Good news, bad news budget

No source deduction rate changes, no measures to reduce paperwork
By Sheila Brawn
|Canadian Payroll Reporter|Last Updated: 05/02/2016

THIS year’s federal budget does not contain any immediate source deduction rate changes for payroll, but it does propose a number of Employment Insurance (EI) and income tax measures that could affect employers and payroll departments in coming months.

The budget, which Finance Minister Bill Morneau tabled on Mar. 22, proposed a range of changes to EI that would mostly affect benefit claimants, such as extending the duration of benefits in certain regions of the country and relaxing the rules for claiming benefits for new workers and those re-entering the workforce.

The budget did, however, include the following proposals that may affect some employers: