Wealth Management Update

September AFRs and 7520 Rate

The September 2026 Section 7520 rate for use with estate planning techniques such as CRTs, CLTs, QPRTs and GRATs is 5.40%, up from 5.20% in August. The September applicable federal rate (“AFR”) for use with a sale to a defective grantor trust or intra-family loan with a note having a duration of:

• 3 years or less (the short-term rate, compounded annually) is 4.18%, up from 4.10% in August;
• 3 to 9 years (the mid-term rate, compounded annually) is 4.49%, up from 4.35% in August; and
• 9 years or more (the long-term rate, compounded annually) is 5.12%, up from 4.92% in August.

NYC “Pied-à-Terre” Tax – Final Rules & Other Updates

Background and Surcharge Framework