The process of payroll can be defined as the distribution and
calculation of salary, wages, and taxes for your employees. When you run
a business, you are responsible for making timely salary payments to
your employees. In Canada, the same is not possible without complying
with the requirements of the Canada Revenue Agency (CRA). Also, by
managing your payroll without the help of professional payroll services
in Edmonton can cause you to make some mistake. The common payroll
mistakes you may probably make include the following.
Misclassification of Employees
When you have a business and manage a payroll system, you are entitled to a payroll tax based on the number of employees you are paying wages or salaries. Often business owners make a mistake of classifying their employees as contractors instead of employees. Never make this mistake as the money paid to contractors is not taxable. This will eventually cost you more as you will have to pay the tax along with the penalty for misclassifying an employee as a contractor.
If you want more information about the payroll services in Edmonton, then contact ATS Accounting Inc. today.
Misclassification of Employees
When you have a business and manage a payroll system, you are entitled to a payroll tax based on the number of employees you are paying wages or salaries. Often business owners make a mistake of classifying their employees as contractors instead of employees. Never make this mistake as the money paid to contractors is not taxable. This will eventually cost you more as you will have to pay the tax along with the penalty for misclassifying an employee as a contractor.
If you want more information about the payroll services in Edmonton, then contact ATS Accounting Inc. today.
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