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06-17-2023, 01:36 PM
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Sage
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Join Date: Aug 2009
Location: NJ, NM, SC, PA, DC, MD, VA, NY, CA, ID and finally FL.
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"Imputed interest is important for discount bonds, such as zero-coupon bonds and other securities sold below face value and mature at par. The IRS uses an accretive method when calculating the imputed interest on Treasury bonds and has applicable federal rates that set a minimum interest rate in relation to imputed interest and original issue discount rules."
From: Imputed Interest: What is is, How to Calculate, FAQs.
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