IRS interest rates used in calculating interest on overdue accounts and refunds,
[Federal Register: January 7, 2000 (Volume 65, Number 5)]
[Notices]
[Page 1227-1229]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr07ja00-121]
DEPARTMENT OF THE TREASURY
Customs Service
Quarterly IRS Interest Rates Used in Calculating Interest on Overdue Accounts and Refunds on Customs Duties
AGENCY: Customs Service, Treasury.
ACTION: General notice.
SUMMARY: This notice advises the public of the quarterly Internal Revenue Service interest rates used to calculate interest on overdue accounts (underpayments) and refunds (overpayments) of Customs duties. For the quarter beginning January 1, 2000, the interest rates for overpayments will be 7 percent for corporations and 8 percent for non- corporations, and the interest rate for underpayments will be 8 percent. This notice is published for the convenience of the importing public and Customs personnel.
EFFECTIVE DATE: January 1, 2000.
FOR FURTHER INFORMATION CONTACT: Ronald Wyman, Accounting Services Division, Accounts Receivable Group, 6026 Lakeside Boulevard, Indianapolis, Indiana 46278, (317) 298-1200, extension 1349.
SUPPLEMENTARY INFORMATION:
Background
Pursuant to 19 U.S.C. 1505 and Treasury Decision 85-93, published in the Federal Register on May 29, 1985 (50 FR 21832), the interest rate paid on applicable overpayments or underpayments of Customs duties shall be in accordance with the Internal Revenue Code rate established under 26 U.S.C. 6621 and 6622. Section 6621 was amended (at paragraph (a)(1)(B) by the Internal Revenue Service Restructuring and Reform Act of 1998, Pub. L. 105-206, 112 Stat. 685) to provide different interest rates applicable to
[[Page 1228]]
overpayments: one for corporations and one for non-corporations. The interest rate applicable to underpayments is not so bifurcated.
The interest rates are based on the short-term Federal rate and determined by the Internal Revenue Service (IRS) on behalf of the Secretary of the Treasury on a quarterly basis. The rates effective for a quarter are determined during the first-month period of the previous quarter.
In Revenue Ruling 99-53 (see, 1999-50 IRB 1, dated December 13, 1999), the IRS determined the rates of interest for the second quarter of fiscal year (FY) 2000 (the period of January 1-March 31, 2000). The interest rate paid to the Treasury for underpayments will be the short- term Federal rate (5%) plus three percentage points (3%) for a total of eight percent (8%). For corporate overpayments, the rate is the Federal short-term rate (5%) plus two percentage points (2%) for a total of seven percent (7%). For overpayments made by non-corporations, the rate is the Federal short-term rate (5%) plus three percentage points (3%) for a total of eight percent (8%). These interest rates are subject to change for the third quarter of FY-2000 (the period of April 1-June 30, 2000).
For the convenience of the importing public and Customs personnel the following list of Internal Revenue Service interest rates used, covering the period from before July of 1974 to date, to calculate interest on overdue accounts and refunds of Customs duties, is published in summary format.
Corporate Underpayments Overpayments overpayments Beginning date
Ending date (percent) (percent) (Eff. 1-1-99) (percent)
Prior to:
070174......................................
063075
6
6
070175......................................
013176
9
9
020176......................................
013178
7
7
020178......................................
013180
6
6
020180......................................
013182
12
12
020182......................................
123182
20
20
010183......................................
063083
16
16
070183......................................
123184
11
11
010185......................................
063085
13
13
070185......................................
123185
11
11
010186......................................
063086
10
10
070186......................................
123186
9
9
010187......................................
093087
9
8
100187......................................
123187
10
9
010188......................................
033188
11
10
040188......................................
093088
10
9
100188......................................
033189
11
10
040189......................................
093089
12
11
100189......................................
033191
11
10
040191......................................
123191
10
9
010192......................................
033192
9
8
040192......................................
093092
8
7
100192......................................
063094
7
6
070194......................................
093094
8
7
100194......................................
033195
9
8
040195......................................
063095
10
9
070195......................................
033196
9
8
040196......................................
063096
8
7
070196......................................
033198
9
8
040198......................................
123198
8
7
010199......................................
033199
7
7
6
040199......................................
033100
8
8
7
[[Page 1229]]
Dated: January 3, 2000. Raymond W. Kelly, Commissioner of Customs.
[FR Doc. 00-304Filed1-6-00; 8:45 am]
BILLING CODE 4820-02-P
