2009 B, Limited Tax GO Bonds(b)(c)		6.00	%		07/15/16		1,000		1,134,320
Series 2009 B, Limited Tax GO Bonds(b)(c)		6.25	%		07/15/16		2,000		2,280,500
Series 2009 B, Limited Tax GO Bonds (INS–AGC)(a)		5.75	%		07/15/17		1,000		1,102,900
Series 2010 A, Ref. Water & Wastewater RB (INS–AGM)(a)		5.00	%		06/15/19		1,000		1,186,190
Philadelphia School District; Series 2010 C, Ref. Unlimited Tax GO Bonds		5.00	%		09/01/14		1,000		1,023,640
Pittsburgh Public School District;
Series 2009 A, Limited Tax GO Bonds(c)		4.00	%		09/01/19		860		987,693
Series 2009 A, Limited Tax GO Bonds (INS–AGC)(a)		4.00	%		09/01/19		2,245		2,514,692
Reading (City of); Series 2008, Unlimited Tax GO Bonds (INS–AGM)(a)		5.63	%		11/01/23		1,500		1,663,335
South Fork (Borough of) Municipal Authority (Conemaugh Valley Memorial Hospital); Series 2005 A, Ref. Hospital RB (INS–AGC)(a)		6.00	%		07/01/26		500		566,565
Spring-Ford Area School District;
Series 2012, Unlimited Tax GO Bonds		3.00	%		03/01/16		685		720,147
Series 2012, Unlimited Tax GO Bonds		3.00	%		03/01/17		620		663,127
St. Mary Hospital Authority (Catholic Health East);
Series 2010 A, Health System RB		4.00	%		11/15/15		1,445		1,531,267
Series 2010 A, Health System RB		5.00	%		11/15/18		2,645		3,076,558
West Mifflin Area School District; Series 2009, Limited Tax GO Bonds (INS–AGM)(a)		5.50	%		04/01/24		500		574,240
									73,811,273

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

25                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)			Value
Rhode Island–0.38%
Rhode Island (State of) Student Loan Authority; Sr. Series 2009 A, Student Loan Program RB		4.75	%		12/01/15	$	1,150		$	1,221,047
Rhode Island Health & Educational Building Corp. (Lifespan Obligated Group);
Series 2006 A, Ref. Hospital Financing RB (INS–AGM)(a)		5.00	%		05/15/15		1,000			1,048,440
Series 2009 A, Hospital Financing RB (INS–AGC)(a)		6.13	%		05/15/27		500			560,070
Rhode Island Health & Educational Building Corp. (Public Schools Financing Program–City of Woonsocket); Series 2009 E, RB (INS–AGC)(a)		5.00	%		05/15/20		900			977,229
Rhode Island Health & Educational Building Corp. (University of Rhode Island–Auxiliary Enterprise); Series 2009 B, Higher Education Facility RB (INS–AGC)(a)		5.25	%		09/15/29		1,265			1,372,727
										5,179,513
South Carolina–1.94%
Greenwood (County of) (Self Regional Healthcare);
Series 2012 B, Ref. Hospital RB		5.00	%		10/01/27		3,130			3,365,720
Series 2012 B, Ref. RB		5.00	%		10/01/25		1,250			1,358,600
Oconee (County of) (Duke Energy Carolinas); Series 1993, Ref. Pollution Control Facilities RB		3.60	%		02/01/17		1,000			1,081,480
Piedmont Municipal Power Agency;
Series 2009 A-3, Ref. Electric RB		5.00	%		01/01/16		2,225			2,405,959
Series 2009 A-4, Ref. Electric RB		5.00	%		01/01/20		2,000			2,337,000
Rock Hill (City of); Series 2009 C, Ref. Combined Utility System RB (INS–AGC)(a)		4.00	%		01/01/15		2,405			2,479,844
South Carolina (State of) Education Assistance Authority; Series 2009 I, Student Loan RB		4.40	%		10/01/18		680			743,260
South Carolina (State of) Jobs-Economic Development Authority (AnMed Health);
Series 2010, Ref. Hospital RB		5.00	%		02/01/15		1,000			1,040,870
Series 2010, Ref. Hospital RB		5.00	%		02/01/16		1,140			1,230,585
Series 2010, Ref. Hospital RB		5.00	%		02/01/18		1,000			1,134,870
South Carolina (State of) Jobs-Economic Development Authority (Palmetto Health);
Series 2005 A, Ref. Hospital RB (INS–AGM)(a)		4.00	%		08/01/17		1,500			1,636,275
Series 2009, Ref. & Improvement Hospital RB		5.00	%		08/01/15		500			525,690
Series 2013 A, Ref. Hospital RB		5.00	%		08/01/21		1,300			1,435,083
South Carolina (State of) Transportation Infrastructure Bank; Series 2004 A, RB(b)(c)		5.25	%		10/01/14		1,390			1,432,242
Spartanburg (City of) Sanitary Sewer District; Series 2009 B, Ref. Conv. Sewer System RB (INS–AGC)(a)		4.00	%		03/01/16		1,110			1,184,348
Spartanburg Regional Health Services District, Inc.;
Series 2008 A, Ref. Hospital RB (INS–AGC)(a)		4.50	%		04/15/27		1,735			1,785,922
Series 2008 D, Ref. Hospital RB (INS–AGC)(a)		5.25	%		04/15/20		1,000			1,128,680
										26,306,428
South Dakota–0.87%
Educational Enhancement Funding Corp.; Series 2013 B, Tobacco Settlement RB		5.00	%		06/01/23		1,000			1,110,960
Rapid City (City of);
Series 2009, Water RB		5.00	%		11/01/21		1,170			1,370,363
Series 2009, Water RB		5.00	%		11/01/24		1,620			1,880,091
Series 2009, Water RB		5.00	%		11/01/25		1,650			1,910,980
South Dakota (State of) Health & Educational Facilities Authority (Avera Health); Series 2012 A, RB		5.00	%		07/01/24		1,575			1,727,791
South Dakota (State of) Health & Educational Facilities Authority (Regional Health); Series 2010, RB		5.00	%		09/01/21		1,000			1,136,850
South Dakota (State of) Health & Educational Facilities Authority (Sanford Health);
Series 2009, RB		5.00	%		11/01/16		500	��		552,415
Series 2009, RB		5.00	%		11/01/17		430			487,895
Series 2009, RB		5.00	%		11/01/24		1,000			1,081,360
Series 2009, RB		5.25	%		11/01/29		500			528,045
										11,786,750
Tennessee–0.96%
Chattanooga (City of) & Hamilton (County of) Hospital Authority (Erlanger Health System); Series 2004, Ref. RB (INS–AGM)(a)		4.50	%		10/01/16		2,500			2,707,850
Jackson (City of) (Jackson-Madison County General Hospital); Series 2008, Ref. & Improvement Hospital RB		5.25	%		04/01/23		1,000			1,086,410

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

26                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Tennessee–(continued)
Memphis (City of) & Shelby (County of) Airport Authority; Series 2011 D, Ref. RB		5.00	%		07/01/22	$	2,165	$	2,503,974
Nashville (City of) & Davidson (County of) Metropolitan Government Health & Educational Facilities Board (Blakeford at Green Hills);
Series 2012, Ref. & Improvement RB		5.00	%		07/01/20		860		952,347
Series 2012, Ref. & Improvement RB		5.00	%		07/01/21		885		968,774
Sevierville (City of) Public Building Authority; Series 2009, Local Government Public Improvement RB		4.00	%		06/01/14		2,500		2,524,925
Shelby (County of) Health, Educational & Housing Facilities Board (Baptist Memorial Health Care);
Series 2004 A, RB		5.00	%		09/01/18		500		580,220
Series 2004 A, RB		5.00	%		09/01/19		500		584,525
Shelby (County of) Health, Educational & Housing Facilities Board (Methodist Healthcare); Series 2004 B, RB (INS–AGM)(a)		5.00	%		09/01/17		1,000		1,140,150
									13,049,175
Texas–8.78%
Beaumont Independent School District; Series 2009, School Building Unlimited Tax GO Bonds (INS–AGC)(a)		5.00	%		02/15/24		1,500		1,669,815
Bexar (County of) Metropolitan Water District;
Series 2009, Ref. Waterworks System RB		5.00	%		05/01/16		1,295		1,406,992
Series 2009, Ref. Waterworks System RB		5.00	%		05/01/19		2,500		2,869,375
Series 2009, Ref. Waterworks System RB		5.00	%		05/01/20		2,500		2,812,575
Series 2009, Ref. Waterworks System RB		5.00	%		05/01/21		2,500		2,766,825
Series 2009, Ref. Waterworks System RB		5.00	%		05/01/22		2,500		2,736,100
Clifton Higher Education Finance Corp. (Idea Public Schools); Series 2013, Education RB		5.00	%		08/15/23		750		816,712
Corpus Christi Independent School District; Series 2009, School Building Unlimited Tax GO Bonds		5.00	%		08/15/22		1,100		1,280,334
Dallas (County of) Utility & Reclamation District;
Series 2005 A, Ref. Unlimited Tax GO Bonds (INS–AMBAC)(a)		5.00	%		02/15/19		1,200		1,324,788
Series 2005 A, Ref. Unlimited Tax GO Bonds (INS–AMBAC)(a)		5.15	%		02/15/21		3,000		3,289,260
Dallas-Fort Worth International Airport Facilities Improvement Corp.; Series 2009 A, Ref. Joint RB		4.00	%		11/01/14		1,500		1,539,165
Galveston (City of); Series 2011, Ref. Wharves & Terminal RB		5.00	%		02/01/21		1,000		1,126,060
Harris County Cultural Education Facilities Finance Corp. (Memorial Hermann Health System);
Series 2013 B, Ref. Floating Rate Hospital RB(d)		0.63	%		06/01/18		1,750		1,750,000
Series 2013 B, Ref. Floating Rate Hospital RB(d)		0.73	%		06/01/19		2,065		2,065,000
Harris County Cultural Education Facilities Finance Corp. (St. Luke’s Episcopal Health System);
Series 2009, Ref. RB(c)		5.00	%		02/15/17		1,700		1,923,856
Series 2009, Ref. RB(c)		5.00	%		02/15/18		2,000		2,324,980
Series 2009, Ref. RB(c)		5.00	%		02/15/19		1,000		1,186,040
Series 2009, Ref. RB(b)(c)		5.63	%		02/15/19		2,500		3,040,300
Harris County Cultural Education Facilities Finance Corp. (TECO); Series 2009 A, Thermal Utility RB		5.00	%		11/15/19		485		577,397
Harris County Cultural Education Facilities Finance Corp. (Texas Children’s Hospital); Series 2009, Hospital RB		5.00	%		10/01/24		1,750		1,985,147
Harris County Cultural Education Facilities Finance Corp. (Texas Medical Center); Series 2009 A, Ref. Special Facilities RB (INS–AGC)(a)		5.00	%		05/15/23		1,500		1,644,135
Harris County Cultural Education Facilities Finance Corp. (YMCA of the Greater Houston Area);
Series 2013 A, Ref. RB		5.00	%		06/01/21		535		595,883
Series 2013 A, Ref. RB		5.00	%		06/01/22		855		947,502
Series 2013 A, Ref. RB		5.00	%		06/01/23		915		1,008,943
Harris County Industrial Development Corp. (Deer Park Refining Limited Partnership);
Series 2006, Solid Waste Disposal RB		5.00	%		02/01/23		4,000		4,324,280
Series 2008, Solid Waste Disposal RB		4.70	%		05/01/18		7,320		8,041,459
Houston (City of) Convention & Entertainment Facilities Department;
Series 2011 A, Ref. Hotel Occupancy Tax & Special RB		5.00	%		09/01/14		745		763,253
Series 2011 A, Ref. Hotel Occupancy Tax & Special RB		5.00	%		09/01/15		1,000		1,064,530

