Professional Membership Dues

Rules of Application

• For federal tax purposes:
• If the employer pays or reimburses professional membership dues because membership is a condition of employment, there is no taxable benefit to the employee.
• If the employer is the primary beneficiary of the payment, there is no taxable benefit.
• If the membership is not a condition of employment, then the employer must determine who the primary beneficiary is to determine if there is a taxable benefit.
• For Quebec tax purposes:
• All payments or reimbursements of professional membership dues are considered a taxable benefit.
• Employee may claim tax credit on personal income tax return.

Computation of Benefit

• Benefit = Amount paid by employer.
• Benefit amount includes GST/HST and QST if applicable.