110  /

Prescribed Interest Rates for Capital Taxes—Continued

Notes

(1) The rates in these tables apply only to underpaid and overpaid capital taxes. Effective 

July 1, 2012 only financial institutions are subject to capital tax (see the table “Capital Tax 

Rates—Financial Institutions”).  These rates would also apply to underpaid or overpaid 

capital taxes of general corporations in earlier years. For the applicable prescribed interest 

rates for personal and corporate income tax debts and refunds, as well as for employee 

and shareholder taxable benefits, low-interest loans and other related-party transactions, 

see the tables “Prescribed Interest Rates—2012” and “Prescribed Interest Rates—2013”. 

(2) Manitoba does not pay refund interest on overpaid capital tax.

(3) The Ontario prescribed rates in the table apply only to tax debts and refunds arising 

from taxation years that ended before 2009.  Interest on Ontario underpaid and overpaid 

taxes for taxation years after 2008 (when Ontario harmonized its corporate tax system) 

is calculated based on the federal prescribed rates (see the tables “Prescribed Interest 

Rates—2012” and “Prescribed Interest Rates—2013”).

(4) Québec also charges an additional 10% per year on underpaid corporate instalments if 

less than 90% of the amount is paid. 

(5) These rates apply to financial institutions capital tax only.  Interest on capital tax debts and 

refunds for general corporations is calculated based on the federal prescribed rates (see 

the tables “Prescribed Interest Rates—2012” and “Prescribed Interest Rates—2013”).  

(6) The New Brunswick interest rate on underpaid financial institutions capital tax decreased 

to 0.7591% per month or 9.5% per year (from 1.06% and 13.5%, respectively) effective 

March 31, 2013. New Brunswick does not pay refund interest on overpaid financial 

institutions capital tax. 

(7) Nova Scotia no longer pays refund interest on overpaid financial institutions capital taxes 

with retroactive effect.

Current as of September 30, 2013

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