CRA Prescribed Interest Rate-Q2

The CRA prescribed interest rate drops to a new low in the second quarter of 2009, providing a unique opportunity to establish certain types of income-splitting loans and structures involving family members.

The rate used for this purpose and for computing certain taxable benefits is now 1%. The interest rate charged on overdue taxes is 5%. More information on the prescribed interest rates of other calendar quarters is available in the CRA website.