imputed interest


Interest considered by the IRS for tax purposes to have been paid, even if no interest was actually paid.

Use imputed interest in a sentence

It was imputed interest and that made me angry and I did not know how to deal with it at all.

​ Was this Helpful? YES  NO 11 people found this helpful.

Though the note received upon sale of the property reflected an zero interest rate the IRS requires an imputed interest rate resulting in the reallocation of a portion of the proceeds from capital gains to ordinary income.

​ Was this Helpful? YES  NO 5 people found this helpful.

In a repurchase agreement, the price differential between the money extended against collateral and the price at which the collateral is repurchased represents imputed interest.

​ Was this Helpful? YES  NO 2 people found this helpful.

Show more usage examples...

Mentioned in these terms

Browse Definitions by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
applicable federal rate split coupon bond