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

27                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Texas–(continued)
Houston (City of);
Series 2009 A, Ref. Sr. Lien Airport System RB		5.00	%		07/01/15	$	325	$	345,595
Series 2009 A, Ref. Sr. Lien Airport System RB		5.00	%		07/01/16		250		275,940
Series 2009 A, Ref. Sr. Lien Airport System RB		5.00	%		07/01/17		340		387,172
Series 2009 A, Ref. Sr. Lien Airport System RB		5.00	%		07/01/18		500		582,330
Series 2009 A, Ref. Sr. Lien Airport System RB		5.00	%		07/01/19		250		286,018
Series 2012, Ref. Floating Rate First Lien Combined Utility System RB(b)(d)		0.78	%		06/01/17		2,000		2,000,000
La Vernia Higher Education Finance Corp. (Knowledge is Power Program, Inc.); Series 2009 A, RB		5.75	%		08/15/24		365		402,723
Lake Worth (City of); Series 2008, Combination Tax & Revenue Limited Tax GO Ctfs. (INS–AGC)(a)		5.00	%		10/01/27		1,230		1,364,833
Live Oak (City of); Series 2004, Unlimited Tax GO Bonds (INS–NATL)(a)		5.00	%		08/01/16		390		397,157
Lower Colorado River Authority;
Series 1999 A, Ref. RB (INS–AGM)(a)		5.88	%		05/15/14		415		417,129
Series 2009, RB		5.25	%		05/15/29		455		494,544
Series 2009, Ref. RB(b)(c)		5.25	%		05/15/19		30		36,049
Series 2009, Ref. RB(b)(c)		5.25	%		05/15/19		5		6,008
Series 2009, Ref. RB(b)(c)		5.25	%		05/15/19		10		12,016
Lufkin Health Facilities Development Corp. (Memorial Health System of East Texas);
Series 2009, Ref. & Improvement RB		5.50	%		02/15/15		1,875		1,943,100
Series 2009, Ref. & Improvement RB		5.50	%		02/15/16		1,505		1,605,790
Series 2009, Ref. & Improvement RB		5.50	%		02/15/17		2,100		2,294,922
Mansfield (City of); Series 2008, Limited Tax GO Ctfs.		6.13	%		02/15/26		500		581,275
North Fort Bend Water Authority; Series 2009, Water System RB (INS–AGC)(a)		5.00	%		12/15/24		2,000		2,209,040
North Texas Tollway Authority;
Series 2005 C, Dallas North Tollway System RB		5.38	%		01/01/21		2,000		2,293,540
Series 2008 E-3, Ref. First Tier System RB(b)		5.75	%		01/01/16		2,610		2,836,887
Series 2011 B, Ref. First Tier System RB		5.00	%		01/01/19		500		569,995
Parker (County of); Series 2009, Road Unlimited Tax GO Bonds (INS–AGC)(a)		5.25	%		02/15/26		1,000		1,134,490
Sachse (City of); Series 2009, Ref. & Improvement Limited Tax GO Bonds (INS–AGC)(a)		5.00	%		02/15/24		500		565,245
San Jacinto River Authority (Groundwater Reduction Plan Division); Series 2011, Special Project RB (INS–AGM)(a)		4.50	%		10/01/27		1,000		1,043,900
Tarrant County Cultural Education Facilities Finance Corp. (Hendrick Medical Center);
Series 2009 A, Hospital RB (INS–AGC)(a)		3.75	%		09/01/14		1,000		1,015,680
Series 2009 A, Hospital RB (INS–AGC)(a)		5.00	%		09/01/22		595		659,677
Series 2009 A, Hospital RB (INS–AGC)(a)		5.00	%		09/01/24		1,280		1,394,150
Tarrant County Cultural Education Facilities Finance Corp. (Texas Health Resources System); Series 2007 A, Ref. RB		5.00	%		02/15/19		4,405		4,900,430
Tarrant County Health Facilities Development Corp. (Cook Children’s Medical Center);
Series 2010 A, Hospital RB		5.00	%		12/01/15		525		567,588
Series 2010 A, Hospital RB		5.00	%		12/01/17		1,250		1,435,350
Texas Municipal Gas Acquisition & Supply Corp. III;
Series 2012, Gas Supply RB		5.00	%		12/15/19		3,500		3,918,215
Series 2012, Gas Supply RB		5.00	%		12/15/21		3,900		4,335,357
Series 2012, Gas Supply RB		5.00	%		12/15/22		500		547,615
Series 2012, Gas Supply RB		5.00	%		12/15/23		6,050		6,545,918
Texas Woman’s University; Series 2008, Financing System RB		5.13	%		07/01/26		1,500		1,596,090
Trinity River Authority (Tarrant County Water); Series 2005, Ref. & Improvement RB (INS–NATL)(a)		5.00	%		02/01/24		4,240		4,468,621
Tyler Health Facilities Development Corp. (Mother Frances Hospital Regional Health Care Center); Series 2011, Hospital RB		5.00	%		07/01/21		1,285		1,406,638
Uptown Development Authority (Infrastructure Improvement Facilities);
Series 2009, Tax Increment Allocation Contract RB		5.00	%		09/01/22		900		973,188
Series 2009, Tax Increment Allocation Contract RB		5.10	%		09/01/23		1,455		1,560,909
Series 2009, Tax Increment Allocation Contract RB		5.38	%		09/01/25		450		481,235

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

28                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Texas–(continued)
West Harris County Regional Water Authority;
Series 2005, Water System RB (INS–AGM)(a)		5.00	%		12/15/17	$	1,000	$	1,036,860
Series 2009, Water System RB		5.00	%		12/15/16		1,000		1,117,740
									118,927,665
Utah–0.35%
Intermountain Power Agency; Series 2009 B, Ref. Sub. Power Supply RB		4.00	%		07/01/18		1,945		1,999,168
Riverton (City of) (IHC Health Services, Inc.);
Series 2009, Hospital RB		5.00	%		08/15/15		645		689,079
Series 2009, Hospital RB		5.00	%		08/15/18		1,310		1,522,666
Salt Lake Valley Fire Service Area Local Building Authority; Series 2008, Lease RB		5.00	%		04/01/22		500		565,790
									4,776,703
Vermont–0.08%
Vermont (State of) Educational & Health Buildings Financing Agency (Fletcher Allen Health Care); Series 2004 B, Hospital RB (INS–AGM)(a)		5.00	%		12/01/22		1,000		1,086,290
Virgin Islands–0.96%
Virgin Islands (Government of) Public Finance Authority (Matching Fund Loan Note–Diageo); Series 2009 A, Sub. RB		6.75	%		10/01/19		1,500		1,684,020
Virgin Islands (Government of) Public Finance Authority (Virgin Islands Matching Fund Loan Note);
Series 2009 A-1, Ref. Sr. Lien Capital Projects RB		4.13	%		10/01/18		1,875		2,041,162
Series 2009 B, Ref. Sr. Lien RB		5.00	%		10/01/15		1,000		1,056,460
Series 2009 B, Ref. Sr. Lien RB		5.00	%		10/01/16		1,000		1,087,820
Series 2009 B, Ref. Sr. Lien RB		5.00	%		10/01/17		1,000		1,110,970
Series 2009 B, Ref. Sr. Lien RB		5.00	%		10/01/18		1,000		1,126,970
Series 2009 B, Ref. Sr. Lien RB		5.00	%		10/01/25		500		530,405
Series 2010 A, Sr. Lien RB		5.00	%		10/01/15		500		528,230
Series 2010 A, Sr. Lien RB		5.00	%		10/01/16		345		375,298
Series 2010 B, Sub. Lien RB		5.00	%		10/01/25		750		785,415
Series 2010 B, Sub. Lien RB		5.25	%		10/01/29		570		589,363
Virgin Islands (Government of) Water & Power Authority;
Series 2010 A, Ref. Electric System RB		4.00	%		07/01/14		1,000		999,170
Series 2010 B, Electric System RB (INS–AGM)(a)		5.00	%		07/01/22		1,000		1,104,040
									13,019,323
Virginia–0.65%
Chesterfield (County of) Economic Development Authority (Virginia Electric & Power Co.); Series 2009 A, Ref. PCR		5.00	%		05/01/23		500		553,785
Smyth (County of) Industrial Development Authority (Mountain States Health Alliance);
Series 2010 B, Ref. Hospital RB		5.00	%		07/01/15		1,095		1,145,699
Series 2010 B, Ref. Hospital RB		5.00	%		07/01/16		2,090		2,248,129
Series 2010 B, Ref. Hospital RB		5.00	%		07/01/18		1,255		1,396,413
Virginia (State of) Resources Authority (State Revolving Fund); Series 2008, Sub. Clean Water RB		5.00	%		10/01/29		1,315		1,461,452
York (County of) Economic Development Authority (Virginia Electric & Power Co.); Series 2009 A, Ref. PCR(b)		4.05	%		05/01/14		2,000		2,011,100
									8,816,578
Washington–1.37%
Clark (County of) Public Utility District No. 1;
Series 2009, Ref. Electric System RB		5.00	%		01/01/26		500		541,335
Series 2009, Ref. Electric System RB		5.00	%		01/01/28		300		319,524
Cowlitz (County of) (Cowlitz Sewer Operating Board–Wastewater Treatment); Series 2002, Ref. Special Sewer RB (INS–NATL)(a)		5.50	%		11/01/19		2,500		2,867,775

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

29                         Invesco Tax-Free Intermediate Fund

	Interest Rate			Maturity Date		Principal Amount (000)		Value
Washington–(continued)
Washington (State of) Health Care Facilities Authority (Highline Medical Center); Series 2008, Mortgage RB(b)(c)		5.25	%		08/01/18	$	985	$	1,161,522
Washington (State of) Health Care Facilities Authority (MultiCare Health System); Series 2008 A, RB (INS–AGC)(a)		5.75	%		08/15/29		450		499,329
Washington (State of) Health Care Facilities Authority (PeaceHealth); Series 2014 A, Ref. RB		5.00	%		11/15/20		500		581,925
Washington (State of) Higher Education Facilities Authority (Gonzaga University);
Series 2009, Ref. RB		5.38	%		04/01/20		1,050		1,191,582
Series 2010 A, Ref. RB		4.50	%		04/01/16		3,095		3,304,315
Series 2010 A, Ref. RB		4.50	%		04/01/17		2,725		2,973,656
Series 2010 A, Ref. RB		5.00	%		04/01/15		2,955		3,082,006
Series 2010 A, Ref. RB		5.00	%		04/01/19		1,810		2,065,970
									18,588,939
West Virginia–0.36%
Mason (County of) (Appalachian Power Co.); Series 2003 L, PCR(b)		2.00	%		10/01/14		3,500		3,522,750
West Virginia (State of) Hospital Finance Authority (West Virginia University Hospitals, Inc.); Series 2003 D, Hospital Improvement RB (INS–AGM)(a)		5.38	%		06/01/28		1,200		1,286,892
									4,809,642
Wisconsin–1.70%
Manitowoc (City of); Series 2009, Ref. Electric Power System RB (INS–AGC)(a)		4.25	%		10/01/15		1,510		1,596,553
Wisconsin (State of) Health & Educational Facilities Authority (Aurora Health Care, Inc.);
Series 2009 B, RB(b)		4.75	%		08/15/14		1,000		1,019,340
Series 2009 B, RB(b)		5.13	%		08/15/16		2,130		2,345,790
Wisconsin (State of) Health & Educational Facilities Authority (Froedtert & Community Health, Inc. Obligated Group);
Series 2009 C, RB		4.00	%		04/01/15		2,060		2,143,471
Series 2009 C, RB		5.00	%		04/01/19		750		877,418
Series 2009 C, RB		5.00	%		04/01/20		750		860,258
Wisconsin (State of) Health & Educational Facilities Authority (Marquette University);
Series 2008 B-1, Ref. RB		3.50	%		10/01/16		1,005		1,078,214
Series 2008 B-1, Ref. RB		3.75	%		10/01/18		880		977,847
Series 2008 B-3, RB		3.75	%		10/01/18		1,125		1,250,089
Series 2008 B-3, RB		4.00	%		10/01/19		1,145		1,289,430
Series 2012, Ref. RB		5.00	%		10/01/24		700		799,197
Wisconsin (State of) Health & Educational Facilities Authority (Marshfield Clinic); Series 2006 A, RB		5.00	%		02/15/18		400		425,160
Wisconsin (State of) Health & Educational Facilities Authority (Mercy Alliance);
Series 2012, RB		5.00	%		06/01/25		5,000		5,425,900
Series 2012, RB		5.00	%		06/01/26		1,855		1,981,233
Wisconsin (State of) Health & Educational Facilities Authority (ThedaCare, Inc.); Series 2005, RB (INS–AMBAC)(a)		5.00	%		12/15/16		855		907,830
									22,977,730
Wyoming–0.46%
Campbell (County of) Hospital District (Campbell County Memorial Hospital);
Series 2009, RB		4.00	%		12/01/15		1,285		1,358,451
Series 2009, RB		5.00	%		12/01/17		1,170		1,312,225
Series 2009, RB		5.00	%		12/01/18		545		612,553
Laramie (County of) (Cheyenne Regional Medical Center); Series 2012, Hospital RB		3.00	%		05/01/16		485		504,642
Sweetwater (County of) (Idaho Power Co.); Series 2006, Ref. PCR		5.25	%		07/15/26		1,200		1,303,116
Wyoming (State of) Municipal Power Agency; Series 2008 A, Power Supply RB		5.38	%		01/01/25		1,000		1,128,330
									6,219,317
TOTAL INVESTMENTS(g)–98.35% (Cost $1,246,095,895)									1,332,023,520
OTHER ASSETS LESS LIABILITIES–1.65%									22,402,966
NET ASSETS–100.00%								$	1,354,426,486

