Canada: Prescribed rates of interest for income tax, PLOI purposes (first quarter 2022)

The prescribed interest rates for income tax and for pertinent loan or indebtedness purposes for the first quarter of 2022.

Prescribed rates of interest for income tax, PLOI purposes

The prescribed interest rates for income tax and for pertinent loan or indebtedness (PLOI) purposes for the first quarter of 2022 (1 January 2022 – 31 March 2022) reflect:

  • No change to the prescribed income tax interest rate for taxable benefits, overpaid taxes, and underpaid taxes from the rate for the first quarter of 2022. The rate remains at 1%. Read a November 2021 report [PDF 205 KB] prepared by the KPMG member firm in Canada
  • A decrease to the prescribed interest quarterly rate that is used to determine the deemed interest income inclusion from a PLOI—the rate is estimated to decrease to 4.15% (from 4.17%) for the first quarter of 2022. Read a November 2021 report [PDF 206 KB] prepared by the KPMG member firm in Canada

 

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