Taxes and Compliance
      Back to home
      1. Corfix Guide
      2. Corfix Payroll
      3. Taxes and Compliance

      Employer Payroll Tax (EHT, HE Levy, HAPSET)

      This article will summarize the specifics around Employer Payroll Tax (EHT, HE Levy, HAPSET).

      Employer payroll tax (EPT) is a provincial payroll tax that applies once a business’s annual payroll exceeds a specific threshold. The system automatically calculates EPT and helps forecast your liability, reducing year-end surprises and supporting compliance.

      Supported provinces

      EPT is currently supported in:

      • British Columbia (Employer Health Tax)

      • Ontario (Employer Health Tax)

      • Manitoba (Health and Education Levy)

      • Newfoundland and Labrador (HAPSET)

      The system does not currently remit EPT payments. Clients are responsible for submitting payments to their provincial tax authority.

      What the system does

      When EPT is enabled, the system:

      • Calculates EPT automatically in each payroll run

      • Applies the correct thresholds and rates based on the province of employment

      • Forecasts total EPT obligations using year-to-date earnings

      • Generates detailed EPT reports for filing and reconciliation

      Default setup

      No configuration is needed to start. If your business operates in a supported province, EPT is already enabled.

      However, in some cases, you may want to adjust the system defaults—for example, if you:

      • Expect seasonal or unusual changes in annual payroll

      • Want to apply a custom exemption amount, rate, or total remuneration

      • Operate across multiple provinces and need province-specific overrides

      How to create an EHT override

      You can enter custom EPT values in Business settings > EHT.

      1. Click + Add EHT Override

      This opens a form that allows you to adjust specific elements of the EHT calculation.

      2. Complete the override form

      Field

      Description

      Province

      Select the province the override applies to

      Type

      Choose the override type (e.g. annual remuneration, exemption amount, or rate)

      Override amount

      Enter the adjusted value for the selected type

      Effective from/to

      Define the time period the override applies to

      Notes

      (Optional) Add a comment for context or tracking purposes

      All fields marked with an asterisk (*) are required.

      3. Click Save

      Your override will be saved and applied to future payroll runs within the effective date range.

      Important notes about overrides

      • Overrides apply only to future payrolls—they do not affect past runs

      • Multiple overrides can be added if your business operates in more than one province

      • You can return to the EHT tab to edit or remove overrides as needed

      EPT reporting and forecasting

      The system provides a downloadable EPT report, which includes:

      • Total EPT calculated to date

      • Forecasted year-end liability

      • Breakdown by employee and pay period

      Use this report to monitor progress toward provincial thresholds and prepare for year-end filings.

      Disclaimer: This article is not intended to provide tax, legal, benefits, financial, or HR advice. Since laws and regulations are subject to change and may differ by location, please consult a legal or HR professional for personalized guidance.