IRS Sets July Applicable, Adjusted Federal Interest Rates

The Internal Revenue Service issued the applicable federal interest rates and adjusted applicable rates for July.

The rates in Revenue Ruling 2017-14 apply to determinations related to the present value of annuities, loans with below-market interest rates, the present value of golden parachute payments, unrelated business income with respect to tax-exempt organizations, and other business purposes.

The annual applicable short-term rate for July is 1.22 percent, the mid-term rate is 1.89 percent, and the long-term rate is 2.60 percent. The adjusted AFRs for the month are 0.91 percent (short-term), 1.40 percent (mid-term), and 1.93 percent (long-term).

A 2.2 percent AFR ...