The prescribed interest rate for the second quarter of 2018 is now available.
KPMG estimates that the quarterly prescribed interest rate to be used when determining the deemed interest income inclusion from a pertinent loan or indebtedness (PLOI) will increase to 5.18% (from 4.98%) for April 1, 2018 - June 30, 2018. This rate is generally the average yield of Government of Canada 90-day Treasury Bills sold during the first month of the preceding quarter (rounded to two decimal places) plus 4%.
Download this edition of Canadian Tax Adviser to learn more.
© 2019 KPMG LLP, a Canada limited liability partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
KPMG International Cooperative (“KPMG International”) is a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.