Hiring Employees as Contractors
Employers we work with often ask us about the possibility of hiring an employee as a contractor, especially when the employer does not already have an entity and payroll in place in Canada. If the employee will be working for the employer full time and directed by them, carrying their business card, the arrangement is likely to challenged by Revenue Canada Agency if audited. Below are links to two articles discussing the various tax and legal implications to consider as well as a link to an Employer of Record, www.teamcronos.com, a very simple and practical solution for overseas employers looking to hire an individual in Canada without having a corporate legal entity and payroll number with Revenue Canada.
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