Rev. Rul. 88-1
1988-1 C.B. 307.
Internal Revenue Service
Revenue Ruling
FEDERAL RATES; ADJUSTED FEDERAL RATES; ADJUSTED FEDERAL LONG-TERM RATE,
AND THE LONG-TERM EXEMPT RATE
Published: December 18, 1987
Section 1274. - Determination of Issue Price in the Case of Certain Debt Instruments for Property
(Also Sections 280G, 382, 383, 467, 468, 483, 1273, 1288, 7872.)
Federal rates; adjusted federal rates; adjusted federal long-term rate, and the long-term exempt rate. For purposes of sections 1274, 1288, 382, and other sections of the Code, tables set forth the rates for January 1988.
For purposes of section 1274(d) of the Internal Revenue Code, the short-term, mid-term, and long-term applicable federal rates (AFR) for the month of January 1988 are as follows:
Period for Compounding
Annual Semiannual Quarterly Monthly
Short-Term
AFR 7.56% 7.42% 7.35% 7.31%
110% AFR 8.33% 8.16% 8.08% 8.02%
120% AFR 9.10% 8.90% 8.80% 8.74%
Mid-Term
AFR 8.81% 8.62% 8.53% 8.47%
110% AFR 9.70% 9.48% 9.37% 9.30%
120% AFR 10.61% 10.34% 10.21% 10.12%
Long-Term
AFR 9.27% 9.06% 8.96% 8.89%
110% AFR 10.22% 9.97% 9.85% 9.77%
120% AFR 11.17% 10.87% 10.73% 10.63%
For purposes of section 1288 of the Code, the short-term, mid- term, and long-term adjusted federal rates (adjusted AFR) for the month of January 1988 are as follows:
Period for Compounding
Annual Semiannual Quarterly Monthly
Short-Term
AFR 5.75% 5.67% 5.63% 5.60%
Mid-Term
AFR 6.38% 6.28% 6.23% 6.20%
Long-Term
AFR 7.54% 7.40% 7.33% 7.29%
For purposes of section 382 of the Code, the adjusted federal long-term rate and the long-term tax-exempt rate for January 1988 are as follows:
Adjusted federal long-term rate for January 7.54%
Long-term tax-exempt rate for ownership changes
during January (the highest of the adjusted
federal long-term rates for the current
month and the prior two months) 8.04%
Rev. Rul. 88-1, 1988-1 C.B. 307