IRS Revenue Ruling
2001-36

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 August
2001.


REV. RUL. 2001-36

This revenue ruling provides various prescribed rates for federal
income tax purposes for August 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. 2001-36 TABLE 1

Applicable Federal Rates (AFR) for August 2001

Period for Compounding
-------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-Term
AFR 3.94% 3.90% 3.88% 3.87%
110% AFR 4.34% 4.29% 4.27% 4.25%
120% AFR 4.73% 4.68% 4.65% 4.64%
130% AFR 5.13% 5.07% 5.04% 5.02%

Mid-Term
AFR 4.99% 4.93% 4.90% 4.88%
110% AFR 5.49% 5.42% 5.38% 5.36%
120% AFR 6.01% 5.92% 5.88% 5.85%
130% AFR 6.51% 6.41% 6.36% 6.33%
150% AFR 7.54% 7.40% 7.33% 7.29%
175% AFR 8.82% 8.63% 8.54% 8.48%

Long-Term
AFR 5.72% 5.64% 5.60% 5.57%
110% AFR 6.30% 6.20% 6.15% 6.12%
120% AFR 6.88% 6.77% 6.71% 6.68%
130% AFR 7.46% 7.33% 7.26% 7.22%


REV RUL. 2001-36 TABLE 2

Adjusted AFR for August 2001

Period for Compounding
-------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-term
adjusted AFR 3.01% 2.99% 2.98% 2.97%

Mid-term
adjusted AFR 3.83% 3.79% 3.77% 3.76%

Long-term
adjusted AFR 4.94% 4.88% 4.85% 4.83%


REV. RUL. 2001-36 TABLE 3

Rates Under Section 382 for August 2001

Adjusted federal long-term rate for the current month 4.94%

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. 2001-36 TABLE 4

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

Appropriate percentage for the 70% present value
low-income housing credit 8.25%

Appropriate percentage for the 30% present value
low-income housing credit 3.54%


REV. RUL. 2001-36 TABLE 5

Rate Under Section 7520 for August 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 6.0%

<<END RULING>>

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