The Canada Revenue Agency (CRA) announced today the prescribed annual interest rates that will apply to any amounts owed to the CRA and to any amounts owed by the CRA to individuals and corporations. These rates will be in effect from January 1, 2024, to March 31, 2024.
The Canada Revenue Agency (CRA) has announced the interest rates that will apply to amounts owed to and by the Agency for the first quarter of 2024, as well as the rates that will apply for the purpose of calculating employee and shareholder taxable benefits.
| Debit Rate | Credit Rate | Shareholder Benefits |
January 1 – March 31 | 10% | 6%/8% | 6% |
Interest on Income Taxes:
- 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%.
- The interest rate for corporate taxpayers’ pertinent loans or indebtedness will be 9.16%.
The overdue remittance rate is the rate of interest the taxpayer must pay on amounts due to the CRA.
The overpaid remittance rate is the rate of interest the CRA must pay on amounts due to the taxpayer.
If you would like help with dealing with the CRA or would like to know more about taxable benefits, please feel free to call us at (905) 305-9722 or email us at info@eigenmachtcrackower.com and we will help you out!
