The Internal Revenue Service said Monday that interest rates will remain the same for the calendar quarter beginning April 1.
For individuals, the rate for overpayments and underpayments will be 7% per year, compounded daily.
Other new rates, the IRS said, include:
- 7% for overpayments (payments made in excess of the amount owed), 6% for corporations.
- 4.5% for the portion of a corporate overpayment exceeding $10,000.
- 7% for underpayments (taxes owed but not fully paid).
- 9% for large corporate underpayments.
The rate of interest is determined quarterly, the IRS said.
For taxpayers other than corporations, the overpayment and underpayment rate is the federal short-term rate plus 3 percentage points, and the overpayment rate is the federal short-term rate plus 2 percentage points.
