Donovan Ramsey, the Chief Financial Officer of LevelUp Business Consulting, has advised you that the company is considering closing its Calgary, Alberta office at the beginning of the next calendar year and transitioning the staff of that location to permanent work from home employees. The employees homeoffices would not be considered a permanent establishment of the employer.

Eight staff members currently report to the Alberta office, and the total payroll is $775,000.00.

The organization's head office and payroll department are in Mississauga, Ontario. The current Ontario payroll is $4,750,000.00.

An analysis and showing how closing this permanent establishment in Alberta will impact the employee's coverage for provincial healthcare and the organization's payroll expense for provincial health taxes.

Be specific in your analysis by providing a comparison of current versus projected costs that may result from this change.

Answer the following questions:

1- Compare the EHT, the current amount, and the revised amount.

2- How much on Tax at the revised amount?

3- How is EHT and threshold for it?

4- What is the exemption?

5- What is the current annual expense?

6- What is the remuneration?

7- What is the EHT premium?

Answer rating: 100% (QA)

1 Compare the EHT the current amount and the revised amount Current EHT for Ontario 475000000 Revise... View the full answer