{"id":6879,"date":"2022-08-15T17:00:00","date_gmt":"2022-08-15T22:00:00","guid":{"rendered":"https:\/\/hoorfarlaw.com\/blog\/?p=6879"},"modified":"2022-08-15T16:17:42","modified_gmt":"2022-08-15T21:17:42","slug":"irs-announces-interest-rate-increases-for-the-fourth-quarter-of-2022-6-rate-applies-to-most-taxpayers-starting-oct-1","status":"publish","type":"post","link":"https:\/\/hoorfarlaw.com\/blog\/?p=6879","title":{"rendered":"IRS announces interest rate increases for the fourth quarter of 2022; 6% rate applies to most taxpayers starting Oct. 1"},"content":{"rendered":"\n<p>The Internal Revenue Service today announced that interest rates will increase for the calendar quarter beginning Oct. 1, 2022.<\/p>\n\n\n\n<p>For individuals, the rate for overpayments and underpayments will be 6% per year, compounded daily, up from 5% for the quarter that began on July 1. Here is a complete list of the new rates:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>6% for overpayments [5% for corporations]. (payments made in excess of the amount owed)<\/li><li>5% for the portion of a corporate overpayment exceeding $10,000.<\/li><li>6% for underpayments. (taxes owed but not fully paid)<\/li><li>8% for large corporate underpayments.<\/li><\/ul>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"alignright size-full is-resized\"><a href=\"http:\/\/hoorfarlaw.com\/blog\/wp-content\/uploads\/2015\/12\/IRS.jpe\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/hoorfarlaw.com\/blog\/wp-content\/uploads\/2015\/12\/IRS.jpe\" alt=\"\" class=\"wp-image-2559\" width=\"176\" height=\"174\"\/><\/a><figcaption>Courtesy of the Internal Revenue Service<\/figcaption><\/figure><\/div>\n\n\n<p>Under the Internal Revenue Code, the rate of interest is determined on a quarterly basis. For taxpayers other than corporations, the overpayment and underpayment rate is the federal short-term rate plus 3 percentage points.<br>Generally, for a corporation, the underpayment rate is the federal short-term rate plus 3 percentage points, and the overpayment rate is the federal short-term rate plus 2 percentage points. The rate for large corporate underpayments is the federal short-term rate plus 5 percentage points. The rate on the portion of a corporate overpayment of tax exceeding $10,000 for a taxable period is the federal short-term rate plus one-half (0.5) of a percentage point.<\/p>\n\n\n\n<p><strong>Need tax help? Call our office at 816-524-4949 or <a href=\"https:\/\/calendly.com\/hoorfarlaw\">click here<\/a> to schedule a consultation.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Internal Revenue Service today announced that interest rates will increase for the calendar quarter beginning Oct. 1, 2022. For individuals, the rate for overpayments and underpayments will be 6% per year, compounded daily, up from 5% for the quarter &hellip; <a href=\"https:\/\/hoorfarlaw.com\/blog\/?p=6879\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-6879","post","type-post","status-publish","format-standard","hentry","category-general"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/6879","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6879"}],"version-history":[{"count":1,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/6879\/revisions"}],"predecessor-version":[{"id":6880,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/6879\/revisions\/6880"}],"wp:attachment":[{"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6879"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6879"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hoorfarlaw.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6879"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}