Gifts and Awards

Please see the following CRA page for the official CRA position on gifts and awards:

https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/benefits-allowances/gifts-awards-social-events/gifts-awards-long-service-awards.html

See also page 43-44 of this CRA document:

https://www.canada.ca/content/dam/cra-arc/formspubs/pub/t4130/t4130-19e.pdf

 

Of particular note is that GIFT CERTIFICATES are considered near cash and fully taxable.  If you give an employee a gift certificate we will need to add the value of that gift card to the payroll and have it taxed accordingly.