Total income is less than total claim amount - how do I code this in payroll so no taxes are withdrawn from each paycheque?

Thank you for reaching out, Sobysbookkeeping.

When an employee’s total income is less than the total claim amount on their TD1 form, QuickBooks Online Payroll will automatically calculate no tax deductions from their paycheques.

Let's verify or adjust the TD1 claim amounts in QuickBooks Online Payroll to ensure taxes are calculated accurately:

1. Go to Payroll from the left-hand menu.
2. Select Employees, then click on the name of the employee whose TD1 details you want to update.
3. Scroll down to the Taxes section and click Edit.
4. Review the federal and provincial TD1 claim amounts.
5. Adjust the claim amounts if needed, based on the employee's TD1 form.
6. Click Save.

We also recommend consulting a tax professional to ensure compliance with CRA regulations.

If you have any further questions or require additional assistance, please add a comment below. We're here to assist you.