Remitting Payroll Deductions to the CRA
Did you know that every employer, whether you are the sole employee or you employ hundreds of workers in your company, is required to remit monthly payroll deductions? These payroll deductions are made to the Canada Revenue Agency (CRA). These remittances include the employer and employee portion of CPP and EI as well as income tax withheld on behalf of your employee(s). IMPORTANT: These remittances are due on the 15th of each month (for most businesses. Business may have a different date.) Make sure you mark the appropriate date on your calendar!
If you are unsure how much to remit, the CRA has provided an online calculator to assist you with your calculations. Follow the instructions for each employee on this page. You will need to know:
- How much the employee is being paid
- The date and frequency of payment
- How much CPP and EI has already been submitted within the year for each employee
Once you know how much to remit, you can make your payment in a variety of ways. The easiest way to pay is online at the CRA website. You will need your payroll account number. Select “Start My Payment”, then select “Payroll source deductions.” You can also make a payment at any major financial institution or through your online banking account. If this is your first time making payroll remittances, you may need to register for a payroll account number. If you are an individual that is self-employed, you can register online here. If you are incorporated, you will need to fill out form RC1B – Payroll Deductions Program Account Information.
We are always here to help at RLB! If you have any questions or concerns, please contact me at email@example.com or at 519-822-9933 ext. 351.