rr-10-26.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, 412, 467, 468, 482, 483, 642, 807, 846, 1288, 7520,
7872.)

# Rev. Rul. 2010-26

This revenue ruling provides various prescribed rates for federal
income tax purposes for November 2010 (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)(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, and before December 31, 2013, 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. 2010-26 TABLE 1 Applicable Federal Rates (AFR) for November 2010

Period for Compounding

Annual

Semiannual

Quarterly

Monthly

Short-term

AFR

.35%

.35%

.35%

.35%

110% AFR

.39%

.39%

.39%

.39%

120% AFR

.42%

.42%

.42%

.42%

130% AFR

.46%

.46%

.46%

.46%

Mid-term

AFR

1.59%

1.58%

1.58%

1.57%

110% AFR

1.75%

1.74%

1.74%

1.73%

120% AFR

1.91%

1.90%

1.90%

1.89%

130% AFR

2.06%

2.05%

2.04%

2.04%

150% AFR

2.38%

2.37%

2.36%

2.36%

175% AFR

2.79%

2.77%

2.76%

2.75%

Long-term

AFR

3.35%

3.32%

3.31%

3.30%

110% AFR

3.68%

3.65%

3.63%

3.62%

120% AFR

4.02%

3.98%

3.96%

3.95%

130% AFR

4.37%

4.32%

4.30%

4.28%

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# REV. RUL. 2010-26 TABLE 2 Adjusted AFR for November 2010

REV. RUL. 2010-26 TABLE 3 Rates Under Section 382 for November 2010

Period for Compounding Annual Semiannual Quarterly Monthly

Short-term adjusted AFR

.49%

.49%

.49%

.49%

Mid-term adjusted AFR

1.53%

1.52%

1.52%

1.52%

Long-term adjusted AFR

3.54%

3.51%

3.49%

3.48%

Adjusted federal long-term rate for the current month
3.54%

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.)

3.86%

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# REV. RUL. 2010-26 TABLE 4 Appropriate Percentages Under Section 42(b)(1) for November 2010

Note: Under Section 42(b)(2), the applicable percentage for non-federally
subsidized new buildings placed in service after July 30, 2008, and before
December 31, 2013, shall not be less than 9%.

Appropriate percentage for the 70% present value low-income
housing credit
7.57%

Appropriate percentage for the 30% present value low-income
housing credit
3.24%

REV. RUL. 2010-26 TABLE 5
Rate Under Section 7520 for November 2010

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
2.0%