On June 11, 2009, the Minister of National Revenue announced changes to the administrative policy of the Canada Revenue Agency (“CRA”) with respect to employee taxable benefits. The CRA states that the changes were designed to reduce or eliminate the administrative burden for employers and ensure more fairness in tax administration.
Examples of some changes that may interest employers include, but are not limited to:
1. Employers will be permitted to give employees items of nominal value and other gifts and awards up to a total value of $500 per year tax free
2. A reduction in the number of overtime hours an employee must work to receive a tax-free meal allowance
3. Under certain circumstances, employers will not be required to report allowances paid to employees for travel within a municipality.
For more information, please refer to: