There are three AFR tiers based on the repayment term of a family loan: (1) Short-term rates, for loans with a repayment term up to three years. (2) Mid-term rates, for loans with a repayment term between three and nine years. (3) Long-term rates, for loans with a repayment term...
If you lent someone money at zero interest, you might assume that the loan has no tax implications. But you may owe imputed interest. When you don't charge interest on a loan, or make a “below-market-rate loan”, the IRS may still tax you. Imputed inter
Table 1 contains the short-term, mid-term, and long-term applicable federal rates (AFR) for the current month for purposes of section 1274(d) of the Internal Revenue Code. Table 2 contains the short-term, mid-term, and long-term adjusted applicable federal rates (adjusted AFR) for the ...
a minimum rate set by the IRS (known as the Applicable Federal Rate or AFR) must be charged. The AFRs announced for May are historically low: just 0.25%, 0.58% and 1.15% for short-term (up to three years), midterm (three to nine years) and long-term (over nine ye...
a minimum rate set by the IRS (known as the Applicable Federal Rate or AFR) must be charged. The AFRs announced for May are historically low: just 0.25%, 0.58% and 1.15% for short-term (up to three years), midterm (three to nine years) and long-term (over nine years)...