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YORK UNIVERSITY
MANAGEMENT DIRECTIVE
Taxation Rules & Procedures
Employee Employer Relationship vs. Consultant
The purpose of this package is to provide information and assistance to York Managers
regarding York University’s Taxation Rules and Procedures as they relate to the
Employee Employer Relationship vs. Consultant status. Included in this package are
two documents:
1. York University Taxation Rules & Procedures Employer/Employee Relationship vs.
Consultants – Internal Management Directive. It is labeled as attachment #1.
2. York University Taxation Rules & Procedures Employer/Employee Relationship vs.
Consultant – General Distribution. It is labeled as attachment #2.
Attachment #1 is strictly to be used and distributed to York Managers and not for
distribution to Consultants or Non York Employees.
Attachment #2 can distributed to Consultants and Non York employees and is intended
to clarify York’s position on the issue of the Employee Employer Relationship vs.
Consultant at York University.
With the increased use of consultants in Canada, Canada Revenue Agency is
scrutinizing employers more diligently than in the past. The University must be
extremely cautious in recognizing consultant status and take a formal position on
payment policies.
The Human Resources and Finance Divisions must process payments to persons
providing personal services (consultants) to York University in a manner which complies
with the Income Tax Act of Canada. Failure to appropriately withhold source deductions
is an offence under the Act and related legislation, and results in substantial interest,
penalties and fines for York.
The classification and taxation treatment of workers considers two basic categories of
employment relationships: (1) employee-employer and (2) consultant.
The
employee/employer classification requires withholding of source deductions (income
taxes, Canada Pension Plan premiums and Employment Insurance premiums) by the
employer. The consultant classification requires the consultant to collect and pay the
GST if revenue exceeds $30,000 per year.
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
Canada Revenue Agency uses four major tests to determine the appropriate
classification.
(a) Control tests that review who has control over the work and the individual doing the
work.
(b) Ownership tests that review who provides the equipment needed to create the output
of the individual’s work.
(c) Chance of profit/risk tests that review if there is a guarantee of payment or a risk of
not receiving full payment if the work is not provided as required.
(d) Integration tests that review whether the individual is fully part of University
processes or has very limited interaction with University employees, perhaps only
with whom they have contracted to do the work.
If the University controls the individual’s work, owns the equipment used, pays for the
hours worked and/or the individual is part of University processes, then an employee/er
relationship exists in the view of Canada Revenue Agency, and source deductions must
be withheld.
In the past, York has allowed a registered business (i.e. not incorporated) to be one of
the benchmarks to determine that a consultant relationship exists, and hence no
requirement to withhold source deductions. However, based on recent decisions against
York by both the Employment Health Tax and the Workers Safety & Insurance Board
auditors, use of the “registered business test” exposes the University to a significant
compliance risk and must cease. A registered business (but not incorporated) will no
longer be a factor when considering whether an employment relationship exists. Current
Canada Revenue Agency assessing practices do not view registered businesses as
constituting a consulting relationship.
To determine how individuals should be classified, the University has adopted the
following rules. Note that individuals paid through Accounts Payable have no source
deductions withheld. Individuals paid through Payroll will be subjected to source
deductions.
(a) Invoices from legally incorporated companies will be treated as payments to
consultants and paid by Accounts Payable for the fiscal year 2000. In mid 2001,
incorporated businesses being paid by York as consultants will be reassessed and
will be treated as consultants only if the criterion for consultant status is met
according to the questionnaires in this document
(b) Individuals with a GST registration number or business registration number will not
automatically be paid by Accounts Payable. The attached employee/consultant
questionnaire will determine the results.
2
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
(c) Lawyers and Accountants, billing as sole proprietors, will be considered to be
unincorporated and the employee/consultant tests will determine the results.
(d) Lawyers and Accountants, billing as partnerships, may be considered incorporated
and deemed to be consultants.
The taxation of payments to researchers, assistant researchers and other individuals
paid from grant revenue will not be covered in this document. Processing will continue
as is until later this year when a report will be prepared in conjunction with the Research
Division on taxation treatment of individuals.
The adoption of the new procedures will be transitioned as follows:
(a) New unincorporated service providers to York will be assessed, prior to first payment,
on the new basis outlined in the attached document.
(b) Course directors appointed for work commencing May 1, 2000 will adhere to this
document and will be paid as employees if not incorporated.
