🇨🇦This article only applies to Veterinarians using Roo in Canada.
The information is for general informational purposes only, and you should always check with your tax professional for up-to-date information that applies specifically to you.
How do income taxes work as a Locum Vet with Roo?
Roo Locum Vets are independent contractors, and taxes are not taken out of your income, so you’ll get paid every cent you see listed on the shift card. However, you’ll still be responsible for paying taxes on this income later, so we recommend setting some of your Roo earnings aside for tax payments.
Roo's platform automatically keeps track of your hours and earnings to help you file your taxes each year.
Will I be issued a T4A for my income from Roo?
Roo does not issue T4A slips at this time. However, you can easily access your complete payment history in the Roo History & Earnings Page at any time. Here, your locum income can be broken down monthly or quarterly to help you file independent contractor taxes.
How does GST/HST work as a Locum Vet?
Roo does not collect any GST/HST on your behalf. As an independent contractor, you are responsible for determining and adhering to your own GST/HST (and potentially PST) compliance obligations.
Generally, veterinary services are considered a taxable supply under the Excise Tax Act. Therefore, you are required to collect, charge, and remit GST/HST to CRA on all revenues earned through Roo if you are a GST/HST registrant.
You must register for GST/HST if your gross taxable revenues exceed $30,000 over four consecutive calendar quarters or in any single calendar quarter.
How often do I need to file GST/HST returns and what deadlines must I meet?
Many Locum Vets will qualify to file annually. Annual GST/HST returns for independent contractors are due the same day as your personal income tax returns (June 15th of the following year) with any balance owing being due April 30th. You may be assessed interest on any balance that remains outstanding past the April 30th deadline, along with being charged penalties on the overdue payment.
You may also be required to pay advance GST/HST instalments if your net tax owing exceeds certain thresholds. If your net tax owing was more than $3,000 in either of the previous two fiscal years, you will need to pay quarterly GST/HST instalments to CRA. These payments are due one month after the end of each fiscal quarter. Similar to for income tax, late GST/HST instalment payments may be subject to interest and penalties.
How do CPP contributions and EI premiums work with Roo?
As an independent contractor, you’ll be responsible for calculating and paying both the employee and employer portions of CPP contributions.
EI premiums are not required for independent contractors. You can voluntarily choose to participate in the EI program as an independent contractor. Should you choose to participate, you will have to calculate and pay EI premiums based on your self-employment income. Remember, participation is optional, but if you choose not to participate, you won’t have access to EI benefits in the event you find yourself out of work.
What income tax deadlines must I adhere to as an independent contractor?
As a self-employed Roo Locum Vet, your personal income tax return is due June 15th of the following year. However, any taxes owed are due April 30th. You may be assessed interest on any balance that remains outstanding past the April 30th deadline, along with being charged a penalty for the overdue payment.
You may also be required to pay advance income tax instalments if your net tax owing exceeds certain thresholds. If your estimated net tax owing is more than $3,000 for the current year, and your net tax owing was more than $3,000 for either of the previous two years, you will need to pay quarterly income tax instalments to CRA. These payments are due on March 15th, June 15th, September 15th, and December 15th of the year during which the income was earned. Late instalment payments may also be subject to interest and penalties.
What GST/HST rate do I need to charge?
The rate you charge depends where in Canada you are located. Please consult the Government of Canada website for the GST/HST, PST, and QST rates by province or a local tax professional.
What are input tax credits (“ITCs”) and how do I claim them?
ITCs are GST/HST paid on eligible business expenses. You may be able to deduct ITCs against the GST/HST collected on your Roo revenue and reduce your net tax owing in a particular reporting period. Make sure to keep detailed receipts of all ITCs claimed and consult with a tax professional to understand if you are eligible for a refund.
What about provincial sales tax?
Depending on where you’re located, you may be required to charge, collect, and remit provincial sales tax, such as PST or QST, in addition to GST. Not all provinces or territories administer a separate provincial sales tax, but those who do have differing rules on who must register, required filing frequency, and how it’s administered. We recommend you consult with a personal tax advisor in your province if this applies to you.