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

30                         Invesco Tax-Free Intermediate Fund

Investment Abbreviations:

AGC	– Assured Guaranty Corp.
AGM	– Assured Guaranty Municipal Corp.
AMBAC	– American Municipal Bond Assurance Corp.
BAN	– Bond Anticipation Notes
BHAC	– Berkshire Hathaway Assurance Corp.
CAB	– Capital Appreciation Bonds
CEP	– Credit Enhancement Provider
Conv.	– Convertible
COP	– Certificates of Participation
Ctfs.	– Certificates
FTA	– Federal Transit Administration
GO	– General Obligation
IDR	– Industrial Development Revenue Bonds
INS	– Insurer
Jr.	– Junior
NATL	– National Public Finance Guarantee Corp.
PCR	– Pollution Control Revenue Bonds
RAB	– Revenue Anticipation Bonds
RAC	– Revenue Anticipation Certificates
RB	– Revenue Bonds
Ref.	– Refunding
Sec.	– Secured
SGI	– Syncora Guarantee, Inc.
Sr.	– Senior
Sub.	– Subordinated
TEMPS	– Tax-Exempt Mandatory Paydown Securities

Notes to Schedule of Investments:

^(a) Principal and/or interest payments are secured by the bond insurance company listed.

^(b) Security has an irrevocable call by the issuer or mandatory put by the holder. Maturity date reflects such call or put.

^(c) Advance refunded; secured by an escrow fund of U.S. Government obligations or other highly rated collateral.

^(d) Interest or dividend rate is redetermined periodically. Rate shown is the rate in effect on February 28, 2014.

^(e) Zero coupon bonds issued at a discount.

^(f) Security subject to crossover refunding.

^(g) This table provides a listing of those entities that have either issued, guaranteed, backed or otherwise enhanced the credit quality of more than 5% of the securities held in the portfolio. In instances where the entity has guaranteed, backed or otherwise enhanced the credit quality of a security, it is not primarily responsible for the issuer’s obligations but may be called upon to satisfy the issuer’s obligations.

Entities	Percentage
Assured Guaranty Municipal Corp.		13.5	%
Assured Guaranty Corp.		11.9

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

31                         Invesco Tax-Free Intermediate Fund

Statement of Assets and Liabilities

February 28, 2014

Assets:
Investments, at value (Cost $1,246,095,895)	$	1,332,023,520
Cash		4,468,069
Receivable for:
Investments sold		5,080,132
Fund shares sold		2,861,230
Interest		14,039,466
Investment for trustee deferred compensation and retirement plans		214,635
Other assets		43,995
Total assets		1,358,731,047
Liabilities:
Payable for:
Investments purchased		1,032,004
Fund shares reacquired		1,387,092
Dividends		1,166,484
Accrued fees to affiliates		377,265
Accrued trustees’ and officers’ fees and benefits		5,333
Accrued other operating expenses		85,714
Trustee deferred compensation and retirement plans		250,669
Total liabilities		4,304,561
Net assets applicable to shares outstanding	$	1,354,426,486
Net assets consist of:
Shares of beneficial interest	$	1,273,033,251
Undistributed net investment income		1,928,792
Undistributed net realized gain (loss)		(6,463,182	)
Net unrealized appreciation		85,927,625
	$	1,354,426,486

Net Assets:
Class A	$	963,413,965
Class A2	$	88,597,772
Class C	$	10,354,708
Class Y	$	280,143,527
Class R5	$	11,916,514
Shares outstanding, $0.001 par value per share, with an unlimited number of shares authorized:
Class A		83,135,590
Class A2		7,628,212
Class C		893,573
Class Y		24,186,977
Class R5		1,028,512
Class A
Net asset value per share	$	11.59
Maximum offering price per share
(Net asset value of $11.59 ¸ 97.50%)	$	11.89
Class A2:
Net asset value and offering price per share	$	11.61
Maximum offering price per share
(Net asset value of $11.61 ¸ 99.00%)	$	11.73
Class C:
Net asset value and offering price per share	$	11.59
Class Y:
Net asset value and offering price per share	$	11.58
Class R5:
Net asset value and offering price per share	$	11.59

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

32                         Invesco Tax-Free Intermediate Fund

Statement of Operations

For the year ended February 28, 2014

Investment income:
Interest	$	50,973,988
Expenses:
Advisory fees		3,588,098
Administrative services fees		344,751
Custodian fees		36,878
Distribution fees — Class A		2,666,806
Distribution fees — Class C		34,379
Transfer agent fees — A, A2, C and Y		732,533
Transfer agent fees — R5		4,705
Trustees’ and officers’ fees and benefits		92,587
Other		457,486
Total expenses		7,958,223
Less: Expense offset arrangement(s)		(309	)
Net expenses		7,957,914
Net investment income		43,016,074
Realized and unrealized gain (loss) from:
Net realized gain (loss) from investment securities		(4,861,641	)
Change in net unrealized appreciation (depreciation) of investment securities		(40,168,622	)
Net realized and unrealized gain (loss)		(45,030,263	)
Net increase (decrease) in net assets resulting from operations	$	(2,014,189	)

See accompanying Notes to Financial Statements which are an integral part of the financial statements.

33                         Invesco Tax-Free Intermediate Fund

Statement of Changes in Net Assets

For the years ended February 28, 2014 and 2013

	2014			2013
Operations:
Net investment income	$	43,016,074		$	44,818,845
Net realized gain (loss)		(4,861,641	)		775,343
Change in net unrealized appreciation (depreciation)		(40,168,622	)		14,934,096
Net increase (decrease) in net assets resulting from operations		(2,014,189	)		60,528,284
Distributions to shareholders from net investment income:
Class A		(30,718,690	)		(35,851,155	)
Class A2		(3,098,312	)		(4,029,937	)
Class C		(71,417	)		—
Class Y		(7,419,825	)		(8,138,284	)
Class R5		(388,754	)		(678,937	)
Total distributions from net investment income		(41,696,998	)		(48,698,313	)
Share transactions–net:
Class A		(188,450,011	)		112,695,018
Class A2		(27,205,683	)		5,855,520
Class C		10,243,532			—
Class Y		59,490,621			(38,630,204	)
Class R5		(2,551,347	)		(5,893,949	)
Net increase (loss) in net assets resulting from share transactions		(148,472,888	)		74,026,385
Net increase (loss) in net assets		(192,184,075	)		85,856,356
Net assets:
Beginning of year		1,546,610,561			1,460,754,205
End of year (includes undistributed net investment income of $1,928,792 and $615,408, respectively)	$	1,354,426,486		$	1,546,610,561

Notes to Financial Statements

February 28, 2014

NOTE 1—Significant Accounting Policies

Invesco Tax-Free Intermediate Fund (the “Fund”) is a series portfolio of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”). The Trust is a Delaware statutory trust registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end series management investment company consisting of six separate portfolios, each authorized to issue an unlimited number of shares of beneficial interest. The assets, liabilities and operations of each portfolio are accounted for separately. Information presented in these financial statements pertains only to the Fund. Matters affecting each portfolio or class will be voted on exclusively by the shareholders of such portfolio or class.

The Fund’s investment objective is federal tax-exempt current income.

The Fund currently consists of five different classes of shares: Class A, Class A2, Class C, Class Y and Class R5. On June 28, 2013, the Fund began offering Class C shares. Class A and Class A2 shares are sold with a front-end sales charge unless certain waiver criteria are met and under certain circumstances load waived shares may be subject to contingent deferred sales charges (“CDSC”). Class C shares are sold with a CDSC. Class Y and Class R5 shares are sold at net asset value.

As of the close of business on October 30, 2002, Class A2 shares are closed to new investors.

The following is a summary of the significant accounting policies followed by the Fund in the preparation of its financial statements.

A. Security Valuations — Securities, including restricted securities, are valued according to the following policy.

Securities are fair valued using an evaluated quote provided by an independent pricing service approved by the Board of Trustees. Evaluated quotes provided by the pricing service may be determined without exclusive reliance on quoted prices, and may reflect appropriate factors such as institution-size trading in similar groups of securities, developments related to specific securities, dividend rate (for unlisted equities), yield (for debt obligations), quality, type of issue, coupon rate (for debt obligations), maturity (for debt obligations), individual trading characteristics and other market data. Debt obligations are subject to interest rate and credit risks. In addition, all debt obligations involve some risk of default with respect to interest and/or principal payments.

Securities for which market quotations either are not readily available or became unreliable are valued at fair value as determined in good faith by or under the supervision of the Trust’s officers following procedures approved by the Board of Trustees. Some of the factors which may be considered in determining fair value are fundamental analytical data relating to the investment; the nature and duration of any restrictions on transferability or disposition; trading in similar securities by the same issuer or comparable companies; relevant political, economic or issuer specific news; and other relevant factors under the circumstances.

34                         Invesco Tax-Free Intermediate Fund

The Fund invests in securities that are subject to interest rate risk, meaning the risk that the prices will generally fall as interest rates rise and, conversely, the prices will generally rise as interest rates fall. Specific securities differ in their sensitivity to changes in interest rates depending on their individual characteristics. Changes in interest rates may result in increased market volatility, which may affect the value and/or liquidity of certain of the Fund’s investments.

Valuations change in response to many factors including the historical and prospective earnings of the issuer, the value of the issuer’s assets, general economic conditions, interest rates, investor perceptions and market liquidity. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

B. Securities Transactions and Investment Income — Securities transactions are accounted for on a trade date basis. Realized gains or losses on sales are computed on the basis of specific identification of the securities sold. Interest income is recorded on the accrual basis from settlement date. Dividend income (net of withholding tax, if any) is recorded on the ex-dividend date. Bond premiums and discounts are amortized and/or accreted for financial reporting purposes.

The Fund may periodically participate in litigation related to Fund investments. As such, the Fund may receive proceeds from litigation settlements. Any proceeds received are included in the Statement of Operations as realized gain (loss) for investments no longer held and as unrealized gain (loss) for investments still held.

Brokerage commissions and mark ups are considered transaction costs and are recorded as an increase to the cost basis of securities purchased and/or a reduction of proceeds on a sale of securities. Such transaction costs are included in the determination of net realized and unrealized gain (loss) from investment securities reported in the Statement of Operations and the Statement of Changes in Net Assets and the net realized and unrealized gains (losses) on securities per share in the Financial Highlights. Transaction costs are included in the calculation of the Fund’s net asset value and, accordingly, they reduce the Fund’s total returns. These transaction costs are not considered operating expenses and are not reflected in net investment income reported in the Statement of Operations and Statement of Changes in Net Assets, or the net investment income per share and ratios of expenses and net investment income reported in the Financial Highlights, nor are they limited by any expense limitation arrangements between the Fund and the investment adviser.

The Fund allocates realized and unrealized capital gains and losses to a class based on the relative net assets of each class. The Fund allocates income to a class based on the relative value of the settled shares of each class.

C. Country Determination — For the purposes of making investment selection decisions and presentation in the Schedule of Investments, the investment adviser may determine the country in which an issuer is located and/or credit risk exposure based on various factors. These factors include the laws of the country under which the issuer is organized, where the issuer maintains a principal office, the country in which the issuer derives 50% or more of its total revenues and the country that has the primary market for the issuer’s securities, as well as other criteria. Among the other criteria that may be evaluated for making this determination are the country in which the issuer maintains 50% or more of its assets, the type of security, financial guarantees and enhancements, the nature of the collateral and the sponsor organization. Country of issuer and/or credit risk exposure has been determined to be the United States of America, unless otherwise noted.

