Applicable Federal Rates for October 2013 Released (Rev. Rul. 2013-21)

Various prescribed rates for federal income tax purposes for October 2013 have been provided by the IRS. The annual short-term, mid-term, and long-term applicable federal interest rates (AFRs) are 0.32 percent, 1.93 percent and 3.50 percent, respectively. The semiannual short-term, mid-term, and long-term AFRs are 0.32 percent, 1.92 percent and 3.47 percent, respectively. Quarterly short-term, mid-term and long-term AFRs are 0.32 percent, 1.92 percent and 3.46 percent, respectively. Finally, the monthly short-term, mid-term and long-term rates are 0.32 percent, 1.91 percent and 3.45 percent, respectively.

The short-term, mid-term, and long-term adjusted applicable federal rates (adjusted AFR) for October 2013 for purposes of Code Sec. 1288(b) are 0.32 percent, 1.78 percent, and 3.50 percent, respectively, when annual compounding is used.

Additionally, the Code Sec. 382 adjusted federal long-term rate is 3.50 percent, and the long-term tax-exempt rate is also 3.50 percent. The Code Sec. 42(b)(2) appropriate percentage for the 70-percent present-value, low-income housing credit is 7.63 percent, and the appropriate percentage for the 30-percent present-value, low-income housing credit is 3.27 percent. Finally, the Code Sec. 7520 AFR for determining the present value of an annuity, an interest for life or a term of years, or a remainder or reversionary interest is 2.40 percent.

Rev. Rul. 2013-21, 2013FED ¶46,523

Rev. Rul. 2013-21, FINH ¶30,750

Other References:

Code Sec. 42

CCH Reference – 2013FED ¶173.02

CCH Reference – 2013FED ¶176.01

CCH Reference – 2013FED ¶4385.03

Code Sec. 382

CCH Reference – 2013FED ¶17,115.28

Code Sec. 1274

CCH Reference – 2013FED ¶31,310.05

Code Sec. 7520

CCH Reference – 2013FED ¶42,785.45

CCH Reference – FINH ¶22,630.05

Code Sec. 7872

CCH Reference – FINH ¶18,950.05

CCH Reference – FINH ¶18,950.80

Tax Research Consultant

CCH Reference – TRC ACCTNG: 36,162.05

 

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