Avoid penalties
Late or incorrect slips can bring CRA penalties and interest.
Tax guide · 5 min read
Information returns in Canada
T4, T4A, T5 and T3 slips explained: what each one reports, who issues and receives it, and when it’s due, so your business stays compliant and your recipients can file with confidence.
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End of Feb
Deadline for T4 and T5 slips and their filings with the CRA
March 31
Deadline for T3 slips, usually issued later than T4 and T5
$500+
Paid in a year means a T4A must be issued
$100+
Earned in a year means a T3 is issued
What are information returns?
Businesses in Canada may be required to file information returns with the Canada Revenue Agency (CRA). These returns report income your business has paid to employees, shareholders or contractors, which keeps everyone aligned with Canadian tax law.
The four most common are:
- T4 for employment income
- T5 for investment income such as dividends and interest
- T4A for pensions, annuities, and self-employment or contract income
- T3 for income from trusts and estates
Why filing them matters
Accurate, on-time information returns help your business:
Stay compliant
Meet Canadian tax reporting requirements without surprises.
Support recipients
Give people the right slips for their personal or corporate tax filings.
Employer and business obligations
Filing with the CRA is only half the job. You must also give copies of the slips to the individuals or companies you paid:
- Salary or wages
- Dividends or interest
- Pension or annuity payments
- Contract or self-employment payments
The purpose is twofold
- To make sure all income paid, and all tax withheld, by your business is properly reported to the CRA.
- To give recipients the slips they need to file accurate personal or corporate tax returns.
The four slips at a glance
| Slip | Reports | Issued when | Deadline |
|---|---|---|---|
| T4 | Salary, wages and other taxable employment amounts | You pay employees during the year | End of February |
| T5 | Dividends, interest and other investment income | You pay investment income to shareholders or investors | Last day of February |
| T4A | Pensions, annuities, contract and self-employment income, scholarships | You pay $500 or more in a year | Per CRA guidance |
| T3 | Trust, estate, mutual fund and ETF income | A recipient is allocated more than $100 | March 31 |
Slip 1
T4: Statement of Remuneration Paid
If you hire employees during the year and pay salary, wages or other taxable amounts, you must prepare a T4 for each one and file it with the CRA by the end of February after the calendar year. Each employee also gets a copy, which they use to report their employment income on their personal return.
The CRA uses the T4 amounts to check the tax you withheld and match it with the remittances you made during the year. If there’s a shortfall, you pay the difference. If you overpaid, it’s refunded or credited.
Taxable benefits
T4 slips also report taxable employee benefits in their own boxes, and employers are responsible for calculating them correctly. Common examples are standby charges, employee loans and allowances.
The 13 most common T4 boxes
| Box | Name | What it reports |
|---|---|---|
| Income | ||
| 14 | Employment income | Total salary, wages, bonuses and other taxable employment income before deductions |
| 40 | Other taxable allowances and benefits | The value of taxable benefits, such as employer-paid health benefits, a company car or a housing allowance |
| 42 | Commissions | Income earned through sales commissions |
| Deductions | ||
| 16 | Employee’s CPP contributions | Canada Pension Plan contributions withheld |
| 18 | Employee’s EI premiums | Employment Insurance premiums withheld |
| 22 | Income tax deducted | Federal and provincial income tax withheld at source |
| Insurable and pensionable earnings | ||
| 24 | EI insurable earnings | The earnings on which EI premiums are based |
| 26 | CPP/QPP pensionable earnings | The earnings on which CPP/QPP contributions are based |
| Other | ||
| 44 | Union dues | Dues paid to a union |
| 46 | Charitable donations | Donations deducted through payroll |
| 50 | RPP contributions | Registered pension plan contributions |
| 52 | Pension adjustment | The pension benefit earned in the year, which affects RRSP room |
| 85 | Employee-paid health premiums | Private health plan premiums paid by the employee |
CPP and EI contribution maximums change every year, so check the CRA’s current figures. See the CRA’s T4 guide for every box.
Slip 2
T5: Statement of Investment Income
A T5 is issued when you pay investment income to shareholders, investors or individuals. That can include dividends from Canadian corporations, interest on bonds, term deposits and other investments, and certain other investment-related payments.
You must also file a T5 Summary with the CRA. The deadline for filing T5s and giving recipients their slips is the last day of February after the calendar year.
Dividends
Dividend boxes
- Box 10 Actual dividends (other than eligible)
- Box 11 Taxable dividends (other than eligible)
- Box 12 Dividend tax credit (other than eligible)
- Box 24 Actual eligible dividends
- Box 25 Taxable eligible dividends
- Box 26 Dividend tax credit (eligible)
Interest & other
Other common boxes
- Box 13 Interest from Canadian sources
- Box 15 Foreign income
- Box 16 Foreign tax paid
- Box 17 Royalties
- Box 18 Capital gains dividends
See the CRA’s T5 guide for the full list of boxes.
Slip 3
T4A: Pensions, annuities and contract income
The T4A is issued by businesses, organizations and institutions to report income other than employment income. Unlike the T4, it covers contract and self-employment payments, pensions and more.
Who receives a T4A?
- Self-employed people and contractors paid fees for services
- Pension and retirement income recipients (RRSP annuities, RRIF payments, other pensions)
- Scholarship, bursary and research grant recipients
- Recipients of lump sums, death benefits or service fees
Who issues a T4A?
Businesses, institutions and organizations must issue a T4A when they pay $500 or more in a year. Some issue slips for smaller amounts as well.
Reporting T4A income
T4A income goes on your T1 personal tax return:
| Type of income | T1 line |
|---|---|
| Pension income | Line 11500 |
| Other income | Line 13000 |
| Scholarships | Line 13010 |
See the CRA’s T4A guide for more.
Slip 4
T3: Income from trusts and estates
The T3 (Statement of Trust Income Allocations and Designations) reports income from trusts, estates, mutual funds and ETFs.
Who receives a T3?
Anyone allocated income from a trust, which can include:
- Capital gains
- Interest income
- Dividends, Canadian or foreign
- Foreign income and foreign tax paid
- Return of capital (ROC)
Who issues a T3?
Trusts, mutual fund companies, investment firms and estate administrators issue a T3 when you earned more than $100 in the year.
When
T3s usually arrive later than T4s and T5s. The deadline is March 31 after the calendar year.
Reporting T3 income
- Each box matches a specific type of income.
- Some amounts, such as return of capital, change your adjusted cost base (ACB).
- Even if you never receive a T3, you still must report the income you earned.
See the CRA’s T3 guide for more.
This guide is general information, not tax advice. Rules, thresholds and deadlines change, so confirm the details for your situation with a tax professional.
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