Part I. Rulings and Decisions Under the Internal Revenue Code of 1986

Section 42.—Low-Income Housing Credit

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month of March 2003. See Rev. Rul. 2003–26, page 563.

Section 162.—Trade or Busi- ness Expenses

Optional standard meal and snack rates are provided for use by taxpayers engaged in the trade or business of providing family day care in computing the deductible cost of food provided to eligible children in the day care. See Rev. Proc. 2003–22, page 577.

Section 280G.—Golden Para- chute Payments

Federal short-term, mid-term, and long-term rates

are set forth for the month of March 2003. See Rev.

Rul. 2003–26, page 563.

Section 382.—Limitation on Net Operating Loss Carryfor- wards and Certain Built-In Losses Following Ownership Change

The adjusted applicable federal long-term rate is

set forth for the month of March 2003. See Rev. Rul.

2003–26, page 563.

Section 412.—Minimum Funding Standards

The adjusted applicable federal short-term, mid term, and long-term rates are set forth for the month of March 2003. See Rev. Rul. 2003–26, page 563.

Section 467.—Certain Pay- ments for the Use of Property or Services

The adjusted applicable federal short-term, mid term, and long-term rates are set forth for the month of March 2003. See Rev. Rul. 2003–26, page 563.

Section 468.—Special Rules for Mining and Solid Waste Reclamation and Closing Costs

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month of March 2003. See Rev. Rul. 2003–26, page 563.

Section 482.—Allocation of Income and Deductions Among Taxpayers

Federal short-term, mid-term, and long-term rates are set forth for the month of March 2003. See Rev. Rul. 2003–26, page 563.

Section 483.—Interest on Certain Deferred Payments

The adjusted applicable federal short-term, mid term, and long-term rates are set forth for the month

of March 2003. See Rev. Rul. 2003–26, page 563.

Section 642.—Special Rules for Credits and Deductions

Federal short-term, mid-term, and long-term rates

are set forth for the month of March 2003. See Rev.

Rul. 2003–26, page 563.

Section 807.—Rules for Cer- tain Reserves

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month

of March 2003. See Rev. Rul. 2003–26, page 563.

Insurance companies; interest rate tables. Prevailing state assumed interest rates are provided for the determination of reserves under section 807 of the Code for contracts issued in 2002 and 2003. Rev. Rul. 92–19 supplemented in part.

Rev. Rul. 2003–24

For purposes of § 807(d)(4) of the Internal Revenue Code, for taxable years beginning after December 31, 2001, this ruling supplements the schedules of prevailing

state assumed interest rates set forth in Rev. Rul. 92–19, 1992–1 C.B. 227. This information is to be used by insurance companies in computing their reserves for (1) life insurance and supplementary total and permanent disability benefits, (2) individual annuities and pure endowments, and (3) group annuities and pure endowments. As § 807(d)(2)(B) requires that the interest rate used to compute these reserves be the greater of (1) the applicable federal interest rate, or (2) the prevailing state assumed interest rate, the table of applicable federal interest rates in Rev. Rul. 92–19 is also supplemented.

Following are supplements to schedules A, B, C, and D to Part III of Rev. Rul. 92–19, providing prevailing state assumed interest rates for insurance products with different features issued in 2002 and 2003, and a supplement to the table in Part IV of Rev. Rul. 92–19, providing the applicable federal interest rates under § 807(d) for 2002 and 2003. This ruling does not supplement Parts I and II of Rev. Rul. 92–19.

This is the eleventh supplement to the interest rates provided in Rev. Rul. 92– 19. Earlier supplements were published in Rev. Rul. 93–58, 1993–2 C.B. 241 (interest rates for insurance products issued in 1992 and 1993); Rev. Rul. 94–11, 1994–1 C.B. 196 (1993 and 1994); Rev. Rul. 95–4, 1995–1 C.B. 141 (1994 and 1995); Rev. Rul. 96–2, 1996–1 C.B. 141 (1995 and 1996); Rev. Rul. 97–2, 1997–1 C.B. 134 (1996 and 1997); Rev. Rul. 98–2, 1998–1 C.B. 259 (1997 and 1998); Rev. Rul. 99– 10, 1999–1 C.B. 671 (1998 and 1999); Rev. Rul. 2000–17, 2000–1 C.B. 842 (1999 and 2000); Rev. Rul. 2001–11, 2001–1 C.B. 780 (2000 and 2001); and Rev. Rul. 2002–12, 2002–11 I.R.B. 624 (2001 and 2002).

2003–10 I.R.B. 557 March 10, 2003