The Canada Revenue Agency (CRA) announced the prescribed annual interest rates that will apply to amounts owed to the CRA and to amounts the CRA owes to individuals and corporations. These rates are calculated quarterly according to applicable legislation. The rates indicated below will be in effect from April 1, 2010 to June 30, 2010.
- The interest rate charged on overdue taxes, Canada Pension Plan contributions, and Employment Insurance premiums will be 5%.
- The interest rate paid on overpayments will be 3%.
- The interest rate used to calculate taxable benefits for employees and shareholders from interest-free and low-interest loans will be 1%.
For information on the prescribed interest rates of other calendar quarters, go to the Canada Revenue Agency Web page.