• General information - Source deductions of Québec ...
• Calculation Method
• Taxable benefits
• Vacation pay
• Bonuses and retroactive pay
• Overtime pay
• Tips
• Director's fees
• Commissions
• Single payments
• Retiring allowance
• Death benefit
• Pension payments
• Payments from an RESP
• Payments from an RRSP or a RRIF
• Earnings supplements

Overtime pay

If you are using table TP-1015.TI-V

If the overtime worked by an employee during a pay period is paid as soon as it is earned, that is, if you pay the amount at the same time as the employee's regular salary or wages for the period, simply add the amount of the payment to the regular salary or wages and calculate the income tax withholding in the usual way.

However, if the overtime is paid in a pay period other than the period in which it was earned (in other words, if you are paying the employee for accumulated overtime), calculate the income tax withholding according to the method applicable to bonuses.

If you are using the mathematical formula based on regular payments

Use one of the methods applicable to bonuses to calculate the income tax to be withheld from a payment for accumulated overtime.

However, if the overtime worked by an employee during a pay period is paid at the same time as the regular salary or wages for the period, you are not required to use one of the methods applicable to bonuses. You may add the overtime pay to the regular salary or wages and include the result in variable G of the mathematical formula given in the Guide for Employers: Source Deductions and Contributions (TP-1015.G-V).

If you are using the mathematical formula based on a cumulative average

Include the payment for accumulated overtime in ·

• variable B if you are using Method 1 of this formula; 
• variable B₃ if you are using Method 2 of this formula.

However, if the overtime worked by an employee during a pay period is paid at the same time as the regular salary or wages for the period, you may include the overtime pay in variable G (instead of in variable B or variable B₃).