Amounts Paid for an Employee's Care or Rehabilitation
In addition to the amounts paid before the CNESST makes its decision and the amounts paid following the decision of the CNESST, certain other amounts paid further to an industrial accident are considered to be income replacement indemnities. As a result, they do not need to be reported on the employee's RL-1 slip (see courtesy translation RL-1-T) as they will be reported on the RL-5 slip (see courtesy translation RL-5-T) that the employee receives from the CNESST. The following amounts are considered to be income replacement indemnities:
- the net salary or wages (100%) paid to an employee for each day or part of the day that the employee was obliged to miss work in order to receive care or undergo medical tests, unless the amounts were paid in respect of an employee who was absent from work in order to undergo a medical test at your request (see below);
- the net salary or wages (100%) paid to an employee for each day or part of a day that the employee was obliged to miss work in order to carry out activities as part of a personalized rehabilitation program.
- You can ask the CNESST to reimburse you the net salary or wages.
- The term “net salary or wages” has the meaning given in the Act respecting industrial accidents and occupational diseases.
If the amounts are not reimbursed by the CNESST (where you have not asked to be reimbursed), the amounts constitute other income. You must report them on the employee's RL-1 slip.
If you pay more than 100% of the employee's net salary or wages, the excess amount constitutes other income and must be reported on the employee's RL-1 slip.
If your employee is obliged to miss work for a day or part of a day to undergo a medical test at your request, you must, under the Act respecting industrial accidents and occupational diseases, pay 100% of the employee's net salary or wages. As the amount paid constitutes employment income, it must be reported on the employee's RL-1 slip.
The amount is subject to:
- source deductions of income tax;
- employee and employer Québec Pension Plan (QPP) contributions;
- employee and employer Québec parental insurance plan (QPIP) premiums;
- the employer contribution to the health services fund;
- the contribution related to labour standards.
You must also include this amount in your total payroll used to calculate your health services fund contribution rate, your participation in workforce skills development and, if applicable, your contribution to the Workforce Skills Development and Recognition Fund (WSDRF).
For a detailed explanation of how to report the amounts referred to above, see Indemnities Further to an Industrial Accident (CNESST).