Benefit Provided to a Shareholder or to a Partner
A taxable benefit provided to a shareholder or to a partner is not subject to source deductions or employer contributions.
If a shareholder is also an employee of a corporation, and the shareholder receives the benefit as an employee rather than as a shareholder, you must treat the benefit as though it was provided to an employee.
Note that “employee” means an individual who holds employment or an office.
Include the value of a taxable benefit provided to a shareholder in box O (code RO) of the shareholder's RL-1 slip. Include the value of a taxable benefit provided to a partner in box O (code RP) of the partner's RL-1 slip (see courtesy translation RL-1-T).