Driving home the need to understand automobile benefits

Improper assessment of taxable benefits and allowances
By Sheila Brawn
|Canadian Payroll Reporter|Last Updated: 04/10/2015

Payroll can be a challenging job with dozens of laws to obey and rules to follow. One area that can present difficulties is taxable benefits.

"One of the most common compliance issues identified by the Canada Revenue Agency (CRA) and Revenu Québec in organizational audits is improper assessment of taxable benefits and allowances, or excluding taxable benefits from employment income," the Canadian Payroll Association said in a recent news release.

"In fact, on the most recent list of top 10 CRA audit adjustments, seven out of 10 of the most commonly requested adjustments to an employer’s payroll are related to taxable benefits not being correctly reported," it added.