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Source verified August 9, 2026
Employer Health Tax relief (EHT)
Ontario payroll tax and exemption program
Latest source updateLast Update: July 11, 2026Latest change: Employer Health Tax content now shows the online registration workflow and new guidance on First Nations remuneration and EHT exemption treatment.View change
Latest source update
Last Update: July 11, 2026
Latest change: Employer Health Tax content now shows the online registration workflow and new guidance on First Nations remuneration and EHT exemption treatment.
EHT registration and guidance updated
Employer Health Tax content now shows an online Employer Health Tax Registration service with a 12-step workflow, including Welcome, Submitter Contact, Registration Reason, Business Information, Business Contact, Business Address, Owners, Partners or Directors, Account Details, Direct Deposit, Attachments, Review, and Certification. The registration instructions now say applicants need the federal business number, legal name, business address, contact name, phone and email, employer type, payroll start date, and direct deposit information, and that approval will be followed by a confirmation email for ONT-TAXS access. The EHT in practice: remuneration scenarios page also added new guidance on First Nations individuals, including when exempt remuneration is also exempt from EHT. That new scenario distinguishes status Indians, non-status individuals, and reserve-based employers, changing the guidance on who is treated as subject to EHT.
Funding available
Varies by project
Deadline
Open continuously
Location
Ontario, Canada
Overview
Employer Health Tax (EHT) is an Ontario payroll tax on remuneration paid to current and former employees, with a $1 million exemption available to eligible employers and special rules for associated employers and registered charities. Eligible remuneration includes salaries, wages, bonuses, taxable benefits, and stock option benefits.
/100
Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Attract or retain talent
Eligible Funding
- Varies by project
Funds Providers
Eligible candidates
Eligible Industries
- All industries
Location
- Ontario
Legal structures
- All legal structures
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- All groups
Next Steps
1
Determine your project
2
Validate your eligibility
Official resources
Application form
Eligibility
Who is eligible?
- Private-sector employers.
- Crown corporations subject to tax under Part I of the Income Tax Act (Canada).
- Organizations that receive financial assistance from any level of government but are not under the control of government and have no municipal appointed representatives sitting on their board of directors.
- Registered charities.
Who is not eligible
- Public sector employers, including federal, provincial and municipal governments, universities, colleges, school boards, and hospitals.
- Crown agencies that are not subject to tax under Part I of the Income Tax Act (Canada).
- Employers exempt from income tax under paragraphs 149(1)(a) to (d.6), (h.1), (o) to (o.2), (o.4) to (s.2), and (u) to (z) of the Income Tax Act (Canada).
- Corporations, boards, authorities, commissions, offices, or organizations where a majority of the directors are appointed or chosen by the federal or provincial government.
- Corporations, boards, authorities, commissions, offices, or organizations where the municipality has the power to appoint or chose one or more directors or officers, even if that power has been delegated to another entity.
Eligible geographic areas
- Ontario
How to apply
- Register for an EHT account online, by calling 1-866-ONT-TAXS (1-866-668-8297), or using a self-help workstation at a ServiceOntario centre.
- If applying online, complete the Employer Health Tax Registration steps from Welcome through Certification.
- Provide the required business information, including the federal business number, legal name, business address, contact details, employer type, payroll start date, and direct deposit information.
- Add attachments if applicable, review the registration, and submit it.
Processing and Agreement
- The Ontario Ministry of Finance will review the application after submission.
- Once approved, the applicant will receive a confirmation email with the information needed to sign up for ONT-TAXS online and begin filing.
- Once the employer is registered for EHT, annual returns will begin to be sent.
Additional information
- Employers must keep records and books of accounts with information confirming compliance with the EHT Act and Regulations.
- Auditors may carry out audits at your place of business to ensure compliance with the EHT Act and Regulations.
- Employers can access their EHT accounts anytime using ONT-TAXS online.
- Ontario uses federal rulings to assist in determining employer-employee relationships, but is not bound by those rulings for EHT purposes.
Contacts
Frequently Asked Questions about the Employer Health Tax relief (EHT) Program
What is the Employer Health Tax relief (EHT)?
Employer Health Tax (EHT) is an Ontario payroll tax on remuneration paid to current and former employees, with a $1 million exemption available to eligible employers and special rules for associated employers and registered charities. Eligible remuneration includes salaries, wages, bonuses, taxable benefits, and stock option benefits.
Who is eligible for the Employer Health Tax relief (EHT) program?
To be eligible for the Employer Health Tax relief (EHT) program, you must:
Be an eligible employer as defined under the EHT Act.
Pay income taxes and not be under the control of any level of government.
Have Ontario payroll for the year, including associated employers, below $5 million, or be a registered charity.
Who can I contact for more information about the Employer Health Tax relief (EHT)?
You can contact Ontario Ministry of Finance by email at Advisory.Services@ontario.ca or by phone at 1-866-668-8297.
Where is the Employer Health Tax relief (EHT) available?
The Employer Health Tax relief (EHT) program is available the province of Ontario.
Is the Employer Health Tax relief (EHT) a grant, loan, or tax credit?
Employer Health Tax relief (EHT) is a Tax Credits
Who are the financial supporters of the Employer Health Tax relief (EHT)?
Employer Health Tax relief (EHT) is funded by Ontario Ministry of Finance, Government of Ontario