CRA arrears interest
Estimate interest on a late balance with a rate you type for each quarter.
Result
CRA arrears interest
Interest
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Enter a balance and at least one quarter.
Ballpark estimate, check before you buy or quote.
Rates as of 2026-10-03, tax year 2026. The prescribed rate on amounts owing is 7% for all quarters of 2026. Type the rate from the CRA prescribed interest rates page: https://www.canada.ca/en/revenue-agency/services/tax/prescribed-interest-rates.html. A simple estimate, not advice.
Estimate for planning only. This is not tax, legal, accounting or financial advice. Results depend on the figures you enter. Check all numbers, rates and rules with the official source or a qualified professional before relying on them.
How this works and common questions
About this tool
Each quarter is balance times the annual rate you type, times days, divided by 365. Interest is added before the next quarter. A simple estimate, not advice, and not the CRA daily calculation.
How it works
For each quarter, interest is opening balance times your annual rate times days, divided by 365, half up to the cent. That interest is added before the next quarter. The example is 7% for all quarters of 2026, the prescribed rate on amounts owing. $1,000.00 for 90 days at 7.00% is $17.26. The next 91 days at 7.00% on $1,017.26 is $17.75. The next 92 days at 7.00% on $1,035.01 is $18.26. Together that is $53.27.
Rules
Rates as of 2026-10-03, tax year 2026. The example uses 7% for all quarters of 2026, the prescribed rate on amounts owing. You can type a different rate. The link in the source line is the official rates page. Interest here is simple interest inside the quarter, not CRA’s daily compound interest. The divisor is always 365. A simple estimate, not advice.
Questions
Where do I get the rate?
The example is 7% for all quarters of 2026. You can type another rate from the CRA prescribed interest rates page linked on this tool.
How is $17.26 worked out?
$1,000.00 times 7.00% times 90, divided by 365, is $17.260…, which rounds half up to $17.26.
Is this the CRA interest calculator?
No. CRA compounds daily at the prescribed rate. This is a simple estimate, not advice.
Do I need an account?
No. The tools work without one. You only need to sign in to save your work.
Is what I type saved?
No. Nothing is saved unless you sign in and choose Save. Otherwise it stays on the page.
Do you show ads or sell my information?
No. We show no ads and we do not sell your information.
Is this tax or legal advice?
No. Results are estimates for planning. Check rates and rules with the official source or a qualified professional.
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Estimate for planning only. This is not tax, legal, accounting or financial advice. Results depend on the figures you enter. Check all numbers, rates and rules with the official source or a qualified professional before relying on them.