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No Change to CRA 1% Prescribed Rate for Q4 of 2012 - by Dave Magdalinski  

Canadian Tax Adviser

 

August 07, 2012

 

Dave Magdalinski
Edmonton, Enterprise Tax

 

The CRA prescribed income tax interest rates for taxable benefits, overpaid taxes and underpaid taxes for the fourth quarter of 2012 (October 1- December 31, 2012) will remain unchanged.

Currently, the rate for penalties and interest on overdue income taxes is 5%. The prescribed rate for refunds of overpaid tax is 3% for non-corporate taxpayers (1% for corporate taxpayers), and the prescribed rate that applies to taxable benefits for employees and shareholders from interest-free and low-interest loans is 1%.

 

Prescribed rates for 2011 and 2012 are as follows:

 

No Change to CRA 1% Prescribed Rate for Q4 of 2012

 

For more information, contact your KPMG adviser.

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