Employees Profit Sharing Plan. In Canada, a type of profit sharing plan in which the employer deposits funds into a trust account and may deduct the deposited amount for tax purposes. Employees are generally taxed on contributions on their behalf in the year the contributions are made and on interest earnings when they are earned, but are not taxed when they leave the plan and receive the benefits. There are few limitations on the size of the contributions employers may make or on the ways that plan funds may be invested.