Contract Vs self employed???

[Hopefulagain]

Hey Fellow Forum mates

I need to clarify something. I know that if one is self employed or has worked during OCWP etc, they are not considered eligible for CEC. but what about if someone is working on yearly contracts with an agency????

I am on yearly contracts, i got a T4 which indicated my employment income and there was nothing filled in the employment code box. my agency deducts the taxes, ei and cpp. i dont get benefits from the company but i have to work 37.5 hours a week (which is indicated on my contract) and am paid 4% extra on each paystub to account for 2 weeks of paid holidays. but my contract says contract consultant. so what does this mean??? am i eligible or not?? would i be considered self employed???

some help would be greatly appreciated.

 

[ujbaby]

Hey Fellow Forum mates

I need to clarify something. I know that if one is self employed or has worked during OCWP etc, they are not considered eligible for CEC. but what about if someone is working on yearly contracts with an agency????

I am on yearly contracts, i got a T4 which indicated my employment income and there was nothing filled in the employment code box. my agency deducts the taxes, ei and cpp. i dont get benefits from the company but i have to work 37.5 hours a week (which is indicated on my contract) and am paid 4% extra on each paystub to account for 2 weeks of paid holidays. but my contract says contract consultant. so what does this mean??? am i eligible or not?? would i be considered self employed???

some help would be greatly appreciated.

If ur getting ur t4 and ur notice of assessments, there will be no problem and ur not self employed. U need a letter from ur agency stating ur job title, duties performed, hourly rates and number of hours worked per week. make sure ur using the right NOC code because some people have got rejected because of wrong NOC code, also ensure ur job description matches very well with ur NOC code

 

[calgarylady]

If ur getting ur t4 and ur notice of assessments, there will be no problem and ur not self employed. U need a letter from ur agency stating ur job title, duties performed, hourly rates and number of hours worked per week. make sure ur using the right NOC code because some people have got rejected because of wrong NOC code, also ensure ur job description matches very well with ur NOC code

I am a contractor with no benefits, I am incorporated and I myself issue the T4s for me since I am the only employee for my company, r u incorporated?

 

[Hopefulagain]

I am a contractor with no benefits, I am incorporated and I myself issue the T4s for me since I am the only employee for my company, r u incorporated?

No, I am not incorporated nor am i a sole proprietor. I am employed by the company except that it is on yearly contract basis. they pay my salary, i get statutory holidays as paid holidays, i have to work 37.5 hours a week, i get 4% extra every pay stub as my vacation pay, the T4's were issued to me by the agency and CRA sends me a notice of assessment.

 

[calgarylady]

No, I am not incorporated nor am i a sole proprietor. I am employed by the company except that it is on yearly contract basis. they pay my salary, i get statutory holidays as paid holidays, i have to work 37.5 hours a week, i get 4% extra every pay stub as my vacation pay, the T4's were issued to me by the agency and CRA sends me a notice of assessment.

It looks like u r a fixed term employee (i.e. employee with an expiry date), i would suggest u speak with ur agency and ask what is ur employment type....

 

[Hopefulagain]

It looks like u r a fixed term employee (i.e. employee with an expiry date), i would suggest u speak with ur agency and ask what is ur employment type....

Just spoke to my agency and they say that my employment is termed as a temporary or contract employee. i am not, according to them, a self employed as i am not incorporated or a sole-proprietor plus I get a t4. well, we shall see, how it goes.

I f anyone has any experience and/or any confirmed information about this. please advise.

 

[jes_ON]

a contract employee is an employee (I am as well), and is eligible in the CEC program.

However, this would cause problems in the FSW and PNP programs, where "permanent" employment is required.

 

[Hopefulagain]

a contract employee is an employee (I am as well), and is eligible in the CEC program.

However, this would cause problems in the FSW and PNP programs, where "permanent" employment is required.

THANK YOU jes_on

This is a relief. You are definitely a champion member for me.......ha ha ha ha ha ha

Actually, I cannot afford a lawyer and that why depend on this forum to get all the information to apply.

