TAX INFORMATION FOR 2014

Vol. V No. 4 • December 13, 2013
Here are the deductions at source rates for 2014 and 2013 for Employment Insurance, Quebec Parental Insurance Plan, Quebec Pension Plan, Canada Pension Plan, Quebec Health Services Fund, Quebec Health Contribution, and Commission des normes du travail. These rates will help the user plan more efficiently for the current taxation year and help to prepare T4 and Relevé 1 slips for 2013.

 20142013
Contribution rate to Employment Insurance
(EI) (Quebec)
$1.53 per $100.00 of earnings$1.52 per $100.00 of earnings
Employer’s portion of EI1.4 x employee’s portion1.4 x employee’s portion
Maximum annual insurable earnings of EI$48,600.00$47,400.00
Maximum annual premium to EI$743.58$720.48
Maximum annual employer premium to EI$1,041.01$1,008.67

 20142013
Contribution to Quebec Parental Insurance
Plan (QPIP)
$0.559 per $100.00 of earnings$0.559 per $100.00 of earnings
Employer’s portion of QPIP$0.782 per $100.00 of earnings$0.782 per $100.00 of earnings
Maximum annual insurable earnings$69,000.00$67,500.00
Maximum annual premium to QPIP$385.71$377.33
Maximum annual employer premium to QPIP$539.58$527.85

QPP / CPP:QPPCPPQPPCPP
Quebec Health Services
Fund (HSF) (employers only)
2.7% of total payroll 12.7% of total payroll 1
Employee’s and employer’s maximum
annual contribution
$2,535.75$2,425.50$2,427.60$2,356.20
Maximum pensionable earnings$52,500.00$52,500.00$51,100.00$51,100.00
Basic exemption$3,500.00$3,500.00$3,500.00$3,500.00
Employee’s and employer’s contribution
rate to the QPP
5.175% of pensionable earnings5.1% of pensionable earnings
Employee’s and employer’s contribution
rate to the CPP
4.95% of pensionable earnings4.95% of pensionable earnings

(1) Important: The employer’s contribution rate to the HSF will vary between 2.70% (total payroll ≤ $1,000,000) and 4.26% (total payroll ≥ $5,000,000), depending on the total payroll of the employer, and any associated employer, on a worldwide basis.
The matters highlighted in this tax memo are presented in broad general terms and, of course, cannot be applied without consideration of all circumstances. The firm will be pleased to discuss with recipients the possible effects of these matters in specific situations.

Quebec Health Contribution:20142013
Revenue under $18,000$0
Revenue from $18,000
to $20,000
5% of amount over $18,000
Revenue from $20,000
to $40,000
$100
Revenue from $40,000
to $42,000
$100 + 5% of amount over $40,000
Revenue from $42,000
to $130,000
$200
Revenue from $130,000 to $150,000$200 + 4% of amount over $130,000
Revenue over $150$1,000
Revenue under $18,175$0
Revenue from $18,175
to $40,390
Whichever is less: $100;
or 5% x (revenue - $18,175)
Revenue from $40,390
to $131,260
Whichever is less: $200;
or $100 + [5% x (revenue - $40,390)]
Revenue over $131,260Whichever is less: $1,000;
or $200 + [4% x (revenue - $131,260)]
Commission des normes du travail (CNT) (employers only)0.08% of total payroll0.08% of total payroll
Maximum annual earnings subject to the CNT$69,000.00$67,500.00
Employer’s maximum contribution to the CNT$55.20$54.00

All Canadian employees (except Quebec):20142013
Contribution rate to Employment Insurance (EI)$1.88 per $100.00 of earnings$1.88 per $100.00 of earnings
Employer’s portion of EI1.4 x employee’s portion1.4 x employee’s portion
Maximum annual insurable earnings of EI$48,600.00$47,400.00
Maximum annual premium to EI$913.68$891.12
Maximum annual employer premium to EI$1,279.15$1,247.57
Taxable ordinary dividend118% of actual dividend125% of actual dividend
Dividend tax credit – Federal13% of actual dividend16.667% of actual dividend
Dividend tax credit – Quebec8.319% of actual dividend10% of actual dividend
Taxable eligible dividend138% of actual dividend138% of actual dividend
Eligible dividend tax credit – Federal20.727% of actual dividend20.727% of actual dividend
Eligible dividend tax credit – Quebec16.422% of actual dividend16.422% of actual dividend

For additional information, please contact a member of our Tax Department.

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