rr-03-101.pdf

Preserve advance releases and the authoritative Internal Revenue Bulletin rendition; directory timestamps are file-publication metadata, not legal effective dates. HTML bulletins begin June 2003; earlier available issues require full PDF parsing.

This collection currently includes the publisher’s available advance-release directory. Historical bulletin renditions are discovered separately; an advance-release record alone does not certify the collection archive complete.

# Part I

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

(Also Sections 42, 280G, 382, 412, 467, 468, 482, 483, 642, 807,
846, 1288, 7520, 7872.)

Rev. Rul. 2003-101

This revenue ruling provides various prescribed rates for
federal income tax purposes for September 2003 (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 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 appropriate
percentages for determining the low-income housing credit
described in section 42 (b) (2) for buildings placed in service
during the current month. Finally, Table 5 contains the federal
rate for determining the present value of annuity, an interest
for life or for a term of years, or a remainder or a reversionary
interest for purposes of section 7520.

<!-- PageBreak -->

REV. RUL. 2003-101 TABLE 1

Applicable Federal Rates (AFR) for September 2003
Period for Compounding

REV. RUL. 2003-101 TABLE 2 Adjusted AFR for September 2003 Period for Compounding

Annual

Semiannual

Quarterly

Monthly

Short-Term

AFR

1.52%

1.51%

1.51%

1.51%

110% AFR

1.67%

1.66%

1.66%

1.65%

120% AFR

1.82%

1.81%

1.81%

1.80%

130% AFR

1.97%

1.96%

1.96%

1.95%

Mid-Term

AFR

3.43%

3.40%

3.39%

3.38%

110% AFR

3.77%

3.74%

3.72%

3.71%

120% AFR

4.12%

4.08%

4.06%

4.05%

130% AFR

4.47%

4.42%

4.40%

4.38%

150% AFR

5.17%

5.10%

5.07%

5.05%

175% AFR

6.04%

5.95%

5.91%

5.88%

Long-Term

AFR

5.08%

5.02%

4.99%

4.97%

110% AFR

5.60%

5.52%

5.48%

5.46%

120% AFR

6.11%

6.02%

5.98%

5.95%

130% AFR

6.64%

6.53%

6.48%

6.44%

Annual

Semiannual

Quarterly

Monthly

Short-term adjusted AFR

1.25%

1.25%

1.25%

1.25%

Mid-term adjusted AFR

2.92%

2.90%

2.89%

2.88%

Long-term adjusted AFR

4.65%

4.60%

4.57%

4.56%

<!-- PageBreak -->

# REV. RUL. 2003-101 TABLE 3

Rates Under Section 382 for September 2003
Adjusted federal long-term rate for the current month
4.65%

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. )

4.65%

## REV. RUL. 2003-101 TABLE 4

## Appropriate Percentages Under Section 42 (b) (2) for September 2003

Appropriate percentage for the 70% present value low-income housing credit

7.99%

Appropriate percentage for the 30% present

value low-income housing credit

3.42%

## REV. RUL. 2003-101 TABLE 5

Rate Under Section 7520 for September 2003

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
4.2%