Reminder ! Very soon, all Quebec employers will be required to make their CSST premiums payable directly to Revenue Quebec. As of January 1st, 2011, the CSST premiums will not be based on estimated wages but rather on actual monthly salaries drawn.
Further detailed information concerning this matter is available in the "Guide explicatif du nouveau mode de paiement" published by the CSST, including the periodic payment methods.
Starting January 1st, 2011, all employers will be required to remit their periodic insurance premiums at the same time as their deductions at source and all, other employer contributions, using the same remittance form.
Employers who are not required to make deductions at source are still required to make periodic payments to the CSST. All employers failing to make periodic payments, or who are late with periodic payments, will be exposed to penalties.
What about the exceptions? All amounts paid to independent operators deemed to be workers under Section 2 of the Act respecting industrial accidents and occupational diseases will be exempt from the calculation of the periodic payments paid out by the employer. Their salaries will be declared on an annual basis by filing the statement of wages with the CSST before March 15th of each year.
The above-mentioned form will be transmitted to all Quebec employers at the very beginning of each year. At this point, all insurable wages disbursed during the course of the previous year must be declared. However, an employer is not obliged to declare the estimated wages for the current year.
It is important to note that if the periodic payments made for the year that is ending are insufficient compared to the amount that should have been paid, the CSST, after verification, can impose penalties of up to 15% of the difference between what was paid and what should have been paid.
As of 2011, the monthly Statement of account and Summary of account usually transmitted by the CSST will no longer exists. Employers will only receive the Classification decision remitted in October of each year. The Classification decision indicates the unit in which all employers' activities are classified and the applicable premiums. Employers will also receive the Notice of assessment including the personal protection, if chosen, as well as the administrative fees and the independent operators' salary declaration.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