(c) Any person not paid in accordance with the guidelines of this document who does
not have a written contract with the University will be switched to the appropriate
payment method as soon as possible and not later than May 1, 2000. It will be the
responsibility of the Manager authorizing the invoices for payment to initiate the
transition to employee status.
(d) Any person not paid in accordance with this document who does have a written
contract with the University will be switched to the appropriate payment method by
May 1, 2000. . It will be the responsibility of the Manager who authorized the contract
to initiate the transition to employee status.
Your assistance is required to ensure that York is in compliance with Canada Revenue
Agency assessing practices and the law. If you require further information contact Sue
Bulof, Director, Payroll & HRIM (22534) or Cameron Rogers, Assistant Comptroller
(55877).
3
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
Attachment #1
YORK UNIVERSITY
TAXATION RULES AND PROCEDURES
EMPLOYEE/ER – CONSULTANT
Internal Management Directive
APRIL 2000
4
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
INTRODUCTION
The Canada Revenue Agency along with other governing agencies (Employment
Standards, Employers Health Tax, WSIB) take a rigorous audit approach of companies
and not-for-profit organizations with respect to the classification and taxation of
employees versus consultants. York must be in compliance with current assessing
practices and legislation. York must ensure that any individual classified as a consultant
meets the requirements set out by Canada Revenue Agency. Otherwise these
individuals must be classified as employees and taxed as such.
In order to explain the classification and taxation treatment of workers, two basic
categories of relationships must be reviewed.
1. Employee-Employer
2. Consultant
Each of the above categories has specific tax treatment and responsibility for withholding
tax. Generally, category 1 requires withholding of source deductions (income taxes,
Canada Pension Plan premiums and Employment Insurance premiums) by the
employer. Category 2 generally requires the consultant to collect and pay the GST.
Historically at York, a number of factors were used to assess whether an individual was
to be paid as an employee or as a consultant. One of the criteria used was based on the
use of a registered business. A registered business (but not incorporated) is no longer to
be used as a factor when considering whether an employment relationship exists.
Current Canada Revenue Agency assessing practices do not view registered businesses
as constituting a consulting relationship.
All persons with responsibility for hiring and paying faculty, students and staff must be
aware of, and comply with the Acts and the Regulations. The policies and guidelines
outlined in this document are derived from Canada Revenue Agency assessing practices
and regulations. There is little flexibility in these regulations.
This manual provides guidance concerning the alternative methods of payment to
individuals who provide services to the University. We have developed guidelines,
examples and a questionnaire to assist you in understanding which individuals require
the withholding and remitting of tax and which do not. The Assistant Comptroller (55877)
will approve the classification of any individuals thought to be consultants.
Topics discussed in the document are as follows:
 A) Examples and Taxation Status
 B) Guidelines
 B1) Consultants, Contractors Paid by Accounts Payable
 B2) Employees Paid by Payroll
 C) How to Determine if Employee or Consultant Status
 D) Questionnaire
 E) Part-time Instructors
 F) Honoraria
 G) Research Grants – Procedures to be issued later this year
 H) Payment Procedures
5
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
A) EXAMPLES AND TAXATION STATUS
(Extracts from CAUBO Taxation Guide (Canadian Association of University Business
Officers) – Prepared by Ernst & Young)
Note that if an individual provides numerous services to York, and the individual is
considered an employee for one of the services, then they will be treated as an
employee for all services rendered to York.
Taxation Status Definition (*):
Employee - Payroll: reflects employee status and requires full withholding and
reporting of statutory source deductions and paid by Payroll
Invoice - Accounts Payable: reflects consultant status and withholdings are not
required.
EXAMPLES
TAXATION STATUS (*)
INSTRUCTORS
1 Part-time instructors of regular courses (i.e. 4 months,
course directors) other than incorporated companies
2 Non-routine courses and special seminars of a few days
Employee - Payroll
3 Guest lecturers
• no ongoing responsibility to the participants or students
attending
• no marking or grading responsibility
• lectures infrequent, usually non-credit and in most cases not
part of
a regular course
• fee charged to those attending
• no appointment with the university
• no office facilities or support staff provided
• university has little control over the content of the lecture
other
than with respect to topic
• lecturer paid a single fee for giving the lecture and payment
made
at that time and
• lecture or lecture series of limited duration.
