In Canada i am a truck driver and my company pays me on my corporation, but i am working here as a employee also each and every equipment is provided by my company. Now its been more than one year i am working here. So my question is am I eligible to apply in express entry in category based draw in trucking occupation . ( For employement proof i have employement letter, pay slips and pay cheques and my corporation bank statement ). I am very confused here any help will be too much appreciated. Thank you
Incorporated truck driver
- Thread starter Manishtanwar070
- Start date
Are you an employee with pay slips having EI/CPP deductions and you receive a T4. If not and you are self employed, self employment doesn’t count towards Canadian work experience.
Thanks for your information. But in CEC it is no where mention that T4, ei and cpp is mandatory. moreover CEC says that in the absence of T4 you can provide your employement letter , contract letter or pay slips.
https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/corporations/corporation-income-tax-return/tax-implications-personal-services-business.html?utm_source=Canada_dot_ca&utm_medium=Canada_dot_ca_feature&utm_campaign=No_Signature_Corporate_item+CVB+Taxpayer_information&utm_content=2022-06-27_0592&utm_term=ABSB#h_1
If you check this link WITH EXAMPLE ( 1 ). you can see CRA CLEARLY SAYS THAT if a truck driver working on corporation that means he is not self employed infact consider as incorporate employee
So do you pay into CPP and EI (it is deducted from pay slips)? If you don’t you are self employed. What does CRA have to do with CEC requirements. Self employment doesn’t count.
https://www.canada.ca/en/immigration-refugees-citizenship/services/immigrate-canada/express-entry/eligibility/canadian-experience-class.html#work-experience
The list of what is required for work experience is in the mandatory document list.
If the work experience is in Canada, proof may include copies of T4 tax information slips and notices of assessment issued by the Canada Revenue Agency (the time period for these documents should reflect the work experience timeframe [e.g., work experience from 2006 to 2008 requires only documents from those calendar years]).
https://www.canada.ca/en/immigration-refugees-citizenship/corporate/publications-manuals/operational-bulletins-manuals/permanent-residence/express-entry/applications-received-on-after-january-1-2016-completeness-check.html
But CEC has their own criteria to determine wether you are self employed or not. According to that i should not consider myself self employed. Also this example is taken from CRA OFFICAL WEBSITE.
Tam is looking for a job. An Ontario-based trucking company (ABC Trucking) offers him a 12-month contract position with full-time hours. The contract comes with the stipulation that Tam perform his services through a corporation.
Tam incorporates his business (858689 Ontario Inc.), for which he is the only shareholder and the only employee. 858689 Ontario Inc.’s only client is ABC Trucking.
858689 Ontario Inc. bills ABC Trucking for the services it performs, and it receives payment from ABC Trucking for those services. 858689 Ontario Inc. either keeps the funds in the corporation or disburses them to Tam.
In this example, 858689 Ontario Inc. meets the conditions outlined in the Income Tax Act to be considered a personal services business because:
Tam is looking for a job. An Ontario-based trucking company (ABC Trucking) offers him a 12-month contract position with full-time hours. The contract comes with the stipulation that Tam perform his services through a corporation.
Tam incorporates his business (858689 Ontario Inc.), for which he is the only shareholder and the only employee. 858689 Ontario Inc.’s only client is ABC Trucking.
858689 Ontario Inc. bills ABC Trucking for the services it performs, and it receives payment from ABC Trucking for those services. 858689 Ontario Inc. either keeps the funds in the corporation or disburses them to Tam.
In this example, 858689 Ontario Inc. meets the conditions outlined in the Income Tax Act to be considered a personal services business because:
- Tam is a specified shareholder of 858689 Ontario Inc.
- Tam performs the work of an ABC Trucking employee using their trucks, and were it not for the existence of 858689 Ontario Inc. Tam would be considered an employee of ABC Trucking.
- 858689 Ontario Inc.’s sole income is from services performed by Tam (incorporated employee) for ABC Trucking.
What do CRA rules and the Income Tax Act have to do with CEC? Did you click on the link I provided for the mandatory documents. It states that IRCC can ask for T4 to show you are not self employed.
As @foodie69 pointed out, this poster seems to have answered his own question to his apparent satisfaction and does not want to hear of any view counter to that. Just came here to pick a fight perhaps.
Fwiw, I note the IRCC CEC webpage does appear to defer to the CRA when it comes to determining who is "self-employed". On this page,
https://www.canada.ca/en/immigration-refugees-citizenship/corporate/publications-manuals/operational-bulletins-manuals/permanent-residence/economic-classes/experience/qualifying-work-experience.html#toc4
we see the note:
Additional details regarding each of the above factors, and indicators that can be used when determining whether an individual is an employee or self-employed, are available in the Employee or Self-employed? CRA guide.
There are really no hard and fast rules. At one time, I worked for a tribunal that was routinely called upon to rule on employee v. independent contractor for the purposes of certain provincial legislation. We may have seen it a bit differently than either the IRCC or the CRA.
Here, not clear to me, based on what we have been told, which is a bit fuzzy. The OP has declined to say if he pays EI, CPP, if the "employer" deducts those things and/or withholds income tax. We don't know if the OP has a GST # and adds GST to his company bills.
The OP says "each and every equipment is provided by my company". If that means the company he has incorporated, then much less likely he's an employee. We don't know if his company is free to sell its services to others. Lots here that's not crystal clear.
The OP would accept the CRA offer to seek a ruling. While the IRCC might not accept that as binding, I think I would have to be accorded some weight.
Fwiw, I note the IRCC CEC webpage does appear to defer to the CRA when it comes to determining who is "self-employed". On this page,
https://www.canada.ca/en/immigration-refugees-citizenship/corporate/publications-manuals/operational-bulletins-manuals/permanent-residence/economic-classes/experience/qualifying-work-experience.html#toc4
we see the note:
Additional details regarding each of the above factors, and indicators that can be used when determining whether an individual is an employee or self-employed, are available in the Employee or Self-employed? CRA guide.
There are really no hard and fast rules. At one time, I worked for a tribunal that was routinely called upon to rule on employee v. independent contractor for the purposes of certain provincial legislation. We may have seen it a bit differently than either the IRCC or the CRA.
Here, not clear to me, based on what we have been told, which is a bit fuzzy. The OP has declined to say if he pays EI, CPP, if the "employer" deducts those things and/or withholds income tax. We don't know if the OP has a GST # and adds GST to his company bills.
The OP says "each and every equipment is provided by my company". If that means the company he has incorporated, then much less likely he's an employee. We don't know if his company is free to sell its services to others. Lots here that's not crystal clear.
The OP would accept the CRA offer to seek a ruling. While the IRCC might not accept that as binding, I think I would have to be accorded some weight.