IRS Revenue Ruling
2001-22

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 382, 1274, 1288,
and other sections of the Code, tables set forth the rates for May 2001.


REV. RUL. 2001-22

This revenue ruling provides various prescribed rates for federal
income tax purposes for May 2001 (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 long-term 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. 2001-22 TABLE 1

Applicable Federal Rates (AFR) for May 2001

Period for Compounding
-------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-Term
AFR 4.25% 4.21% 4.19% 4.17%
110% AFR 4.68% 4.63% 4.60% 4.59%
120% AFR 5.11% 5.05% 5.02% 5.00%
130% AFR 5.54% 5.47% 5.43% 5.41%

Mid-Term
AFR 4.77% 4.71% 4.68% 4.66%
110% AFR 5.25% 5.18% 5.15% 5.12%
120% AFR 5.73% 5.65% 5.61% 5.58%
130% AFR 6.21% 6.12% 6.07% 6.04%
150% AFR 7.19% 7.07% 7.01% 6.97%
175% AFR 8.41% 8.24% 8.16% 8.10%

Long-Term
AFR 5.43% 5.36% 5.32% 5.30%
110% AFR 5.99% 5.90% 5.86% 5.83%
120% AFR 6.53% 6.43% 6.38% 6.35%
130% AFR 7.09% 6.97% 6.91% 6.87%


REV. RUL. 2001-22 TABLE 2

Adjusted AFR for May 2001

Period for Compounding
-------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-term
adjusted AFR 3.34% 3.31% 3.30% 3.29%

Mid-term
adjusted AFR 3.89% 3.85% 3.83% 3.82%

Long-term
adjusted AFR 4.89% 4.83% 4.80% 4.78%


REV. RUL. 2001-22 TABLE 3

Rates Under Section 382 for May 2001

Adjusted federal long-term rate for the current month 4.89%

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.) 4.89%


REV. RUL. 2001-22 TABLE 4

Appropriate Percentages Under Section 42(b)(2) for May 2001

Appropriate percentage for the 70% present value
low-income housing credit 8.19%

Appropriate percentage for the 30% present value
low-income housing credit 3.51%


REV. RUL. 2001-22 TABLE 5

Rate Under Section 7520 for May 2001

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 5.8%

<<END RULING>>

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