MGAC50H3 Chapter Notes - Chapter 3: Disability Insurance
Document Summary
The facts in this case are very similar to those in the wiebe case [wiebe door services ltd. v. In the wiebe case, the company had been treating the workers as self-employed contractors. The cra believed the workers to be employees and assessed the company for failure to withhold employment source deductions. The tax court of canada agreed with the cra and the company appealed. The case was decided on the basis of the economic reality test. The federal court of appeal held that the economic reality test really encompasses the control test and the integration or organization test. As well, ownership of tools and the chance of profit or risk of loss must be considered. It is not necessary that all tests be independently satisfied. The economic reality test is decided on the basis of the overall scheme and the relative importance of each of these factors. (1) economic reality or entrepreneur test (a) control test.
