Hi @CCW, 

Thanks for reaching out. I found your account ending 400xxxxx503 and have asked the team to follow up with you. Also ran your questions by one of our Senior Analysts who advised that we'll be creating a KB resources for this.  Box 57 to 60 is based on cheque date only, not pay period.

Will update you with any news from the team. 

Warm Regards, 
Erzsi

Update that KB 109022 with subject "Sage 50 is calculating T4 boxes 57 - 60 based on cheque date rather than pay period" is now available.

This has nothing to do with cheque date or pay period.  The program is adding non-cash benefits to those boxes and it should not be.  Per CRA, boxes 57 to 60 should include remuneration PAID to the employee. Non-cash benefits are not paid to the employee.

No, it is obvious that taxable benefits should be included in Box 14 & Box 40 on a T4.

The subject line clearly indicates that boxes 57-60 are reporting non-cash taxable and non-cash non-taxable benefits (eg: benefits premiums, RRSP employer portion - which the employee does not actually receive during the pay period).  Per CRA - These boxes should only be reporting in-cash taxable benefits (eg: cell allowance, EIPRP rebate - amounts the employee actually receives in cash in the pay period).

No, it is obvious that taxable benefits should be included in Box 14 & Box 40 on a T4.

The subject line clearly indicates that boxes 57-60 are reporting non-cash taxable and non-cash non-taxable benefits (eg: benefits premiums, RRSP employer portion - which the employee does not actually receive during the pay period).  Per CRA - These boxes should only be reporting in-cash taxable benefits (eg: cell allowance, EIPRP rebate - amounts the employee actually receives in cash in the pay period).

Hi CCW, thank you for providing some specific details of the benefits in question. Checked in with the team regarding your feedback. They advised that: 

All of these benefits are taxable benefits which, when recorded in Sage 50, are reported as employment income in Box 14 and thus, in Boxes 57 to 60. Employment income includes both cash and non-cash taxable benefits. (Insurable income for EI purposes generally only includes cash taxable benefits.)

We are sorry, we could not find any documentation from the CRA that shows that the employment income reported in Boxes 57 to 60 is different from the employment income reported in Box 14. We believe that the CRA rep that you talked to, either mis-understood your question, or gave you the wrong information.  

From CRA at this link: Frequently asked questions: Canada emergency wage subsidy (CEWS) - Canada.ca
17-02. Are non-taxable employee benefits, such as employer contributions to a registered pension plan or a private health services plan, included in eligible remuneration paid to an eligible employee? New: August 11, 2020

No. Eligible remuneration of an eligible employee means amounts paid to an employee as salary, wages, and other remuneration for which an eligible employer would generally be required to make payroll deductions to be remitted to the CRA. Non-taxable benefits are not eligible remuneration paid to an eligible employee

CCW - I have just checked one set of my T4 forms where there are non-cash benefits and the numbers are correct. The non-cash benefits are considered as income and are taxed so they must be included in Box 14 and subsequently in one of the four new boxes. As for the non-taxable benefits I cannot check as I don't have any with those parameters. I would suggest that they are not showing or there would have been conversation either here or on social media about the problem. My question would be are the benefits set up properly to not be a part of box 14. If they are included in box 14 then they have to also be included in one of the new boxes depending on dates.

CCW

Thank you for the additional information and the link to the FAQ for CEWS. The answer in the FAQ though is referring to “eligible remuneration” for CEWS. The criteria for “eligible remuneration” excludes a number of non-cash benefits, and, as a result, is different from “employment income”. However, according to the CRA documentation for T4 reporting, employment income is to be reported in Boxes 57 to 60.

I fully agree with your notes, Kathleen, too many people are taking these boxes to be reporting for other subsidies and they are not related. The amounts here are the total employment income that attracted the statutory deductions for each period. Forget CEWS or TWSE as those are employer subsidies and are not reported on an employee basis.