The interest rates the Internal Revenue Service uses will go up for the quarter beginning Oct. 1, the agency said.

The rates will be:

• 6% for overpayments (5% in the case of a corporation);
• 3.5% for the portion of a corporate overpayment exceeding $10,000;
• 6% for underpayments; and,
• 8% for large corporate underpayments. 

The rates are determined quarterly.
For taxpayers other than corporations, the overpayment and underpayment rate is the federal short-term rate plus three percentage points. Generally, in the case of a corporation, the underpayment rate is the federal short-term rate plus three percentage points and the overpayment rate is the federal short-term rate plus two percentage points.

The rate for large corporate underpayments is the federal short-term rate plus five percentage points. The rate on the portion of a corporate overpayment of tax exceeding $10,000 for a taxable period is the federal short-term rate plus one-half (0.5) a percentage point.

The latest rates are computed from the federal short-term rate determined during July 2022.

Revenue Ruling 2022-15 announcing the rates will appear in Internal Revenue Bulletin 2022-35, dated Aug. 29.