CRA Tax Owing Interest Calculator
With the CRA interest calculator you’ll be able to quickly determine how much you owe, to better budget your finances to pay off these penalty fees.
Tax Penalty Calculator
Do you have overdue taxes which have accrued interest fees?
If you have unfilled taxes, don’t risk waiting any longer to file them, as waiting any longer can lead to an increased amount of interest fees (1% / month) and eventually it could lead to a tax audit.
The CRA charges 5% in interest penalty if passed the deadline, and 1% per month after for a period of 12-months.
If you fail to file your taxes for a consecutive 3-years the penalty is 10% of the overdue tax, and 2% after each month up until 20-months.
To learn more visit the CRA’s Avoiding Penalties page.
Want us to reduce your CRA tax penalty for you?
Connect with us and lets see how we can support you when it comes to working with the CRA, reducing penalty fees and preparing your taxes.
We will work with the CRA on your behalf to reduce your tax interest penalties.
We will help ensure all your documents are prepared and organized for when submitting your tax returns.
We will provide you with future reminders to file before your deadline to avoid any future penalty fees.
— FAQs —
Tax penalty questions you may have
How do I know if I have unfiled tax returns?
The way you can find out if you have unfiled tax returns is by first logging into your CRA account. Below you can login to your account:
If you need help with this, feel free to connect with us.
Can I negotiate with the CRA on our behalf?
You can negotiate a payment plan with the CRA to help you pay off the total amount of fees, or if its your first time the CRA may help you minimize the total penalty.
If you need help a professional tax accountant to contact the CRA on behalf of you, feel free to connect with us.
How does CRA calculate tax interest?
The CRA calculates interest by taking the total amount you owe and multiplying 5% after you’ve passed the deadline, and then 1% every month you fail to file your tax return.
How accurate is the tax penalty calculator?
The calculator should only be used to provide you with an estimate as to how much you would be penalized.
If you need help with this, feel free to connect with us.
Can I file all of my tax returns at once?
You can file all of your returns at once, and it is suggested you do so to avoid any further penalties, and to begin making payments towards any penalties you might have accrued.
“Need help with paying your overdue taxes? We’ll file it for you, and contact the CRA to help minimize your fees.”
– Danny Khanna, Managing Director