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Preparing T4’s and the T4 Summary in QuickBooks

Preparing T4’s and the T4 Summary in QuickBooks

A T4 slip is the end of the year form that you give to each employee and submit to the CRA. T4 slips have to be given to your employees and the CRA by the end of February. T4’s report the employee’s wages and taxes withheld during the calendar year.

Before you create your T4 slips check to make sure that you have correctly entered the employees’ name, address and social insurance number. If any issue you may call now QuickBooks Support Phone Number ????1855-548-3394 From the Report Centre click Employees & Payroll and then select Employee Contact List.

To issue employee T4’s

  • From the Payroll Centre click Payroll Forms the click Process T4’s
  • In the Process End of Year Forms window select the applicable year.
  • Click on the Check All Box
  • Click the Review box. QuickBooks will not allow you to print the T4’s until you review them.
  • In the T4 review window verify the accuracy of the displayed information. You can do this by comparing the T4 to the Payroll Summary report.
  • In the rare event that you need to adjust on of the T4 amounts double click the desired field to open the adjustment window. Enter a description and a positive or negative adjustment amount and click OK to close the window.
    Note: Because the adjustments that you make could have an impact on applicable payroll taxes and remittances consult your accountant of Certified ProAdvisor before making any adjustments to your employees’ T4s
  • After you click OK QuickBooks returns to the Employee T4 window. Click next to view the next employee’s T4.
  • Continue till you have reviewed them all.
  • Once all T4s are reviewed click OK to close the T4 preview window.
  • QuickBooks will return to the Process T4s window and confirms that you have verified all employee T4’s by placing a check mark in the Reviewed column.
  • Printing T4’s

From the Process End of Year Forms window click Print. You will see the Print T4s dialog window. In the Print T4s window indicate which forms you are printing. You must print one set of forms for CRA (which prints two employees per page), the employer (which prints two employees per page) and the employees (which prints one employee per page). Indicate whether you are printing on blank paper or pre-printed forms. QuickBooks will correctly print on blank paper. Click Print.
QuickBooks displays a dialog box, select which T4 copies you are going to print. Click OK to print the T4s.
Once again QuickBooks returns to the Process T4 window and indicates that all T4s are printed.
You will need to repeat the process for each of the copies that are required.
Note: When you print the employee T4 copies QuickBooks will print a 2 sided form. Make sure your printer prints two sided or you will have to manually feed the paper in your printed to get the two sides printed.

Click Done to close the window.
Preparing the T4 Summary

Once all the T4s are printed you must prepare a T4 Summary. This summary report totals all employees earning as recorded on the T4’s. It also totals the deductions and payroll taxes withheld from the employees during the calendar year. Lastly this form is used to reconcile those amounts with the source deduction payments that you remitted to CRA.

Call Quickbooks Toll-Free Number

????+1(855)548 3394

How to Prepare T4’s and File with CRA: QuickBooks Instructions?

Not sure how to file your T4’s from QuickBooks desktop or need a refresher? Intuit provides great step by step instructions below. The link to Canada Revenue Agency (CRA) will take you right to the correct area of the CRA website where you can upload the XML file that is created by the process. If you have any questions, feel free to talk to our bookkeeping expert, Joanne Dorward, ACIA at ????1855-548-3394 To read the instructions on the Intuit website, click here. Continue reading for a summary below.

PREPARE T4S
T4 slips are used to report all income you paid to your employees over the previous calendar year to the Canada Revenue Agency (CRA). You’ll need to fill out T4 slips for your employees if: you deducted CPP (Canada Pension Plan) contributions, QPP (Québec Pension Plan) contributions, IE (Employment Insurance) premiums, PPIP (Provincial Parental Insurance Plan) premiums, or income tax or you paid an employee more than $500.
Note: You’ll need to provide your employees with a T4 form for each province or territory they worked in for your company. If you’re not sure how to report a specific benefit or amount on the T4 slip, consult an accountant or the CRA.

Types of income that need to be reported on T4 slips

salary, wages (including pay in lieu of termination notice), tips or gratuities, bonuses, vacation pay, employment commissions, gross and insurable earnings of self-employed fishers, and all other remuneration (see Box 14 – Employment income for a detailed list) you paid to employees during the year taxable benefits or allowances
retiring allowances deductions you withheld during the year pension adjustment amounts for employees who accrued a benefit for the year under a registered pension plan (RPP) or deferred profit sharing plan (DPSP).
Tip: You have to report income on a T4 slip for the year during which it was paid, regardless of when the services are performed, or if the employee is deceased. For example, if you pay your employee in January 2017 for income they earned in December 2016, you’ll have to report that income on their T4 slip for 2017, since that’s the year it was paid.

