First-quarter interest rates

The prescribed annual interest rate that will apply to any amounts owed to the Canada Revenue Agency (CRA) is 5% for the first quarter of 2013, unchanged from the previous quarter.

That 5% applies to amounts owing to the CRA for overdue taxes, Canada Pension Plan contributions and Employment Insurance premiums. On the other hand, if the CRA owes you money for overpayments on your taxes, the interest rate is 3%. Overpayments made by corporate taxpayers earn 1%. The interest rate used to calculate taxable benefits for employees and shareholders from interest-free and low-interest loans will be 1%.

These rates are calculated quarterly and will be in effect from Jan. 1 to Mar. 31, 2013.