# Employer wants to classify me as a contractor instead of employee



## Snowman (Feb 7, 2015)

Hi,

I worked for a week as a admin help for an entrepreneur. We did not have a written contract unfortunately.

The work had all the signs of employment as mentioned in the guide of Canada Revenue Agency:

- He had a high level of control over my activities;
- I worked in the workspace provided by him;
- He provided all the tools and equipment;
- The relationship was one of subordination;
- He effectively controlled how and when the work is performed;
- He controlled me with respect to both the results of the work and the method used to do the work;
- I received direction from him on how to do the work.

Yet, when I asked for a T4, he refused to give it to me, as he is saying I was a contractor. Therefore, my idea was to report the income as casual work, were I could not obtain T4.

Any suggestions? Would it be ok if I only attach the emails as a proof that I couldn't get the T4?

Thanks.


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## OptsyEagle (Nov 29, 2009)

For a week's work, I would just put it on line 104 "Other Employment Income".


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## fraser (May 15, 2010)

If I were the contractor I would do exactly the same thing.

Do you realize how much paperwork is involved to have an employee...especially for one week? Not to mention the additional costs of er CPP, EI, WCB, plus all the admin paperwork.

Why would you object if it is only for one week of work?

Just keep in mind that when you enter amounts on 104 you are subject to a CPP project. If they select you for re assessment you will be liable for paying employee and employer CPP on line 104 amount...5 percent each for a total of 10.


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## MoreMiles (Apr 20, 2011)

I agree with the other posters. For one week it's not really worth fighting for it. Also there was no contract to clarify your situation so it's kind of like he says you say.


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## Ag Driver (Dec 13, 2012)

Out of curiosity, why does it matter? Why is it that you want a T4?


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## MoreMiles (Apr 20, 2011)

Let's say one week has 40 hours and you are paid $15/h as admin assistant. For $600 pay, you will not have to pay much tax anyway. Are you doing this to get back at the old employer?


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## PrairieGal (Apr 2, 2011)

You were clearly an employee. The employer is just trying to cut corners and costs. I would call the CRA for advice. They will tell you what line to put it on. Then they will likely assess the employer for both sides of the CPP. I'm not sure what they do about the EI. You will still be responsible for paying the tax. The main thing they look for when determining whether someone is an independent contractor is whether there is a chance they could lose money. In other words, they have some expenses. We were the Dickie Dee distributors for a number of years in our town, and we had to charge the vendors $1/day for bike rent so they were classified as contractors.


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## Snowman (Feb 7, 2015)

I have no issue with paying the tax. I just want to correctly file my tax return and the the reality is that this was an employment.

Even if I would like to make a favor for the employer and act as a contractor, I am not registered for semlfemployment purposes and would need to probably pay for either a tax software or accountant to prepare the tax return...

Therefore as the best option I see is to report it on line 104 "Other Employment Income" and pay the tax. I am just wondering what would I attach to the tax return if I don't have a T4? Only the emails were I am requesting it?


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## sags (May 15, 2010)

If an employer hires a contracted employee...........it is usually through a temp agency, who assume the responsibilities as the employer.

In other words the employer is hiring the temp agency who is responsible for the employee.

There are legal obligations that have to be met.........income tax, CPP contributions, worker compensation premiums, unemployment insurance, vacation pay, mandatory training and safety equipment.

Some employers get away with it all...........until something happens at work and then the poo hits the fan.

What if you were injured while on the job ? What if the job required you driving your vehicle to perform an errand for the employer and you were involved in an accident ?

Which insurance company pays..............yours or the employers ?


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## mind_business (Sep 24, 2011)

Typically a contractor submits an Invoice to be paid. Was that the case here? 

My guess is if there was no contract in place prior to work performed, CRA will lean towards employee / employer relationship.


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## OptsyEagle (Nov 29, 2009)

Just declare it on line 104. You don't need a T4. I doubt even CRA wants to bother with all the paperwork involved for 1 weeks work.


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## PrairieGal (Apr 2, 2011)

If you put it on line 104 you will be paying both sides of the CPP, if you aren't already maxed out. If you are paper filing just attach a copy of an email, or a note from yourself.

http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/slps/menu-eng.html


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