Report dental benefit codes on T4 and T4A slips

The Canadian Dental Care Plan provides dental coverage for uninsured Canadians with an adjusted family net income of less than $90,000.

Beginning with the 2023 tax year, the CRA requires all employers to report whether an employee, contractor, or any of their family members were eligible to access dental insurance or any kind of dental coverage through their employment. This new reporting is required on T4 and T4A slips. This guide will show you how to enter the required dental codes in QuickBooks Online and QuickBooks Desktop.

Dental Benefit Codes

To meet the new reporting requirements, you must choose the appropriate code that describes the level of dental coverage offered for each employee or contractor. This code will be reported in Box 45 on T4 slips and Box 015 on T4A slips.

• Code 1: No access to any dental care insurance or coverage of any kind.
• Code 2: Payee only.
• Code 3: Payee, their spouse, and dependent children.
• Code 4: Payee and their spouse.
• Code 5: Payee and their dependent children.

Add or update dental benefit codes in QuickBooks Online Payroll

Follow these steps to add the required dental benefit code to employee and contractor profiles.

For employee T4s:

Follow this link to complete the steps in product

1. Select Payroll, then Employees.
2. Select the employee, then go to the Profile tab.
3. Select Deductions and contributions.
4. Under the Dental benefits eligibility section, enter a Dental benefit code for the employee based on who is covered.
5. Select Done.

For T4As:

This box is required if an amount is reported in Box 016, Pension or Superannuation.

Follow this link to complete the steps in product

1. Select Prepare Tax Slips.
2. Select T4A in the Type of tax slip dropdown menu.
3. Select the Reporting year. Select Continue when ready.
4. Fill in the required information for the Company, Accounts, and Review sections.
5. In the Contractors section, select the proper dental benefits code for the contractor based on who is covered.
6. Select Done.

Add or update dental benefit codes in QuickBooks Desktop Payroll

Updating when not creating the T4s or T4As

For T4s:

1. Go to the Employee Centre.
2. Select Employee and edit.
3. Go to payroll info.
4. Select the dropdown menu next to Employer-offered dental benefits, then select a code based on who is covered.
5. Select OK to save.

For T4As:

1. Go to the Supplier Centre.
2. Select the Supplier and edit.
3. Go to sales tax settings.
4. Select the dropdown menu next to Dental Benefits, then select a code based on who is covered.
5. Select OK to save.

Adding dental codes during the T4/T4A creation process

Dental codes can also be added during the T4 and T4A creation process in QuickBooks Desktop Payroll. To enter the code during the T4 or T4A creation process, follow these steps.

For T4s:

1. Go to Employees, then select Payroll forms and Process T4.
2. Select the Employees to update, then select Review.
3. Select Box 45, then select the dental code.
4. Select Next to edit the next employee.
5. Select OK to save selections.
6. Select Done.

For T4As:

1. Navigate to Suppliers, then select Supplier forms and Process T4A.
2. Select the Suppliers to update, then select Review.
3 .Select Box 15, then select the dental code.
4. Select Next to edit the next employee.
5 .Select OK to save selections.
6. Select Done.

Visit this website for more information on the Canada Dental Benefit.