2016-12-14 00:00:00 Managing Employees English Find out when, as an employer, you need to prepare a T4 slip for your employees, and understand the meaning of remuneration. https://d1bkf7psx818ah.cloudfront.net/wp-content/uploads/2017/06/08214344/Small-Shopkeeper-Opens-QuickBooks-To-Reference-His-Employees-Hourly-Wages-For-The-Year-In-Preparation-Of-Their-T4-Slips.jpg Do You Need to Prepare a T4 Slip for an Employee?

Do You Need to Prepare a T4 Slip for an Employee?

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A T4 slip is the basic document that an employer must prepare to account for any remuneration that it pays to an employee. The employee uses it to prepare income tax returns, and it is the Canada Revenue Agency’s first tool to ensure compliance by salaried workers. As an employer, you must prepare T4 slips for all individuals who received more than $500 in remuneration from you, or if you deducted CPP/QPP contributions, EI premiums, PPIP premiums, or income tax for that employee. Remuneration includes salary, wages, tips, bonuses, vacation pay, employment commissions, and all other types of remuneration you may have paid to an employee during the year. It also includes any taxable benefits and retirement allowances.

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Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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