What determines the penalty rate for employers who fail to deduct and remit to Revenue Québec within the legislated time frame?

• A. The number of days late in meeting the Taxation Act's requirements
• B. The size of the employer's total payroll
• C. The employer's compliance history
• D. The type of remittance

Answer: (A)

The penalties for late remittance are driven by how late you are. Revenue Québec sets a penalty rate that increases with the number of days the deduction and remittance are past due. The longer the delay, the higher the rate applied, independent of how large the payroll is, your prior compliance history, or the specific type of remittance. Those other factors may influence other consequences or interest, but the rate itself is a function of the lateness duration.