--000000000000031a0806190dede0 Content-Type: multipart/alternative; boundary="000000000000031a0606190deddf" --000000000000031a0606190deddf Content-Type: text/plain; charset="UTF-8" Content-Transfer-Encoding: quoted-printable Hi Maria, Unfortunately, in Canada and USA alike, employers are required to list taxable and non-taxable benefits separately from an employee's gross income on the employee's payslip and T4 slip. This separation allows employees to determine the value of their benefits and salary. In addition, this also ensures the employer is pay slip compliance. Based on the compliance factor we should continue to reflect the benefits as itemized deductions on the employees pay slips and proceed with setting up the two additional benefit taxable deductions. Below is the information obtained from Canada Revenue Agency (CRA). *Life Insurance, Dep. Life and Ad & D:* *Taxable Benefits* Life Insurance, Dep. Life And AD & D are taxable and deduct income tax and CPP contributions, but do not deduct EI premiums. *Reporting the benefit On T4:* Report the benefit for current employees and employees who are on a leave of absence (such as maternity leave) in box 14, "Employment income," and in the "Other information" area under code 40 at the bottom of the employee's T4 slip. *Medical and Dental:** Non-Taxable* *Payroll deductions* Do not deduct CPP contributions, EI premiums, or income tax from benefits you provide to employees under private health services plans. *Reporting the benefit On T4:* Include the amounts that the employee paid on a T4 slip in the "Other information" area under code 85. The use of code 85 is optional. If you do not enter code 85, the CRA may ask the employee to provide supporting documents. Use the T4A slip to report these amounts for former employees or retired employees. Enter the amount under code 135, "Recipient-paid premiums for private health services plans," in the "Other information" area at the bottom of the T4A slip. Regards, Germaine Daniels *Payroll Director *germaine.daniels@thekey.com Phone: 562-784-1800 TheKey.com [image: TheKey] On Wed, May 22, 2024 at 8:47=E2=80=AFAM Maria Cobb = wrote: > Hi Irin, > Patrick, our broker in Canada, sent me the email below regarding > simplifying the process with Ceridian. Please review and let me know you= r > thoughts. > > "*Maria,* > > * I was thinking about this on my way in today and I think we can simplif= y > the whole thing and create less problems with Ceridian if we change how w= e > are reporting things to them. Ultimately it doesn=E2=80=99t need to be s= o detailed > on the paychecks.* > > > > *I would suggest that we reduce the columns on the paychecks to 2 column.= * > > > > *Group benefits =E2=80=93 Employee* > > *Group benefits =E2=80=93 Employer* > > > > *We will assume that that everyone is onside as far as any taxable gain > they might owe, as the employee will be paying into the program and that > will cover the small insurance premiums.* > > > > *It could lo