Interest rates charged by the IRS on underpaid taxes and applied by the IRS on tax overpayments will increase for the second quarter of 2018 (April 1 through June 30). Here are the new rates:

Interest Rates for Individuals:

  • 5 percent charged on underpayments
  • 5 percent paid on overpayments

Interest Rates for Corporations:

  • 5 percent charged on underpayments
  • 4 percent paid on overpayments
  • 7 percent charged on large corporate underpayments
  • 2.5 percent paid on the portion of a corporate overpayment exceeding $10,000