NON-INSTRUCTIONAL
4 Other miscellaneous non-instructional services
• directors, managers, supervisors, executive officers,
administration
officers
• any job function which is integrated into the University
• cooperative liaison services
• editorial writing assistance
• invigilating
• alumni consulting
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Employee - Payroll
Employee - Payroll
Employee - Payroll
Employee - Payroll
Employee - Payroll
Employee - Payroll
6
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
• honorariums (See section (F) for details)
• ongoing advisory services
• marking exams and papers (applicable to CUPE Exempt
only)
NON-INSTRUCTIONAL (CONTINUED)
4 Other miscellaneous non-instructional services
• grading correspondence courses (applicable to CUPE
Exempt only)
• preparing exams (applicable to CUPE Exempt only)
• preparing course outlines
• preparing graphic illustrations
• preparing textbooks, done away from the University
• typing, paid by the page
• writing a computer program, but not integrated into
operations
• preparing stage props for a play
• proposal development and write up
• facilitation of Principals Qualifications Program
• interpreting services
• computerized note taking
Non-Employee - Payroll
Employee - Payroll
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Invoice – Accounts
Payable
Invoice – Accounts
Payable
In those cases where services which otherwise would not be considered employment are
also provided by a York employee, then those services would generally be considered to
be rendered by an employee rather than an independent contractor.
B) Guidelines
B1) Consultants Paid by Accounts Payable
The University may retain services from a service provider who is a separate and distinct
business. These services are for specific work, services not integrated into York’s
operations, for short time duration, and the consultant bears the financial risk of the work
they provide to York. In those cases, where the consultant is performing valid services as
a consultant, an invoice is processed through Accounts Payable and no income tax is
withheld. These consultants are not to provide services that are normally provided by
employees of the University as this would mean they are integrated into York’s
7
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
operations. Invoicing, purely to avoid the source deduction of income tax and employee
deductions does not relieve the University from the legal liability to withhold and remit
source deductions. Therefore, the assumption will be that a service provider is an
employee first until proven to be a consultant. Service providers invoicing Account
Payable are required to report this income in their personal income tax returns. York will
not provide a T4A for this income. Therefore, the individual must retain copies of
invoices, for use in completing their personal income tax return.
If the consultant is incorporated, they will be paid by Accounts Payable. We should not
be advising individuals to incorporate in order to avoid source deductions as these
corporations could, in certain circumstances, be subject to challenge by Canada
Revenue Agency and other assessing agencies (i.e. ESA, EHT, WSIB) as constituting
“personal service businesses”. An unincorporated registered business will not be
automatically given consultant status unless the function is included in the example chart
above as “Invoice – Accounts Payable” and a completed questionnaire (contained later
in this report) is completed.
B2) Employees Paid by Payroll
The University may obtain services by hiring an individual as an employee. Payments to
employees are processed through Payroll and applicable withholding and reporting of
taxes is made to Canada Revenue Agency. The University’s reporting requirements are
separate and distinct from reporting requirements of the service provider/employee.
Canada Revenue Agency has the power to make an income tax reassessment in
respect of a payment to an individual, (however made), which it considers to be
employment income.
C) How to Determine if Employee or Consultant Status
To determine if a service provider is an employee or a consultant, you need to examine
and analyze the terms and conditions of the worker’s service/employment contract as it
relates to four factors discussed below.
1. The Control Test
The control test deals with the level of management prerogative, direction and control
available to the service provider. If the individual/entity providing the service
determines how, when and for what cost the services are to be offered and provided,
they are more likely consultants/contractors. If University management exercises
control over what is to be done, how and when and for what remuneration; it is more
likely an employment relationship.
2. The Ownership Test
8
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
The ownership test relates to who generally supplies the tools to do the work. In an
employer-employee relationship, the employer generally supplies the equipment
required by the employee. In addition, the employer covers the costs related to their
use, repairs, insurance, rental and operations. In a business relationship, workers
generally supply their own equipment and supplies. Individuals who work at the
University are generally supplied computers, telephones and desks.
3. The Chance of Profit/Risk of Loss
In an employer-employee relationship, the employer alone assumes the risk of loss.
The employer also covers operating expenses. The employee does not face financial
risk and is entitled to his full salary regardless of the financial health of the business.
The income of the employee does not depend on the results achieved at the end of
the contract.
4. The Integration Test
Where the worker integrates his activities into the University activities, he is
considered an employee. If the worker integrates the University work into his
commercial activities then a consultant role is being played.
