We have adopted the same administrative policy as the Canada Revenue Agency regarding benefits related to social events. We do not consider such a benefit to be a taxable benefit if the following conditions are met:
- You provide the event free of charge to all of your employees.
- The cost of the event is no more than $150 per person.
If the event is offered to all of your employees and their spouses, the cost must be based on the number of people present, not just on the number of employees.
The cost per person includes venue rental fees, the cost of food and entertainment and consumption taxes. It does not include additional costs such as transportation and gifts or rewards.
If the cost is more than $150 per person, the entire amount, including the additional costs, is a taxable benefit which must be included in boxes A, G and L of the employee's RL-1 slip (see courtesy translation RL-1-T).