# Section 7520 Rates by Month (2025-2026), With the IRS Ruling for Each

> The IRS section 7520 rate for every month since January 2025, each linked to its revenue ruling. November 2026: 6.2%. Checked weekly.

Source: https://ridleylawoffices.com/law-watch/section-7520-rates/

By Eric Ridley, attorney, Ridley Law. Updated November 2026.

[Law Watch](https://ridleylawoffices.com/law-watch/) · Last verified November 4, 2026 · Changed November 1, 2026: [Section 7520 rate rises to 6.2 percent for November 2026](https://ridleylawoffices.com/law-watch/law-updates/#2026-11-01-7520-november) · [All changes](https://ridleylawoffices.com/law-watch/law-updates/)

The section 7520 rate is the interest rate the IRS requires for valuing annuities, life estates, terms of years, and remainder interests. It sets the gift in a [GRAT](https://ridleylawoffices.com/grantor-retained-annuity-trust-grat/) or a [QPRT](https://ridleylawoffices.com/qprt-california-2026/) and the deduction for a charitable remainder or lead trust. The table below gives the rate for every month since January 2025, newest first, each linked to the IRS revenue ruling that set it. The page is checked weekly, and a new month is added once the IRS publishes it, usually in the middle of the month before.

**6.2%**

Section 7520 rate, November 2026 (Rev. Rul. 2026-21)

**5.6%**

October 2026 (Rev. Rul. 2026-19)

**4.6%**

November 2025, one year earlier (Rev. Rul. 2025-21)

**Cite this page:** Ridley Law, “Section 7520 Rates by Month (2025-2026),” ridleylawoffices.com/law-watch/section-7520-rates/, November 2026.

## Section 7520 rates by month, January 2025 to November 2026

The December 2026 rate hasn’t been published yet. The middle column is 120 percent of the federal midterm rate (annual compounding) from Table 1 of the same ruling, the figure the IRS rounds to get the rate.

| Month | Section 7520 rate | 120% of federal midterm rate | IRS ruling |
| --- | --- | --- | --- |
| November 2026 | 6.2% | 6.11% | [Rev. Rul. 2026-21](https://www.irs.gov/pub/irs-drop/rr-26-21.pdf) |
| October 2026 | 5.6% | 5.54% | [Rev. Rul. 2026-19](https://www.irs.gov/pub/irs-drop/rr-26-19.pdf) |
| September 2026 | 5.4% | 5.40% | [Rev. Rul. 2026-17](https://www.irs.gov/pub/irs-drop/rr-26-17.pdf) |
| August 2026 | 5.2% | 5.23% | [Rev. Rul. 2026-13](https://www.irs.gov/pub/irs-drop/rr-26-13.pdf) |
| July 2026 | 5.2% | 5.23% | [Rev. Rul. 2026-12](https://www.irs.gov/pub/irs-drop/rr-26-12.pdf) |
| June 2026 | 5.0% | 4.97% | [Rev. Rul. 2026-11](https://www.irs.gov/pub/irs-drop/rr-26-11.pdf) |
| May 2026 | 5.0% | 4.91% | [Rev. Rul. 2026-9](https://www.irs.gov/pub/irs-drop/rr-26-09.pdf) |
| April 2026 | 4.6% | 4.59% | [Rev. Rul. 2026-7](https://www.irs.gov/pub/irs-drop/rr-26-07.pdf) |
| March 2026 | 4.8% | 4.72% | [Rev. Rul. 2026-6](https://www.irs.gov/pub/irs-drop/rr-26-06.pdf) |
| February 2026 | 4.6% | 4.63% | [Rev. Rul. 2026-3](https://www.irs.gov/pub/irs-drop/rr-26-03.pdf) |
| January 2026 | 4.6% | 4.57% | [Rev. Rul. 2026-2](https://www.irs.gov/pub/irs-drop/rr-26-02.pdf) |
| December 2025 | 4.6% | 4.55% | [Rev. Rul. 2025-24](https://www.irs.gov/pub/irs-drop/rr-25-24.pdf) |
| November 2025 | 4.6% | 4.60% | [Rev. Rul. 2025-21](https://www.irs.gov/pub/irs-drop/rr-25-21.pdf) |
| October 2025 | 4.6% | 4.65% | [Rev. Rul. 2025-19](https://www.irs.gov/pub/irs-drop/rr-25-19.pdf) |
| September 2025 | 4.8% | 4.86% | [Rev. Rul. 2025-17](https://www.irs.gov/pub/irs-drop/rr-25-17.pdf) |
| August 2025 | 4.8% | 4.88% | [Rev. Rul. 2025-14](https://www.irs.gov/pub/irs-drop/rr-25-14.pdf) |
| July 2025 | 5.0% | 5.04% | [Rev. Rul. 2025-13](https://www.irs.gov/pub/irs-drop/rr-25-13.pdf) |
| June 2025 | 5.0% | 4.90% | [Rev. Rul. 2025-12](https://www.irs.gov/pub/irs-drop/rr-25-12.pdf) |
| May 2025 | 5.0% | 4.93% | [Rev. Rul. 2025-10](https://www.irs.gov/pub/irs-drop/rr-25-10.pdf) |
| April 2025 | 5.0% | 5.06% | [Rev. Rul. 2025-8](https://www.irs.gov/pub/irs-drop/rr-25-08.pdf) |
| March 2025 | 5.4% | 5.36% | [Rev. Rul. 2025-6](https://www.irs.gov/pub/irs-drop/rr-25-06.pdf) |
| February 2025 | 5.4% | 5.43% | [Rev. Rul. 2025-5](https://www.irs.gov/pub/irs-drop/rr-25-05.pdf) |
| January 2025 | 5.2% | 5.10% | [Rev. Rul. 2025-1](https://www.irs.gov/pub/irs-drop/rr-25-01.pdf) |