D) Table to assist in the Determining whether Income is that of a Consultant or
Employee? See Attachment #2 Appendix A (Derived from the November 1998
Canada Revenue Agency Consultant or Employee Booklet)
The questionnaire must be completed by the York manager hiring the worker and also
signed by the same manager if the worker is to be classified as a consultant. A general
guideline is that if 3 or more questions are answered by completing the “York
Management” column, the individual is more likely to be an employee. The completed
questionnaire is to be submitted to the Manager of General Accounting. (See Payment
Procedures H).
In determining how individuals should be classified, the University has adopted the
following rules:
1)
2)
3)
4)
Only invoices from incorporated companies will be automatically paid by Accounts
Payable for the fiscal year 2000. By mid-year 2001 we will be reviewing the form
of the income received by the incorporated company to assess employee or
consultant status.
Individuals with a GST registration number or business registration number will
not automatically be paid by Accounts Payable. The employee/consultant tests
above will determine the results and a completed questionnaire will be submitted
for approval.
Lawyers and accountants, who are sole proprietors, will be paid as employees if
the service is of an employee nature.
Lawyers and accountants, who are partnerships, will be paid as consultants.
9
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
5)
6)
If payroll has been advised by the Office of Research Administration (ORA) that
the payment is from a research grant, then the amount will be paid through payroll
and reported on a T4A. Formal application must be made through ORA and
adjudicated by committee in order to be eligible.
All others will be paid pursuant to a PAF through payroll. All payments made
through Payroll will be considered taxable and reported on a T4.
E) PART-TIME INSTRUCTORS
Providers of part-time academic instruction are to be paid through payroll with applicable
withholdings and reported on a T4. This is true for full courses and half courses. Only
incorporated companies will be paid by Accounts Payable.
This excludes
unincorporated businesses. If those who teach part-time and decide to incorporate now
in order to have York teaching money reported in the company, Canada Revenue
Agency may question the reduced income on the personal income tax return and assess
the corporation as carrying on a “personal service business”.
F) HONORARIA
An honorarium is a gift of an object or a small sum of money, normally less than $500.00
annually, in thanks for a favour done. Honorariums paid to individuals are processed by
Payroll for both those classified as employee status and those classified as nonemployee status. For those classified as non-employee, such payments are not
subjected to statutory source deductions and are reported on T4A. In the case where an
individual is a York employee and is paid an honorarium, the payment is treated as
employment income, subjected to all statutory withholdings of source deductions and as
such is reported on a T4.
G) RESEARCHERS
The taxation of payments to researchers, assistant researchers and other individuals
from grant revenue will not be covered in this document. Processing will continue as is
until later this year when a report will be prepared in conjunction with the Research
Division on taxation treatment of individuals.
H) PAYMENT PROCEDURES
1.
Payments processed by Accounts Payable are made after the department
completes a Cheque Requisition form with the following:
i)
The service provider invoice must be attached.
ii)
Invoices from incorporated businesses should include the GST account
number and GST amount charged; unless the service provider’s total
revenue for the twelve-month period is less than $30,000.
iii)
Completed Consultant Questionnaire.
iv)
Completed Job Description Questionnaire.
2.
Payments Processed through the Department of Human Resources. An ETF
is completed in accordance with ETF Reference Manual and forwarded to Human
Resources.
10
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
YORK UNIVERSITY
TAXATION RULES AND PROCEDURES
EMPLOYEE/EMPLOYER RELATIONSHIP
General Distribution
APRIL 2000
11
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
YORK UNIVERSITY
Attachment #2
TAXATION RULES AND PROCEDURES
EMPLOYEE/EMPLOYER RELATIONSHIP vs. CONSULTANT
GENERAL DISTRIBUTION
APRIL 2000
The Human Resources and Finance Divisions must process payments to persons
providing personal services (consultants) to York University in a manner which complies
with the Income Tax Act of Canada. Failure to appropriately withhold source deductions
is an offence under the Act and related legislation, and results in substantial interest,
penalties and fines for York. All persons with responsibility for hiring and paying faculty,
students and staff must be aware of, and comply with the Acts and the Regulations. The
policies and guidelines outlined in this document are derived from Canada Revenue
Agency assessing practices and regulations. There is little flexibility in these regulations.
General Classification
The classification and taxation treatment of workers considers two basic categories of
employment relationships: (1) employee-employer and (2) consultant.
The
employee/employer classification requires withholding of source deductions (income
taxes, Canada Pension Plan premiums and Employment Insurance premiums) by the
employer. The consultant classification requires the consultant to collect and pay the
GST if revenue exceeds $30,000 per year.
