Rev. Rul. 2025-14

This revenue ruling provides various prescribed rates for federal income tax

purposes for August 2025 (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. 2025-14 TABLE 1 Applicable Federal Rates (AFR) for August 2025

Period for Compounding Annual Semiannual Quarterly Monthly Short-term AFR 4.03% 3.99% 3.97% 3.96% 110% AFR 4.44% 4.39% 4.37% 4.35% 120% AFR 4.85% 4.79% 4.76% 4.74% 130% AFR 5.26% 5.19% 5.16% 5.13% Mid-term AFR 4.06% 4.02% 4.00% 3.99% 110% AFR 4.47% 4.42% 4.40% 4.38% 120% AFR 4.88% 4.82% 4.79% 4.77% 130% AFR 5.30% 5.23% 5.20% 5.17% 150% AFR 6.12% 6.03% 5.99% 5.96% 175% AFR 7.16% 7.04% 6.98% 6.94% Long-term AFR 4.82% 4.76% 4.73% 4.71% 110% AFR 5.31% 5.24% 5.21% 5.18% 120% AFR 5.79% 5.71% 5.67% 5.64% 130% AFR 6.29% 6.19% 6.14% 6.11%

REV. RUL. 2025-14 TABLE 2

Adjusted AFR for August 2025

Period for Compounding Annual Semiannual Quarterly Monthly Short-term adjusted AFR 3.05% 3.03% 3.02% 3.01% Mid-term adjusted AFR 3.07% 3.05% 3.04% 3.03% Long-term adjusted AFR 3.64% 3.61% 3.59% 3.58%

August 4, 2025 300 Bulletin No. 2025–32

REV. RUL. 2025-14 TABLE 3 Rates Under Section 382 for August 2025 Adjusted federal long-term rate for the current month 3.64% Long-term tax-exempt rate for ownership changes during the current month (the highest of the adjusted federal 3.71% long-term rates for the current month and the prior two months.)

REV. RUL. 2025-14 TABLE 4 Appropriate Percentages Under Section 42(b)(1) for August 2025 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 8.03% Appropriate percentage for the 30% present value low-income housing credit 3.44%

REV. RUL. 2025-14 TABLE 5 Rate Under Section 7520 for August 2025 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

4.80%

Section 42.—Low-Income Housing Credit

The applicable federal short-term, mid-term, and long-term rates are set forth for the month of August 2025. See Rev. Rul. 2025-14, page 300.

Section 280G.—Golden Parachute Payments

The applicable federal short-term, mid-term, and long-term rates are set forth for the month of August 2025. See Rev. Rul. 2025-14, page 300.

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 August 2025. See Rev. Rul. 2025-14, page 300.

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 August 2025. See Rev. Rul. 2025-14, page 300.

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 August 2025. See Rev. Rul. 2025-14, page 300.

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 August 2025. See Rev. Rul. 2025-14, page 300.

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 August 2025. See Rev. Rul. 2025-14, page 300.

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 August 2025. See Rev. Rul. 2025-14, page 300.

Section 7520.—Valuation Tables

The applicable federal mid-term rates are set forth for the month of August 2025. See Rev. Rul. 2025-14, page 300.

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 August 2025. See Rev. Rul. 2025-14, page 300.

Bulletin No. 2025–32 301 August 4, 2025

imposed by section 3402 ² is paid with respect to any payment of remuneration, proper adjustments, ³ with respect to both the tax and the amount to be deducted, shall be made, without interest, in such manner and at such times as the Secretary may prescribe by regulations. ⁴ Treas. Reg. § 31.6413(b)‑1 refers to § 31.6413(a)‑2 for provisions related to adjustment of overpayment of tax imposed by section 3402. Pursuant to § 31.6413(a)‑2(c), an adjustment is available under section 6413(a)(1) only to the extent that more than the amount required was deducted and withheld by the employer or withholding agent and the employee was reimbursed within the same calendar year in accordance with § 31.6413(a)‑1(b)(1)(i), or there was an overpayment of tax attributable to an administrative error, that is, an error involving the inaccurate reporting of the amount withheld.

Under the facts presented, Employer M made a designated distribution within the meaning of section 3405(e)(1) with respect to Individual C’s accrued benefit by withholding federal income tax in the amount required under section 3405, remitting that amount to the Treasury Department, and mailing Check 1 to Individual C. The amount deducted and withheld by Employer M from the designated distribution was the amount required by section 3405, and that amount was remitted to the Treasury Department. Accordingly, because more than the correct amount of tax was not withheld or paid, Employer M is not entitled to an adjustment under section 6413(a)(1).

(ii) Possibility for refund of income tax withheld with respect to a designated distribution

Section 6413(b) provides that, if more than the correct amount of tax imposed by section 3402 is paid or deducted with respect to any payment of remuneration and the overpayment cannot be adjusted under section 6413(a), a refund may be available in such manner and at such times as the Secretary may prescribe by

Section 6047. — Information Relating to Certain Trusts and Annuity Plans

(Also: §§ 3405, 6413, 6414)