IRS Revenue Ruling
2000-38

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

<<FULL TEXT>>

(Also sections 42, 280G, 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
2000.


REV. RUL. 2000-38

This revenue ruling provides various prescribed rates for federal
income tax purposes for August 2000 (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. 2000-38 TABLE 1

Applicable Federal Rates (AFR) for August 2000

Period for Compounding
-------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-Term
AFR 6.37% 6.27% 6.22% 6.19%
110% AFR 7.02% 6.90% 6.84% 6.80%
120% AFR 7.66% 7.52% 7.45% 7.40%
130% AFR 8.32% 8.15% 8.07% 8.01%

Mid-Term
AFR 6.33% 6.23% 6.18% 6.15%
110% AFR 6.97% 6.85% 6.79% 6.75%
120% AFR 7.62% 7.48% 7.41% 7.37%
130% AFR 8.26% 8.10% 8.02% 7.97%
150% AFR 9.57% 9.35% 9.24% 9.17%
175% AFR 11.20% 10.90% 10.76% 10.66%

Long-Term
AFR 6.22% 6.13% 6.08% 6.05%
110% AFR 6.85% 6.74% 6.68% 6.65%
120% AFR 7.50% 7.36% 7.29% 7.25%
130% AFR 8.13% 7.97% 7.89% 7.84%


REV. RUL. 2000-38 TABLE 2

Adjusted AFR for August 2000

Period for Compounding
-------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-term
adjusted AFR 4.63% 4.58% 4.55% 4.54%

Mid-term
adjusted AFR 4.84% 4.78% 4.75% 4.73%

Long-term
adjusted AFR 5.53% 5.46% 5.42% 5.40%


REV. RUL. 2000-38 TABLE 3

Rates Under Section 3 82 for August 2000

Adjusted federal long-term rate for the current month 5.53%

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.) 5.79%


REV RUL. 2000-38 TABLE 4

Appropriate Percentages Under Section 42(b)(2) for August 2000

Appropriate percentage for the 70% present value
low-income housing credit 8.47%

Appropriate percentage for the 30% present value
low-income housing credit 3.63%


REV. RUL. 2000-38 TABLE 5

Rate Under Section 7520 for August 2000

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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