Internal Revenue Service
Revenue Ruling
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smThis revenue ruling provides various prescribed rates for federal income tax purposes for January 2001 (the current) month). Table 1 contains the short-term, mid-term, 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, mid-term, 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 long-term 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. 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. Finally, Table 6 contains the deemed rate of return for transfers made during calendar year 2001 to pooled income funds described in section 642(c)(5) that have been in existence for less than 3 taxable years immediately preceding the taxable year in which the transfer is made. REV. RUL. 2001-3 TABLE 1
Applicable Federal Rates (AFR) for January 2001
Period for Compounding
Annual Semiannual Quarterly
Monthly
______ __________ _________
_______
Short-Term
AFR 5.90% 5.82%
5.78% 5.75%
110%
AFR 6.50% 6.40%
6.35% 6.32%
120%
AFR 7.10% 6.98%
6.92% 6.88%
130%
AFR 7.71% 7.57%
7.50% 7.45%
Mid-Term
AFR 5.61% 5.53%
5.49% 5.47%
110%
AFR 6.17% 6.08%
6.03% 6.00%
120%
AFR 6.75% 6.64%
6.59% 6.55%
130%
AFR 7.32% 7.19%
7.13% 7.08%
150%
AFR 8.47% 8.30%
8.22% 8.16%
175%
AFR 9.91% 9.68%
9.57% 9.49%
Long-Term
AFR 5.78% 5.70%
5.66% 5.63%
110%
AFR 6.37% 6.27%
6.22% 6.19%
120%
AFR 6.96% 6.84%
6.78% 6.74%
130%
AFR 7.55% 7.41%
7.34% 7.30%
REV.
RUL. 2001-3 TABLE 2
Adjusted
AFR for January 2001
Period for Compounding
Annual Semiannual Quarterly
Monthly
______ __________ _________
_______
Short-term
adjusted
AFR 4.18% 4.14%
4.12% 4.10%
Mid-term
adjusted
AFR 4.52% 4.47%
4.45% 4.43%
Long-term
adjusted
AFR 5.24% 5.17%
5.14% 5.12%
REV.
RUL. 2001-3 TABLE 3
Rates
Under Section 382 for January 2001
Adjusted
federal long-term rate for the current month 5.24%
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.)
5.39%
REV.
RUL. 2001-3 TABLE 4
Appropriate Percentages Under Section 42(b)(2)
for
January 2001
Appropriate
percentage for the 70% present
value
low-income housing credit 8.33%
Appropriate
percentage for the 30% present
value
low-income housing credit 3.57%
REV.
RUL. 2001-3 TABLE 5
Rate
Under Section 7520 for January 2001
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
6.8%
REV.
RUL. 2001-3 TABLE 6
Deemed
Rate for Transfers to New
Pooled Income Funds During 2001
Deemed
rate of return for transfers during
2001
to pooled income funds that have been
in
existence for less than 3 taxable years 6.6%