Transcript

Host: Welcome to the segment called After you file information returns, part of the Preparing T4 and T4A Information Returns – Slips and Summaries video.

In this segment we mention links where you can get more information. You can find them in the Related links for this segment.

I’m Kathleen Sinclair, your host for this segment.

With me is Frank Stewart. Welcome Frank.

Subject matter expert: Pleased to be here Kathleen.

Host: What happens after a T4 or T4A information return has been filed?

Subject matter expert: After the CRA receives your return, they will check to make sure it’s completed fully and correctly, enter the information return data into the processing system, and contact you if there are any problems.

Host: What if the T4 or T4A information return has errors in it or isn’t fully completed?

Subject matter expert: Errors or omissions can cause processing delays. The CRA may then have to contact you for more information or to ask you to make adjustments.

Host: So let’s focus on the T4 information return. What does the CRA look for when it processes them?

Subject matter expert: When you file an information return, the CRA reviews the information slips and the corresponding summaries and checks the calculations you made on the slips to make sure that the Canada Pension Plan, or CPP, contributions, the employment insurance, or EI, premiums match the deductions you remitted to your payroll program account during the year.

The CRA matches the pensionable and insurable earnings you reported on the T4 slips with the required CPP contributions or employment insurance premiums shown in the payroll deductions tables.

This is a way for the CRA to make sure that employees will receive the correct benefit amounts should they retire, die, or become unemployed or disabled.

Host: What happens if there are errors in my calculations?

Subject matter expert: If you report an amount that is less than the ' required CPP contributions or employment insurance premiums, the CRA will send you the figures in a pensionable and insurable earnings review, or PIER, listing. The listing shows the name of the employee affected and the figures used in the calculations.

The PIER listing shows the amounts that the CRA will ask you to pay if you don’t send them a correction or explanation of the differences. You can correct errors or request changes before the CRA asks you to pay the amounts calculated in the PIER listing.

Host: What happens if I have a balance due?

Subject matter expert: The CRA will also include a PIER summary with the listing, which will show any amount you owe the CRA. You will be responsible for either remitting the amount owing, or for explaining why you don’t owe the amount.

Host: Will I be penalized?

Subject matter expert: Depending on the amount you owe, you might be.

For more information, go to the Penalties and Interest segment of this video.

You can also get more information on PIER listings by going to the CRA webpage on that topic.

Host: What do I do with the PIER listing when I receive it?

Subject matter expert: If you agree with the CRA’s calculations and you’re remitting the exact amount shown on the PIER listing, don’t return the report to the CRA.

However, if you want to correct the calculations or a social insurance number, or submit information so the CRA can update your file, return the PIER listing explaining the changes.

Host: Where can I find out more about PIER listings?

Subject matter expert: More information is available in the following publication: T4001, Employers’ Guide – Payroll Deductions and Remittances.

Host: Thank you Frank.

This concludes the segment called After you file information returns, part of the CRA’s Preparing T4 and T4A Information Returns – Slips and Summaries video.

Thank you for watching.