Tax Issues in Employment Cases

The issue of how damages for wrongful dismissal or constructive dismissal are treated for the purposes of taxes can be complicated and important. The Default Setting Generally speaking, a claim for lost income for the “notice period” and also payment of the minimum statutory sums will not only be taxable, but also will require the […]

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An Offer of Re-employment – When to Say No

The general issue of mitigation, that is, the obligation to look for alternative employment following termination of employment has been reviewed in a prior post. The Leading Case In 2008, the Supreme Court of Canada considered a fact situation in which the plaintiff employee had been fired without cause[1]. An offer of severance had been […]

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