Types of income that should not be reported on T4 slips

  • pensions, lump-sum payments, annuities, or other income (including amounts paid to a proprietor or partner of an unincorporated business)
  • fees (except for director fees), commissions, or other amounts to a non-resident for services rendered in Canada, other than employment situations
  • amounts from a retirement compensation agreement
  • amounts paid to subcontractors for goods and services rendered in connection with construction activities, when construction is the primary source of income for your business

Step 1: Review your employee information

  • Verify employee data
  • Verify and review employee benefit information
  • Verify and review payroll deductions

Step 2: Complete a T4 slip to give to each employee

  • Select Taxes from the left.
  • Select Payroll Tax at the top.
  • Select Annual Forms under the Forms section.
  • Select Select T4 slip (employee).
  • Select the tax year you want to view T4 slips for.
  • Select View to open and review the slips in Adobe Acrobat.
  • Make sure all the information is correct. You can download or print the slips using the icons in Adobe Acrobat, then close the window.
  • Give each of your employees their T4 slip in one of the following ways by the last day of February:
  • one copy sent electronically (for example, by email or secure employee portal). Important: you must have the employee’s consent, in writing or electronic format, to send T4 slips electronically
  • two copies delivered in person
  • two copies, sent by mail to the employee’s last known address

Step 3: Submit your employees’ T4 slips to the CRA

  • Select Taxes from left.
  • Select Payroll Tax at the top.
  • Select Annual Forms under the Forms section.
  • Select T4 slip (employer).
  • Select the period and click View.
  • The T4 slip (employer) opens in a new tab. It’s a good idea to print or save a copy for your records.
  • Go back to the main QuickBooks Online screen and click Submit. This will export your T4 slips as an XML file and automatically archive a copy for your records in QuickBooks Online.
  • Find the T4 XML file on your computer. Take note of the file name and location as you will need this later.
  • Go to the Service Canada website.
  • Select Internet file transfer. This is the only selection QuickBooks Online supports at this time.
  • Read through the Disclaimer and select I agree.
  • Enter the Account number (without dashes or spaces) and Web access code (case sensitive) you received from the CRA.
  • Click Next.
  • Browse to find the T4 XML file on your computer and upload it to the CRA website.
  • Submit your return.
  • Important: The T4 XML file generated by QuickBooks Online also includes your T4 Summary. You don’t need to submit your T4 Summary separately to the CRA.
  • It’s a good idea to keep a record of the date and time the form was submitted.

Your T4 Summary must be filed with the CRA by the last day of February of the following year. If you miss the filing deadline, you could be faced with penalties from the CRA.

Importing T4 slip information from Quickbooks or Sage Accounting

I can see TaxCycle can import an Excel spreadsheet for the preparation of T4s, but when I look at either Quickbooks or Sage I see no easy way to export the required information to a spreadsheet. It appears to me I’d have to enter most of the information manually into the spreadsheet and then import it. I’m not sure that’s easier than manually entering it directly into TaxCycle (at least for existing clients).

Am I missing something, has anyone else found an easier way to do this?

Call Quickbooks Toll-Free Number

☎+1(855)548 3394

How to efile t4 from quickbooks?

Before jumping to the question on How to efile t4 from QuickBooks it is very important that you should understand what all is T4. So what do you understand by T4? T4 basically is a type of tax form that is required to be filed with the Canada Revenue department. If you are a resident of Canada then you are required to file Taxes every single year with the Department of Canada. If you are doing anything amiss then you can be penalized heavily.

To file taxes you are required to file T4 forms and that will help you get track of all your accounts with the government of Canada.

In order to file your taxes, you would need to have the access to the form number T4. You can successfully apply for the T4 forms then with the Canadian Revenue department at the earliest.
If you are more concerned about getting the physical T4 forms then:

  • Go to the CRA Website,
  • Click on the downloads tab.
  • Choose to click on the Taxes button.
  • Find T4 from the list of options provided.
  • You will now see a Tax form viewer opening within your browser.
  • Press Ctrl+P button and another print view will open.
  • Take the print out and fill out the interview.
  • It is suggested that you give all the information to the best of your knowledge because if supplied incorrectly then it may hamper your working.

How to efile t4 from quickbooks?

Though filing Taxes physically and running from one end to the other just to pay your taxes is a bit tedious. Thus if you are more of the view and want to save your time, money and energy in the process then efiling is the best choice for you.

QuickBooks as the way to efile T4.

