January 9, 2023 10:49 pm

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. 
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Tax Glossary

Section 1231 property

Depreciable property used in a trade or business and held for more than a year. All Section 1231 gains and losses are netted; a net gain is treated as capital gain, a net loss as an ordinary loss.

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