The Internal Revenue Service is holding its interest rates steady for the quarter starting July 1.

The tax agency announced the rate for overpayments (payments made in excess of the amount owed) and underpayments (taxes owed but not fully paid) will stay at 7% for individuals.

Other interest rates include:

• 4.5% for the portion of a corporate overpayment exceeding $10,000
• 9% for underpayments by large corporations

The IRS determines interest rates on a quarterly basis. For unpaid taxes, the interest rate is charged from the point of the due date until it’s fully paid and is in addition to any fines or penalties.

Depending on the circumstances, the IRS may owe you interest if you don’t receive your refund within 45 days. That interest begins accruing from the tax filing deadline date.

For taxpayers other than corporations, the rates are the federal short-term rate plus 3 percentage points. For corporations, the underpayment rate is short-term rate plus 3 percentage points and the overpayment rate is federal short-term rate plus 2 percentage points.

The rate for large corporate underpayments is the federal short-term rate plus 5 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 of a percentage point.

These interest rates are computed from the federal short-term rate determined during April 2025.