The Canada Revenue Agency (CRA) has announced prescribed annual interest rates that will apply to any amounts owed to the CRA and to any amounts owed by the CRA to both individuals and corporations. These rates are in effect from April 1 to June 30, 2024.

Income Tax Interest Rates Q2 2024

• The interest rate charged on overdue taxes, Canada Pension Plan contributions, and employment insurance premiums will be 10%.
• The interest rate to be paid on corporate taxpayer overpayments will be 6%.
• The interest rate to be paid on non-corporate taxpayer overpayments will be 8%.
• The interest rate used to calculate taxable benefits for employees and shareholders from interest free and low-interest loans will be 6%.

Previous quarter’s interest rates on overdue taxes are as follows:

• Q1 2024 – 10%
• Q2 – Q4 of 2023 – 9%
• Q1 2023 – 8%
• Q4 2022 – 7%
• Q3 2022 – 6%
• Q1 – Q2 of 2022 – 5%
• 2014 – 2021 – 5%

You can find the interest rate for any previous quarter here.

Accounting & Advisory Support for Business Owners

KWB works with business owners to help you simplify your accounting, improve your profit, and achieve your goals. We believe that with good information and advice, you will have the knowledge you need to make better decisions.

Learn more and book an introduction and fit discussion meeting here.