What's new for payroll

• Employment Insurance Premium Reduced to $1.80 for 2007 (Finance Canada Web site)
  
  
• CPP pensionable earnings ceiling for 2007 up to $43,700
  
  
• Starting January 1, 2007, you can use our new Payroll Deductions Online Calculator. It will have the same features as the CD version of the tables, without the hassle of downloading or installing the program. The online calculator will be compatible with all users’ operating systems. By using the calculator, you will help us reduce printing and mailing costs, and thus save public funds.
  
  
• Changes are coming for the mail-out of Tables on Diskette (T4143). In keeping with our goal to be environmentally conscious and reduce paper waste, we are significantly reducing the volume of paper payroll products we produce each year. The January 1, 2007, edition of Tables on Diskette will be published in limited quantities. Our goal is to phase out the CD version of the tables by January 2008.
  
  
• Payroll tables, TD1, and more
  
  
• 2006 Automobile Deduction Limits and Expense Benefit Rates for Business Confirmed (Finance Canada Web site)
  
  
• Effective January 2007, the Automobile Benefits Online Calculator will not be available through Tables on Diskette (TOD).
  
  
• Under proposed legislation, individuals will be entitled to a non-refundable tax credit on their tax return for public transit passes bought for travel that occurs after June 30, 2006. An employer-paid transit pass is eligible as long as the amount of the monthly (or longer duration) pass is included in the employee’s income as a taxable benefit.
  
  
• Under proposed legislation, employed tradespersons (including apprentice mechanics) may be able to deduct the cost of eligible tools they purchased after May 1, 2006, to earn employment income as a tradesperson. Employers will be required to complete Form T2200, Declaration of Conditions of Employment, to certify that the employee must acquire these tools as a condition of, and for use in, his or her employment.
  
  
• It is mandatory to report fisher’s income on a T4 slip starting with the 2006 tax year (reporting in 2007).
  
  
• Quebec Parental Insurance Plan (QPIP) - Employees working outside Canada
  
  
• You no longer need the T4 Segment or T4A Segment when filing less than 500 slips on paper. However, if you choose to use the Segment, split your slips into bundles of 200 slips for T4s and 300 slips for T4As (100 sheets), and include a Segment (available in electronic format only) on the top of each bundle. If you file 500 or more slips, you must file on magnetic media. If you file on magnetic media or by Internet, do not send us a paper copy of your return.