Frequently Asked Questions (FAQs)
A Statement of Qualifying Retroactive Lump-Sum Payment (or T1198) is created by payers (the 91pro视频) to recipients (eligible employees) who received a qualifying retroactive lump-sum payment or payments. There is no legal requirement under the Income Tax Act (ITA) or Income Tax Regulations for a payor to issue this statement, and it would typically be requested directly by an individual, but due to the circumstances around Bill 124 payments, HCDSB will be issuing to eligible employees as outlined below.
According to the Canada Revenue Agency (CRA), a QRLSP is a lump-sum payment paid to an individual (other than a trust) in a year that relates to one or more prior eligible tax years in which the individual was a resident of Canada for the full year.
Employment income received under the terms of an order or judgment of a competent tribunal or an arbitration award is considered a qualifying amount.
“Qualifying” in the context of the QRLSP and employees of the HCDSB means income paid to CUPE, OECTA, and APSSP employees as a result of the Ontario Superior Court of Justice’s decision ruling Bill 124 unconstitutional. These payments were received in relation to the revised 2019-20, 2020-21, and 2021-22 rates of pay. Retroactive lump-sum payments made with respect to the OECTA Voluntary Binding Interest Arbitration (VBIA) have been treated as “qualifying” and will be included on the QRLSP Statement for Elementary Teachers for the 2024 form.
For the remaining OECTA groups, a separate T1198 statement will be provided at a later date for the 2025 retroactive payments received.
Principals and Vice-Principals will also receive a T1198 statement for retroactive lump-sum payments received by the year; however, the 91pro视频 cannot certify if CRA would consider these payments to be 鈥渜ualifying.鈥�
All active CUPE, OECTA, APSSP and P/VP members who received qualifying payments will receive access to a memo containing a link to their personal QRLSP Statement. Inactive CUPE, OECTA, APSSP, and P/VP members with cumulative QRLSPs exceeding $3,000 can request a QRLSP statement by emailing business@hcdsb.org and providing their legal name and HCDSB Employee ID number.
For active employees, access to the T1198 link will be provided in March 2025. Individuals can email an electronic copy of their QRLSP Statement using the link to their 91pro视频-issued email address.
Inactive employees with QRLSPs greater than $3,000 will be emailed their QRLSP Statement upon receiving an email request to business@hcdsb.org with the necessary information (Legal Name, HCDSB Employee ID#).
If you are an active employee, you can access your T1198 statement through the link included in the T1198 memo.
If you are an inactive employee, email business@hcdsb.org requesting your T1198 statement with the necessary information (Legal Name, HCDSB ID #).
If you want more information on how a QRLSP Statement could impact you, please consult your tax professional. If the total of all QRLSPs paid to you exceeds $3,000, you can request CRA to do a special tax calculation, which would have your QRLSP income redistributed to prior years as if you received the payments in those years. To determine if this would be advantageous to you, please consult with your tax professional.
QRLSPs must be reported to CRA based on a taxation year (January 1-December 31), whereas retroactive payments were issued based on a school year (September 1-August 31).