D. Distributions — Distributions from income are declared daily and paid monthly. Distributions from net realized capital gain, if any, are generally declared and paid annually and recorded on the ex-dividend date. The Fund may elect to treat a portion of the proceeds from redemptions as distributions for federal income tax purposes.

E. Federal Income Taxes — The Fund intends to comply with the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”), necessary to qualify as a regulated investment company and to distribute substantially all of the Fund’s taxable and tax-exempt earnings to shareholders. As such, the Fund will not be subject to federal income taxes on otherwise taxable income (including net realized capital gain) that is distributed to shareholders. Therefore, no provision for federal income taxes is recorded in the financial statements.

The Fund recognizes the tax benefits of uncertain tax positions only when the position is more likely than not to be sustained. Management has analyzed the Fund’s uncertain tax positions and concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions. Management is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next 12 months.

In addition, the Fund intends to invest in such municipal securities to allow it to qualify to pay shareholders “exempt-interest dividends”, as defined in the Internal Revenue Code.

The Fund files tax returns in the U.S. Federal jurisdiction and certain other jurisdictions. Generally, the Fund is subject to examinations by such taxing authorities for up to three years after the filing of the return for the tax period.

F. Expenses— Fees provided for under the Rule 12b-1 plan of a particular class of the Fund are charged to the operations of such class. Transfer agency fees and expenses and other shareholder recordkeeping fees and expenses attributable to Class R5 are charged to such class. Transfer agency fees and expenses and other shareholder recordkeeping fees and expenses relating to all other classes are allocated among those classes based on relative net assets. All other expenses are allocated among the classes based on relative net assets.

G. Accounting Estimates— The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period including estimates and assumptions related to taxation. Actual results could differ from those estimates by a significant amount. In addition, the Fund monitors for material events or transactions that may occur or become known after the period-end date and before the date the financial statements are released to print.

H. Indemnifications — Under the Trust’s organizational documents, each Trustee, officer, employee or other agent of the Trust is indemnified against certain liabilities that may arise out of the performance of their duties to the Fund. Additionally, in the normal course of business, the Fund enters into contracts, including the Fund’s servicing agreements, that contain a variety of indemnification clauses. The Fund’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund that have not yet occurred. The risk of material loss as a result of such indemnification claims is considered remote.

I. Other Risks — The value of, payment of interest on, repayment of principal for and the ability to sell a municipal security may be affected by constitutional amendments, legislative enactments, executive orders, administrative regulations, voter initiatives and the economics of the regions in which the issuers are located.

Since many municipal securities are issued to finance similar projects, especially those relating to education, health care, transportation and utilities, conditions in those sectors can affect the overall municipal securities market and a Fund’s investments in municipal securities.

35                         Invesco Tax-Free Intermediate Fund

There is some risk that a portion or all of the interest received from certain tax-free municipal securities could become taxable as a result of determinations by the Internal Revenue Service.

NOTE 2—Advisory Fees and Other Fees Paid to Affiliates

The Trust has entered into a master investment advisory agreement with Invesco Advisers, Inc. (the “Adviser” or “Invesco”). Under the terms of the investment advisory agreement, the Fund pays an advisory fee to the Adviser based on the annual rate of the Fund’s average daily net assets as follows:

Average Daily Net Assets	Rate
First $500 million		0	.30%
Over $500 million up to and including $1 billion		0	.25%
Over $1 billion		0	.20%

Under the terms of a master sub-advisory agreement between the Adviser and each of Invesco Asset Management Deutschland GmbH, Invesco Asset Management Limited, Invesco Asset Management (Japan) Limited, Invesco Australia Limited, Invesco Hong Kong Limited, Invesco Senior Secured Management, Inc. and Invesco Canada Ltd. (collectively, the “Affiliated Sub-Advisers”) the Adviser, not the Fund, may pay 40% of the fees paid to the Adviser to any such Affiliated Sub-Adviser(s) that provide(s) discretionary investment management services to the Fund based on the percentage of assets allocated to such Sub-Adviser(s).

The Adviser has contractually agreed, through at least June 30, 2014, to waive advisory fees and/or reimburse expenses of all shares to the extent necessary to limit total annual fund operating expenses after fee waiver and/or expense reimbursement (excluding certain items discussed below) of Class A, Class A2, Class C, Class Y and Class R5 shares to 1.50%, 1.25%, 2.25%, 1.25% and 1.25%, respectively, of average daily net assets. In determining the Adviser’s obligation to waive advisory fees and/or reimburse expenses, the following expenses are not taken into account, and could cause the total annual fund operating expenses after fee waiver and/or expense reimbursement to exceed the numbers reflected above: (1) interest, facilities and maintenance fees; (2) taxes; (3) dividend expense on short sales; (4) extraordinary or non-routine items, including litigation expenses; and (5) expenses that the Fund has incurred but did not actually pay because of an expense offset arrangement. Unless Invesco continues the fee waiver agreement, it will terminate on June 30, 2014. The fee waiver agreement cannot be terminated during its term. The Adviser did not waive fees and/or reimburse expenses during the period under this expense limitation.

The Trust has entered into a master administrative services agreement with Invesco pursuant to which the Fund has agreed to pay Invesco for certain administrative costs incurred in providing accounting services to the Fund. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Administrative services fees.

The Trust has entered into a transfer agency and service agreement with Invesco Investment Services, Inc. (“IIS”) pursuant to which the Fund has agreed to pay IIS a fee for providing transfer agency and shareholder services to the Fund and reimburse IIS for certain expenses incurred by IIS in the course of providing such services. IIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. All fees payable by IIS to intermediaries that provide omnibus account services or sub-accounting are charged back to the Fund, subject to certain limitations approved by the Trust’s Board of Trustees. For the year ended February 28, 2014, expenses incurred under the agreement are shown in the Statement of Operations as Transfer agent fees.

The Trust has entered into master distribution agreements with Invesco Distributors, Inc. (“IDI”) to serve as the distributor for the Class A, Class A2, Class C, Class Y and Class R5 shares of the Fund. The Trust has adopted plans pursuant to Rule 12b-1 under the 1940 Act with respect to the Fund’s Class A shares (collectively, the “Plans”). The Fund, pursuant to the Plan, pays IDI compensation at the annual rate of 0.25% of the Fund’s average daily net assets of Class A shares and 1.00% of the average daily net assets of Class C shares. Of the Rule 12b-1 payment, up to 0.25% of the average daily net assets of the Class A shares may be paid to furnish continuing personal shareholder services to customers who purchase and own Class A shares of the Fund. Any amounts not paid as a service fee under the Plan would constitute an asset-based sales charge. Rules of the Financial Industry Regulatory Authority (“FINRA”) also impose a cap on the total sales charges, including asset-based sales charges, that may be paid by any class of shares of the Fund. For the year ended February 28, 2014, expenses incurred under the Plans are shown in the Statement of Operations as Distribution fees.

Front-end sales commissions and CDSC (collectively, the “sales charges”) are not recorded as expenses of the Fund. Front-end sales commissions are deducted from proceeds from the sales of Fund shares prior to investment in Class A and Class A2 shares of the Fund. CDSC are deducted from redemption proceeds prior to remittance to the shareholder. During the year ended February 28, 2014, IDI advised the Fund that IDI retained $151,940 and $405 in front-end sales commissions from the sale of Class A and Class A2 shares, respectively. Also, $94,414 and $1,484 from Class A and Class C shares respectively, for CDSC imposed upon redemptions by shareholders.

Certain officers and trustees of the Trust are officers and directors of the Adviser, IIS and/or IDI.

NOTE 3—Additional Valuation Information

GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, under current market conditions. GAAP establishes a hierarchy that prioritizes the inputs to valuation methods, giving the highest priority to readily available unadjusted quoted prices in an active market for identical assets (Level 1) and the lowest priority to significant unobservable inputs (Level 3), generally when market prices are not readily available or are unreliable. Based on the valuation inputs, the securities or other investments are tiered into one of three levels. Changes in valuation methods may result in transfers in or out of an investment’s assigned level:

Level 1 — Prices are determined using quoted prices in an active market for identical assets.

Level 2 — Prices are determined using other significant observable inputs. Observable inputs are inputs that other market participants may use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk, yield curves, loss severities, default rates, discount rates, volatilities and others.

Level 3 — Prices are determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. Unobservable inputs reflect the Fund’s own assumptions about the factors market participants would use in determining fair value of the securities or instruments and would be based on the best available information.

36                         Invesco Tax-Free Intermediate Fund

As of February 28, 2014, all of the securities in this Fund were valued based on Level 2 inputs (see the Schedule of Investments for security categories). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may materially differ from the value received upon actual sale of those investments.

NOTE 4—Security Transactions with Affiliated Funds

The Fund is permitted to purchase or sell securities from or to certain other Invesco Funds under specified conditions outlined in procedures adopted by the Board of Trustees of the Trust. The procedures have been designed to ensure that any purchase or sale of securities by the Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common Trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under the procedures, each transaction is effected at the current market price. Pursuant to these procedures, for the year ended February 28, 2014, the Fund engaged in securities purchases of $26,595,873 and securities sales of $26,496,351, which did not result in any net realized gains (losses).

NOTE 5—Expense Offset Arrangement(s)

The expense offset arrangement is comprised of transfer agency credits which result from balances in demand deposit accounts used by the transfer agent for clearing shareholder transactions. For the year ended February 28, 2014, the Fund received credits from this arrangement, which resulted in the reduction of the Fund’s total expenses of $309.

NOTE 6—Trustees’ and Officers’ Fees and Benefits

Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to pay remuneration to certain Trustees and Officers of the Fund. Trustees have the option to defer compensation payable by the Fund, and Trustees’ and Officers’ Fees and Benefits also include amounts accrued by the Fund to fund such deferred compensation amounts. Those Trustees who defer compensation have the option to select various Invesco Funds in which their deferral accounts shall be deemed to be invested. Finally, certain current Trustees were eligible to participate in a retirement plan that provided for benefits to be paid upon retirement to Trustees over a period of time based on the number of years of service. The Fund may have certain former Trustees who also participate in a retirement plan and receive benefits under such plan. Trustees’ and Officers’ Fees and Benefits include amounts accrued by the Fund to fund such retirement benefits. Obligations under the deferred compensation and retirement plans represent unsecured claims against the general assets of the Fund.

NOTE 7—Cash Balances

The Fund may borrow for leveraging in an amount up to 5% of the Fund’s total assets (excluding the amount borrowed) at the time the borrowing is made. In doing so, the Fund is permitted to temporarily carry a negative or overdrawn balance in its account with The Bank of New York Mellon, the custodian bank. Such balances, if any at period end, are shown in the Statement of Assets and Liabilities under the payable caption Amount due custodian. To compensate the custodian bank for such overdrafts, the overdrawn Fund may either (1) leave funds as a compensating balance in the account so the custodian bank can be compensated by earning the additional interest; or (2) compensate by paying the custodian bank at a rate agreed upon by the custodian bank and Invesco, not to exceed the contractually agreed upon rate. A Fund may not purchase additional securities when any borrowings from banks exceeds 5% of the Fund’s total assets.

NOTE 8—Distributions to Shareholders and Tax Components of Net Assets

Tax Character of Distributions to Shareholders Paid During the Years Ended February 28, 2014 and 2013:

	2014		2013
Ordinary income — tax-exempt	$	41,696,998	$	48,698,313

Tax Components of Net Assets at Period-End:

	2014
Undistributed ordinary income	$	2,162,932
Net unrealized appreciation — investments		85,927,625
Temporary book/tax differences		(234,140	)
Capital loss carryforward		(6,463,182	)
Shares of beneficial interest		1,273,033,251
Total net assets	$	1,354,426,486

The temporary book/tax differences are a result of timing differences between book and tax recognition of income and/or expenses. The Fund’s temporary book/tax differences are the result of the trustee deferral of compensation and retirement plan benefits.

