Provision Of Service Contract
What is a Provision of Service Contract?
A Provision of Service Contract is an agreement by which a Contractor undertakes to carry out physical or intellectual work or provide a service to the University for a stipulated fee. The Contractor is free to choose the means of performing the work and no relationship of subordination exists between the Contractor and the University in respect of such performance.
Employee or Independent Contractor?
Faculty/Staff overseeing the service contract are responsible for determining if a Provision of Service contract is necessary or if the services will be paid to the service provider as an employee. Determining the status is complex and is guided by Canada Revenue Agency* guidelines.
For assistance, please contact your Financial Analyst & Liaison.
*This is a guide only; CRA is ultimately the deciding authority in all situations.