The US Treasury (Internal Revenue Service) issues a revenue ruling each month with interest rates. The current revenue ruling is Rev. Rul. 2009-38. Highlighted below are the various applicable federal rates and housing tax credit applicable percentages for December 2009 for your reference and use. We hope you will find this a useful reference.
This revenue ruling provides various prescribed rates for federal income tax purposes for December 2009 (the current month). Table 1 contains the short-term, mid-term and long-term applicable federal rates (AFR) for the current month for purposes of section 1274(d) of the Internal Revenue Code. Table 2 contains the short-term, mid-term and long-term adjusted applicable federal rates (adjusted AFR) for the current month for purposes of section 1288(b). Table 3 sets forth the adjusted federal long-term rate and the long-term tax-exempt rate described in section 382(f). Table 4 contains the appropriate percentages for determining the low-income housing credit described in section 42(b)(1) for buildings placed in service during the current month. However, under section 42(b)(2), the applicable percentage for non-federally subsidized new buildings placed in service after July 30, 2008, and before December 31, 2013, shall not be less than 9 percent. Finally, Table 5 contains the federal rate for determining the present value of an annuity, an interest for life or for a term of years, or a remainder or a reversionary interest for purposes of section 7520.
Rev. Rul. 2009-38 TABLE 1 Period for Compounding Annual Semiannual Quarterly Monthly Short-term AFR .69% .69% .69% .69% 110% AFR .76% .76% .76% .76% 120% AFR .83% .83% .83% .83% 130% AFR .90% .90% .90% .90% Mid-term AFR 2.64% 2.62% 2.61% 2.61% 110% AFR 2.90% 2.88% 2.87% 2.86% 120% AFR 3.16% 3.14% 3.13% 3.12% 130% AFR 3.44% 3.41% 3.40% 3.39% 150% AFR 3.97% 3.93% 3.91% 3.90% 175% AFR 4.64% 4.59% 4.56% 4.55% Long-term AFR 4.17% 4.13% 4.11% 4.09% 110% AFR 4.59% 4.54% 4.51% 4.50% 120% AFR 5.02% 4.96% 4.93% 4.91% 130% AFR 5.44% 5.37% 5.33% 5.31%
Applicable Federal Rates (AFR) for December 2009
Adjusted AFR for December 2009
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Period for Compounding | ||||
|
|
Annual |
Semiannual |
Quarterly |
Monthly |
|
Short-term adjusted AFR |
.86% |
.86% |
.86% |
.86% |
|
Mid-term adjusted AFR |
2.25% |
2.24% |
2.23% |
2.23% |
|
Long-term adjusted AFR |
4.14% |
4.10% |
4.08% |
4.07% |
Rev. Rul. 2009-38 TABLE 3
Rates Under Section 382 for December 2009
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| |
|
Adjusted federal long-term rate for the current month |
4.14% |
|
Long-term tax-exempt rate for ownership changes during the current month (the highest of the adjusted federal long-term rates for the current month and the prior two months). |
4.16% |
Rev. Rul. 2009-38 TABLE 4
Appropriate Percentages Under Section 42(b)(1) for December 2009
Note: Under Section 42(b)(2), the applicable percentage for nonfederally subsidized new buildings placed in service after July 30, 2008 and before December 31, 2013 shall not be less than 9 percent.
|
| |
|
Appropriate percentage for the 70% present value low-income housing credit |
7.79% |
|
Appropriate percentage for the 30% present value low-income housing credit |
3.34% |
Rev. Rul. 2009-38 TABLE 5
Rate Under Section 7520 for December 2009
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| |
|
Applicable federal rate for determining the present value of an annuity, an interest for life or a term of years, or a remainder or reversionary interest |
3.2% |
Rev. Rul. 2009-38 TABLE 6
Rates Under Sections 846 and 807
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| |
|
Applicable rate of interest for 2010 for purposes of sections 846 and 807 |
3.81% |