business man using tablet and laptop in his office

Tax Update: Canada Revenue Agency prescribed interest rates increasing July 1, 2022

Tax Update: Canada Revenue Agency prescribed interest rates increasing July 1, 2022

Synopsis
5 Minute Read

Annual prescribed interest rates that will apply to amounts owed to and from the Canada Revenue Agency for the third quarter of 2022 will increase as of July 1, 2022.

The Canada Revenue Agency (CRA) has announced increases for annual prescribed interest rates that will apply to amounts owed to and from CRA for the third calendar quarter of 2022.

The CRA-prescribed interest rates for overdue taxes, overpaid taxes and taxable benefits will increase by one percent effective July 1, 2022, the agency announced May 27, 2022. These interest rates have not changed since July 2020.

2022 prescribed income tax interest rates announced to date are shown below.

 

Overdue Taxes Taxpayer Overpayments
(Corporate)
Taxpayer Overpayments
(Non-Corporate)
Taxable Benefits
July 1 –  September 30 6%
2% 4% 2%
April 1 –   June 30 5% 1% 3% 1%
January 1 –  March 31 5% 1% 3% 1%

Learn more

Planning opportunities utilizing current prescribed interest rates may be suitable for you. Contact your local MNP Advisor for more information.

Insights

  • Agility

    What are the barriers to net-zero for Canada’s energy and utilities companies?

    Is net-zero electricity achievable by 2035? Explore the current state of the sector and the challenges and opportunities on the path toward renewable energy.

  • Performance

    September 18, 2023

    Tax Alert: Enhanced GST Rental Rebate

    Learn more about the Enhanced GST Rental Rebate that will relieve 100 percent of GST on specified residential rental construction projects.

  • Confidence

    Untangling money laundering regulations for Canadian real estate

    In an industry that has historically been attractive for criminals and money laundering activity, those in the Canadian real estate market have a responsibility of due diligence to keep themselves and their business safe. While it may seem like a daunting task to ensure your business isn’t being used for criminal activity, federal guidelines exist to ensure compliance and vigilance within real estate.