You provided your employees with:
Does the gift card meet the conditions of CRA/RQ to be treated as non-taxable?
Is the social committee funded and/or controlled by the employer?
What type of gift/award did you provide?
What type of long-service award did you provide?
How did you provide the prize?
Performance-related rewards are taxable
Cash gifts and awards are taxable.
The value of non-cash gifts and awards in excess of the $500 annual exemption is taxable.
Precious metals, gift cards that do not meet all conditions to be considered non-taxable, prepaid cards issued by financial institutions (Visa, Mastercard, America Express), and digital currency/electronic money (cryptocurrency not issued or governed by the government or the central bank) are taxable.
Long-service awards in cash are taxable.
The value of non-cash service awards in excess of the $500 annual exemption is taxable.
The value of gifts and awards provided to employees via prize draws are taxable.
If the social committee prize is funded by the employer, it is taxable.
If the social committee prize is not funded by the employer, it is not taxable.
Only the value of the gift card in excess of the annual $500 exemption is taxable.
The entire value of the gift card is taxable.
Gifts and awards provided as prizes via social committee funded and controlled by the employer are taxable.
Gifts and awards provided as prizes via social committee funded by the employees are not taxable.