Basically, everything is the same as it was in Q2 except if you overpaid installments, and you are a corporation – then will only receive 1% interest. However, as individuals .. you may overpay your taxes and continue to receive 3% ~
The following information is now available on the CRA Web site:
Ottawa, Ontario, June 28, 2010… The Canada Revenue Agency (CRA) today announced the prescribed annual interest rates that will apply to any 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 rate indicated below will be in effect from July 1, 2010 to September 30, 2010.
* The interest rate charged on overdue taxes, Canada Pension Plan contributions, and Employment Insurance premiums will be 5%.
* The interest rate paid to corporate taxpayers on overpayments will be 1%.[Footnote 1]
* The interest rate paid to non corporate taxpayers 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%.
The interest rate on overdue and overpaid remittances for the following taxes will be:
Tax and Duty Overdue remittances Overpaid remittances Corporate taxpayers [Footnote 1] Non corporate taxpayers Goods and Services Tax (GST) 5% 1% 3% Harmonized Sales Tax 5% 1% 3% Air Travellers Security Charge 5% 1% 3% Excise Tax (non GST) 5% 1% 3% Excise Duty (except Brewer Licensees) 5% 1% 3% Excise Duty (Brewer Licensees) 3% N/A N/A Softwood Lumber Products Export Charge 5% 1% 3%
For information on the prescribed interest rates of other calendar quarters, go to the http://www.cra.gc.ca/interestrates Web page.
Footnotes [Footnote 1] – Part 1, 2, 3 and 4 of Bill C-9, an Act to implement this interest rate change comes into force on July 1st 2010, subject to Royal Assent.
Source: CRA Newsroom