Frequently Asked Questions About the Insurable Earnings and Collection of Premiums Regulations

The Frequently Asked Questions (FAQs) below are meant to provide Canadians and businesses with basic information about the Canada Revenue Agency’s regulations. FAQ’s have only been added for some regulations - the Insurable Earnings and Collection of Premiums Regulations (SOR/97-33) were selected based on the number of visits these regulations receive on the Justice Canada website.

What is the purpose of this regulation?

These regulations support the administration and enforcement of the Employment Insurance Act which provides for the payment of temporary financial assistance to unemployed Canadians. The Minister of National Revenue is responsible for the determination of insurable earnings and the collection of premiums pursuant to these regulations.

What are the key elements of this regulation?

Payors of a wide range of amounts and benefits are required to deduct employment insurance premiums from these amounts. The regulations set out the rules to determine

• the earnings that are from insurable employment,
• the calculation and payment of premiums, and
• the information reporting and record keeping requirements.

How does this regulation affect Canadian businesses?

These regulations help Canadian businesses in determining the insurable earnings in respect of which employers and employees are required to pay premiums, how to calculate these premiums and outline when and how the payor is to remit the deducted premiums to the Receiver General.

What is the timeline for implementation?

These regulations were registered in December 1996 and are occasionally amended on the recommendation of the Minister of National Revenue.

Where can I get more information?

The CRA has publications and website material that can assist Canadian businesses in meeting their obligations.

• Employment Insurance
• T4001 Employers' Guide - Payroll Deductions and Remittances (see Chapter 3)

For more information

• Cabinet Directive on Regulatory Management
• Red Tape Reduction Action Plan
• Canada–United States Regulatory Cooperation Council

To learn about upcoming or ongoing consultations on proposed federal regulations, visit the Canada Gazette and Consulting with Canadians websites.

Date modified:

2014-12-19