[Federal Register Volume 64, Number 82 (Thursday, April 29, 1999)]
[Notices]
[Pages 23162-23163]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-10675]


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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.

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SUMMARY: This notice advises the public of the quarterly Internal 
Revenue Service interest rates used to calculate interest on overdue 
accounts (underpayments) and refunds (overpayments) of Customs duties. 
Due to recent legislation, the interest rate applicable to overpayments 
by corporations is now different than the interest rate for 
overpayments by non-corporations. For the quarter beginning April 1, 
1999, the interest rates for overpayments will be 7 percent for 
corporations and 8 percent for non-corporations, and the interest rate 
for underpayments will be 8 percent. This notice is published for the 
convenience of the importing public and Customs personnel.

EFFECTIVE DATE: April 1, 1999.

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. Section 6621 was recently amended (at 
paragraph (a)(1)(B) by the Internal Revenue Service Restructuring and 
Reform Act of 1998, Pub.L. 105-206, 112 Stat. 685) to provide different 
interest rates applicable to overpayments: one for corporations and one 
for non-corporations. The interest rate applicable to underpayments is 
not so bifurcated.
    The interest rates are based on the short-term Federal rate and 
determined by the Internal Revenue Service (IRS) on behalf of the 
Secretary of the Treasury on a quarterly basis. The rates effective for 
a quarter are determined during the first-month period of the previous 
quarter.
    In Revenue Ruling 99-16 (see, 1999-13 IRB 5, dated March 29, 1999), 
the IRS determined the rates of interest for the third quarter of 
fiscal year (FY) 1999 (the period of April 1--June 30, 1999). The 
interest rate paid to the Treasury for underpayments will be the short-
term Federal rate (5%) plus three percentage points (3%) for a total of 
eight percent (8%). For corporate overpayments, the rate is the Federal 
short-term rate (5%) plus two percentagepoints (2%) for a total of 
seven percent (7%). For overpayments made by non-corporations, the rate 
is the Federal short-term rate (5%) plus three percentage points (3%) 
for a total of eight percent (8%). These interest rates are subject to 
change for the fourth quarter of FY-1999 (the period of July 1--
September 30, 1999).
    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.

----------------------------------------------------------------------------------------------------------------
                                                                                                   Corporate
                                                           Underpayments       Overpayments      Overpay-ments
           Beginning date                Ending date         (percent)          (percent)        (Eff. 1-1-99)
                                                                                                   (percent)
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Prior to:
    070174..........................             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  .................

[[Page 23163]]

 
    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..........................             123198                  8                  7  .................
    010199..........................             033199                  7                  7                  6
    040199..........................             063999                  8                  8                  7
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    Dated: April 26, 1999.
Raymond W. Kelly,
Commissioner of Customs.
[FR Doc. 99-10675 Filed 4-28-99; 8:45 am]
BILLING CODE 4820-02-P