Tax Tip - A reminder to review the Canada Revenue Agency (CRA) policies on taxable benefits

OTTAWA, ON, May 31, 2023 /CNW/ - If you are an employer and offer taxable benefits to your employees or workers, please review the January 1, 2023, updates to taxable benefits policies on gifts, awards, long-service awards, social events, hospitality functions, and parking. A summary is provided below:

Gifts, awards, and long-service awards: certain gift cards that cannot be converted into cash can be treated as 'non-cash' if they meet our criteria. Eligible cards can be considered part of the $500 limit for non-cash gifts and awards during the year. Learn more here.

Parking: a new ratio was provided to help simplify when a taxable benefit must be included in income where a limited number of parking spaces are provided to employees by the employer. Learn more here.

Social events and hospitality functions: a new category was created for virtual social events. Virtual social events provided by an employer for its employees will not be considered a taxable benefit when the cost per employee is within the limit applicable to that type of virtual social event. Learn more here.

Need help accessing CRA's online services for businesses?

The CRA offers electronic services for businesses that will help you:

• File various types of returns
• File a notice of objection
• Make a payment
• Register a new business and various types of accounts
• Get information
• Make an online request
• Calculate payroll deductions
• Download or order forms or publications

Our online services make it faster and easier to handle your company's tax matters. You and your authorized employees and representative can file, pay and access detailed information about your tax accounts. Get started by selecting the online service that is built for you:

• Need to file GST/HST, payroll, corporation income tax returns? Use My Business Account.
• Having a tax preparer act on behalf of your business? We offer Represent a Client for that.
• Reporting your business income on a personal income tax return? Make sure to use My Account for Individuals.

If you require more detailed information on these taxable benefit updates or on other any taxable benefits, you can browse our webpage on What is a taxable benefit.

Media Relations
Canada Revenue Agency
613-948-8366
[email protected]

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SOURCE Canada Revenue Agency