IRS Revenue Ruling
2001-34

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 July 2001.


REV. RUL. 2001-34

This revenue ruling provides various prescribed rates for federal
income tax purposes for July 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 longterm 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. 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. Finally, Table 6 contains the blended annual rate for 2001
for purposes of section 7872.


REV. RUL. 2001-34 TABLE 1

Applicable Federal Rates (AFR) for July 2001

Period for Compounding
------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-Term
AFR 4.07% 4.03% 4.01% 4.00%
110% AFR 4.48% 4.43% 4.41% 4.39%
120% AFR 4.90% 4.84% 4.81% 4.79%
130% AFR 5.31% 5.24% 5.21% 5.18%

Mid-Term
AFR 5.12% 5.06% 5.03% 5.01%
110% AFR 5.65% 5.57% 5.53% 5.51%
120% AFR 6.16% 6.07% 6.02% 5.99%
130% AFR 6.69% 6.58% 6.53% 6.49%
150% AFR 7.73% 7.59% 7.52% 7.47%
175% AFR 9.06% 8.86% 8.76% 8.70%

Long-Term
AFR 5.82% 5.74% 5.70% 5.67%
110% AFR 6.41% 6.31% 6.26% 6.23%
120% AFR 7.01% 6.89% 6.83% 6.79%
130% AFR 7.60% 7.46% 7.39% 7.35%


REV. RUL. 2001-34 TABLE 2

Adjusted AFR for July 2001

Period for Compounding
------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-term
adjusted AFR 3.16% 3.14% 3.13% 3.12%

Mid-term
adjusted AFR 3.87% 3.83% 3.81% 3.80%

Long-term
adjusted AFR 5.00% 4.94% 4.91% 4.89%


REV. RUL. 2001-34 TABLE 3

Rates Under Section 382 for July 2001

Adjusted federal long-term rate for the current month 5.00%

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.) 5.01%


REV. RUL. 2001-34 TABLE 4

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

Appropriate percentage for the 70% present value
low-income housing credit 8.28%

Appropriate percentage for the 30% present value
low-income housing credit 3.55%


REV. RUL. 2001-34 TABLE 5

Rate Under Section 7520 for July 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 6.2%


REV RUL. 2001-34 TABLE 6

Blended Annual Rate for 2001

Section 7872(e)(2) blended annual rate for 2001 4.98%

<<END RULING>>

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