Software Solutions for Financial and Tax Professionals
Site Guide
HomeProductsOrder & Download
Replacement FilesRegister SoftwareTechnical SupportWhat's New
Contact Us
(800) 426 - 4741

We've moved!

TimeValue Software
22 Mauchly
Irvine, CA 92618
(949) 727 - 1800
FAX (949) 727 - 3268

info@timevalue.com

October 2006
Applicable Federal Rates

Rev. Rul. 2006-50

Applicable Federal Rates for October

This revenue ruling provides various prescribed rates for federal income tax purposes for October 2006 (the current month). Table 1 contains the short-term, midterm, 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, midterm, 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 longterm 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)(2) for buildings placed in service during the current month. 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.


Table I
October 2006
 

Period for Compounding

Applicable Federal Rate (AFR)

Annual

Semi-annual

Quarterly

Monthly

Short-Term

        

AFR

5.00%

4.94%

4.91%

4.89%

110% AFR

5.50%

5.43%

5.39%

5.37%

120% AFR

6.02%

5.93%

5.89%

5.86%

130% AFR

6.52%

6.42%

6.37%

6.34%
Mid-Term
        

AFR

4.82%

4.76%

4.73%

4.71%

110% AFR

5.31%

5.24%

5.21%

5.18%

120% AFR

5.79%

5.71%

5.67%

5.64%

130% AFR

6.29%

6.19%

6.14%

6.11%

150% AFR

7.27%

7.14%

7.08%

7.04%

175% AFR

8.50%

8.33%

8.25%

8.19%
Long-Term
        

AFR

5.02%

4.96%

4.93%

4.91%

110% AFR

5.53%

5.46%

5.42%

5.40%

120% AFR

6.04%

5.95%

5.91%

5.88%

130% AFR

6.55%

6.45%

6.40%

6.36%
 
Table II
Adjusted AFR for October 2006
 

Period for Compounding
 

Annual

Semi-annual

Quarterly

Monthly

Short-term adjusted AFR

3.50%

3.47%

3.46%

3.45%

Mid-term adjusted AFR

3.69%

3.66%

3.64%

3.63%

Long-term adjusted AFR

4.22%

4.18%

4.16%

4.14%
 
Table III
Rates Under Section 382 for October 2006

Adjusted federal long-term rate for the current month

4.22%

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.)

4.52%
 
Table IV
Appropriate Percentages Under Section 42(b)(2) for October 2006

Appropriate Percentage for the 70% present value low-income housing credit

8.15%

Appropriate Percentage for the 30% present value low-income housing credit
3.49%
 
Table V
Rate Under Section 7520 for October 2006

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

5.8%

Back to Top

[Printer Friendly Adobe PDF Version]

About Us | Site Map / Search | Privacy Policy