## How the IRS sets the rate

The rule is [26 U.S.C. § 7520(a)](https://www.govinfo.gov/link/uscode/26/7520?link-type=html). The rate is 120 percent of the federal midterm rate for the month in which the valuation date falls, “rounded to the nearest 2/10ths of 1 percent.” The IRS publishes the federal midterm rate each month in its applicable federal rate ruling and states the section 7520 rate in that ruling’s Table 5. For November 2026, 120 percent of the midterm rate was 6.11 percent, which rounds to 6.2 percent.

Charitable transfers get a choice. When an income, estate, or gift tax charitable deduction is allowable for any part of the property, the statute lets the taxpayer “elect to use such Federal midterm rate for either of the 2 months preceding the month in which the valuation date falls.” A charitable trust funded in November 2026 can use November’s 6.2 percent, October’s 5.6 percent, or September’s 5.4 percent, whichever gives the better result.

The rate in effect on the valuation date fixes that transfer’s value for good. A later change in the rate doesn’t reopen it.

## Where the rate matters

For a [grantor retained annuity trust](https://ridleylawoffices.com/grantor-retained-annuity-trust-grat/) or a [charitable lead annuity trust](https://ridleylawoffices.com/charitable-lead-annuity-trust-clat/), the rate is the hurdle. The trust’s assets have to grow faster than the rate in effect at funding for anything to pass to family, so a lower rate helps. For a [charitable remainder annuity trust](https://ridleylawoffices.com/charitable-remainder-annuity-trust-crat/), a higher rate shrinks the present value of the annuity, which raises the value of the charity’s remainder. For a [qualified personal residence trust](https://ridleylawoffices.com/qprt-california-2026/), a higher rate makes the retained right to live in the house worth more, which shrinks the taxable gift. The rate moved from 4.6 percent in April 2026 to 6.2 percent in November 2026, so the month of funding matters. [Estate tax planning strategies compared](https://ridleylawoffices.com/estate-planning-strategies-compared/) shows where the rate enters each technique, and the [glossary entry for the section 7520 rate](https://ridleylawoffices.com/estate-planning-glossary-california/section-7520-rate/) explains the term.

California has no rate of its own for these calculations. California residents use the federal section 7520 rate.

## Related pages on this site

- [GRAT (Grantor Retained Annuity Trust): How It Works, With the California Rules](https://ridleylawoffices.com/grantor-retained-annuity-trust-grat/)
- [Charitable Lead Annuity Trust (CLAT)](https://ridleylawoffices.com/charitable-lead-annuity-trust-clat/)
- [Charitable Remainder Annuity Trust (CRAT)](https://ridleylawoffices.com/charitable-remainder-annuity-trust-crat/)
- [Is a QPRT Still Worth It in 2026?](https://ridleylawoffices.com/qprt-california-2026/)
- [Estate Tax Planning Strategies Compared](https://ridleylawoffices.com/estate-planning-strategies-compared/)
- [Law Watch: every page this site keeps current](https://ridleylawoffices.com/law-watch/)
- [California Estate Planning Numbers 2026](https://ridleylawoffices.com/2026-california-estate-law-changes/)
- [Estate Planning Statistics and California Guides](https://ridleylawoffices.com/estate-planning-statistics-and-california-guides/)

## Methodology

Every rate in the table comes from the IRS applicable federal rate revenue ruling for that month, Table 5 (“Rate Under Section 7520”). The 120 percent figures come from Table 1 of the same ruling. Each rate was checked by rounding the 120 percent figure to the nearest 0.2 percent, and all 23 months match. The IRS’s [Section 7520 interest rates page](https://www.irs.gov/businesses/small-businesses-self-employed/section-7520-interest-rates) was used only as a cross-check. The page is checked every week against the IRS’s rulings. To report an error, email [eric@ridleylawoffices.com](mailto:eric@ridleylawoffices.com).

*This page is for general information only, not legal or tax advice. Consult an attorney or tax advisor about your specific situation.*