Tag Archives: permanent establishment

Why the Province of Employment Rules Don’t Work

It’s time we recognize the province of employment rules need fixing. I’ve written several times about these rules, (search my blog for ‘province of employment’) but always with a view to explaining what these are. Now I’d like to express … Continue reading

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Where does a director “report to work”?

It’s time to test your payroll knowledge. In the following scenario, what do you think is the correct province of employment? Sharon is a member of the board of directors of a Canadian resource company. Although the corporate headquarters are … Continue reading

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Which province has jurisdiction over this work?

Brent is an Ontario resident. His employer is incorporated under the Canada Corporations Act and carries on business in most provinces across Canada. The employer is provincially regulated, for employment standards purposes. Brent normally works out of the employer’s Ottawa … Continue reading

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What’s the province of employment when paying a retiring allowance?

Everyone knows the importance of the province of employment. First, getting this right is fundamental to correctly calculating income tax source deductions, since these are in part based on legislation specific to the province concerned. Second, since the province of … Continue reading

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Payroll for US Directors of Canadian Corporations: Part One.

There are special payroll challenges when directors of Canadian corporations are not Canadian residents. The large amount of direct foreign investment in Canada, either in wholly owned subsidiaries or as minority direct investment, means many foreigners sit on the boards … Continue reading

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