Capital loss carryforward is calculated and reported as of a specific date. Results of transactions and other activity after that date may affect the amount of capital loss carryforward actually available for the Fund to utilize. Capital losses generated in years beginning after December 22, 2010 can be carried forward for an unlimited period, whereas previous losses expire in 8 tax years. Capital losses with an expiration period may not be used to offset capital gains until all net capital losses without an expiration date have been utilized. Capital loss carryforwards with no expiration date will retain their character as either short-term or long-term capital losses instead of as short-term capital losses as under prior law. The ability to utilize capital loss carryforward in the future may be limited under the Internal Revenue Code and related regulations based on the results of future transactions.

37                         Invesco Tax-Free Intermediate Fund

The Fund has a capital loss carryforward as of February 28, 2014, which expires as follows:

Capital Loss Carryforward*
Expiration	Short-Term		Long-Term		Total
February 28, 2017	$	176,146	$	—	$	176,146
February 28, 2018		195,867		—		195,867
Not subject to expiration		5,521,849		569,320		6,091,169
	$	5,893,862	$	569,320	$	6,463,182

* Capital loss carryforward as of the date listed above is reduced for limitations, if any, to the extent required by the Internal Revenue Code.

NOTE 9—Investment Securities

The aggregate amount of investment securities (other than short-term securities, U.S. Treasury obligations and money market funds, if any) purchased and sold by the Fund during the year ended February 28, 2014 was $67,815,506 and $252,919,406, respectively. Cost of investments on a tax basis includes the adjustments for financial reporting purposes as of the most recently completed federal income tax reporting period-end.

Unrealized Appreciation (Depreciation) of Investment Securities on a Tax Basis
Aggregate unrealized appreciation of investment securities	$	86,848,098
Aggregate unrealized (depreciation) of investment securities		(920,473	)
Net unrealized appreciation of investment securities	$	85,927,625

Cost of investments is the same for tax and financial statement purposes.

NOTE 10—Reclassification of Permanent Differences

Primarily as a result of differing book/tax treatment of taxable income, on February 28, 2014, undistributed net investment income was decreased by $5,692 and shares of beneficial interest was increased by $5,692. This reclassification had no effect on the net assets of the Fund.

NOTE 11—Share Information

	Summary of Share Activity
	Years ended February 28,
	2014(a)						2013
	Shares			Amount			Shares			Amount
Sold:
Class A		22,012,732		$	255,386,713			31,616,854		$	374,720,546
Class A2		294,174			3,405,945			1,445,260			17,116,077
Class C(b)		1,083,553			12,422,833			—			—
Class Y		14,436,708			166,605,811			8,832,720			104,540,316
Class R5		625,651			7,264,624			876,474			10,363,830
Issued as reinvestment of dividends:
Class A		1,842,690			21,323,100			2,282,241			27,045,122
Class A2		136,541			1,577,898			215,923			2,558,555
Class C		5,160			59,387			—			—
Class Y		342,844			3,959,503			355,031			4,207,006
Class R5		13,546			156,810			38,751			458,785
Reacquired:
Class A		(40,304,941	)		(465,159,824	)		(24,407,495	)		(289,070,650	)
Class A2		(2,801,353	)		(32,189,526	)		(1,165,443	)		(13,819,112	)
Class C		(195,140	)		(2,238,688	)		—			—
Class Y		(9,632,791	)		(111,074,693	)		(12,483,751	)		(147,377,526	)
Class R5		(859,152	)		(9,972,781	)		(1,411,799	)		(16,716,564	)
Net increase (decrease) in share activity		(12,999,778	)	$	(148,472,888	)		6,194,766		$	74,026,385

^(a) There are entities that are record owners of more than 5% of the outstanding shares of the Fund and in the aggregate own 63% of the outstanding shares of the Fund. IDI has an agreement with these entities to sell Fund shares. The Fund, Invesco and/or Invesco affiliates may make payments to these entities, which are considered to be related to the Fund, for providing services to the Fund, Invesco and/or Invesco affiliates including but not limited to services such as, securities brokerage, distribution, third party record keeping and account servicing. The Fund has no knowledge as to whether all or any portion of the shares owned of record by these entities are also owned beneficially.

^(b) Commencement date of June 28, 2013.

38                         Invesco Tax-Free Intermediate Fund

NOTE 12—Financial Highlights

The following schedule presents financial highlights for a share of the Fund outstanding throughout the periods indicated.

	Net asset value, beginning of period		Net investment income(a)		Net gains (losses) on securities (both realized and unrealized)			Total from investment operations		Dividends from net investment income			Distributions from net realized gains			Total distributions			Net asset value, end of period		Total return(b)			Net assets, end of period (000’s omitted)		Ratio of expenses to average net assets with fee waivers and/or expenses absorbed			Ratio of expenses to average net assets without fee waivers and/or expenses absorbed			Ratio of net investment income to average net assets			Portfolio turnover(c)
Class A
Year ended 02/28/14	$	11.91	$	0.34	$	(0.33	)	$	0.01	$	(0.33	)	$	—		$	(0.33	)	$	11.59		0.16	%	$	963,414		0.62	%(d)		0.62	%(d)		2.97	%(d)		5	%
Year ended 02/28/13		11.81		0.35		0.13			0.48		(0.38	)		—			(0.38	)		11.91		4.14			1,186,009		0.60			0.60			2.96			8
Year ended 02/29/12		11.12		0.36		0.72			1.08		(0.39	)		—			(0.39	)		11.81		9.88			1,064,169		0.60			0.60			3.14			11
Year ended 02/28/11		11.19		0.36		(0.13	)		0.23		(0.30	)		—			(0.30	)		11.12		2.10			1,033,795		0.60			0.60			3.20			18
Eleven months ended 02/28/10		10.72		0.33		0.49			0.82		(0.35	)		—			(0.35	)		11.19		7.80			1,552,931		0.63	(e)		0.63	(e)		3.23	(e)		8
Year ended 03/31/09		10.70		0.46		(0.02	)		0.44		(0.41	)		(0.01	)		(0.42	)		10.72		4.18			224,508		0.69			0.69			4.32			22
Class A2
Year ended 02/28/14		11.91		0.37		(0.31	)		0.06		(0.36	)		—			(0.36	)		11.61		0.58			88,598		0.37	(d)		0.37	(d)		3.22	(d)		5
Year ended 02/28/13		11.82		0.38		0.12			0.50		(0.41	)		—			(0.41	)		11.91		4.31			119,129		0.35			0.35			3.21			8
Year ended 02/29/12		11.12		0.39		0.73			1.12		(0.42	)		—			(0.42	)		11.82		10.25			112,293		0.35			0.35			3.39			11
Year ended 02/28/11		11.20		0.39		(0.14	)		0.25		(0.33	)		—			(0.33	)		11.12		2.26			96,998		0.35			0.35			3.45			18
Eleven months ended 02/28/10		10.72		0.35		0.51			0.86		(0.38	)		—			(0.38	)		11.20		8.14			109,342		0.38	(e)		0.38	(e)		3.48	(e)		8
Year ended 03/31/09		10.70		0.48		(0.02	)		0.46		(0.43	)		(0.01	)		(0.44	)		10.72		4.44			116,422		0.44			0.44			4.57			22
Class C
Period ended 02/28/14(f)		11.50		0.17		0.08			0.25		(0.16	)		—			(0.16	)		11.59		2.21			10,355		1.38	(d)(e)		1.38	(d)(e)		2.21	(d)(e)		5
Class Y
Year ended 02/28/14		11.90		0.37		(0.33	)		0.04		(0.36	)		—			(0.36	)		11.58		0.40			280,144		0.37	(d)		0.37	(d)		3.22	(d)		5
Year ended 02/28/13		11.81		0.38		0.12			0.50		(0.41	)		—			(0.41	)		11.90		4.32			226,613		0.35			0.35			3.21			8
Year ended 02/29/12		11.11		0.39		0.73			1.12		(0.42	)		—			(0.42	)		11.81		10.26			263,693		0.35			0.35			3.39			11
Year ended 02/28/11		11.19		0.39		(0.14	)		0.25		(0.33	)		—			(0.33	)		11.11		2.26			131,884		0.35			0.35			3.45			18
Eleven months ended 02/28/10		10.72		0.35		0.50			0.85		(0.38	)		—			(0.38	)		11.19		8.05			107,447		0.38	(e)		0.38	(e)		3.48	(e)		8
Year ended 03/31/09(f)		10.42		0.24		0.28			0.52		(0.21	)		(0.01	)		(0.22	)		10.72		5.01			29,834		0.45	(e)		0.45	(e)		4.56	(e)		22
Class R5
Year ended 02/28/14		11.90		0.37		(0.32	)		0.05		(0.36	)		—			(0.36	)		11.59		0.48			11,917		0.36	(d)		0.36	(d)		3.23	(d)		5
Year ended 02/28/13		11.80		0.37		0.13			0.50		(0.40	)		—			(0.40	)		11.90		4.35			14,860		0.41			0.41			3.15			8
Year ended 02/29/12		11.11		0.38		0.72			1.10		(0.41	)		—			(0.41	)		11.80		10.11			20,598		0.40			0.40			3.34			11
Year ended 02/28/11		11.18		0.39		(0.13	)		0.26		(0.33	)		—			(0.33	)		11.11		2.36			7,395		0.35			0.35			3.45			18
Eleven months ended 02/28/10		10.70		0.35		0.51			0.86		(0.38	)		—			(0.38	)		11.18		8.14			7,990		0.37	(e)		0.37	(e)		3.49	(e)		8
Year ended 03/31/09		10.69		0.48		(0.03	)		0.45		(0.43	)		(0.01	)		(0.44	)		10.70		4.28			2,344		0.50			0.50			4.51			22

^(a)  Calculated using average shares outstanding.

^(b)  Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions. Does not include sales charges and is not annualized for periods less than one year, if applicable.

^(c)  Portfolio turnover is calculated at the fund level and is not annualized for periods less than one year, if applicable.

^(d)  Ratios are based on average daily net assets (000’s omitted) of $1,066,722, $98,891, $5,101, $237,516 and $12,482 for Class A, Class A2, Class C, Class Y and Class R5 shares, respectively.

^(e)  Annualized.

^(f) Commencement date of June 28, 2013 and October 3, 2008 for Class C and Class Y shares respectively.

39                         Invesco Tax-Free Intermediate Fund

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds)

and Shareholders of Invesco Tax-Free Intermediate Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Invesco Tax-Free Intermediate Fund (one of the funds constituting AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds), hereafter referred to as the “Fund”) at February 28, 2014, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the periods indicated, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at February 28, 2014 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

PRICEWATERHOUSECOOPERS LLP

April 28, 2014

Houston, Texas

40                         Invesco Tax-Free Intermediate Fund

Calculating your ongoing Fund expenses

Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, which may include sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any; and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period September 1, 2013 through February 28, 2014.

Actual expenses

The table below provides information about actual account values and actual expenses. You may use the information in this table, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the table under the heading entitled “Actual Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The table below also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return.

The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) on purchase payments or contingent deferred sales charges on redemptions, if any. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher.

Class	Beginning Account Value (09/01/13)		ACTUAL				HYPOTHETICAL (5% annual return before expenses)				Annualized Expense Ratio
			Ending Account Value (02/28/14)1		Expenses Paid During Period2		Ending Account Value (02/28/14)		Expenses Paid During Period2
A	$	1,000.00	$	1,036.70	$	3.23	$	1,021.62	$	3.21		0.64	%
A2		1,000.00		1,038.00		1.97		1,022.86		1.96		0.39
C		1,000.00		1,032.80		7.01		1,017.90		6.95		1.39
Y		1,000.00		1,038.00		1.97		1,022.86		1.96		0.39
R5		1,000.00		1,038.10		1.67		1,023.16		1.66		0.33

¹  The actual ending account value is based on the actual total return of the Fund for the period September 1, 2013 through February 28, 2014, after actual expenses and will differ from the hypothetical ending account value which is based on the Fund’s expense ratio and a hypothetical annual return of 5% before expenses.

²  Expenses are equal to the Fund’s annualized expense ratio as indicated above multiplied by the average account value over the period, multiplied by 181/365 to reflect the most recent fiscal half year.

41                         Invesco Tax-Free Intermediate Fund

Tax Information

Form 1099-DIV, Form 1042-S and other year–end tax information provide shareholders with actual calendar year amounts that should be included in their tax returns. Shareholders should consult their tax advisors.