Exemptions
The taxation of payments to researchers, assistant researchers and other individuals
from grant revenue will not be covered in this document and processing will continue as
is until later this year when a report will be prepared in conjunction with the Research
Division on taxation treatment of individuals.
Invoices from legally incorporated companies will be treated as payments to consultants
and paid by Accounts Payable for the fiscal year 2000. In mid 2001, all incorporated
businesses being paid by York as consultants will be reassessed and will be treated as
consultants only if the criterion for consultant status is met according to questionnaires in
this document.
Employee of More than One Department or providing Numerous Functions
If an individual provides numerous services to York, and the individual is considered an
employee for one of the services, then they will be treated as an employee for all
services rendered to York.
12
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
Registered Businesses, (Not Incorporated)
In the past, York has allowed a registered business (i.e. not incorporated) to be one of
the benchmarks to determine that a consultant relationship exists, and hence no
requirement to withhold source deductions. However, based on recent decisions against
York the use of the “registered business test” exposes the University to a significant
compliance risk and must cease.
A registered business (but not incorporated) will no longer be a factor when considering
whether an employment relationship exists.
Current Canada Revenue Agency
assessing practices do not view registered businesses as constituting a consulting
relationship.
Part-Time Instructors
Providers of part-time academic instruction are to be paid through payroll with applicable
withholdings and reported on a T4. This is true for full courses and half courses. Only
incorporated companies will be paid by Accounts Payable. Those who teach part-time
and decide to incorporate now in order to have York teaching income reported as
revenue to a corporation should be advised that, Canada Revenue Agency may question
the reduced income on their personal income tax returns and assess the corporation as
carrying on a “personal service business”.
Consultant Questionnaire to Determine Whether Income is that of a Consultant or
Employee
Individuals will be automatically classified as employees unless the completed
questionnaire (Appendix A) indicates a consultant status. The questionnaire is to be
completed by the York manager hiring the worker and also signed by the same manager
if the worker is to be classified as a consultant. A general guideline is that, if the answer
to 3 or more questions fall under the “York Manager” column, the individual is more likely
to be an employee than a consultant. If an individual is performing teaching or they are
integrated into the University’s daily operations, the taxing authorities are deeming these
individuals to be employees and not consultants. The completed questionnaire is to be
submitted to the Manager, Employee Compensation Services (22534) or the Comptroller
(55799) for approval of the individual’s consultant status, prior to the first payment for
new consultants or for continued payments to current consultants.
The questions contained in the questionnaire are derived from the November 1998
Canada Revenue Agency Consultant or Employee Booklet.
Job Description Questionnaire
The attached Job Description Questionnaire (Appendix B) also needs to be completed,
so that the appropriate employee classification can be determined. The completed
questionnaire is to be submitted to the Manager, General Accounting for approval of the
individual’s consultant status.
13
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
Rules
1. Individuals with a GST registration number or business registration number must
complete the questionnaires that will determine whether they are employees or
consultants.
2. Lawyers and Accountants, billing as sole proprietors, will be considered to be
unincorporated and the results of the questionnaire will be the determining factor.
3. Lawyers and Accountants, billing as partnerships, may be considered incorporated
and deemed to be consultants.
4. Course directors appointed for work commencing May 1, 2000 will be paid as
employees if not incorporated.
5. Any person not paid in accordance with the guidelines of this document who does
not have a written contract with the University will be switched to the appropriate
payment method as soon as possible and not later than May 1, 2000.
6. Any person not paid in accordance with this document who does have a written
contract with the University will be switched to the appropriate method by May 1,
2000.
Payment Procedures
Payments processed by Accounts Payable are made after the department
completes a Cheque Requisition form with the following:
i)
The service provider invoice must be attached.
v)
Invoices from incorporated businesses should include the GST account
number and GST amount charged; unless the service provider’s total
revenue for the twelve-month period is less than $30,000.
vi)
Completed Consultant Questionnaire.
vii)
Completed Job Description Questionnaire.
Payments Processed through the Department of Human Resources. An ETF is
completed in accordance with ETF Reference Manual and forwarded to Human
Resources.
Your assistance is required to ensure that York is in compliance with Canada Revenue
Agency assessing practices and the law.
14
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
Appendix A
CONSULTANT QUESTIONNAIRE
YORK UNIVERSITY
Mgmt.
Worker
Control Tests
Who is responsible for planning the work to be done?
