Section 7520 Interest Rates
To be used to value certain charitable interests in trusts. Pursuant to Internal Revenue Code 7520, the interest rate for a particular month is the rate that is 120 percent of the applicable federal midterm rate (compounded annually) for the month in which the valuation date falls. That rate is then rounded to the nearest two-tenths of one percent. For example, the rate that is 120 percent of the applicable federal rate (compounded annually) for June 2012 is 1.28 percent. That rate is then rounded to the nearest two-tenths of one percent or 1.2 percent for purposes of IRC 7520.
| Valuation Month | 120% of Applicable Federal Midterm Rate | Section 7520 Interest Rate | Revenue Ruling |
|---|---|---|---|
| January 2013 | 1.04% | 1.0% | 2013-1 |
| February 2013 | 1.21% | 1.2% | 2013-3 |
| March 2013 | 1.31% | 1.4% | 2013-7 |
| April 2013 | 1.31% | 1.4% | 2013-9 |
For prior years' rates, please refer to Section 7520 Interest Rates for Prior Years.
Note: This page contains one or more references to the Internal Revenue Code (IRC), Treasury Regulations, court cases, or other official tax guidance. References to these legal authorities are included for the convenience of those who would like to read the technical reference material. To access the applicable IRC sections, Treasury Regulations, or other official tax guidance, visit the Tax Code, Regulations, and Official Guidance page. To access any Tax Court case opinions issued after September 24, 1995, visit the Opinions Search page of the United States Tax Court.
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