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Rates of underpayment, overpayment interest increase for second quarter, 2018

Rates of underpayment, overpayment interest increase

The IRS today released an advance version of Rev. Rul. 2018-7 that provides the rates of interest for underpayments and overpayments of tax for the second quarter of 2018.


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The interest rates provided by Rev. Rul. 2018-7 [PDF 97 KB] reflect increases that will apply for the second quarter of 2018 (beginning April 1, 2018).

A related IRS release—IR-2018-43—briefly lists the interest rates for the calendar quarter beginning April 1 as:

  • 5% for overpayments 
  • 4% for overpayments of a corporation
  • 2.5% for the portion of a corporate overpayment exceeding $10,000
  • 5% for underpayments
  • 7% for large corporate underpayments

These increased rates of interest represent the first change in the interest rates since the second quarter of 2016.

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