The Human Resources and Finance Divisions must process payments to persons providing personal services (Independent Contractors) 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 Guideline -Employee/Employer vs. Independent Contractor (PDF) is a reference tool derived from Canada Revenue Agency (CRA) assessment practices and regulations. There is little flexibility in these regulations.
To determine if someone is to paid as an employee or independent contractor an Independent Contractor Questionnaire (PDF) needs to be completed and submitted to Paula Perri, Manager, General Accounting at email@example.com for assessment.
For more information visit Procurement Services webpage Engaging External Consultants/Contractors.