Quote:
Originally Posted by Harry Lime
When you have two jobs, and your second employer does (what the T1 paperwork is there for) takes an income tax deduction from day one, for the first year... But in the second year stops taking income tax deduction resulting in a big bulk payment due to Revenue Canada, is the second employer responsible in any way for their error?
I do realize that the employee in this scenario should have noticed the lack of deduction on their paystubs, but it was missed.
To clarify, one one employer was using the T1 minimum exemption in year one, and then in year two, both employers started using the T1 minimum exemption.
|
No.
Each employer is only responsible for their own remittances, they technically dont know anything about a second employer thus the employee is responsible for the cumulative effect of the income once its added together.
Theres more to it such as...the employer might be using a 3rd party payroll service who also knows nothing of additional income and is just accounting for that particular employee's anticipated pay, then theres employees on commission which requires a TD1X, etc. it goes on and on.
Unfortunately, unless there is severe negligence all of the liability for taxes owed falls upon the taxpayer.
The employee should take care of this on their respective TD1s but most people dont know how to fill them out properly or what they mean.
Further...Payroll Employees are Accountants that couldnt stand the excitement of actual accounting...so...you're not probably not getting the 'A-Team.'