Rev. Rul. 85-71

Rev. Rul. 85-71 [FN1]

Published: June 3, 1985

Section 1274.-Determination of Issue Price in the Case of Certain Debt Instruments Issued for Property.

(Also Sections 567, 483, 7872.)

  Pursuant to section 1.1274-6T of the Temporary Income Tax Regulations, the Federal short-term, mid-term, and long-term applicable federal rates (AFR) for the month of June 1985 computed under the alternate method are as follows:

              PERIOD FOR COMPOUNDING
            Annual  Semiannual  Quarterly  Monthly
Short-Term
       AFR   9.58%       9.36%      9.25%    9.18%
  110% AFR  10.57%      10.30%     10.17%   10.09%
  120% AFR  11.55%      11.23%     11.08%   10.98%
Mid-Term
       AFR  11.18%      10.88%     10.74%   10.64%
  110% AFR  12.33%      11.97%     11.80%   11.68%
  120% AFR  13.49%      13.06%     12.85%   12.72%
Long-Term
       AFR  11.74%      11.41%     11.25%   11.15%
  110% AFR  12.94%      12.55%     12.36%   12.23%
  120% AFR  14.16%      13.69%     13.46%   13.32%

FN1. Also released as News Release IR-85-50, dated May 20, 1985.

Rev. Rul. 85-71, 1985-1 C.B. 288, 1985-22 I.R.B. 6.