[BU357] - Midterm Exam Guide - Comprehensive Notes for the exam (29 pages long!)
Document Summary
Limited to those deductions specifically listed in section 8. Employer withholds from pay and remits to the cra on employee"s behalf. Protection for severance, pension and injury compensation rights. Determination of the relationship: control test: Treated as businesses and are allowed to deduct all reasonable expenses incurred for the purpose of gaining or producing income from business (excluding capital outlays such as the cost of land and other fixed assets) Required to pay the employer portion of cpp. May be required to pay their own liability insurance and wouldn"t have job protection. Determines whether the individual is directed by someone who is in a position to order or require not only what is to be done but how it is to be done. Less control= contractor: ownership of tools test: Determines who bears the cost of the tools necessary to perform the services and/or work. Individual bears cost contractor: profit/loss test:
