I am new to Tax Cycle so my apologies for asking silly questions.
I am preparing a T2 return and created couple of T5 slips and then published. Now at my T2 screen a Slip Sync option should appear ( as per the help instructions) but I could not locate it anywhere.
Also, my client has submitted T4 returns already in CRA before end of Feb which I need to Sync into T2 return to show ‘Salaries’ on S125. How do I sync that?
Slip Sync is used to import T4s, T5s, etc into a T1 file. I don’t think it applies to a T2 (not 100% sure). T slips issued to corporations are largely irrelevant, since the income they report must be recorded in the corporate books already.
T slips that were issued to individuals by other organizations should be on file at CRA - use AFR to import them into TaxCycle T1 module (just like any other tax software).
My questions are around Corp issue T4 to employees and T5 to shareholders. Those slips must be accounted in T2. I am sure this is a basic feature. I just could not figure out in TaxCycle software.
I’ve never tried to use SlipSync with a T2, so maybe @Steven can answer that.
I recognize that you must report dividends paid on the S3, so maybe it would make sense to have some connection to the T5. But salaries paid to employees don’t need to be reported anywhere on the T2, other than S125, which you would normally import from the bookkeeping software or Caseware or whatever, via GIFI codes. Similarly, if your GIFI import includes code 3700 or 3701, TaxCycle will prompt you to enter it on S3 - just click the link in the yellow warning message and TaxCycle will copy the amount from the S100 to the S3.
T4s and T5s are on a calendar-year basis, while T2s often are not. This is one reason you don’t report them directly on a T2 like you do on a T1.
s125 (and s100) are from the company financials. T4’s and T5’s have little to do with that. SlipSync is for T1’s only.
Thank you so much guys for all your guidance. It really helps.