--00000000000087acc606190e4121 Content-Type: multipart/alternative; boundary="00000000000087acc606190e4120" --00000000000087acc606190e4120 Content-Type: text/plain; charset="UTF-8" Content-Transfer-Encoding: quoted-printable Hi Germaine, Thank you for the explanation. Maria Cobb *Sr. Manager, Benefits* maria.cobb@thekey.com TheKey.com [image: TheKey] On Wed, May 22, 2024 at 10:04=E2=80=AFAM Germaine Daniels wrote: > Hi Maria, > > Unfortunately, in Canada and USA alike, employers are required to list > taxable and non-taxable benefits separately from an employee's gross inco= me > on the employee's payslip and T4 slip. This separation allows employees t= o > determine the value of their benefits and salary. In addition, this also > ensures the employer is pay slip compliance. Based on the compliance fact= or > we should continue to reflect the benefits as itemized deductions on the > employees pay slips and proceed with setting up the two additional benefi= t > 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 an= d > 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 d= o > 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 yo= ur >> thoughts. >> >> "*Maria,* >> >> * I was thinking about this on my way in today and I think we can >> simplify the whole thing and create less problems with Ceridian if we >> change how we are reporting things to them. Ultimately it doesn=E2=80= =99t need to >> be so detailed on the paychecks.* >> >> >> >> *I would suggest that we reduce the columns on the p