Rev. Rul. 2020-6

This revenue ruling provides various prescribed rates for federal income tax

purposes for March 2020 (the current month). Table 1 contains the shortterm, 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 appropri

ate percentages for determining the low-income housing credit described in section 42(b)(1) for buildings placed in service during the current month. However, under section 42(b)(2), the applicable percentage for non-federally subsidized new buildings placed in service after July 30, 2008, shall not be less than 9%. 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. 2020-6 TABLE 1 Applicable Federal Rates (AFR) for March 2020

Period for Compounding Annual Semiannual Quarterly Monthly Short-term AFR 1.50% 1.49% 1.49% 1.49% 110% AFR 1.65% 1.64% 1.64% 1.63% 120% AFR 1.80% 1.79% 1.79% 1.78% 130% AFR 1.95% 1.94% 1.94% 1.93% Mid-term AFR 1.53% 1.52% 1.52% 1.52% 110% AFR 1.68% 1.67% 1.67% 1.66% 120% AFR 1.83% 1.82% 1.82% 1.81% 130% AFR 1.99% 1.98% 1.98% 1.97% 150% AFR 2.29% 2.28% 2.27% 2.27% 175% AFR 2.68% 2.66% 2.65% 2.65% Long-term AFR 1.93% 1.92% 1.92% 1.91% 110% AFR 2.12% 2.11% 2.10% 2.10% 120% AFR 2.31% 2.30% 2.29% 2.29% 130% AFR 2.52% 2.50% 2.49% 2.49%

REV. RUL. 2020-6 TABLE 2 Adjusted AFR for March 2020

Period for Compounding Annual Semiannual Quarterly Monthly Short-term adjusted AFR 1.13% 1.13% 1.13% 1.13% Mid-term adjusted AFR 1.15% 1.15% 1.15% 1.15% Long-term adjusted AFR 1.47% 1.46% 1.46% 1.46%

March 9, 2020 490 Bulletin No. 2020–11

REV. RUL. 2020-6 TABLE 3 Rates Under Section 382 for March 2020 Adjusted federal long-term rate for the current month 1.47% Long-term tax-exempt rate for ownership changes during the current month (the highest of 1.63% the adjusted federal long-term rates for the current month and the prior two months.)

REV. RUL. 2020-6 TABLE 4 Appropriate Percentages Under Section 42(b)(1) for March 2020 Note: Under section 42(b)(2), the applicable percentage for non-federally subsidized new buildings placed in service after July 30, 2008, shall not be less than 9%. Appropriate percentage for the 70% present value low-income housing credit 7.40% Appropriate percentage for the 30% present value low-income housing credit 3.17%

REV. RUL. 2020-6 TABLE 5 Rate Under Section 7520 for March 2020 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

1.8%

Section 42.—Low-Income Housing Credit

The applicable federal short-term, mid-term, and long-term rates are set forth for the month of March 2020. See Rev. Rul. 2020-6, page 490.

Section 280G.—Golden Parachute Payments

The applicable federal short-term, mid-term, and long-term rates are set forth for the month of March 2020. See Rev. Rul. 2020-6, page 490.

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

The adjusted applicable federal long-term rate is set forth for the month of March 2020. See Rev. Rul. 2020-6, page 490.

Section 467.—Certain Payments for the Use of Property or Services

The applicable federal short-term, mid-term, and long-term rates are set forth for the month of March 2020. See Rev. Rul. 2020-6, page 490.

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

The applicable federal short-term rates are set forth for the month of March 2020. See Rev. Rul. 2020-6, page 490.

Section 482.—Allocation of Income and Deductions Among Taxpayers

The applicable federal short-term, mid-term, and long-term rates are set forth for the month of March 2020. See Rev. Rul. 2020-6, page 490.

Section 483.—Interest on Certain Deferred Payments

The applicable federal short-term, mid-term, and long-term rates are set forth for the month of March 2020. See Rev. Rul. 2020-6, page 490.

Section 1288.—Treatment of Original Issue Discount on Tax-Exempt Obligations

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month of March 2020. See Rev. Rul. 2020-6, page 490.

Section 7520.—Valuation Tables

The applicable federal mid-term rates are set forth for the month of March 2020. See Rev. Rul. 2020-6, page 490.

Section 7872.—Treatment of Loans With Below- Market Interest Rates

The applicable federal short-term, mid-term, and long-term rates are set forth for the month of March 2020. See Rev. Rul. 2020-6, page 490.

Bulletin No. 2020–11 491 March 9, 2020