Employer Health Tax

Eligible employers do not pay tax on the first $400,000 of annual Ontario payroll. If you are associated with another employer, you have to share the tax exemption.

Do I have to pay the tax?

You have to pay EHT if you are an employer and you:

• have employees who report for work at your permanent establishment in Ontario
• pay your employees from your Ontario permanent establishment if they don't report for work at your permanent establishment, and
• have Ontario remuneration over your share of the tax exemption.

What information do I need to register for an EHT account?

To register for an EHT account you must provide the following information:

• legal name
• trade name
• business address
• mailing address
• telephone and fax numbers
• name of contact person or authorized representative
• payroll start date
• payroll frequency and amount to determine if you are a yearly, monthly or special filer
• federal business number
• employer type to determine if you are an associated employer, multiple account employer or public sector employer.

How do I register my business for EHT?

Eligible employers whose cumulative payroll does not exceed the exemption threshold and who are not associated are not required to register with the ministry. All other employers, including all members of an associated group, are required to register.

To register for EHT, an employer may:

• call the Ministry of Revenue toll-free at 1 866 ONT-TAXS (1 866 668-8297)
• make an appointment to visit a representative at a Ministry of Revenue tax office
• visit a ServiceOntario Centre and register electronically by using the self-help workstations or visit the ServiceOntario website, or
• visit the Canada Revenue Agency (CRA) website at www.businessregistration.gc.ca and register electronically.

When do I pay the tax?

If your payroll is $600,000 or less, you need to pay your taxes by next March 15. If you have all of your payroll in one month, if you amalgamate, or if you close your Ontario permanent establishment, you may have a different payment due date.

If your payroll is over $600,000, make monthly payments.

Where can I pay?

You can pay your EHT instalments:

• at any bank in Ontario (except Caisses Populaires or Credit Unions)
• online, using ONT-TAXS online or your bank's Internet banking service
• by mail
• in person at any Ministry of Revenue Tax Office (in the drop boxes provided) or at a ServiceOntario Centre.

How do I file my Annual Return?

The ministry will mail you a personalized Annual Return. Your Annual Return is due March 15. If you have a Special Return, it is due on the 15th of the month after the payroll occurred. If you have a Final Return, it is due 40 days after your business closes or the amalgamation date. You can file your return:

• online, using ONT-TAXS online
• by mail
• in person at any Ministry of Revenue Tax Office (in the drop boxes provided) or at a ServiceOntario Centre.

To contact ServiceOntario:

• visit their website
• call: 416 326-1234 / 1 800 267-8097
• teletypewriter (TTY): 416 325 3408 / 1 800 268-7095
• fax: 416 325-3407