Cheers

 

[spartan18]

Hi All..Aquick question.Is Independent contractor eligible for cec?. Like I am representing my company and on my contract with the agency, it is written like this..
This contract is in between ......(agency) and .......(my company name, who runs my payroll and issue t4).

So, can I submit a reference letter to cec just from my employer. Is that good enough or i have submit letters from agency too.

 

[calgarylady]

Yes you ar eligible, in my case, i submitted reference letters from both, the agency i am contracted through as well as the PMs i am working under.

 

[Hopefulagain]

Hi All..Aquick question.Is Independent contractor eligible for cec?. Like I am representing my company and on my contract with the agency, it is written like this..
This contract is in between ......(agency) and .......(my company name, who runs my payroll and issue t4).

So, can I submit a reference letter to cec just from my employer. Is that good enough or i have submit letters from agency too.

as far as i understand, as long as you get T4's and not T4A, you are an employee. Whether you are a temporary employee or a permanent one is of no consequence. As long as you work 37.5 hours a week for 12 months, you should be good (of course, the other criteria also are to be taken into account - like education, NOC and IELTS)


But, if you are registered as an incorporation or sole proprietor with the CRA, then you are considered self employed - the other factors that may contribute are working from home, not getting a t4 from your agency, timings are not fixed or the contract says that you have to work for a minimum of 20 hours or so, you are on contract with 2 - 3 different companies at the same time etc. a mixture of these scenarios and others that i may not be aware of would entail you as a self employee.


working on contract for 37.5 hrs a week for one company at the company's premises is not a self employed person.


If you are getting letters from your agency and the company please ensure that they dont contradict each other. the letter should be complimentary not contradictory.

 

[spartan18]

Thanks Calgarylady and Hopefulagain.
Actually I am working for a Incorporation Company. The company is a IT Consultancy. Manpower (agency) hired my company to do services for their client. So my company sent me to the client's place to work(via manpower agency). My Employer is in toronto and my client is in edmonton. So my payroll is generated by my company in toronto and he issues me a T4.

 

[Hopefulagain]

Thanks Calgarylady and Hopefulagain.
Actually I am working for a Incorporation Company. The company is a IT Consultancy. Manpower (agency) hired my company to do services for their client. So my company sent me to the client's place to work(via manpower agency). My Employer is in toronto and my client is in edmonton. So my payroll is generated by my company in toronto and he issues me a T4.

i am in a similar situation (except that my agency and company are in Toronto). I think you r good as long as you meet other criteria too.

Good Luck ;D

 

[N.Calgary]

Calgarylady a question for you, you said you are a contractor incorporated and you as your company issue your T4 right. I am in the exact situation and you said you have applied so what did you do on the Schedule 8 question about being a self-employed? did you check it and explain or you didnt?

please advise

 

[ZT]

Hi N.Calgary, spartan18 and calgarylady,

Please note that if you're an independent contractor with your own registered incorporation that issues your T4, you will be considered as self-employed and will not be eligible for CEC.

I was in the same situation when I first applied for CEC in 2010. I was an independent contractor that worked through an agency for a government project. I submitted reference letters from my agency and my project lead in my initial application. I received an email from the visa officer asking for additional documentation to prove my work hours and why I had a T4 from a numbered corporation instead of from my agency or the project I was working on. I wrote an email explaining my situation as an incorporated independent contractor, submitted a bunch of supporting documents, including a breakdown of all my hours from the agency and a letter from my accountant who handles the corporation taxes and helps with issuing a T4. Ultimately, I was refused on the basis that self-employment does not count towards work experience under CEC. I consulted a lawyer about my refusal after the fact to see the possibility for appeal, and she stated that the refusal was rightful.

I posted about this sometime ago on this forum (though I received no reply) - titled need advise for reapplication - previously self-employed.

Last month, I submitted a new CEC application. The only reason I reapplied is because I've become a full-time employee since early 2011.

@calgarylady - I tried to respond to your private message, but the forum interface wouldn't allow me to. S

Hope this helps!