The following distribution information is being provided as required by the Internal Revenue Code or to meet a specific state’s requirement.

The Fund designates the following amounts or, if subsequently determined to be different, the maximum amount allowable for its fiscal year ended February 28, 2014:

Federal and State Income Tax
Qualified Dividend Income*	0	%
Corporate Dividends Received Deduction*	0	%
U.S. Treasury Obligations*	0	%
Tax-Exempt Interest Dividends*	100	%

* The above percentages are based on ordinary income dividends paid to shareholders during the Fund’s fiscal year.

42                         Invesco Tax-Free Intermediate Fund

Trustees and Officers

The address of each trustee and officer is AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) (the “Trust”), 11 Greenway Plaza, Suite 1000, Houston, Texas 77046-1173. The trustees serve for the life of the Trust, subject to their earlier death, incapacitation, resignation, retirement or removal as more specifically provided in the Trust’s organizational documents. Each officer serves for a one year term or until their successors are elected and qualified. Column two below includes length of time served with predecessor entities, if any.

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Interested Persons
Martin L. Flanagan1 — 1960 Trustee	2007	Executive Director, Chief Executive Officer and President, Invesco Ltd. (ultimate parent of Invesco and a global investment management firm); Advisor to the Board, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Trustee, The Invesco Funds; Vice Chair, Investment Company Institute; and Member of Executive Board, SMU Cox School of Business Formerly: Chairman and Chief Executive Officer, Invesco Advisers, Inc. (registered investment adviser); Director, Chairman, Chief Executive Officer and President, IVZ Inc. (holding company), INVESCO Group Services, Inc. (service provider) and Invesco North American Holdings, Inc. (holding company); Director, Chief Executive Officer and President, Invesco Holding Company Limited (parent of Invesco and a global investment management firm); Director, Invesco Ltd.; Chairman, Investment Company Institute and President, Co-Chief Executive Officer, Co-President, Chief Operating Officer and Chief Financial Officer, Franklin Resources, Inc. (global investment management organization).	123	None
Philip A. Taylor2 — 1954 Trustee, President and Principal Executive Officer	2006	Head of North American Retail and Senior Managing Director, Invesco Ltd.; Director, Co-Chairman, Co-President and Co-Chief Executive Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Director, Chairman, Chief Executive Officer and President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) (financial services holding company); Director and President, INVESCO Funds Group, Inc. (registered investment adviser and registered transfer agent); Director and Chairman, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) (registered transfer agent) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.) (registered broker dealer); Director, President and Chairman, Invesco Inc. (holding company) and Invesco Canada Holdings Inc. (holding company); Chief Executive Officer, Invesco Corporate Class Inc. (corporate mutual fund company) and Invesco Canada Fund Inc. (corporate mutual fund company); Director, Chairman and Chief Executive Officer, Invesco Canada Ltd. (formerly known as Invesco Trimark Ltd./Invesco Trimark Ltèe) (registered investment adviser and registered transfer agent); Trustee, President and Principal Executive Officer, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); Trustee and Executive Vice President, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only); Director, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Director, Chief Executive Officer and President, Van Kampen Exchange Corp. Formerly: Director and Chairman, Van Kampen Investor Services Inc.; Director, Chief Executive Officer and President, 1371 Preferred Inc. (holding company); and Van Kampen Investments Inc.; Director and President, AIM GP Canada Inc. (general partner for limited partnerships); and Van Kampen Advisors, Inc.; Director and Chief Executive Officer, Invesco Trimark Dealer Inc. (registered broker dealer); Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) (registered broker dealer); Manager, Invesco PowerShares Capital Management LLC; Director, Chief Executive Officer and President, Invesco Advisers, Inc.; Director, Chairman, Chief Executive Officer and President, Invesco Aim Capital Management, Inc.; President, Invesco Trimark Dealer Inc. and Invesco Trimark Ltd./Invesco Trimark Ltèe; Director and President, AIM Trimark Corporate Class Inc. and AIM Trimark Canada Fund Inc.; Senior Managing Director, Invesco Holding Company Limited; Trustee and Executive Vice President, Tax-Free Investments Trust; Director and Chairman, Fund Management Company (former registered broker dealer); President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only); President, AIM Trimark Global Fund Inc. and AIM Trimark Canada Fund Inc.	123	None
Wayne W. Whalen3 — 1939 Trustee	2010	Of Counsel, and prior to 2010, partner in the law firm of Skadden, Arps, Slate, Meagher & Flom LLP, legal counsel to certain funds in the Fund Complex.	136	Director of the Mutual fund Directors Forum, a nonprofit membership organization for investment directors; Chairman and Director of the Abraham Lincoln Presidential Library Foundation; and Director of the Stevenson Center for Democracy

¹  Mr. Flanagan is considered an interested person of the Trust because he is an officer of the adviser to the Trust, and an officer and a director of Invesco Ltd., ultimate parent of the adviser to the Trust.

²  Mr. Taylor is considered an interested person of the Trust because he is an officer and a director of the adviser to, and a director of the principal underwriter of, the Trust.

³  Mr. Whalen is considered an “interested person” (within the meaning of Section 2(a)(19) of the 1940 Act) of certain funds in the Fund Complex because his firm currently provides legal services as legal counsel to such Funds.

T-1                         Invesco Tax-Free Intermediate Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees
Bruce L. Crockett — 1944 Trustee and Chair	1993	Chairman, Crockett Technologies Associates (technology consulting company) Formerly: Director, Captaris (unified messaging provider); Director, President and Chief Executive Officer COMSAT Corporation; Chairman, Board of Governors of INTELSAT (international communications company); ACE Limited (insurance company); and Investment Company Institute	123	ALPS (Attorneys Liability Protection Society) (insurance company)
David C. Arch — 1945 Trustee	2010	Chairman of Blistex Inc., a consumer health care products manufacturer	136	Board member of the Illinois Manufacturers’ Association; Member of the Board of Visitors, Institute for the Humanities University of Michigan; Member of the Audit Committee of the Edward-Elmhurst Hospital
Frank S. Bayley — 1939 Trustee	2001	Retired. Formerly: Director, Badgley Funds Inc. (registered investment company) (2 portfolios) and General Partner and Of Counsel, law firm of Baker & McKenzie, LLP	123	Director and Chairman, C.D. Stimson Company (a real estate investment company); Trustee, The Curtis Institute of Music
James T. Bunch — 1942 Trustee	2003	Managing Member, Grumman Hill Group LLC (family office private equity investments) Formerly: Founder, Green Manning & Bunch Ltd. (investment banking firm) (1988-2010); Executive Committee, United States Golf Association; and Director, Policy Studies, Inc. and Van Gilder Insurance Corporation.	123	Chairman, Board of Governors, Western Golf Association, Chairman, Evans Scholars Foundation and Director, Denver Film Society
Rodney F. Dammeyer — 1940 Trustee	2010	Chairman of CAC, LLC, (private company offering capital investment and management advisory services) Formerly: Prior to 2001, Managing Partner at Equity Group Corporate Investments. Prior to 1995, Chief Executive Officer of Itel Corporation (formerly Anixter International). Prior to 1985, experience includes Senior Vice President and Chief Financial Officer of Household International, Inc., Executive Vice President and Chief Financial Officer of Northwest Industries, Inc. and Partner of Arthur Andersen & Co.; From 1987 to 2010, Director/Trustee of investment companies in the Van Kampen Funds complex	123	Director of Quidel Corporation and Stericycle, Inc.
Albert R. Dowden — 1941 Trustee	2000	Director of a number of public and private business corporations, including the Boss Group, Ltd. (private investment and management); Nature’s Sunshine Products, Inc. and Reich & Tang Funds (5 portfolios) (registered investment company) Formerly: Director, Homeowners of America Holding Corporation/Homeowners of America Insurance Company (property casualty company); Director, Continental Energy Services, LLC (oil and gas pipeline service); Director, CompuDyne Corporation (provider of product and services to the public security market) and Director, Annuity and Life Re (Holdings), Ltd. (reinsurance company); Director, President and Chief Executive Officer, Volvo Group North America, Inc.; Senior Vice President, AB Volvo; Director of various public and private corporations; Chairman, DHJ Media, Inc.; Director, Magellan Insurance Company; and Director, The Hertz Corporation, Genmar Corporation (boat manufacturer), National Media Corporation; Advisory Board of Rotary Power International (designer, manufacturer, and seller of rotary power engines); and Chairman, Cortland Trust, Inc. (registered investment company)	123	Director of: Nature’s Sunshine Products, Inc., Reich & Tang Funds, Homeowners of America Holding Corporation/ Homeowners of America Insurance Company, the Boss Group
Jack M. Fields — 1952 Trustee	1997	Chief Executive Officer, Twenty First Century Group, Inc. (government affairs company); Owner and Chief Executive Officer, Dos Angeles Ranch, L.P. (cattle, hunting, corporate entertainment); and Discovery Global Education Fund (non-profit) Formerly: Chief Executive Officer, Texana Timber LP (sustainable forestry company); Director of Cross Timbers Quail Research Ranch (non-profit); and member of the U.S. House of Representatives	123	Insperity, Inc. (formerly known as Administaff)
Prema Mathai-Davis — 1950 Trustee	1998	Retired. Formerly: Chief Executive Officer, YWCA of the U.S.A.	123	None
Larry Soll — 1942 Trustee	2003	Retired. Formerly: Chairman, Chief Executive Officer and President, Synergen Corp. (a biotechnology company)	123	None
Hugo F. Sonnenschein — 1940 Trustee	2010	President Emeritus and Honorary Trustee of the University of Chicago and the Adam Smith Distinguished Service Professor in the Department of Economics at the University of Chicago. Prior to 2000, President of the University of Chicago	136	Trustee of the University of Rochester and a member of its investment committee; Member of the National Academy of Sciences and the American Philosophical Society; Fellow of the American Academy of Arts and Sciences

T-2                         Invesco Tax-Free Intermediate Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Independent Trustees—(continued)
Raymond Stickel, Jr. — 1944 Trustee	2005	Retired. Formerly: Director, Mainstay VP Series Funds, Inc. (25 portfolios) and Partner, Deloitte & Touche	123	None
Other Officers
Russell C. Burk — 1958 Senior Vice President and Senior Officer	2005	Senior Vice President and Senior Officer, The Invesco Funds	N/A	N/A
John M. Zerr — 1962 Senior Vice President, Chief Legal Officer and Secretary	2006	Director, Senior Vice President, Secretary and General Counsel, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Senior Vice President and Secretary, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Vice President and Secretary, Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) and IVZ Distributors, Inc. (formerly known as INVESCO Distributors, Inc.); Director and Vice President, INVESCO Funds Group, Inc.; Senior Vice President, Chief Legal Officer and Secretary, The Invesco Funds; Manager, Invesco PowerShares Capital Management LLC; Director, Secretary and General Counsel, Invesco Investment Advisers LLC (formerly known as Van Kampen Asset Management); Secretary and General Counsel, Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.) and Chief Legal Officer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Director and Vice President, Van Kampen Advisors Inc.; Director, Vice President, Secretary and General Counsel, Van Kampen Investor Services Inc.; Director, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Senior Vice President, General Counsel and Secretary, Invesco Aim Advisers, Inc. and Van Kampen Investments Inc.; Director, Vice President and Secretary, Fund Management Company; Director, Senior Vice President, Secretary, General Counsel and Vice President, Invesco Aim Capital Management, Inc.; Chief Operating Officer and General Counsel, Liberty Ridge Capital, Inc. (an investment adviser); Vice President and Secretary, PBHG Funds (an investment company) and PBHG Insurance Series Fund (an investment company); Chief Operating Officer, General Counsel and Secretary, Old Mutual Investment Partners (a broker-dealer); General Counsel and Secretary, Old Mutual Fund Services (an administrator) and Old Mutual Shareholder Services (a shareholder servicing center); Executive Vice President, General Counsel and Secretary, Old Mutual Capital, Inc. (an investment adviser); and Vice President and Secretary, Old Mutual Advisors Funds (an investment company)	N/A	N/A
Sheri Morris — 1964 Vice President, Treasurer and Principal Financial Officer	1999	Vice President, Treasurer and Principal Financial Officer, The Invesco Funds; Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); and Vice President, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust Formerly: Vice President, Invesco Aim Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; Assistant Vice President and Assistant Treasurer, The Invesco Funds and Assistant Vice President, Invesco Advisers, Inc., Invesco Aim Capital Management, Inc. and Invesco Aim Private Asset Management, Inc.; and Treasurer, PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust	N/A	N/A

