Internal Revenue Service
Revenue Ruling
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smRev. Rul. 2001-49
Released: September 25, 2001
Section 1274.--Determination of Issue Price in the Case of Certain Debt Instruments Issued for Property
(Also Sections 42, 280G, 382, 412, 467, 468, 482, 483, 642, 807, 846, 1288, 7520, 7872.)
This revenue ruling provides various October 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. 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.
REV. RUL. 2001-49 TABLE 1
Applicable Federal Rates (AFR) for October 2001
Period for Compounding
-------------------------------------------------------
Annual Semiannual Quarterly Mon thly
--------- ---------- --------- ---------
Short-Term
----------
AFR 3.58% 3.55% 3.53% 3.52%
110% AFR 3.95% 3.91% 3.89% 3.88%
120% AFR 4.31% 4.26% 4.24% 4.22%
130% AFR 4.67% 4.62% 4.59% 4.58%
Mid-Term
----------
AFR 4.59% 4.54% 4.51% 4.50%
110% AFR 5.05% 4.99% 4.96% 4.94%
120% AFR 5.52% 5.45% 5.41% 5.39%
130% AFR 5.99% 5.90% 5.86% 5.83%
150% AFR 6.93% 6.81% 6.75% 6.72%
175% AFR 8.11% 7.95% 7.87% 7.82%
Long-Term
----------
AFR 5.39% 5.32% 5.29% 5.26%
110% AFR 5.94% 5.85% 5.81% 5.78%
120% AFR 6.48% 6.38% 6.33% 6.30%
130% AFR 7.04% 6.92% 6.86% 6.82%
REV. RUL. 2001-49 TABLE 2
Adjusted AFR for October 2001
Period for Compounding
----------------------------------------------------------------
Annual Semiannual Quarterly Mon thly
------ ---------- --------- --------
Short-term adjusted AFR 2.72% 2.70% 2.69% 2.68%
Mid-term adjusted AFR 3.57% 3.54% 3.52% 3.51%
Long-term adjusted AFR 4.71% 4.66% 4.63% 4.62%
REV. RUL. 2001-49 TABLE 3
Rates Under Section 382 for October 2001
Adjusted federal long-term rate for the current month 4.71%
Long-term tax-exempt rate for ownership changes during the current month 4.94%
(the highest of the adjusted federal long-term rates for the current
month and the prior two months.)
REV. RUL. 2001-49 TABLE 4
Appropriate Percentages Under Section 42(b)(2) for October 2001
Appropriate percentage for the 70% present value low-income housing 8.16%
credit
Appropriate percentage for the 30% present value low-income housing 3.50%
credit
REV. RUL. 2001-49 TABLE 5
Rate Under Section 7520 for October 2001
Applicable federal rate for determining the present value of an annuity, 5.60%
an interest for life or a term of years, or a remainder or
reversionary interest