IRS Large Corporate Underpayment Rate (LCU)
United States The higher rate on large corporate tax underpayments.
Published value
IRS Large Corporate Underpayment Rate (LCU) at a glance
- Current rate
- 9% per year
- Effective date
- July 1, 2026
- Controlling authority
- 26 U.S.C. §6621
- Rate basis
- Published value
- Source checked
- August 22, 2026
- Recorded history
- 39 data points
The large corporate underpayment rate ("LCU") is an elevated rate that applies to sizable corporate underpayments. Under §6621(c) it equals the federal short-term rate plus 5 percentage points and is reset each quarter — two points above the ordinary underpayment rate.
→ Calculate interest at this rate
Effective-date history
| Effective date | Rate | Basis |
|---|---|---|
| July 1, 2026 | 9% | Published |
| April 1, 2026 | 8% | Published |
| January 1, 2026 | 9% | Published |
| October 1, 2025 | 9% | Published |
| July 1, 2025 | 9% | Published |
| April 1, 2025 | 9% | Published |
| January 1, 2025 | 9% | Published |
| October 1, 2024 | 10% | Published |
| July 1, 2024 | 10% | Published |
| April 1, 2024 | 10% | Published |
| January 1, 2024 | 10% | Published |
| October 1, 2023 | 10% | Published |
| July 1, 2023 | 9% | Published |
| April 1, 2023 | 9% | Published |
| January 1, 2023 | 9% | Published |
| October 1, 2022 | 8% | Published |
| July 1, 2022 | 7% | Published |
| April 1, 2022 | 6% | Published |
| January 1, 2022 | 5% | Published |
| October 1, 2021 | 5% | Published |
| July 1, 2021 | 5% | Published |
| April 1, 2021 | 5% | Published |
| January 1, 2021 | 5% | Published |
| October 1, 2020 | 5% | Published |
| July 1, 2020 | 5% | Published |
| April 1, 2020 | 7% | Published |
| January 1, 2020 | 7% | Published |
| October 1, 2019 | 7% | Published |
| July 1, 2019 | 7% | Published |
| April 1, 2019 | 8% | Published |
| January 1, 2019 | 8% | Published |
| October 1, 2018 | 7% | Published |
| July 1, 2018 | 7% | Published |
| April 1, 2018 | 7% | Published |
| January 1, 2018 | 6% | Published |
| October 1, 2017 | 6% | Published |
| July 1, 2017 | 6% | Published |
| April 1, 2017 | 6% | Published |
| January 1, 2017 | 6% | Published |
Source & provenance
Observation recorded August 22, 2026 (23:49 UTC) from the cited source (U.S. Internal Revenue Service):
https://www.irs.gov/payments/quarterly-interest-rates
Cite this page
StatuteRates. “IRS Large Corporate Underpayment Rate (LCU).” StatuteRates.com. Accessed today. https://statuterates.com/rates/irs-large-corporate-underpayment/ Rate recorded under 26 U.S.C. §6621, effective July 1, 2026.