For taxes administered by the California Department of Tax and Fee Administration, the interest rates between July 1, 2019 and December 31, 2019, are:
- The debit rate for deficiencies or underpayments is 9%; and
- The credit rate for refunds or overpayments is 2%.
The interest rate seems extremely high for even California tax authorities. The Federal interest rate on deficiencies and underpayment is currently 6%. California CDTFA is 3% more than the Federal interest rate.
Contact Joseph P. Wilson at 949-397-2292 or wilson@wilsontaxlaw.com. Mr. Wilson represents clients throughout California and the Globe, involving local, state, federal and international civil tax disputes and tax litigation and criminal tax defense. Mr. Wilson is the Managing Shareholder at Wilson Tax Law Group, APLC, former Member of the Executive Committee of the Taxation Section, California Lawyers’ Association, a former IRS Attorney, a former Assistant United States Attorney, and a former Tax Attorney, California Franchise Tax Board.