rr-24-12.pdf

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Section 1274.--Determination of Issue Price in the Case of Certain Debt Instruments
Issued for Property

(Also Sections 42, 280G, 382, 467, 468, 482, 483, 1288, 7520, 7872.)

Rev. Rul. 2024-12

This revenue ruling provides various prescribed rates for federal income tax
purposes for June 2024 (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
sect ion 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)(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.

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REV. RUL. 2024-12 TABLE 1

Applicable Federal Rates (AFR) for June 2024

Period for Compounding
Annual Semiannual Quarterly Monthly

Short-term

AFR 5.12% 5.06% 5.03% 5.01%
110% AFR 5.65% 5.57% 5.53% 5.51%
120% AFR 6.16% 6.07% 6.02% 5.99%
130% AFR 6.69% 6.58% 6.53% 6.49%

Mid-term

AFR 4.66% 4.61% 4.58% 4.57%
110% AFR 5.13% 5.07% 5.04% 5.02%
120% AFR 5.61% 5.53% 5.49% 5.47%
130% AFR 6.08% 5.99% 5.95% 5.92%
150% AFR 7.04% 6.92% 6.86% 6.82%
175% AFR 8.23% 8.07% 7.99% 7.94%

Long-term

AFR 4.79% 4.73% 4.70% 4.68%
110% AFR 5.27% 5.20% 5.17% 5.14%
120% AFR 5.76% 5.68% 5.64% 5.61%
130% AFR 6.24% 6.15% 6.10% 6.07%

REV. RUL. 2024-12 TABLE 2

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Adjusted AFR for June 2024

Period for Compounding
Annual Semiannual Quarterly Monthly
Short-term
adjusted AFR 3.88% 3.84% 3.82% 3.81%

Mid-term
adjusted AFR 3.53% 3.50% 3.48% 3.47%

Long-term
adjusted AFR 3.62% 3.59% 3.57% 3.56%

REV. RUL. 2024-12 TABLE 3

Rates Under Section 382 for June 2024

Adjusted federal long-term rate for the current month 3.62%

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.) 3.62%

REV. RUL. 2024-12 TABLE 4

Appropriate Percentages Under Section 42(b)(1) for June 2024
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 8.10%

Appropriate percentage for the 30% present value low-income
housing credit 3.47%

REV. RUL. 2024-12 TABLE 5

Rate Under Section 7520 for June 2024

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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 5.6%