Maimonides Medical Center v. United States

GERARD E. LYNCH, Circuit Judge:

When an ordinary taxpayer receives a refund for an overpayment of taxes, interest is applied to the overpayment amount at a rate equaling the Federal short-term rate (“FSTR”) plus three percentage points. I.R.C. § 6621(a)(1)(B). If the taxpayer is a corporation, however, it is entitled only to a lower interest rate: the FSTR plus two percentage points on the first $10,000 for each taxable period, and the FSTR plus half a percentage point on the remainder. I.R.C. § 6621(a)(1). Plaintiff-Appellant Maimonides Medical Center (“MMC”) and the government agree that MMC…