Blogs » Law and Legal Services » Deutshmann Personal Injury & Disability Law - PERSONAL INJURY & DISABILITY LAW BLOG
 

Blogs

Deutshmann Personal Injury & Disability Law - PERSONAL INJURY & DISABILITY LAW BLOG
Government Proposing Tax on Employer Health Benefits
Return to Blog 

The media has recently reported that Federal Government is quietly weighing the idea of making employer health and dental plans a taxable benefit on your income tax. For the millions of Canadians with these plans, the move could add over $1000 to their taxes, depending on the level of funding provided by their employers.

The government is staying quiet about the plans in their upcoming budget, however, the Toronto Star reports that:

In a typical benefit plan, an employer contributes up to $3,500 a year — an amount that is currently not taxed, said Stephen Frank, senior vice-president of policy for the Canadian Life and Health Insurance Association

“If it becomes taxable, then the employee has to pay tax on that amount,” Frank said, adding that it could add about $1,300 a year to an individual’s tax bill.

http://on.thestar.com/2kRj1aE

Economists estimate that this move could generate billions in new tax revenues annually, and Prime Minister Trudeau has suggested that this money could be reinvested into a national pharma care programme.

The opposition parties, the public, and industry leaders are all opposing the move on the basis that such a move could discourage companies from providing health care plans altogether. This is widely seen as detrimental to employees in the private sector non-unionized jobs, who would be most affected by such a move.

The government argues that they are simply investigating the more than 150 tax credits available through income tax, to determine what is best for Canadians moving forward. They argue that health care benefits are really remuneration and should be treated as such. Most other employee benefits are taxed such as car allowances, phone allowances, or life insurance premiums. They are reported on T4 slips as income.

Quebec included health care benefits and dental plans as a provincial taxable benefit 15 years ago and found that the number of employers offering the plans dropped, and that often benefits were scaled back.

 

Posted on Tuesday, Jan 30, 2018 - 07:46:00 AM EST
 Comments  (0) Post a Comment 
   By Deutschmann Personal Injury & Disability Law - Visit Our Business Directory Listing  |   Return to Blog 

Blogs Home   |   Start a Blog   |   Subscribe To Blog
News   |   Announcements   |   Events Calendar
Contact The News Editor   |   News FAQs

 
    <<     August  2022     
S M Tu W Th F S
  1 2 3 4 5 6
7 8 9 10 11 12 13
14 15 16 17 18 19 20
21 22 23 24 25 26 27
28 29 30 31      
Jump to:

Article Categories
Disability Law
Car Insurance
Community
Law Enforcement
Personal Injury Law
Safety

Recent Articles
Smartwatches are a bigger distraction than phones now
Old Grey Mayors Episode 33 - Revisiting the 1989’s Elmira Uniroyal Aquifer Contamination with Gerry
We're Proud Supporters of Public Art in the Region
One Quarter of Children with Mild Traumatic Brain Injury Suffer Post-Concussion Symptoms
Episode 30: Bob Williams
Self Driving Cars Tackling Complex Roads in Canada
Bike Lanes and Pedestrians Don’t Mix
Playground Safety
Has Long Covid Prompted Research On Other Chronic Illness?
How Do Brain Injury and Personality Change Go Hand in Hand?
America Enacts Safety Standards for Autonomous Vehicles and Automated Vehicles
Brain Injury Can Result in Depression
Automaker Ford will use autnomous vehicles to deliver groceries to seniors in need
“Hacking” the Immune System May Prevent Long Term Disability After Brain Injury
New Research Finds that Concussion Monitoring Could Occur using Urine Samples
Vision Zero’s commitment to continuously and preemptively improve safety on the roads
High Purity Prescription CBD Oil May Be An Effective COVID Therapy
Long COVID or Post-Acute Sequelae SARS-CoV-2 (PASC) – What is it?
Long COVID and Disability Benefits
Why do art and music therapy help with brain disorders?

Articles by Month of Posting
May 2022
March 2022
February 2022
December 2021
November 2021
October 2021
September 2021
August 2021
July 2021
June 2021
May 2021
April 2021
March 2021
February 2021
January 2018
January 2017
January 2016
August 2015
July 2015
June 2015
May 2015
April 2015
March 2015
February 2015
January 2015
December 2014
November 2014
October 2014
September 2014
August 2014
July 2014
June 2014
May 2014
April 2014
March 2014
February 2014
January 2014
December 2013
November 2013
October 2013
September 2013
August 2013
July 2013
June 2013
May 2013
April 2013
March 2013
February 2013
January 2013
December 2012
August 2012
July 2012
May 2012
April 2012