New Employer Healthcare Tax
MSP in British Columbia is out! And, an Employer Health Tax is in!? We give you the TL;DR of what this new Employer Health Tax is all about and how it affects you as an employer.
Here’s what you need to know:
This new tax has been put in place to cover the MSP premiums previously paid by individuals or families or sometime it was covered by an employer as a perk
Be aware that the MSP premiums won’t go away until January 1st, 2020, so, if you have been paying MSP for yourself or your family up until today you will need to continue to do so until the end of December.
This tax is applicable to employers that have a payroll that is greater than $500,000 annually.
If your payroll is less than $500,000 annually you won’t have to pay anything.
If your company is a registered charity or a non-profit there are special exemptions and lower rates for you to pay into. If you don’t know where you fall on the scale and are curious as to how much you have to pay click here to use the handy Employer Health Tax Calculator.