Yes. You may be eligible for a fee reduction if you do not anticipate being gainfully employed for the current calendar year, such that gross active earnings from all types of employment, business, real estate rentals, professional corporations and directors’ fees from both accounting and non-accounting related sources will not exceed $40,000.
Examples of income included in Gross Active Earnings:
- Employment Income
- Business income: Gross income reported on a T2125 - Statement of Business or Professional Activities, including line 5A from partnership income from a T5013 slip;
- Rental income: Gross rental income reported on Rental Income line of the T1.
Examples of income not included in Gross Active Earnings:
- Employment insurance (EI) benefits: Reported on a T4E slip;
- Long term disability benefits: Reported in Box 40 of a T4 slip;
- Eligible and non-eligible retiring allowances: Reported in boxes 66-69 of a T4 slip;
- Pension income: Reported on lines 11500 and 11600 of the T1 and box 16 of a T4RSP slip;
- Investment income: Dividend income (not derived from active practice from a member through a professional corporation), interest and other investment income reported on line 12100 and taxable capital gains reported on line 12700 of the T1.
Fee reductions that may be applied for are as follows:
- Partial Waiver (75% reduction) – A member who is not gainfully employed, such that gross active earnings does not exceed $40,000, will be eligible for a 75% reduction of membership fees. Reduced gross active earnings may be a result of, but not limited to, parental leave, leave to care for a family member, or medical leave. Any member who is eligible for this reduction may be required to provide proof of eligibility to CPA Alberta upon request. Member must apply annually and eligibility is assessed by CPA Alberta on a yearly basis. A member will only be eligible to receive five (5) partial reductions of member fees under this section in their lifetime, starting membership year 2018 (excluding 2020 and 2021 due to COVID-19).
- Full Waiver (100% reduction) – A member who is permanently withdrawn from gainful employment, such that gross active earnings are nil, will be eligible for a 100% reduction of membership fees. Permanent withdrawal from gainful employment may be a result of, but not limited to, medical leave, or full time retirement with no intention to actively pursue further employment opportunities. Any member who is eligible for this reduction may be required to provide proof of eligibility to CPA Alberta upon request.
The Membership Fee Reduction Request Form must be submitted in order to apply for a fee reduction.
CPA Alberta fees may also vary based on membership status (see What is the difference between Prime, Non-Prime, Full and Affiliate Membership? above).
As well, there is an option for fee deferral. You may be eligible for a fee deferral if you are able to demonstrate short-term inability to pay your membership fees by May 31. This inability may be a result of, but not limited to, temporary unemployment or layoff, where you expect to find employment within the year.
The Membership Fee Deferral Request Form must be submitted in order to apply for a fee deferral.