It’s T time again (and not the kind that goes with scones)

It’s T time again (and not the kind that goes with scones)

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cup of tea and sugar with teapot over blue background

February is the month of T4’s and T5’s for most employers.  If you had any employees during the 2012 calendar year, then CRA (Canada Revenue Agency) requires you to file T4’s and T5’s by February 28, 2013.  There is no flexibility on the deadline and the penalties and interest start adding up on March 1st.  The penalties also are based on the number of information slips you were required to file and are calculated for every day that it is late.  That is correct, not based on a month, but added on a daily basis..  That may not mean much if you have only one employee, but if you have multiple employees, those fines can add up pretty fast. 

The minimum penalty for filing your T4 or T5 slips late is $100 and the maximum is $7500

Here is a chart outlining the penalties charged by CRA. *Tax Chart

If you outsource your payroll to a payroll provider like Ceridian Canada or ADP, your T4’s should already have been distributed.  If you need to manually prepare them, you can download the CRA guide for filing the T4’s either from the CRA website, or you can find it here on our website.

The T4 Slips have to be given to your employees on or before the last day of February, and CRA has to receive or have the T4 Summary return postmarked by that day also.

If you need help with your T4’s or aren’t sure whether you are responsible for filing them, please feel free to give us a call and we can help.

We’ve also posted some helpful articles on our site to help you understand the T4 filing process in Canada. Here also is the complete T4 Guide from CRA.

  1. What is a T4 Slip?
  2. Methods of Filing your T4 Slips and T4 Summary?

 

*Reprinted from the CRA website

Copyright: tashka2000 / 123RF Stock Photo

Juliet Aurora

About The Author

Juliet Aurora is the CEO of AIS Solutions and Co-Founder of Kninja Knetwork. Through both of these businesses she fulfills her mission to Educate and Empower those around her. In 2017, her firm was named Intuit's Global Firm of the Future, the first time the title has ever been awarded to any firm outside of the US. She has also has been named as one of the Top 50 Women in Accounting, one of the Top 50 Cloud Accountants and one of the Top 10 Canadian Influencers in the Bookkeeping Industry. Her passion for education is channeled through the Intuit Trainer Writer Network, hosting Kninja Knowledge Webinars and most recently, developing a Cloud Accounting Course for the next generation of accounting professionals.

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