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Canadian HR Reporter, a Thomson Reuters business 2018
News CPR
|
December 2018
Preparing for year-end? Consider these tips
BY THOMSON REUTERS PAYROLL CONSULTING GROUP
WITH 2018 winding down, it
is time for payroll profession-
als to get ready for year-end
reporting.
Although the deadline for dis-
tributing T4s and RL-1s and filing
year-end returns is not until Feb.
28, getting ready in advance can
help the process go smoothly.
Here are some tips to help
you stay on top of 2018 year-end
reporting:
• Prepare T4s for employees
who received remuneration
during the year if Canada/
Quebec Pension Plan (C/QPP)
contributions, employment
insurance (EI) premiums,
Quebec Parental Insurance
Plan (QPIP) premiums, or in-
come tax had to be deducted or
if their remuneration exceeded
$500. Remuneration includes
salary, wages, bonuses, com-
missions, and taxable benefits
and allowances, as well as oth-
er payments.
• Complete T4As to report pen-
sion or superannuation pay-
ments, lump-sum payments,
self-employed commissions,
and other income described in
the Canada Revenue Agency's
(CRA) guide Deducting In-
come Tax on Pension and Oth-
er Income, and Filing the T4A
Slip and Summary (RC4157)
if the total amount was more
than $500 or you deducted
income tax.
• Use a T4A-NR to report
amounts paid to non-resi-
dents for services rendered in
Canada that they did not per-
form in the ordinary course of
employment.
• If you paid or credited pen-
sions, annuities, or invest-
ment income to non-resi-
dents, trusts, or corporations,
use form NR4 to report the
amounts. The filing deadline
for NR4s is April 1 since the
normal March 31 due date falls
on a Sunday; however, as a best
practice, try to submit the slips
by Friday, March 29.
• Employers with Quebec pay-
rolls must also prepare forms
for Revenu Québec. It requires
employers to complete RL-1s
for employees who reported to
work at their place of business
in Quebec or who were paid
from their business in Que-
bec if they were not required
to report to work. Use RL-2s
to report retirement and an-
nuity income. The forms are
only available in French, but
Revenu Québec provides an
English translation of the box
names.
• When completing these forms,
ensure earnings are reported
based on the year paid, not on
the year the employee earned
them.
• If an employee worked in
more than one province/ter-
ritory during the year, com-
plete a separate T4 for each
jurisdiction.
• Ensure that each employee has
a valid social insurance num-
ber and that it is correctly re-
ported on the forms.
• Report amounts in Canadian
currency. For RL-1s, if this is
not possible, enter "200" in one
of the blank boxes in the Ren-
seignements complémentaires
area, followed by the type of
currency used.
• For T4 boxes 16 and 17, the
2018 maximum employee CPP
contribution is $2,593.80. For
QPP, it is $2,829.60. On an
RL-1, report QPP contribu-
tions in box B. Do not report
CPP contributions in box B.
Instead, enter code B-1 in one
of the boxes in the Renseigne-
ments complémentaires area,
followed by the amount of CPP
contributions.
see ADVANCE page 8
