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lowside67 · 02-05-2014, 10:35 AM

You got dinged 30% of the total value of the cheque or you paid twice as much income tax as usual because you got twice as large of a cheque?

The effective rate should not change but you do pay tax on vacation pay so you should be paying twice as much tax as usual in terms of DOLLARS, but not rate.

Simply put, if your cheque is approximately twice as big as usual, you should pay approximately twice as much in income tax, if you were paying 30% you would be paying 4 times as much income tax.

Mark

02-05-2014, 10:35 AM	#2
lowside67 Old School RS Join Date: May 2004 Location: Port Moody Posts: 4,641 Thanked 4,157 Times in 1,262 Posts Failed 130 Times in 80 Posts	You got dinged 30% of the total value of the cheque or you paid twice as much income tax as usual because you got twice as large of a cheque? The effective rate should not change but you do pay tax on vacation pay so you should be paying twice as much tax as usual in terms of DOLLARS, but not rate. Simply put, if your cheque is approximately twice as big as usual, you should pay approximately twice as much in income tax, if you were paying 30% you would be paying 4 times as much income tax. Mark __________________ I'm old now - boring street cars and sweet race cars.