Tax News    FCA Rules on Employee vs. Independent Contractor Status    Prescribed Rate to Rise!!    Prescribed Interest Rate on Monies Owing to the Tax Man FCA Rules on Employee vs. Independent Contractor Status - Arthur Drache In a major decision which should have an impact on the general law, and most significantly, the income tax laws, dealing with employment status, the Federal Court of Appeal has held that dancers with the Royal Winnipeg Ballet (“RWB”) are independent contractors. We have been taking the position for quite some time that a new approach was needed to determine whether workers were employees or independent contractors. In today’s world, the old tests that have been applied, simply have limited relevance, but they are still applied regularly by the Canada Revenue Agency. They attempt to shoehorn assessments into tests that really don’t fit. We have suggested that in close cases, the intention of the parties should be a major determinant. More... Prescribed Rate to Rise!! - Charles Rotenberg A rise in the rate of interest prescribed under the Income Tax Act is coming. For the purposes of income splitting among family members it suggests reviewing proposed transactions before the end of March. A small change in rate can have effect for many years to come. More... Prescribed Interest Rate on Monies Owing to the Tax Man - Adam Aptowitzer On March 3 the Canada Revenue Agency announced that the prescribed interest rates for amounts owing to the CRA in respect of income tax and penalties would rise to 8%, its highest rate since the third quarter of 2003. Interest is charged on amounts owing to the CRA on a rate compounded daily but set quarterly. While most people simply ignore the prescribed interest rate announcements as being irrelevant for their day to day life, even a 1% increase in the prescribed rate for a quarter can have a significant effect on an amount owing. More... You are receiving this e-mail because you have subscribed to one of our Drache LLP newsletters. You have complete control to review, update your newsletter options or unsubscribe at your discretion. If this email was forwarded to you, we invite you to subscribe to this newsletter or others that appeal to you. Your subscription information is private, please feel free to review our privacy policy. © Drache LLP Barristers & Solicitors, 222 Somerset St. W., 2nd Floor, Ottawa, Ontario K2P 2G3 Phone: (613) 233-2675 Facsimile: (613) 233-6752 Email: crotenberg@drache.com