News and Insights

Ontario Finance Updates Guide for Employers

Tax Development Nov 28, 2018

The Ontario Ministry of Finance has revised the “Guide for Employers” to highlight the changes to the Ontario Employer Health Tax (EHT) exemption.  Effective January 1, 2019, the EHT exemption will increase to $490,000 from $450,000.

The guide provides examples of the increased tax exemption value’s impact on EHT tax payable and EHT instalments.  Note that the exemption must be apportioned between eligible related employers in an associated group with total Ontario remuneration under $5 million or allocated fully to one member of the group.