T-3                         Invesco Tax-Free Intermediate Fund

Trustees and Officers—(continued)

Name, Year of Birth and Position(s) Held with the Trust	Trustee and/ or Officer Since	Principal Occupation(s) During Past 5 Years	Number of Funds in Fund Complex Overseen by Trustee	Other Directorship(s) Held by Trustee During Past 5 Years
Other Officers—(continued)
Karen Dunn Kelley — 1960 Vice President	1993	Senior Managing Director, Investments; Director, Co-President, Co-Chief Executive Officer, and Co-Chairman, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Chairman, Invesco Senior Secured Management, Inc.; Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.); Executive Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.); Director, Invesco Mortgage Capital Inc. and Invesco Management Company Limited; Director and President, INVESCO Asset Management (Bermuda) Ltd., Vice President, The Invesco Funds (other than AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust); and President and Principal Executive Officer, The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust) and Short-Term Investments Trust only) Formerly: Director, INVESCO Global Asset Management Limited and INVESCO Management S.A.; Senior Vice President, Van Kampen Investments Inc. and Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser); Vice President, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.); Director of Cash Management and Senior Vice President, Invesco Advisers, Inc. and Invesco Aim Capital Management, Inc.; President and Principal Executive Officer, Tax-Free Investments Trust; Director and President, Fund Management Company; Chief Cash Management Officer, Director of Cash Management, Senior Vice President, and Managing Director, Invesco Aim Capital Management, Inc.; Director of Cash Management, Senior Vice President, and Vice President, Invesco Advisers, Inc. and The Invesco Funds (AIM Treasurer’s Series Trust (Invesco Treasurer’s Series Trust), Short-Term Investments Trust and Tax-Free Investments Trust only)	N/A	N/A
Crissie M. Wisdom — 1969 Anti-Money Laundering Compliance Officer	2013	Anti-Money Laundering Compliance Officer, Invesco Advisers, Inc. (formerly known as Invesco Institutional (N.A.), Inc.) (registered investment adviser), Invesco Capital Markets, Inc. (formerly known as Van Kampen Funds Inc.), Invesco Distributors, Inc., Invesco Investment Services, Inc., Invesco Management Group, Inc., Van Kampen Exchange Corp., The Invesco Funds, Invesco Funds (Chicago), and PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust, and PowerShares Actively Managed Exchange-Traded Fund Trust; and Fraud Prevention Manager and Controls and Risk Analysis Manager for Invesco Investment Services, Inc.	N/A	N/A
Todd L. Spillane — 1958 Chief Compliance Officer	2006	Senior Vice President, Invesco Management Group, Inc. (formerly known as Invesco Aim Management Group, Inc.) and Van Kampen Exchange Corp.; Senior Vice President and Chief Compliance Officer, Invesco Advisers, Inc. (registered investment adviser) (formerly known as Invesco Institutional (N.A.), Inc.); Chief Compliance Officer, The Invesco Funds; Vice President, Invesco Distributors, Inc. (formerly known as Invesco Aim Distributors, Inc.) and Invesco Investment Services, Inc. (formerly known as Invesco Aim Investment Services, Inc.) Formerly: Chief Compliance Officer, Invesco Funds (Chicago); Senior Vice President, Van Kampen Investments Inc.; Senior Vice President and Chief Compliance Officer, Invesco Aim Advisers, Inc. and Invesco Aim Capital Management, Inc.; Chief Compliance Officer, INVESCO Private Capital Investments, Inc. (holding company), Invesco Private Capital, Inc. (registered investment adviser), Invesco Global Asset Management (N.A.), Inc., Invesco Senior Secured Management, Inc. (registered investment adviser), Van Kampen Investor Services Inc., PowerShares Exchange-Traded Fund Trust, PowerShares Exchange-Traded Fund Trust II, PowerShares India Exchange-Traded Fund Trust and PowerShares Actively Managed Exchange-Traded Fund Trust; and Vice President, Invesco Aim Capital Management, Inc. and Fund Management Company	N/A	N/A

The Statement of Additional Information of the Trust includes additional information about the Fund’s Trustees and is available upon request, without charge, by calling 1.800.959.4246. Please refer to the Fund’s prospectus for information on the Fund’s sub-advisers.

Office of the Fund 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Investment Adviser Invesco Advisers, Inc. 1555 Peachtree Street, N.E. Atlanta, GA 30309	Distributor Invesco Distributors, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Auditors PricewaterhouseCoopers LLP 1201 Louisiana Street, Suite 2900 Houston, TX 77002-5678
Counsel to the Fund Stradley Ronon Stevens & Young, LLP 2005 Market Street, Suite 2600 Philadelphia, PA 19103-7018	Counsel to the Independent Trustees Goodwin Procter LLP 901 New York Avenue, N.W. Washington, D.C. 20001	Transfer Agent Invesco Investment Services, Inc. 11 Greenway Plaza, Suite 1000 Houston, TX 77046-1173	Custodian Bank of New York Mellon 2 Hanson Place Brooklyn, NY 11217-1431

T-4                         Invesco Tax-Free Intermediate Fund

Invesco mailing information

Send general correspondence to Invesco Investment Services, Inc., P.O. Box 219078, Kansas City, MO 64121-9078.

Important notice regarding delivery of security holder documents

To reduce Fund expenses, only one copy of most shareholder documents may be mailed to shareholders with multiple accounts at the same address (Householding). Mailing of your shareholder documents may be householded indefinitely unless you instruct us otherwise. If you do not want the mailing of these documents to be combined with those for other members of your household, please contact Invesco Investment Services, Inc. at 800 959 4246 or contact your financial institution. We will begin sending you individual copies for each account within 30 days after receiving your request.

Fund holdings and proxy voting information

The Fund provides a complete list of its holdings four times in each fiscal year, at the quarter ends. For the second and fourth quarters, the lists appear in the Fund’s semiannual and annual reports to shareholders. For the first and third quarters, the Fund files the lists with the Securities and Exchange Commission (SEC) on Form N-Q. The most recent list of portfolio holdings is available at invesco.com/completeqtrholdings. Shareholders can also look up the Fund’s
Forms N-Q on the SEC website at sec.gov. Copies of the Fund’s Forms N-Q may be reviewed and copied at the SEC Public Reference Room in Washington, D.C. You can obtain information on the operation of the Public Reference Room, including information about duplicating fee charges, by calling 202 551 8090 or 800 732 0330, or by electronic request at the following email address: publicinfo@sec.gov. The SEC file numbers for the Fund are shown below.

    A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, from our Client Services department at 800 959 4246 or at invesco.com/proxyguidelines. The information is also available on the SEC website, sec.gov.

    Information regarding how the Fund voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 is available at invesco.com/proxysearch. The information is also available on the SEC website, sec.gov.     Invesco Advisers, Inc. is an investment adviser; it provides investment advisory services to individual and institutional clients and does not sell securities. Invesco Distributors, Inc. is the US distributor for Invesco Ltd.’s retail mutual funds, exchange-traded funds and institutional money market funds. Both are wholly owned, indirect subsidiaries of Invesco Ltd.

SEC file numbers: 811-07890 and 033-66242 TFI-AR-1 Invesco Distributors, Inc.

ITEM 2. CODE OF ETHICS.

There were no amendments to the Code of Ethics (the “Code”) that applies to the Registrant’s Principal Executive Officer (“PEO”) and Principal Financial Officer (“PFO”) during the period covered by the report. The Registrant did not grant any waivers, including implicit waivers, from any provisions of the Code to the PEO or PFO during the period covered by this report.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

The Board of Trustees has determined that the Registrant has at least one audit committee financial expert serving on its Audit Committee. The Audit Committee financial expert is Raymond Stickel, Jr. Mr. Stickel is “independent” within the meaning of that term as used in Form N-CSR.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

(a) to (d)

Fees Billed by PWC Related to the Registrant

PWC billed the Registrant aggregate fees for services rendered to the Registrant for the last two fiscal years as follows:

	Fees Billed for Services Rendered to the Registrant for fiscal year end 2014		(e)(2) Percentage of Fees Billed Applicable to Non-Audit Services Provided for fiscal year end 2014 Pursuant to Waiver of Pre-Approval Requirement(1)			Fees Billed for Services Rendered to the Registrant for fiscal year end 2013		(e)(2) Percentage of Fees Billed Applicable to Non-Audit Services Provided for fiscal year end 2013 Pursuant to Waiver of Pre-Approval Requirement(1)
Audit Fees	$	203,350		N/A		$	226,850		N/A
Audit-Related Fees(2)	$	6,500		0	%	$	6,000		0	%
Tax Fees(3)	$	63,770		0	%	$	31,550		0	%
All Other Fees	$	0		0	%	$	0		0	%
Total Fees	$	273,620		0	%	$	264,400		0	%

(g) PWC billed the Registrant aggregate non-audit fees of $70,270 for the fiscal year ended 2014, and $37,550 for the fiscal year ended 2013, for non-audit services rendered to the Registrant.

(1) With respect to the provision of non-audit services, the pre-approval requirement is waived pursuant to a de minimis exception if (i) such services were not recognized as non-audit services by the Registrant at the time of engagement, (ii) the aggregate amount of all such services provided is no more than 5% of the aggregate audit and non-audit fees paid by the Registrant to PWC during a fiscal year; and (iii) such services are promptly brought to the attention of the Registrant’s Audit Committee and approved by the Registrant’s Audit Committee prior to the completion of the audit.

(2) Audit-Related fees for the fiscal year end February 28, 2014 includes fees billed for agreed upon procedures related to fund mergers. Audit-Related fees for the fiscal year end February 28, 2013 includes fees billed for agreed upon procedures related to fund mergers.

(3) Tax fees for the fiscal year end February 28, 2014 includes fees billed for reviewing tax returns and consultation services. Tax fees for fiscal year end February 28, 2013 includes fees billed for reviewing tax returns.

Fees Billed by PWC Related to Invesco and Invesco Affiliates

PWC billed Invesco Advisers, Inc. (“Invesco”), the Registrant’s adviser, and any entity controlling, controlled by or under common control with Invesco that provides ongoing services to the Registrant (“Invesco Affiliates”) aggregate fees for pre-approved non-audit services rendered to Invesco and Invesco Affiliates for the last two fiscal years as follows:

	Fees Billed for Non- Audit Services Rendered to Invesco and Invesco Affiliates for fiscal year end 2014 That Were Required to be Pre-Approved by the Registrant’s Audit Committee		(e)(2) Percentage of Fees Billed Applicable to Non-Audit Services Provided for fiscal year end 2014 Pursuant to Waiver of Pre- Approval Requirement(1)			Fees Billed for Non- Audit Services Rendered to Invesco and Invesco Affiliates for fiscal year end 2013 That Were Required to be Pre-Approved by the Registrant’s Audit Committee		(e)(2) Percentage of Fees Billed Applicable to Non-Audit Services Provided for fiscal year end 2013 Pursuant to Waiver of Pre- Approval Requirement(1)
Audit-Related Fees	$	574,000		0	%	$	0		0	%
Tax Fees	$	0		0	%	$	0		0	%
All Other Fees	$	0		0	%	$	0		0	%
Total Fees(2)	$	574,000		0	%	$	0		0	%

(1) With respect to the provision of non-audit services, the pre-approval requirement is waived pursuant to a de minimis exception if (i) such services were not recognized as non-audit services by the Registrant at the time of engagement, (ii) the aggregate amount of all such services provided is no more than 5% of the aggregate audit and non-audit fees paid by the Registrant, Invesco and Invesco Affiliates to PWC during a fiscal year; and (iii) such services are promptly brought to the attention of the Registrant’s Audit Committee and approved by the Registrant’s Audit Committee prior to the completion of the audit.

(2) Audit-Related fees for the year end 2014 include fees billed related to reviewing controls at a service organization.

(g) Including the fees for services not required to be pre-approved by the registrant’s audit committee, PWC billed Invesco and Invesco Affiliates aggregate non-audit fees of $1,645,309 for the fiscal year ended 2014, and $0 for the fiscal year ended 2013, for non-audit services rendered to Invesco and Invesco Affiliates.

