Income Tax Regulations

The Income Tax Regulations outline the rules and definitions related to income tax deductions and remittances in Canada. The regulations provide clarification on various concepts, including tax credits, personal credits, remuneration, and estimated deductions.

The regulations define employee and employer, and explain how employers are required to deduct or withhold taxes from an employee's remuneration. The rules also specify the amounts that can be deducted or withheld, including contributions to registered pension plans and superannuation funds.

In addition, the regulations outline the process for calculating personal credits, which include a range of benefits such as employment insurance benefits, old-age security benefits, and disability assistance payments. The regulations also provide guidance on how to calculate tax credits, including the use of formulas and tables.

The Income Tax Regulations are an important resource for employers and employees in Canada, as they provide clarity on the rules and procedures related to income tax deductions and remittances. By understanding these regulations, individuals can ensure that they are taking advantage of available tax credits and deductions, and that they are meeting their obligations under the Income Tax Act.

Key terms:

• Employee: any person receiving remuneration


• Employer: any person paying remuneration


• Remuneration: any payment made to an employee, including salary, wages, commissions, and other benefits


• Personal credits: a range of benefits that can be claimed by employees, including employment insurance benefits, old-age security benefits, and disability assistance payments