Payroll Deduction Authorization: Fill & Download for Free

I don't know if there is any typical way to handle this.Clearly, if you hand them a check upon termination in the amount of your gross bonus paid (i.e. amount before tax), you have settled your debt obligation to them.This will leave you in an overpaid tax position, which you will get back when you file your tax return.In some states, it is illegal for the company to make a payroll deduction without your explicit authorization (even though they have a contract that says they're entitled to a reimbursement of your sign-on bonus), barring any payroll garnishment orders.When you turn in your resignation letter, my advice would be to talk to your payroll department (not HR) to see how to best settle your debt obligation. They may simply have you sign a payroll deduction authorization form (and you write a check for the remaining balance, if your last check is not enough to cover the entire debt).This is a pretty easy transaction. In my view, you don't need a lawyer to handle this.

Of course you can.They pay you by a USD cheque in your “company name”Why?Because as you register a personal company in Canada, you can now deduct your valid espenses for doing work remotely.NOTE: There is absolutely NO need to incorporate. A personal company is all you need.Start here:Starting a businessYou now have this little issue of GST. Americans have no idea of what you are talkng about. Just leave that out.But, get yourself a Canadian corporate tax number. The how-to is on the link abouve.Bring your two numbers, business and tax, and open a “small business” bank account at the branch where you do your normal banking. It is free.Now you have a business where you deposit all the incoming cheques. Do the currency transfer via the bank’s internal route.Pay yourself a salary AND pay your payroll deductions to Revenue Canada BEFORE (Very important - extremely important) the 12th of any calendar month. Calculate your monthly payroll deductions here:Payroll Deductions Online CalculatorRun your own expense account against your business. Nothing “funny here”, you may be audited. Add legitimate items such as computer supplies, paper, maintenance costs, etc. This is all tax deductibleRun an expense account of your travel, if you have any, with all receipts on file. Business car travel is compensated at 55 c/km. You cannot charge for going to/from a place of work. Do the GST deductions. This is tax deductibe.https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/benefits-allowances/automobile/automobile-motor-vehicle-allowances/automobile-allowance-rates.htmlAdd a charge for using a home officeSmall businesses and self-employed incomeIt is usually “the room” size vs the house or apartment size. Example: One room out of four is 25 % of all expenses for the house or apartment. This is tax deductible.At the end of the calendar year, you create a T-4 for yourself and send it in. You put your slip on your return as “income earned”You also have to create a tax return for your company. That one makes your own salaray tax free and you also deduct for all expenses. If there is a profit, you can take it out next year as “Shareholder’s dividend”. Go easy here, though. You cannot have an enormous “shareholder’s dividend” because you have underpaid your own salary. Balance this well, or you will be audited.No, you normally would not have to declare any income to any US authority. Do not set up an account at IRS. They have a habit of chasing your for life.Resist, even if the employer insists. You should not be an employee of theirs, but only a consultant. Do NOT allow them to take any US income tax deductions. NEVER. You are NOT living or working in USA.You won’t get any benefits at all from being registered as an employee in USA, living in Canada.(I know, their payroll department will go “bonkers” before someone will put them right on your status. - Been there, fought that - for a looooong time.)P.S. Don’t for a single short moment think that you can “just take the US cheque” and accept it - no tax…. You will be found … and pay dearly. Revenue Canada has its ways…

Unless you had the employee sign a payroll deduction authorization form when you released the equipment to him or her, do not withhold pay in an attempt to recover the property. Even then, be careful not to reduce pay below minimum wage. Also check state laws where the employee is located to make sure you aren’t violating anything there.Your only option really is to pursue legal action. You may be able to sue in small claims court.