Who decides how much the worker is to be paid?
Who decides on the time frame?
Who decides how the work is to be done?
Who decides the hours of work?
Who decides the work location?
Who supervises the tasks?
Who sets the standards to be met, quality,
volume and time frame?
Who decides if the work needs to be redone and
who bears the costs?
If training is involved who pays the costs?
Ownership Tests
Who supplies the office equipment?
Who supplies the materials?
Who assumes the responsibility for the
performance of the work?
Chance of Profit/Risk of Loss
Who covers the cost of damage to office equipment
or material?
Who covers the cost of liability insurance?
Who covers office expenses?
Who covers the cost incurred by the worker in
carrying out the work?
Integration Test
Is the worker an integrated part of the University? Yes
Do they work with students or other staff members
on a regular basis?
Yes
Is the individual currently or have they been in the
past 6 months an employee of York
No
No
Yes
No
Completed By:
________________________________
________________________________
YORK UNIVERSITY Manager (Print Name)
Date
_______________________________
YORK UNIVERSITY Manager Signature
__________________
E-mail
___________
Extension
15
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
Explanation of Key Headings in the Questionnaire
The Control Test
The control test deals with the level of management prerogative, direction and control
available to the service provider. If the individual/entity providing the service
determines how, when and for what cost the services are to be offered and provided,
they are more likely consultants/contractors. If University management exercises
control over what is to be done, how and when and for what remuneration; it is more
likely an employment relationship.
The Ownership Test
The ownership test relates to who generally supplies the tools to do the work. In an
employer-employee relationship, the employer generally supplies the equipment
required by the employee. In addition, the employer covers the costs related to their
use, repairs, insurance, rental and operations. In a business relationship, workers
generally supply their own equipment and supplies. Individuals who work at the
University are generally supplied computers, telephones and desks.
The Chance of Profit/Risk of Loss
In an employer-employee relationship, the employer alone assumes the risk of loss.
The employer also covers operating expenses. The employee does not face financial
risk and is entitled to his full salary regardless of the financial health of the business.
The income of the employee does not depend on the results achieved at the end of
the contract.
The Integration Test
Where the worker integrates his activities into the University activities, he is
considered an employee. If the worker integrates the University work into his
commercial activities then a consultant role is being played.
16
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
Appendix B
JOB DESCRIPTION QUESTIONNAIRE
Surname:
First Name:
Department:
Location:
Title:
Supervisor's Name/Title:
Extension:
General Information
(a)
Describe in detail the work performed for the University.
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
(b)
Date work commenced. ______________________________________________
(c)
End date of assignment.______________________________________________
(d)
Hours and days of work.______________________________________________
(e)
When the work is performed, is it physically done at the University or is the work
performed at another location? Explain.
_________________________________________________________________
_________________________________________________________________
(f)
Is the work confined to a specific project or initiative or is it work of an on-going
nature?
_________________________________________________________________
_________________________________________________________________
17
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
Personnel Authority
Does staff report to this individual? If yes, how many, what are their positions and
employment categories (full time, part time, casual, work-study)?
Employment Category
Full time
Position(s)
Number supervised
Part time
Casual
Work-study/Student
With respect to the relationship with these employees, does this individual have the
authority to?
 Hire
 Dismiss
 Discipline
 Evaluate performance
 Grant/deny requests for vacation, time off
 Approve overtime
 Assign and direct work
 Train/orient staff
 Provide general guidance
18
Issued: April 3, 2000
Modified: January 20, 2010
Taxation Rules and Procedures
Information
In the course of work, does this individual deal with confidential information? If yes, what
is the nature of the information and the nature of involvement?
______________________________________________________________________
________________________________________________________________
______________________________________________________________________
Financial Responsibility
Is this individual involved in the development and/or administration of budgets? If yes,
explain the scope of involvement and the dollar value of the budget(s).
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
I hereby acknowledge that the information I have provided is true and accurate.
____________________________________
YORK UNIVERSITY Manager (Print Name)
______________________
Date
________________________________
YORK UNIVERSITY Manager Signature
________________
E-mail
_________
Extension
I have reviewed the information on this form and confirm that it is a true and
accurate reflection of the work I perform at YORK UNIVERSITY.
________________________________
Consultant (Print Name)
________________________________
Consultant Signature
________________________________
Date
__________________
E-mail
___________
Extension
19
Issued: April 3, 2000
Modified: January 20, 2010