Prescribed interest rates

The prescribed interest rates that apply for the current calendar quarter are as follows:

• The interest rate charged on overdue taxes, CPP contributions, and EI premiums is 5%, compounded daily.
• The interest rate paid on late refunds paid by the CRA to corporations (after 30 days) is 1%, compounded daily.
• The interest rate paid on late refunds paid by the CRA to other taxpayers is 3%, compounded daily.

The interest rate used to calculate taxable benefits for employees and shareholders from interest‑free and low-interest loans is 1%.