December Year End Readiness Update
Year-End is almost here!
RGB Accounting and ADP want your Year-End to be less stressful and less work. After processing your last payroll for 2021, ADP will automatically run a new Tax Form Trial Run Report.
What should you do?
- Locate and review your Tax Form Trial Run Report. To find out how to locate it in your product, visit The Bridge > Choose your Product > FAQs.
- Complete any Year End Response Forms that apply to your company.
*NEW – Tax Profile Change Form. Requesting updates to company rates or exemptions is faster than ever with a new intuitive form!
- Process any final adjustments for 2021 before your last payroll. This will ensure ADP submits all remittances to the appropriate government agencies by the deadline.
How can you be prepared?
- Register to attend a Year-End Readiness Client Webinar. Look out for an email invitation.
- Complete ADP’s Introduction to Year-End & Balancing Training on The Bridge > Year-End > Choose your product > Training & Tutorials.
- Register to attend CPA Training, at Member pricing, using promo code “ADP21” for Legislative Update: Year-end and New Yearor Year-End and New Year Requirements
Year-End Legislative Updates
- T4 Codes 57-60 introduced in 2020 for COVID-19:CRA has confirmed these codes are not required for 2021
- T2200 Short- Working from home during COVID-19: The Canada Revenue Agency (CRA) has not yet announced how working from home, due to COVID-19, will be handled for the 2021 taxation year. ADP is closely monitoring announcements and will communicate any updates in future newsletters, the Bridge and Webinars
- Dynamic Federal Basic Personal Amount: On December 9, 2019, the Federal Government proposed a plan to increase the Basic Personal Amount (BPA) to $15,000 by 2023 for the Middle Class. The Basic Personal Amount (BPA) gradually reduces for individuals with a high net income (over $150,473):
- As of January 2022, the Canada Revenue Agency (CRA) requires Payroll Service Providers to implement system changes to use a dynamic calculation for determining an employee’s Basic Personal Amount (BPA).
- The dynamic calculation will consider an employee’s estimated annualized earnings, every pay, to determine net income, used to determine the Basic Personal Amount (BPA).
- Currently, ADP applies a static exemption to employees with standard exemptions. As of January 1, 2022, ADP will use the dynamic calculation, and as a result, a high-income earner may see a slight increase in their federal income tax deduction.
- Have your employees complete a new TD1 Form every year and make the required changes, in your product, before processing your first payroll of 2022.
For more information, please visit the CRA website
Don’t hesitate to contact RGB Accounting by phone at (416) 932-1915 or by email at [email protected] if you need help with this matter. We’ll be pleased to assist you.
Source: ADP Canada
Newsletters
Newsletter December 2021
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Newsletter – June 2021
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Newsletter – May 2021
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Newsletter – April 2021
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Events & Sponsorship
Toronto Entrepreneurs Conference @ Mississauga
May 08, 2019 Our B.E.S.T. (Business Entrepreneurs Services Team) Group has participated in this event for first time. Toronto Entrepreneurs Conference and Trade Show is the largest Entrepreneurs event in Canada. The event which targets business owners, partners or...
Hispanic Fiesta 2018
September 04, 2018 RGB Accounting will participate in this event for a second year in a row. Hispanic Fiesta will be held at Mel Lastman Square in Toronto during the Labour Day Weekend, August 31st, Sept. 1, 2, & 3, 2018. Hispanic Fiesta is a four-day celebration...
Secure Your Future Seminar 2018
June 20, 2018 This event gathered business owners running a small or medium-sized business, self-employed and incorporated businesses willing to learn tax saving strategies to help them utilize their company assets to secure their retirement. We are proud of having...
2nd Latino Business Expo Show
May 19, 2018 The 2nd Latino Business Expo Show held on May 19th at Daniels Spectrum gathered a wide range of entrepreneurs and business owners avid to learn how to take their businesses to the next level. RGB Accounting participated as vendor and speaker at this...
Hispanic Fiesta 2017
September 04, 2017 Hispanic Fiesta, a celebration of Spanish and Latin-American: Arts, Food, Music and Entertainment, is a four-day celebration filled with the splendid sounds, tempting treats and colorful culture featuring 300 local, national and International...
Articles & Publications
The Surprising Medical Expenses You Can Claim with the CRA!
The Surprising Medical Expenses You Can Claim with the CRA! In the realm of medical expenses, which are often deemed both essential and financially burdensome, the Canada Revenue Agency (CRA) emerges as a potential source of relief for Canadians. While the CRA...
Shareholder Owners Salaries vs Dividends
Shareholder Owners Salaries vs Dividends. Which Method is Better for You? When is it better to pay yourself a salary vs. dividends as the owner/manager of a corporation? Each method has pros and cons, and as a business owner, you should be aware of your options...
Understanding the Shareholder Loan
Understanding the Shareholder Loan. How to Use it to your Advantage and Stay Compliant with CRA If you are the owner-manager of a corporation, understanding the concept of the shareholder loan is essential to running your business. Below I will explain what a...
GST/HST for digital economy businesses
GST/HST for digital economy businesses Overview New rules for digital economy businesses are in effect as of July 1, 2021. As of July 1, 2021, digital economy businesses, including digital platform operators, may have potential goods and services tax/harmonized sales...
Ten things to know before filing your tax return this year
Ten things to know before filing your tax return this year Here are ten things to keep in mind as you work your way through this tax season. The deadline The regular tax-filing deadline for most individuals is usually April 30, but you have until May 2 this year to...