IRS Interest Rates for Back Taxes Remain the same for 2012 2nd Quarter

Quick post, but this information that’s commonly sought.  

If you have questions about this review, please reference:  bp97.  

• If you know you need to take action, read my article “IF” you should hire IRS back tax help.  (You should not automatically.) Titled “Owe IRS back taxes? When, who, and how do I hire IRS back tax help?” before you do anything else.

As usual, If you like the tone of this writing, I would like to compete for your business.  I can be reached at irsbacktaxhelp@gmail.com.  Before you email me, please click on and read “About irs back tax help.”

2Q 2012 IRS Interest Rates for Past Due Tax

IRS Interest rates will stay the same for the second quarter of 2012, starting April 1st, 2012.

“The rates will be:

• three (3) percent for overpayments (two (2) percent in the case of a corporation);
• three (3) percent for underpayments;
• five (5) percent for large corporate underpayments; and

one-half (0.5) percent for the portion of a corporate overpayment exceeding $10,000.”

“The interest rates announced today are computed from the federal short-term rate during January 1, 2012 to take effect February 1, 2012, based on daily compounding.”

IRS penalty is the far bigger portion of the growth rate if you owe the IRS back taxes.