CRA hangs up on Telefile, citing low usage | Alberta calls out deadbeat employers | CRA interest rates for the third quarter | Average weekly earnings up in April | Job vacancy rate edges up | Median after-tax income unchanged | Fewer Quebec workers taking holidays
CRA hangs up on Telefile, citing low usage
OTTAWA — The Canada Revenue Agency (CRA) has scrapped its Telefile service, citing low use by tax filers. Telefile was a telephone-based service that allowed individuals to file simple tax returns over the phone. Use of this service had declined, on average, by 10 per cent every year as taxpayers move to other channels, such as the CRA’s online services, according to the CRA. Between 2011 and 2012, use of the service declined by 12.3 per cent. Only 1.2 per cent of all tax returns are filed using Telefile. This year, out of 25.4 million returns received to date, almost 66 per cent of Canadians filed their returns electronically, either on their own or with the help of a tax preparer. The CRA acknowledged that not all Canadians want to, or are able, to use online services. It said it will “continue to maintain a variety of options to allow Canadians to file their taxes, receive their benefits and take advantage of tax credits.”
Alberta calls out deadbeat employers
EDMONTON — Employers in Alberta that don’t pay employees properly could find their name listed on a new web page. The provincial government is increasing its efforts to improve fairness in the workplace through a combination of increased education tools and enforcement regarding employment standards. These efforts include the launch of a web page with up-to-date information about employers that currently have judgments for unpaid employee earnings registered against them in the Alberta courts. The new web page includes the names of about 1,700 employers with a combined 3,500 unsatisfied claims for earnings totaling over $14 million. Some date back 10 years but employers can have their names removed from the list by paying the earnings as directed. The Alberta government is also improving access to information and educational materials about employment standards to encourage compliance with standards and to help reduce claims. The video series is based on the Employment Standards Tool Kit for Employers, which was introduced in 2011. The new web page is available at http://employment.alberta.ca/SFW/esjudgments-search.asp.
CRA interest rates for the third quarter
OTTAWA — The Canada Revenue Agency (CRA) announced the prescribed annual interest rates that will apply to any amounts owed to the CRA and to any amounts the CRA owes to individuals and corporations. These rates are calculated quarterly in accordance with applicable legislation and will be in effect from July 1, 2012, to Sept. 30, 2012. The rates below remain unchanged.
• The interest rate charged on overdue taxes, Canada Pension Plan (CPP) contributions and employment insurance premiums will be five per cent.
• The interest rate paid to corporate taxpayers on overpayments will be one per cent.
• The interest rate paid to non corporate taxpayers will be three per cent.
• The interest rate used to calculate taxable benefits for employees and shareholders from interest-free and low-interest loans will be one per cent.
For a look at other tax rates, see www.payroll-reporter.com/articleview/13420-interest-rates-for-the-third-calendar-quarter.
Average weekly earnings up in April
OTTAWA — In April, average weekly earnings of non-farm payroll employees were $896.63, up 3.1 per cent on a year-over-year basis, according to Statistics Canada. The 3.1per cent increase in earnings in the last year reflects a number of factors, including wage growth and changes in the composition of employment by industry, occupation and level of job experience. Average hours worked per week also contributed to the increase in earnings. In April, non-farm payroll employees worked an average of 33 hours per week, up from 32.9 in March. Compared to one year earlier, hours worked also increased from 32.9 hours. This increase follows five consecutive months of year-over-year declines. Year-over-year growth in average weekly earnings outpaced the national average of 3.1 per cent in three of Canada's largest industrial sectors: wholesale trade, construction and retail trade. In contrast, earnings growth in health care and social assistance declined., said Statistics Canada.
Job vacancy rate edges up
(REUTERS) — In a sign of a modest tightening in Canada's job market, the job vacancy rate rose to an average of 1.8 per cent in the first quarter of 2012 from 1.6 per cent one year earlier, according to Statistics Canada. By comparison, Canada's unemployment rate, not seasonally adjusted, was an average of 7.8 per cent in the first three months of 2012 and 8.1 per cent one year earlier. The government agency also reported that for every job vacancy, there were an average of 5.8 unemployed people in the first quarter, down from 6.5 in the first quarter of 2011. The provincial breakdown tells a tale of the booming resource sector in the Prairie provinces, where employers have often had to turn to foreign workers to staff their operations. Alberta's ratio of unemployed to job vacancies was only 1.8, down from 3.2 a year earlier. Saskatchewan and Manitoba were 2.8 and four respectively. But Ontario and Quebec were 7.6 and 7.2, while the Atlantic provinces ranged from 8.1 to as high as 16 in Newfoundland and Labrador.
Median after-tax income unchanged
OTTAWA — Median after-tax income for Canadian families of two or more people amounted to $65,500 in 2010, virtually unchanged from 2009. This was the third consecutive year without significant change in after-tax income, according to Statistics Canada. There were no changes to the three main components of after-tax income — market income (earnings, private pensions, income from investments and other sources), government transfers and income tax — from 2009 to 2010. Two-parent families with children had a median after-tax income of $78,800 in 2010. The median for female lone-parent families was $38,700, while families headed by a senior had a median after-tax income of $46,800. Looking at unattached individuals, median after-tax income was also unchanged in 2010. Non-seniors had a median of $27,500, while seniors received $23,400, said Statistics Canada.
Fewer Quebec workers taking holidays
QUEBEC CITY — About two-thirds (63 per cent) of members of CAA-Quebec intend to take holidays this summer, down from 70 per cent in 2011 and 80 per cent in 2010. In addition, of those respondents who will be going on holiday, 23 per cent will only take a few days off, compared to 15 per cent last year. The popularity of the traditional two-week holiday has dropped from 34 per cent last year to 24 per cent this year, found CAA-Quebec.
