IRS Revenue Ruling
2002-10

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 March 2002.


REV. RUL. 2002-10

This revenue ruling provides various prescribed rates for federal
income tax purposes for March 2002 (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. 2002-10 TABLE 1

Applicable Federal Rates (AFR) for March 2002

Period for Compounding
-------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-Term
AFR 2.69% 2.67% 2.66% 2.66%
110% AFR 2.96% 2.94% 2.93% 2.92%
120% AFR 3.23% 3.20% 3.19% 3.18%
130% AFR 3.50% 3.47% 3.46% 3.45%

Mid-Term
AFR 4.52% 4.47% 4.45% 4.43%
110% AFR 4.98% 4.92% 4.89% 4.87%
120% AFR 5.43% 5.36% 5.32% 5.30%
130% AFR 5.89% 5.81% 5.77% 5.74%
150% AFR 6.82% 6.71% 6.65% 6.62%
175% AFR 7.97% 7.82% 7.75% 7.70%

Long-Term
AFR 5.48% 5.41% 5.37% 5.35%
110% AFR 6.04% 5.95% 5.91% 5.88%
120% AFR 6.60% 6.49% 6.44% 6.40%
130% AFR 7.15% 7.03% 6.97% 6.93%


REV. RUL. 2002-10 TABLE 2

Adjusted AFR for March 2002

Period for Compounding
-------------------------------------------
Annual Semiannual Quarterly Monthly
------ ---------- --------- -------
Short-term
adjusted AFR 2.07% 2.06% 2.05% 2.05%

Mid-term
adjusted AFR 3.57% 3.54% 3.52% 3.51%

Long-term
adjusted AFR 4.86% 4.80% 4.77% 4.75%


REV. RUL. 2002-10 TABLE 3

Rates Under Section 382 for March 2002

Adjusted federal long-term rate for the current month 4.86%

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. 2002-10 TABLE 4

Appropriate Percentages Under Section 42(b)(2) for March 2002

Appropriate percentage for the 70% present value
low-income housing credit 8.17%

Appropriate percentage for the 30% present value
low-income housing credit 3.50%


REV. RUL. 2002-10 TABLE 5

Rate Under Section 7520 for March 2002

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 5.4%

<<END RULING>>

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