December Year-End Readiness Update

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?

*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. 

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


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...

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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...

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