Interest Rates for the First Calendar Quarter

OTTAWA, ONTARIO -- (MARKET WIRE) -- 12/15/11 -- The Canada Revenue Agency (CRA) today announced the prescribed annual interest rates that will apply to any amounts owed to the CRA and to any amounts the CRA owes to individuals and corporations. These rates are calculated quarterly in accordance with applicable legislation and will be in effect from January 1, 2012 to March 31, 2012.

Income tax

--  The interest rate charged on overdue taxes, Canada Pension Plan
    contributions, and Employment Insurance premiums will be 5%.
--  The interest rate to be paid on corporate taxpayers overpayments will be
    1%.
--  The interest rate to be paid on non corporate taxpayers overpayments
    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%.

Other taxes, duties, or charges

The interest rates on overdue and overpaid remittances are as follows:

Tax, duty, or other charges             Overdue      Overpaid remittances
                                      remittances
                                                   Corporate  Non corporate
                                                   taxpayers    taxpayers
Goods and Services Tax (GST)               5%         1%            3%
Harmonized Sales Tax (HST)                 5%         1%            3%
Air Travellers Security Charge             5%         1%            3%
Excise Tax (non GST/HST)                   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, visit www.cra.gc.ca/interestrates.

FOR BROADCAST USE

The Canada Revenue Agency reminds taxpayers and all tax registrants that they have until December 31, 2011, to file requests under the taxpayer relief provisions for the 2001 tax year and any reporting period that ended during the 2001 calendar year.

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Contacts:
Noel Carisse
Media Relations
Canada Revenue Agency
613-952-9184

Source: Canada Revenue Agency