UBC administrators must identify and properly record employee benefits that are subject to CPP, EI and GST.
The Income Tax Act requires that certain employer-paid benefits/allowances that are paid or provided to employees be included in the employee’s employment income for tax purposes. This depends on the type of benefit or allowance (see Benefits Chart below).
If your unit is paying for benefits/allowances on behalf of an employee, you must report it to payroll by January 15 of each year. The information provided to Payroll should include:
- the nature of the benefit
- the employees impacted
- the amount of the benefit.
Once the benefit is confirmed, the employee’s T4 will be adjusted to include the appropriate charges. Please direct any questions to the Payroll Benefit Team.
Taxable benefit status may depend on whether or not the benefits (such as cellular service and vehicles) are used in part for personal use. For detailed information on taxable benefits listed below, please refer to the CRA Employer's Guide - Taxable Benefits and Allowances.
|Automobile and motor vehicle allowances|
|Board and lodging|
|Child care expenses|
|Counseling services in excess of the standard benefit package|
|Discounts on merchandise and commissions on sales|
|Educational allowances for children|
|Gifts and awards over $500|
|Housing, rent-free or low-rent|
|Interest-free and low-interest loans|
|Internet service (at home) unless required for on-call work|
|Meals – Overtime, Subsidized unless under $17, infrequent and overtime was more than 2 hours|
|Moving expenses and relocation benefits for items not specifically named in the guide|
|Non Payroll paid Disability-related employment benefits|
|Non Payroll paid Group term life insurance policies: Employer-paid premiums|
|Non Payroll paid Premiums under provincial hospitalization, medical care insurance, and certain federal government plans|
|Non Payroll paid Registered Retirement Savings Plan (RRSP) contributions|
|Non Payroll paid Wage-loss replacement or income maintenance non-group plan premiums|
|Parking , unless car is required for frequent off-campus meetings|
|Personal use portion of Automobile standby charge and operating expense benefits|
|Personal use portion of Cellular phone service|
|Professional membership dues unless required for employment|
|Scholarships and bursaries which do not go through the Awards Office or Graduate Studies|
|Security options from a UBC spin-off company|
|Social events unless all department staff/faculty are invited|
|Spouse or common-law partner’s traveling expenses|
|Transportation to and from the job|
|Travel assistance in a prescribed zone|
|Traveling allowances to a part-time employee and other employees|
|Tuition fees for courses not required for employment|
|Uniforms and special clothing unless protective or required by law|