[Federal Register Volume 63, Number 80 (Monday, April 27, 1998)]
[Notices]
[Pages 20682-20683]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-11152]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF THE TREASURY

Customs Service


Quarterly IRS Interest Rates Used in Calculating Interest on 
Overdue Accounts and Refunds on Customs Duties

AGENCY: Customs Service, Treasury.

ACTION: General notice.

-----------------------------------------------------------------------

SUMMARY: This notice advises the public of the quarterly Internal 
Revenue Service interest rates used to calculate interest on overdue 
accounts and refunds of Customs duties. For the quarter beginning April 
1, 1998, the rates will be 7 percent for overpayments and 8 percent for 
underpayments. This notice is published for the convenience of the 
importing public and Customs personnel.

EFFECTIVE DATE: April 1, 1998.

FOR FURTHER INFORMATION CONTACT: Ronald Wyman, Accounting Services 
Division, Accounts Receivable Group, 6026 Lakeside Boulevard, 
Indianapolis, Indiana 46278, (317) 298-1200, extension 1349.

SUPPLEMENTARY INFORMATION:

Background

    Pursuant to 19 U.S.C. 1505 and Treasury Decision 85-93, published 
in the Federal Register on May 29, 1985 (50 FR 21832), the interest 
rate paid on applicable overpayments or underpayments of Customs duties 
shall be in accordance with the Internal Revenue Code rate established 
under 26 U.S.C. 6621 and 6622. Interest rates are determined based on 
the short-term Federal rate. The interest rate that Treasury pays on 
overpayments will be the short-term Federal rate plus two percentage 
points. The interest rate paid to the Treasury for underpayments will 
be the short-term Federal rate plus three percentage points. The rates 
will be rounded to the nearest full percentage.
    The interest rates are determined by the Internal Revenue Service 
(IRS) on behalf of the Secretary of the Treasury based on the average 
market yield on outstanding marketable obligations of the U.S. with 
remaining periods to maturity of 3 years or less, and fluctuate 
quarterly. The rates effective for a quarter are determined during the 
first-month period of the previous quarter.
    The IRS announced March 30, 1998, that the rates of interest for 
the third quarter of fiscal year (FY) 1998 (the period of April 1--June 
30, 1998) will be 7 percent for overpayments and 8 percent for 
underpayments. These interest rates are subject to change for the 
fourth quarter of FY-1998 (the period of July 1-September 30, 1998).
    For the convenience of the importing public and Customs personnel 
the following list of Internal Revenue Service interest rates used, 
covering the period from before July of 1974 to date, to calculate 
interest on overdue accounts and refunds of Customs duties, is 
published in summary format.

[[Page 20683]]



----------------------------------------------------------------------------------------------------------------
                                                                                  Under-payments   Over-payments
                         Beginning date                             Ending date      (percent)       (percent)  
----------------------------------------------------------------------------------------------------------------
Before July.....................................................          063075               6               6
070175..........................................................          013176               9               9
020176..........................................................          013178               7               7
020178..........................................................          013180               6               6
020180..........................................................          013182              12              12
020182..........................................................          123182              20              20
010183..........................................................          063083              16              16
070183..........................................................          123184              11              11
010185..........................................................          063085              13              13
070185..........................................................          123185              11              11
010186..........................................................          063086              10              10
070186..........................................................          123186               9               9
010187..........................................................          093087               9               8
100187..........................................................          123187              10               9
010188..........................................................          033188              11              10
040188..........................................................          093088              10               9
100188..........................................................          033189              11              10
040189..........................................................          093089              12              11
100189..........................................................          033191              11              10
040191..........................................................          123191              10               9
010192..........................................................          033192               9               8
040192..........................................................          093092               8               7
100192..........................................................          063094               7               6
070194..........................................................          093094               8               7
100194..........................................................          033195               9               8
040195..........................................................          063095              10               9
070195..........................................................          033196               9               8
040196..........................................................          063096               8               7
070196..........................................................          033198               9               8
040198..........................................................          063098               8               7
----------------------------------------------------------------------------------------------------------------

    Dated: April 22, 1998.
Douglas M. Browning,
Acting Commissioner of Customs.
[FR Doc. 98-11152 Filed 4-24-98; 8:45 am]
BILLING CODE 4820-02-P