Payroll Fundamentals 1

Ingrid Boss, an Alberta employee, is being released from employment in April of the current year after 12 years of service. Ingrids regular semi-monthly salary is $2,550.00. Calculate the gross amount of legislated wages in lieu of notice the employer must pay Ingrid.

Which of the following payments is not considered income from employment?

a) Legislated wages in lieu of notice (non-Qubec)

b) Regular salary

c) Vacation pay

d) Severance pay

The amount of working notice an employer must provide an employee on termination of employment depends in part on:

a) the employees position in the organization

b) the employees salary

c) the organizations financial position

d) the employees length of service

True or False. Employer-paid premiums for group term life insurance, medical, dental, vision, and accidental death and dismemberment coverage are non-taxable benefits in all jurisdictions. 2 Points

An interruption of earnings occurs when:

a) an employee is laid off

b) an employee goes on unpaid pregnancy leave

c) an employee has seven consecutive days without both work and insurable earnings from the employer

d) All of the above

An employee, who lives in Qubec and works at an employers permanent establishment in Ontario, will have income tax deducted based on _________ income tax rates and will file their personal income tax return, subject to _________ income tax rates.

True or False. If an employer charges a loan interest rate that is higher than the government-prescribed rate, the employee has received a taxable benefit from employment.

Gilles Lemoine, a Qubec employee, earns an annual salary of $44,000.00, paid on a bi-weekly basis. Gilles has a TD1 claim code of 2 and a TP-1015.3-V deduction code of C. Calculate Gilles tax deduction.