The Accounting Offices of Lauryn Charles | 660 E Hillsboro Blvd Suite 105, Deerfield Beach, FL 33441
(954) 933-1558

AFSG Blog

We've helped hundreds of small businesses to grow with sound tax planning, tax pre-preparation, and accounting solutions for you and your business.
Jun 09

Under or Over Paid? What are the Interest Rates on Tax?

Interest Rates Remain the Same for the Third Quarter of 2017

WASHINGTON ― The Internal Revenue Service today announced that interest rates will remain the same for the calendar quarter beginning July 1, 2017.  The rates will be:

  • four (4) percent for overpayments (three (3) percent in the case of a corporation);
  • 1 and one-half (1.5) percent for the portion of a corporate overpayment exceeding $10,000;
  • four (4) percent for underpayments; and
  • six (6) percent for large corporate underpayments.

Under the Internal Revenue Code, the rate of interest is determined on a quarterly basis.  For taxpayers other than corporations, the overpayment and underpayment rate is the federal short-term rate plus 3 percentage points.

Generally, in the case of a corporation, the underpayment rate is the federal short-term rate plus 3 percentage points and the overpayment rate is the federal short-term rate plus 2 percentage points. The rate for large corporate underpayments is the federal short-term rate plus 5 percentage points. The rate on the portion of a corporate overpayment of tax exceeding $10,000 for a taxable period is the federal short-term rate plus one-half (0.5) of a percentage point.

The interest rates announced today are computed from the federal short-term rate determined during April 2017 to take effect May 1, 2017, based on daily compounding.

Revenue Ruling 2017-13, announcing the rates of interest, is attached and will appear in Internal Revenue Bulletin 2017-26, dated June 26, 2017.

Comments are closed.

Contact Information

660 E Hillsboro Blvd Suite 105
Deerfield Beach
FL 33441
info@AFSGconsulting.com
(954) 933-1558

Hours of Operation

Monday - Friday 9:00 to 5:00 PM

Location