Question

Where would I enter tax refund interest income to me?

Forum|Forum|2 years ago
February 20, 2024
1 reply
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I was paid interest on my tax return refund due to long processing time of CRA. I have been led to believe that I must declare that monies in, as income. Just checking to make sure this is true, and where would I enter that on Turbo Tax?

M

Moussi2

Under the Income Tax Act, Section 67.6, generally, fines or penalties are not tax-deductible, and unfortunately, this includes CRA fines and penalties (According to the CRA – Income Tax Folio S4-F2- C1, 'Deductibility of Fines and Penalties'). Because in your case the delay was caused by CRA, we would suggest you to contact them directly at 1-800-959-7383 in this regards. If they agree to deduct the interest you paid, you will just need to look for that line on your T1 form.

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