Rev. Proc. 2023-41 was issued on December 7, 2023 detailing the discount factors for accident year 2023 in all future tax years as well as the discount factors for all years to be used in the 2023 tax year.
Discount factors are provided for various lines of business and should be applied to both loss reserves and estimated salvage recoverable. The discount factors are typically determined using the applicable interest rate (2.9%) compounding semi-annually. The exception to this method is if you have elected to use the composite method of Notice 88-100. Click here for a table summarizing the rates for your 2023 provision.
Author: Isabelle Wissocki, CPA | [email protected]
Contact Us
For more information on this topic, please contact a member of Withum’s Insurance Services Team.
