The Canada Income Company (CRA) introduced at the moment the prescribed annual rates of interest that can apply to any quantities owed to the CRA and to any quantities owed by the CRA to people and firms. These charges shall be in impact from October 1, 2023 to December 31, 2023.
- The rate of interest charged on overdue taxes, Canada Pension Plan contributions, and employment insurance coverage premiums shall be 9%.
- The rate of interest to be paid on company taxpayer overpayments shall be 5%.
- The rate of interest to be paid on non-corporate taxpayer overpayments shall be 7%.
- The rate of interest used to calculate taxable advantages for workers and shareholders from curiosity free and low-interest loans shall be 5%.
- The rate of interest for company taxpayers’ pertinent loans or indebtedness shall be 8.99%.
Different taxes, duties, or fees
The rates of interest on overdue and overpaid remittances shall be as follows:
The overdue remittance charge is the speed of curiosity the taxpayer should pay on quantities because of the CRA.
The overpaid remittance charge is the speed of curiosity the CRA should pay on quantities because of the taxpayer.
- Prescribed annual rates of interest are calculated quarterly in line with the legal guidelines that apply.
- For info on the prescribed rates of interest for different calendar quarters, go to Prescribed interest rates.