By the end of February 2011, employers are required to issue T4s slips for their employees summarizing employment income earned and deductions taken from that income during the 2010 tax year. The Canada Revenue Agency (CRA) has issued a Tax tip for small business employers reminding them that, as of this year, it’s possible to prepare and file up to six T4 slips using the CRA Web site, with no need for specialized software.
The new T4 Web forms online service will allow employers to:
- file original, additional, amended, and cancelled slips directly from the CRA Web site;
- create an electronic T4 information return;
- validate data in real time, with prompts to correct errors before filing;
- calculate the totals for the summary;
- print T4 slips for employees; and
- securely submit encrypted returns over the Internet.
To use the service, employers must have their CRA account number and a Web access code that was sent to them in November. Alternatively, employers can access the Web forms online service through the My Business Account feature on the CRA Web site. More detailed information about using the service is outlined in the Tax tip, which can be found at http://www.cra-arc.gc.ca/nwsrm/txtps/2011/tt110216-eng.html?=eml20110216.