Payroll

Books and records

Retention period - There is a six year requirement for keeping your books and records.

Early destruction - In some cases, we may give you permission to destroy your books and records before the six years have passed.

Death of an owner

When the owner of a sole proprietorship dies, a final personal income tax and benefit return has to be filed by a certain date.

It may also be necessary to close all CRA business accounts and the business number once all final returns are processed and all amounts owing are paid.

Hiring employees

Hiring your first employee - You will have to register for a payroll account and get your employees to complete a TD1 form within seven days of any change or new employment.

Registration

Most employers, trustees, and administrators need a payroll account.

Remittance due dates

Remittance due dates are determined by your remitting periods, see Remitter types and due dates.

Returns

If you have employees, file your T4 and T4A returns by the last day of February each year. Also, give your employees their copies of the T4 and T4A slips.

Stop operating

Closing accounts or Suspending operations - Send all CPP contributions, EI premiums, and income tax deductions to your tax centre within seven days of the day your business ends.

Complete the necessary T4 slips and T4 Summary and send them to the Ottawa Technology Centre within 30 days of the day your business ends.

Service Dates

• T4 Internet filing options are available from January 9, 2006, to early December 2006.
• Tables on Diskette (TOD) is usually updated January 1 and July 1.

Related Topics

• All you need to know about Payroll.