(h) The Audit Committee also has considered whether the provision of non-audit services that were rendered to Invesco and Invesco Affiliates that were not required to be pre-approved pursuant to SEC regulations, if any, is compatible with maintaining PWC’s independence.

(f) Not applicable.

(e)(1)

PRE-APPROVAL OF AUDIT AND NON-AUDIT SERVICES

POLICIES AND PROCEDURES

As adopted by the Audit Committees of

the Invesco Funds (the “Funds”)

Last Amended May 4, 2010

Statement of Principles

Under the Sarbanes-Oxley Act of 2002 and rules adopted by the Securities and Exchange Commission (“SEC”) (“Rules”), the Audit Committees of the Funds’ (the “Audit Committees”) Board of Trustees (the “Board”) are responsible for the appointment, compensation and oversight of the work of independent accountants (an “Auditor”). As part of this responsibility and to assure that the Auditor’s independence is not impaired, the Audit Committees pre-approve the audit and non-audit services provided to the Funds by each Auditor, as well as all non-audit services provided by the Auditor to the Funds’ investment adviser and to affiliates of the adviser that provide ongoing services to the Funds (“Service Affiliates”) if the services directly impact the Funds’ operations or financial reporting. The SEC Rules also specify the types of services that an Auditor may not provide to its audit client. The following policies and procedures comply with the requirements for pre-approval and provide a mechanism by which management of the Funds may request and secure pre-approval of audit and non-audit services in an orderly manner with minimal disruption to normal business operations.

Proposed services either may be pre-approved without consideration of specific case-by-case services by the Audit Committees (“general pre-approval”) or require the specific pre-approval of the Audit Committees (“specific pre-approval”). As set forth in these policies and procedures, unless a type of service has received general pre-approval, it will require specific pre-approval by the Audit Committees. Additionally, any fees exceeding 110% of estimated pre-approved fee levels provided at the time the service was pre-approved will also require specific approval by the Audit Committees before payment is made. The Audit Committees will also consider the impact of additional fees on the Auditor’s independence when determining whether to approve any additional fees for previously pre-approved services.

The Audit Committees will annually review and generally pre-approve the services that may be provided by each Auditor without obtaining specific pre-approval from the Audit Committee generally on an annual basis. The term of any general pre-approval runs from the date of such pre-approval through September 30^th of the following year, unless the Audit Committees consider a different period and state otherwise. The Audit Committees will add to or subtract from the list of general pre-approved services from time to time, based on subsequent determinations.

The purpose of these policies and procedures is to set forth the guidelines to assist the Audit Committees in fulfilling their responsibilities.

Delegation

The Audit Committees may from time to time delegate pre-approval authority to one or more of its members who are Independent Trustees. All decisions to pre-approve a service by a delegated member shall be reported to the Audit Committees at the next quarterly meeting.

Audit Services

The annual audit services engagement terms will be subject to specific pre-approval of the Audit Committees. Audit services include the annual financial statement audit and other procedures such as tax provision work that is required to be performed by the independent auditor to be able to form an opinion on the Funds’ financial statements. The Audit Committees will obtain, review and consider sufficient information concerning the proposed Auditor to make a reasonable evaluation of the Auditor’s qualifications and independence.

In addition to the annual Audit services engagement, the Audit Committees may grant either general or specific pre-approval of other audit services, which are those services that only the independent auditor reasonably can provide. Other Audit services may include services such as issuing consents for the inclusion of audited financial statements with SEC registration statements, periodic reports and other documents filed with the SEC or other documents issued in connection with securities offerings.

Non-Audit Services

The Audit Committees may provide either general or specific pre-approval of any non-audit services to the Funds and its Service Affiliates if the Audit Committees believe that the provision of the service will not impair the independence of the Auditor, is consistent with the SEC’s Rules on auditor independence, and otherwise conforms to the Audit Committees’ general principles and policies as set forth herein.

Audit-Related Services

“Audit-related services” are assurance and related services that are reasonably related to the performance of the audit or review of the Fund’s financial statements or that are traditionally performed by the independent auditor. Audit-related services include, among others, accounting consultations related to accounting, financial reporting or disclosure matters not classified as “Audit services”; assistance with understanding and implementing new accounting and financial reporting guidance from rulemaking authorities; and agreed-upon procedures related to mergers, compliance with ratings agency requirements and interfund lending activities.

Tax Services

“Tax services” include, but are not limited to, the review and signing of the Funds’ federal tax returns, the review of required distributions by the Funds and consultations regarding tax matters such as the tax treatment of new investments or the impact of new regulations. The Audit Committees will scrutinize carefully the retention of the Auditor in connection with a transaction initially recommended by the Auditor, the major business purpose of which may be tax avoidance or the tax treatment of which may not be supported in the Internal Revenue Code and related regulations. The Audit Committees will consult with the Funds’ Treasurer (or his or her designee) and may consult with outside counsel or advisors as necessary to ensure the consistency of Tax services rendered by the Auditor with the foregoing policy.

No Auditor shall represent any Fund or any Service Affiliate before a tax court, district court or federal court of claims.

Under rules adopted by the Public Company Accounting Oversight Board and approved by the SEC, in connection with seeking Audit Committees’ pre-approval of permissible Tax services, the Auditor shall:

1. Describe in writing to the Audit Committees, which writing may be in the form of the proposed engagement letter:

a. The scope of the service, the fee structure for the engagement, and any side letter or amendment to the engagement letter, or any other agreement between the Auditor and the Fund, relating to the service; and

b. Any compensation arrangement or other agreement, such as a referral agreement, a referral fee or fee-sharing arrangement, between the Auditor and any person (other than the Fund) with respect to the promoting, marketing, or recommending of a transaction covered by the service;

2. Discuss with the Audit Committees the potential effects of the services on the independence of the Auditor; and

3. Document the substance of its discussion with the Audit Committees.

All Other Auditor Services

The Audit Committees may pre-approve non-audit services classified as “All other services” that are not categorically prohibited by the SEC, as listed in Exhibit 1 to this policy.

Pre-Approval Fee Levels or Established Amounts

Pre-approval of estimated fees or established amounts for services to be provided by the Auditor under general or specific pre-approval policies will be set periodically by the Audit Committees. Any proposed fees exceeding 110% of the maximum estimated pre-approved fees or established amounts for pre-approved audit and non-audit services will be reported to the Audit Committees at the quarterly Audit Committees meeting and will require specific approval by the Audit Committees before payment is made. The Audit Committees will always factor in the overall relationship of fees for audit and non-audit services in determining whether to pre-approve any such services and in determining whether to approve any additional fees exceeding 110% of the maximum pre-approved fees or established amounts for previously pre-approved services.

Procedures

Generally on an annual basis, Invesco Advisers, Inc. (“Invesco”) will submit to the Audit Committees for general pre-approval, a list of non-audit services that the Funds or Service Affiliates of the Funds may request from the Auditor. The list will describe the non-audit services in reasonable detail and will include an estimated range of fees and such other information as the Audit Committee may request.

Each request for services to be provided by the Auditor under the general pre-approval of the Audit Committees will be submitted to the Funds’ Treasurer (or his or her designee) and must include a detailed description of the services to be rendered. The Treasurer or his or her designee will ensure that such services are included within the list of services that have received the general pre-approval of the Audit Committees. The Audit Committees will be informed at the next quarterly scheduled Audit Committees meeting of any such services for which the Auditor rendered an invoice and whether such services and fees had been pre-approved and if so, by what means.

Each request to provide services that require specific approval by the Audit Committees shall be submitted to the Audit Committees jointly by the Fund’s Treasurer or his or her designee and the Auditor, and must include a joint statement that, in their view, such request is consistent with the policies and procedures and the SEC Rules.

Each request to provide tax services under either the general or specific pre-approval of the Audit Committees will describe in writing: (i) the scope of the service, the fee structure for the engagement, and any side letter or amendment to the engagement letter, or any other agreement between the Auditor and the audit client, relating to the service; and (ii) any compensation arrangement or other agreement between the Auditor and any person (other than the audit client) with respect to the promoting, marketing, or recommending of a transaction covered by the service. The Auditor will discuss with the Audit Committees the potential effects of the services on the Auditor’s independence and will document the substance of the discussion.

Non-audit services pursuant to the de minimis exception provided by the SEC Rules will be promptly brought to the attention of the Audit Committees for approval, including documentation that each of the conditions for this exception, as set forth in the SEC Rules, has been satisfied.

On at least an annual basis, the Auditor will prepare a summary of all the services provided to any entity in the investment company complex as defined in section 2-01(f)(14) of Regulation S-X in sufficient detail as to the nature of the engagement and the fees associated with those services.

The Audit Committees have designated the Funds’ Treasurer to monitor the performance of all services provided by the Auditor and to ensure such services are in compliance with these policies and procedures. The Funds’ Treasurer will report to the Audit Committees on a periodic basis as to the results of such monitoring. Both the Funds’ Treasurer and management of Invesco will immediately report to the chairman of the Audit Committees any breach of these policies and procedures that comes to the attention of the Funds’ Treasurer or senior management of Invesco.

Exhibit 1 to Pre-Approval of Audit and Non-Audit Services Policies and Procedures

Conditionally Prohibited Non-Audit Services (not prohibited if the Fund can reasonably conclude that the results of the service would not be subject to audit procedures in connection with the audit of the Fund’s financial statements)

• Bookkeeping or other services related to the accounting records or financial statements of the audit client

• Financial information systems design and implementation

• Appraisal or valuation services, fairness opinions, or contribution-in-kind reports

• Actuarial services

• Internal audit outsourcing services

Categorically Prohibited Non-Audit Services

• Management functions

• Human resources

• Broker-dealer, investment adviser, or investment banking services

• Legal services

• Expert services unrelated to the audit

• Any service or product provided for a contingent fee or a commission

• Services related to marketing, planning, or opining in favor of the tax treatment of confidential transactions or aggressive tax position transactions, a significant purpose of which is tax avoidance

• Tax services for persons in financial reporting oversight roles at the Fund

• Any other service that the Public Company Oversight Board determines by regulation is impermissible.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable.

ITEM 6. SCHEDULE OF INVESTMENTS.

Investments in securities of unaffiliated issuers is included as part of the reports to stockholders filed under Item 1 of this Form.

ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable.

ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT COMPANIES.

Not applicable.

ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.

Not applicable.

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

None

ITEM 11. CONTROLS AND PROCEDURES.

(a) As of February 12, 2014, an evaluation was performed under the supervision and with the participation of the officers of the Registrant, including the PEO and PFO, to assess the effectiveness of the Registrant’s disclosure controls and procedures, as that term is defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the “Act”), as amended. Based on that evaluation, the Registrant’s officers, including the PEO and PFO, concluded that, as of February 12, 2014, the Registrant’s disclosure controls and procedures were reasonably designed to ensure: (1) that information required to be disclosed by the Registrant on Form N-CSR is recorded, processed, summarized and reported within the time periods specified by the rules and forms of the Securities and Exchange Commission; and (2) that material information relating to the Registrant is made known to the PEO and PFO as appropriate to allow timely decisions regarding required disclosure.

(b) There have been no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Act) that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

ITEM 12. EXHIBITS.

12(a) (1) Code of Ethics.

12(a) (2) Certifications of principal executive officer and principal financial officer as required by Rule 30a-2(a) under the Investment Company Act of 1940.

12(a) (3) Not applicable.

12(b) Certifications of principal executive officer and principal financial officer as required by Rule 30a-2(b) under the Investment Company Act of 1940.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Registrant: AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds)

By:	/s/ PHILIP A. TAYLOR
	Philip A. Taylor
	Principal Executive Officer

Date: May 9, 2014

Pursuant to the requirements of the Securities and Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.

By:	/s/ PHILIP A. TAYLOR
	Philip A. Taylor
	Principal Executive Officer

Date: May 9, 2014

By:	/s/ Sheri Morris
	Sheri Morris
	Principal Financial Officer

Date: May 9, 2014

EXHIBIT INDEX

12(a) (1)	Code of Ethics.
12(a) (2)	Certifications of principal executive officer and principal financial officer as required by Rule 30a-2(a) under the Investment Company Act of 1940.
12(a) (3)	Not applicable.
12(b)	Certifications of principal executive officer and principal financial officer as required by Rule 30a-2(b) under the Investment Company Act of 1940.