Have you finished step three?
Before jumping into this article, if you haven't read Step 3 – Balance & Reconcile, we strongly recommend reading it first.
Before we jump into the steps to create, review, and finalize your T4s, we want to provide you with some helpful information. If you're already a pro, you can skip this section and jump right to the Run your T4s in Humi section.
Important T4 Deadlines
|February 25th, 2024, at 11:59 pm EST
|Last day to submit T4s through Humi for automatic filing to the CRA on your behalf.
|February 29th, 2024
|Last day to file your T4 information return directly to the CRA.
|February 29th, 2024
|Last day to issue T4 slips to employees for the 2023 tax year.
Every tax year, employers in Canada who have paid out remunerations to employees throughout the year are required to fill out and issue T4 slips to their employees.
If you're new to payroll or the year-end process, here's some background on T4s and the requirements that go with them. Most amounts paid by an employer to an individual are referred to as "remuneration," and T4 slips cover the following types of remuneration:
- 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 (PA) amounts for employees who accrued a benefit for the year under your registered pension plan (RPP) or deferred profit-sharing plan (DPSP)
All remuneration types that are included in Humi by default are automatically assigned to the corresponding boxes on the T4 slip. If you’ve requested a custom Income Type, you would have been asked to select the T4 box to which the remuneration needs to be assigned.
Benefits are reported in all required boxes on T4 slips
Taxable allowances and benefits may have additional T4 reporting requirements.
For example, in addition to reporting a housing allowance in Box 14 as employment income, it must be reported again in the T4 slip's "Other Information" section with code 30.
All benefits and deduction types that are included in Humi by default are automatically assigned to the corresponding boxes on the T4 slip. If you’ve requested a custom Benefit or Deduction, you would have been asked to select the T4 box to which the benefit needs to be assigned.
For more information about benefits reporting, see Step 2: Review Taxable Benefits
Verify YTD records are accurate
When T4 slips are prepared, the YTD amounts are added to the amounts processed through Humi Payroll to provide a full year's context on Payroll.
It's important to review and update the records if necessary to ensure they accurately represent payrolls processed through previous payroll providers.
If you're unsure about this or need help, feel free to contact us.
Now that you've read those helpful tips, let's dive into this article where we'll explain the following steps to create and file your T4s:
- Run your T4s in Humi
- Review T4’s
- Finalize T4s in Humi
- Download the Tax Package from Humi
- Send T4s to employees
Part 1 - Run your T4s in Humi
We've made it simple to run your T4s in Humi. If you're unsure how to do this, check out this detailed article: How to generate employee T4s.
Part 2 - Review T4’s
In step 1, Humi totalled all the information in our system to create the T4s. This is your opportunity to look at those T4s and ensure everything is correct prior to submission.
Two boxes on the T4 must be filled in by a payroll administrator because the data is not based on payroll history during the year:
- Box 45 Employer-offered dental benefits
- Box 50 RPP or DPSP registration number
Humi’s made it easy to enter this information in the Year End Adjustment flow. If you skipped that step or missed an employee, Humi will show you a warning if you are missing this information on the T4, so you can enter it directly by Editing the T4.
Part 3 - Finalize T4s in Humi
By clicking Finalize and Submit you're telling Humi that you've verified all T4s are correct, and the T4s are now locked. By default, Humi files your T4s with the CRA.
If you would like to opt out of the filing service, you can select "I do not want Humi to submit to the CRA on my behalf" prior to Submitting the T4s.
- If Humi is filing your T4s, then proceed to Step 4 Download Tax Package.
- If you’ve opted out of Humi’s T4 filing service, then proceed to Part 3 (b) - File slips and summaries with the CRA
Part 3 (b) - File slips and summaries with the CRA
What's a T619?
The T619 is an electronic transmittal record of T4 and T4 Summary. This is to be downloaded and filed with CRA. In addition, the T619 can also be downloaded and viewed as a text file.
If you’ve opted out of Humi’s T4 filing service, then after you've finalized your T4s you'll need to download and upload the T619 file onto the CRA's online portal, Internet File Transfer Option.
How to File Online with the CRA
You can also file the T619 by logging into My Business Account and filing it from there.
The link to do so is also available in the banner just above the list of employee T4s in-app: Payroll > Records > Tax Forms > click into the Employer Package
- Make sure you have the checklist items specified on the CRA website, then scroll down to the bottom of the page and click I Agree.
- Enter your CRA Account Number and Web Access Code, and go through the process as instructed on the page.
- While entering the CRA account number, use your 9-digit number followed by your CRA program code and CRA reference number (most often 0001). For example, 123456789RP0001
- If you don’t have a Web access code, visit the link Need a Web Access Code? in the CRA’s online checklist.
- Finally, upload the T619 XML file and click Submit.
- Head back to Humi and record your confirmation number in the CRA Confirmation number field in the Submit T4 workflow.
- Click Save Confirmation Number.
- Voila, congratulations on filing your T4s successfully! Now is the time to pat yourself on the back for a job well done!
Need to make a change?
If you have to make further changes to T4s that are already issued, you can learn more about Amending T4s.
Part 4 - Download the tax package from Humi
The Humi Payroll Tax Package provides two types of tax information for review and filing needs:
T4 slips are summaries of employment earnings and annual deductions for individual employees. Humi will produce T4s for active and terminated employees, as long as the employees have been paid through Humi Payroll in the past.
The T4Summary shows the total of the information reported on all of the T4 slips you prepared for each employee for the calendar year.
Part 5 - Send T4s to employees
Once you’ve finalized the T4s, you can click "Send T4s to employees" to send the password-protected T4 email to all employees who require a T4.
On the "Tax package" page in Humi, click "Send T4s to employees" to send a secure PDF T4 file to each employee's email address which is based on the contact information saved in Humi.
To ensure the email address in Humi, you can ask them to verify the email on their employee profile and update it if necessary.