If QuickBooks is the best place you see to file taxes online then you are right in what you think. QuickBooks by far is the best platform you can have for all your accounting needs. Not only it helps you keeping track of your business and its accounting aspect but it also helps you ease up filing or efiling taxes.

In order for you to efile T4, you would need to go through the following steps below:

  • Login to your QuickBooks or any other accounting program that you are using.
  • Within the dashboard, click on the company file provided.
  • From the top navigation panel, click on the taxes dropdown button.
  • You will now see the option with the text T4.
  • Click on the button and you will see Tax interview appearing.
  • Follow the set of prompts that will appear and provide every info.
  • Once you are done with interview, click on the save button and your t4 will be saved within QuickBooks.

How to Use QuickBooks Online | Focus on Bookkeeping
QBO T4A Reporting Workaround

As the end of February deadline approaches, we are all scrambling to complete the required T-slips. Quickbooks Online (QBO) has the ability to prepare the T4s but the T4As and T5018s are some of the additional slips that need to be prepared and are not organically available (yet) in QBO.

From the Report Centre select Payroll & Employees then click T4 Summary
Transcribe the information from this report to CRA’s official T4 Summary. The T4 Summary report tells you the box number for each of the amounts you must transcribe. Here is a link to CRA’s website and a fillable version of the form You cannot save this form. You have to fill it in and print it at the same sitting.
You will also have to enter in Box 82 of CRA’s T4Summary the total amount that you remitted to CRA. To find total remittances open the Employee Centre click the transactions tab (on the left) and then select Liability cheques. In the right pane of the Employee Centre verify the selected date range then right-click any transaction and select View as Report.
QuickBooks opens a report showing all liability cheques. Because you only want to see liability cheques issued for source deductions click Modify Report an under the Filter Tab choose Name and then select Receiver General.
Note the total remittances made to Receiver General agree with the amount payable per theT4 Summary Report. The total should also agree with the account balance as shown on CRA’s PD7A form. Enter the total amount in Box 82 of the T4 Summary.

Email T4s and other End of Year Forms

QuickBooks has the ability to email T4s to your employees. To do this

  • Open up the Process End of Year Forms again
  • Select the Employee or Employees that you would like to email a T4 to and then select Email.
  • You will get an Email security message in order to send the email. Click OK
  • You will receive the Employee Consent message informing you of the sensitive nature of the Email and telling
  • you that you need to have documented employee’s consent to email the T4 .You will see the PDF is password protected and the T4 can be imported into Turbo Tax for their personal taxes.
  • The Password Protection is the same as emailing Paystubs. QuickBooks uses the first three letters of the employee’s last name and the last three digits of the employee’s SIN. Select OK.
  • A Select Forms to Send Box will open. Select who you are emailing T4s to. Click Edit Email to edit the body of the email or the email address and then click Send Now.
  • You must have your email set up an Outlook profile or you will get an error message form QuickBooks. If you are using Outlook QuickBooks will automatically open it and you may send the email.
    E-filing T4’s

If you submit less than 500 T4 slips you may be eligible to electronically file (e-file) your T4s. The benefits of e-filing include:

  • You save time by no longer printing and mailing T4 slips to CRA
  • You can submit up to 500 slips with just a few mouse clicks.
  • You can e-file both the T4s and the T4 Summaries

When you e-file you know instantly whether CRA has accepted or rejected your submission
QuickBooks records your e-file submission for your reference. To use this service you have to meet all of the following conditions:

1) You have a business number and a web access code. You can find these at the top of your personalized T4 Summary. If you didn’t receive or have misplaced your Web Access Code or Business Number call CRA

2) You must have a Transmitter Number. If you are a current magnetic media transmitter use the MM number that the CRA has already assigned to you. If you are a new transmitter use the number MM555555.

3) CRA requires that your T4 be electronically filed in an .xml 4.0 file. To create this file Microsoft component MSXML 4.0 needs to be installed on your system. If your system does not have this component QuickBooks will prompt you to install it.

4) QuickBooks only prints six codes per slip. If you have an employee with more than six codes you must create a second slip which shows only the extra codes.

Call Quickbooks Toll-Free Number

????+1(855)548 3394

As with printed T4s from the Process T4s window review each employee’s slip then click E-file T4. Enter your transmitter number, contact info and proprietor social insurance number(s) Before taking you to CRA’s website QuickBooks indicates the location of your XML file. Take note of this file’s location. You will need to know it in a later step. Once at CRA’s website click Enter Internet file transfer (XML) secure Web site Enter your transmitter or account number Follow the instructions to complete the process.

 

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