IRS Revenue Ruling
1997-30

 Code Secs. 1274, 42, 280C, 382, 412, 467 ....

<<FULL TEXT>>

(Also Sections 42, 280C, 382, 412, 467, 468, 482, 483, 642, 807, 846,
1288, 7520, 7872.)

Federal rates; adjusted federal rates; adjusted federal long-term rate,
and the long-term exempt rate. For purposes of sections 1274, 1288, 382,
and other sections of the Code, tables set forth the rates for August
1997.


REV. RUL. 97-30

This revenue ruling provides various prescribed rates for federal
income tax purposes for August 1997 (the current month.) 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 current month for purposes
of section 1288(b). Table 3 sets forth the adjusted federal longterm rate
and the long-term tax-exempt rate described in section 382(f). Table 4
contains the appropriate percentages for determining the low-income
housing credit described in section 42(b)(2) for buildings placed in
service during the current month. Finally, Table 5 contains the federal
rate for determining the present value of an annuity, an interest for life
or for a term of years, or a remainder or a reversionary interest for
purposes of section 7520.


REV. RUL. 97-30 TABLE 1

Applicable Federal Rates (AFR) for August 1997

Period for Compounding
-------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-Term
AFR 5.87% 5.79% 5.75% 5.72%
110% AFR 6.47% 6.37% 6.32% 6.29%
120% AFR 7.07% 6.95% 6.89% 6.85%
130% AFR 7.67% 7.53% 7.46% 7.41%

Mid-Term
AFR 6.39% 6.29% 6.24% 6.21%
110% AFR 7.04% 6.92% 6.86% 6.82%
120% AFR 7.69% 7.55% 7.48% 7.43%
130% AFR 8.35% 8.18% 8.10% 8.04%
150% AFR 9.66% 9.44% 9.33% 9.26%
175% AFR 11.31% 11.01% 10.86% 10.77%

Long-Term
AFR 6.73% 6.62% 6.57% 6.53%
110% AFR 7.41% 7.28% 7.21% 7.17%
120% AFR 8.10% 7.94% 7.86% 7.81%
130% AFR 8.80% 8.61% 8.52% 8.46%


REV. RUL. 97-30 TABLE 2

Adjusted AFR for August 1997

Period for Compounding
-------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-term
adjusted AFR 4.01% 3.97% 3.95% 3.94%

Mid-term
adjusted AFR 4.54% 4.49% 4.47% 4.45%

Long-term
adjusted AFR 5.33% 5.26% 5.23% 5.20%


REV. RUL. 97-30 TABLE 3

Rates Under Section 382 for August 1997

Adjusted federal long-term rate for the current month 5.33%

Long-term tax-exempt rate for ownership changes
during the current month (the highest of the
adjusted federal long-term rates for the current
month and the prior two months.) 5.64%


REV. RUL. 97-30 TABLE 4

Appropriate Percentages Under Section 42(b)(2) for August 1997

Appropriate percentage for the 70% present value
low-income housing credit 8.54%
Appropriate percentage for the 30% present value
low-income housing credit 3.66%


REV. RUL. 97-30 TABLE 5

Rate Under Section 7520 for August 1997

Applicable federal rate for determining the present
value of an annuity, an interest for life or a term
of years, or a remainder or reversionary interest 7.6%

<<END RULING>>
 

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