T1 - Deductions

I know this has been mentioned before but I am going to mention it again hoping it can gain some traction this year.

I would like to be able to add rows under the deduction tab and in particular under Line 212 section.
It would be nice in other locations as well I imagine.


I wish I could hit the like button more than once @Arliss

Yes, one of the things I miss is the ability to list the individual dues and memberships that a person has receipts for. Most professionals renew their memberships each year, and having individual lines carried forward from the prior year makes it easy to see if there are any missing.

It would be really nice to be able to “add lines” in the “other” section.

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Yes, I’ve run into this as well. I end up doing a tape and putting the details there but it would be easier to add lines.

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Agreed, tapes do work, but you would still need to open up last year’s return and check the tape in order to confirm whether or not the client has missing dues receipts this year. The Description does carry forward on the “other” line, so if multiple lines were permitted in this area (like the donation or medical worksheets) it would be easier to determine if you have been provided with each receipt, or otherwise ask the client why payment to a specific organization is missing from the current year.

Unlike donations or medical expenses, most professionals belong to, and pay dues to the same organizations year after year, so a carry forward of the descriptions works well here.

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how are you guys dealing with the other problem, ie, a T4 that has union dues on it, but also separate receipts from the union that add up to less…

Agreed, the tape is just a crude work-around.

It depends on the union to which the employee belongs. For instance, around here a couple of the big ones are the LIUNA, IUOE, and IBEW. Any T4 slip issued from an employer with an employee dispatched out of one of those local halls should not have union dues on it, and if it does, the instructions are to ignore the dues.

Sometimes the dues are higher on the T4 because of timing. Dues are deducted from the employee on a payroll basis (usually weekly). The amount on the employee’s dues receipt is based on what the hall has actually received for that employee during the year. If the employer hasn’t sent their December dues until January then the official dues receipt from the hall would be lower.

Either way, the T4 should not have anything on it for union dues.

Bert, use the T4 amount. What tends to happen is the union issues receipts for what they have received, but they may receive after the dues have been withheld (following month)

James Leventakis |

I can’t speak for all unions, but the few that we have dealings with, the instructions are the employer is not to record any dues on the T4 slip, and if they do the T4 is incorrect. The only receipt that is acceptable as being official is the one issued by the union.

Yes, also a vote for the possibility of extra Line 212 lines…

Just to make it super-easy on T1 Tax-preparers, we somehow need to be clairvoyant to know the intricate details of some agreement that the employer and the union may or may not have with each other (!!)

BUT, actually not - As a T1 tax preparer, we HAVE to use what is on the T4.
If we suspect that the T4-preparer has messed up, the the employee has to go back to the Employer to get a fixed/amended T4 issued.
RC4120-18, at “Box 44” (page 14), currently says:
"Box 44 – Union dues
Use this box only if you and the union agree that the union will not issue receipts for union dues to employees. Keep the certificate of agreement on file in case we ask to see it. Enter in box 44 the amount you deducted from employees
for union dues. Include amounts you paid to a parity or advisory committee that qualify for a deduction. Do not include initiation fees. Also, do not include strike pay that the union paid to union members in this box.
For more information, see archived Interpretation Bulletin IT-103R, Dues Paid to a Union or to a Parity or Advisory Committee."

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SPG, you may be correct. I’m going from memory of what I read in the letter from union that accompanied the T4. It was a year ago, so will confirm when I look into the client file. I recall the client wanted to claim both, but after reading the letter it mentioned that the union received the dues (delayed) from company and that the amount that was withheld from pay was to be used (T4 amount)

Again, it was a year ago so I could be wrong

James Leventakis

You are correct Joe, and in a perfect world (aside from being clairvoyant :grinning:) I realize this would be the best course of action. Unfortunately, Costco ran out of those family size boxes of time, so having the client go back to the employer and try to convince them the slip contains incorrect information isn’t always realistic. I see the same employers repeat the same offense year after year. In my book, if the union has actually issued a receipt, then there must not exist a certificate of agreement, and the amount in box 44 is likely in error. Try claiming both and see how far that gets you on a post assessment review… lol.

A bit off topic, but an example of how it can be difficult to convince a slip issuer they made a mistake…
A couple of weeks ago pensioners with Stelco (US Steel) T4A pension slips started showing up to have their taxes prepared. It seems that 4 months into the year, Morneau Shepell decided they wanted to take a kick at administering the US Steel Pension on behalf of the retirees. When they issued the slips, the pensioners ended up with 13 months worth of pension income on the T4A instead of the usual 12 months. I had 3 clients that I asked if they could speak with the administrator, as I felt the slips were wrong. They made calls and were essentially told essentially administrator knows what they are doing, the slips are fine, and your tax preparer is an idiot.

I just might be an idiot…after all…I’m not the Finance Minister of Canada.

Friday… a mass email goes out to the pensioners. "Morneau Shepell will be sending out Amended T4A forms for the period of May 01, 2018 - December 31, 2018.

The explanation of the error (more like Morneau political word salad) … “The CRA is treating the issue as a payroll error. The CRA has intercepted the initial T4A forms and are in the process of deleteing them from their system. Morneau Shepell will commence refiling the Amended T4A’s with the CRA. This will take approximately 1 week to complete the process. Hold off on filing your taxes until you receive these new forms that will reflect 8 months of pension payments instead of 9”

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Thanks for the heads up. I have a retiree in my neck of the woods.


Morneau Shepell will commence refiling the Amended T4A’s with the CRA. This will take approximately 1 week to complete the process. Hold off on filing your taxes until you receive these new forms that will reflect 8 months of pension payments instead of 9”

How many tries will it take to get it right? Should it be 13 months or 12 months or 9 months or 8 months?

One client, professor at a Maritimes university:
Atlantic Region Canadian Association of Schools of Nursing (ARCASN)
Canadian Association for Nursing Research
Association of Registered Nurses of Newfoundland and Labrador

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I have a professor of nursing with professional dues from four to six different organizations, and they pay some every 18-24 months.

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