IRS Interest Rates Increased for Q1 of 2023

The IRS interest rates on overpayments and underpayments for the first quarter of 2023 are one percentage point higher than in the fourth quarter of 2022 (Rev. Rul. 2022-23). The interest rates have increased by one percentage point each quarter since the end of 2021. The rates beginning January 1, 2023, are:

• 7% for overpayments (6% in the case of a corporation);
• 4.5% for the portion of a corporate overpayment exceeding $10,000;
• 7% for underpayments; and
• 9% for large corporate underpayments.