[e-drive]EQUIFLASH [TAX MATTERS - UPDATE]

[Darlene Bullard]

----------------------
TAX MATTERS - UPDATE
----------------------

This notice is intended as an update of the appeals process and is for
information only.
 
Earlier this year the Canada Revenue Agency (CRA) made a ruling that
actors, designers and other independent artists were employees of Magnus
Theatre in Thunder Bay, Ontario. Both Equity, on behalf of our members
and Magnus Theatre, as the alleged employer, have appealed the decision.


In preparing for the appeal, the CRA has sent a questionnaire to all of
our members who were reassessed as employees.  The questionnaire has
been redrafted to reflect some characteristics that are specific to work
in theatre but it is largely based on an industrial model. Equity
believes that the biggest problem is that CRA looks at the wrong aspects
of the work leading them to the incorrect conclusion that actors are
employees. 

To achieve the most focused and unified response our lawyers have
recommended that a single response on behalf of all of the artists
involved be sent to the Agency.  

Equity therefore asks that our members NOT respond to the questionnaire.
Anyone receiving a questionnaire who has not been contacted by an Equity
representative should contact the office.

Members who have worked at Magnus Theatre in the past and been
reassessed can be represented by Equity in the appeals process by
providing a letter of authorization.  

The Magnus appeal is being held in abeyance pending the outcome of a
similar tax case which will not be heard for several months.

CAEA will be posting regular bulletins and updates through Equiflash and
on our website.  Make www.caea.com your home page and stay on top of
developments.
---------------------------------------
Canadian Actors' Equity Association
44 Victoria Street, 12th Floor
Toronto, ON M5C 3C4
Tel: 416-867-9165
Fax: 416-867-9246
e-mail: communications at caea.com