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Commission Employee?
http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns206-236/229/cmmssn/cndtns-eng.html
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Employment conditions (commission employees)To deduct employment expenses you paid to earn commission income, you have to meet ALL of the following conditions:
•Under your contract of employment, you had to pay for your own expenses.
•You were normally required to work away from your employer’s place of business.
•You were paid in whole or in part by commissions or similar amounts. These payments were based on the volume of sales made or the contracts negotiated.
•You did not receive a non-taxable allowance for travelling expenses. Generally, an allowance is non-taxable as long as it is a reasonable amount. For example, an allowance for the use of a motor vehicle is usually non-taxable when it is based solely on a reasonable per-kilometre rate.
•You keep a copy of Form T2200, Declaration of Conditions of Employment, which has been completed and signed by your employer.*********************************************************************
Employees who earn commissions without expenses:If you pay commissions at the same time you pay salary, add this amount to the salary, then use the Payroll Deductions Online Calculator, the computer formulas (T4127), or the manual calculation method.
If you pay commissions periodically or the amounts fluctuate, you may want to use the bonus method to determine the tax to deduct from the commission payment.
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Employees who earn commissions with expenses:Employees who are paid in whole or in part by commission and who claim expenses may choose to fill out a Form TD1X, Statement of Commission Income and Expenses for Payroll Tax Deductions in addition to Form TD1. To calculate the amount of tax to deduct, you can use the Payroll Deductions Online Calculator, the computer formulas (T4127), or the manual calculation method.
Notes: Employees who claim employment expenses on their income tax and benefit return must have their employer complete Form T2200, Declaration of Conditions of Employment.
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