Calling someone a contractor in the paperwork isn't enough. CRA looks at how the relationship actually works - control, tools, financial risk, and chance of profit - and your answers to 10 questions show where your exposure may be.
Takes about 3 minutes. Questions are based on published CRA and WCB criteria.
For O&G and construction companies with T4A contractors on site.
Question 1 of 100%
01
How many T4A contractors does your company engage in a typical year?
02
Do any of your contractors work exclusively - or almost exclusively - for your company during a project?
Risk indicator: a contractor who works only for you during a period can look a lot like an employee.
03
Do you control how the work gets done - not just the end result?
CRA's control test: who directs the method, hours, and sequence of work - not just what gets delivered.
04
Do your contractors use your company's tools, vehicles, or equipment to do the work?
CRA's tools and equipment factor: when you supply the tools, that can point toward employment.
05
Are your contractors on a fixed daily or hourly rate - regardless of how the job goes?
CRA's financial risk and profit factors: true contractors can make a profit or take a loss. Workers paid a fixed rate with no financial risk can look like employees.
06
Have any T4A contractors worked continuously for your company for more than 12 months?
Duration isn't disqualifying on its own - but long continuous engagements with one client can look more like employment.
07
Are your contractor agreements reviewed by anyone with procurement or legal expertise before signing?
08
Do your contractor agreements include specific language about classification - control, tools, and who bears the risk?
CRA considers what the parties intended, but only if the actual working relationship backs it up. Contract language isn't enough on its own, but without it you have less to point to.
09
Do all your T4A contractors carry their own WCB coverage, liability insurance, and GST registration?
WCB-Alberta can hold you responsible for unpaid premiums of contractors working for you without their own coverage - which is why principals check WCB clearance letters.
10
Has your company had a CRA or WCB audit in the last 5 years where contractor relationships were reviewed?
Your risk rating is ready.
Drop your email and I'll send you the full breakdown within 1 business day - the factors CRA and WCB look at first, and what to address first.