Interest rates

Interest rates will stay the same for the calendar quarter beginning April 1, 2023, the Internal Revenue Service stated Thursday.

The rate for overpayments and underpayments for individuals will be 7% annually, compounded daily. The whole list of the new prices is provided below:

The rate of interest is decided on a quarterly basis in accordance with the Internal Tax Code. The overpayment and underpayment rate for taxpayers who are not companies is equal to the federal short-term rate + 3 percentage points.

In general, the underpayment rate and overpayment rate for corporations are equal to the federal short-term rate + three percentage points and two percentage points, respectively. The federal short-term rate + five percentage points is the rate for big business underpayments. The federal short-term rate + one-half (0.5) of a percentage point applies to the amount of a corporate overpayment of tax that exceeds $10,000 for a taxable period.

The federal short-term rate, which was established in January 2023, is used to calculate the interest rates that were announced.

(Source Credit: This article was originally published by : news on February 13h, 2023.)