Canada Revenue Agency Announces New T4 Reporting Requirements
The Canada Revenue Agency (“CRA”) recently announced that employers will be required to comply with additional T4 reporting requirements for the 2020 tax year to help the CRA validate payments made under the CERB, CEWS and CESB. All employers will be required to report separately all employment income and retroactive payments made to employees in four defined periods in 2020 using new information codes corresponding to the defined periods, regardless of whether the employer or employees received benefits under the CERB, CEWS or CESB. The CRA announcement is available here.
Further information about the recent updates to the CEWS is available in our McCarthy Tétrault Tax Perspectives blog here.
We are continuing to monitor these and other changes to the COVID-19 economic response plan. Watch our Navigating New Realities and Possibilities - Hub for Business Leaders and McCarthy Tétrault Employer Advisor and Tax Perspectives blogs for further updates. In the interim, for additional assistance, please contact any member of our National Tax or Labour & Employment teams.