Are you an employer?

We generally consider you to be an employer if:

• you pay salaries, wages (including advances), bonuses, vacation pay, or tips to your employees; or
• you provide certain taxable benefits or allowances, such as board and lodging, to your employees.

In these situations, an employer-employee relationship or employment under a contract of service may exist if you have the right to control and direct the person or people who perform the services.

Although a written contract might indicate that an individual is self-employed or working under a contract for services, we may not consider the individual as such if there is evidence of an employer-employee relationship.

In all situations, the written contract (if applicable) and working conditions must be examined to determine if an employer-employee relationship exists. If you’re not sure of your status, see What you need to consider to determine a worker’s employment status.

If you or a person working for you have any doubt about whether an employer-employee relationship exists, you can request a ruling.

Are you an employer, a payer, or a trustee?

• If no, payroll will not apply.
• If yes, you have to follow the payroll requirements. See Opening a payroll account.