What is the applicable federal rate for a demand note?

What is the applicable federal rate for a demand note?

The following is a chart of the blended annual rates from 1985 to the present. For the interest rates to apply to low-interest (or interest-free) demand loans before 1985, see Rev. Proc. 85-46, 1985-2 C.B. 507….— Blended Annual Rates Under Section 7872 —

Calendar Year	Blended Annual Rate
2019	2.42%
2020	0.89%
2021	0.13%

What is the applicable federal interest rate?

The IRS published an annual short-term AFR of 0.12%, mid-term AFR of 1.00%, and long-term AFR of 2.07% in July 2021.

What is the applicable federal rate for 2020?

— Short Term Rates for 2020 —

Month	Annual	Quarterly
March	1.50%	1.49%
April	0.91%	0.91%
May	0.25%	0.25%
June	0.18%	0.18%

What is the IRS AFR for July 2021?

AFRs are published monthly and represent the minimum interest rates that should be charged for family loans to avoid tax complications. The Section 7520 interest rate for July 2021 is 1.2 percent.

What is section 1288 B of the Internal Revenue Code?

Section 1288(b) provides that, in applying section 483 or section 1274 to a tax- exempt obligation (as defined in section 1275(a)(3)), under regulations prescribed by the Secretary, appropriate adjustments shall be made to the applicable Federal rate to take into account the tax exemption for interest on the obligation …

What is the AFR rate for September 2021?

The Internal Revenue Service has released the Applicable Federal Rates (AFRs) for September 2021. AFRs are published monthly and represent the minimum interest rates that should be charged for family loans to avoid tax complications. The Section 7520 interest rate for September 2021 is 1.0 percent.