Wrapping up payroll for 2012

Year-end reporting requirements include new compliance measures
By Tina Beauchamp
|Canadian HR Reporter|Last Updated: 12/04/2012

As another year-end approaches, payroll practitioners are starting to prepare for the distribution and filing of tax slips for employees. Here’s an overview of some of the reporting requirements for the 2012 tax year as well as new compliance measures to get payroll prepared for the first pay run of 2013.

Temporary EI hiring credit for small business extended to 2012: The federal government has extended the temporary employment insurance hiring credit for an additional year. If an employer’s shares of EI premiums were $10,000 or less in 2011 and the premiums for 2012 have increased, it will be eligible for a refund of the difference up to $1,000.

New direct deposit option: Canada Revenue Agency (CRA) is now offering employers the choice to set up direct deposit to receive the EI hiring credit refund as well as refunds from GST/HST, payroll or corporate income tax. The organization must complete and file form RC366 to establish direct deposit.