Stopped CPP contributions in 2019, trouble with program to maintaining stopped status in 2021

[MDG]

I elected to stop CPP contributions on Self-employed income in 2019 and filed the appropriate Schedule 8.

In the 2021 Ufile program,  the Control page, Canada Pension Plan section, I am only responding to Prior CPP Election question "did you make an election in a prior year to stop contributing to the CPP?", with "Yes" input from the dropdown.

When I do the review, no warnings.  When I click on Tax Return, UFile is giving me an Electronic Filing Error, and stipulating : "you are at least 65 years of age but under 70, you received CPP/QPP retirement pension, and you have earned self-employment income.  You must identify if a Form CPT30 was completed to stop contributing to the CPP, or to revoke an election made in a prior year to stop contributing to the CPP and the date of the election ."

What is the proper fix fro this? 

Marc

[TheTaxSmith]

It's just a warning. If you have done what you said then all is ok. Your Yes response to the prior year was all that was needed.

[GTOG]

How do stop cpp on self employed income I cannot seem to find this out. 

[Geo123]

 

Hello GTOG,

All workers aged 65 to 70 years old must pay CPP contributions, even if they are receiving a Canada Pension Plan (CPP) or Quebec Pension Plan (QPP) retirement pension.

As a recipient of the CPP who is working, you have to contribute to the CPP unless you are in one of the following situations:

a) You work in Quebec.

b) Your employment is not subject to CPP.

c) You are a self-employed worker and you live in Quebec.

d) You are at least 65 years old but less than 70 and have made an election to stop contributing to the CPP.

The program will produce a warning to inform you that you must indicate whether you have made a selection, because relevant information must be entered in the "Controls" section of the software.

To stop contributing to the CPP, you must have received CPP benefits and you must have received a T4A (P) slip.

An election filed using Form CPT30 applies to all income from pensionable earnings, including self-employment earnings.

As a self-employed individual, if you do not wish to contribute to the CPP, please follow the steps below:

1- On the "Left side menu on the Interview tab", select the "Controls" option.

2- On the "Canada Pension Plan" section, under "If you had employment earnings:", go to the question "Did you make a CPT30 election in 2022?". If you had both employment income and self-employment income in 2022 and wanted to elect to stop paying CPP contributions in 2022, answer "Yes" from the drop-down menu, then enter the election date.

3- On the section, "If you had self-employment income (see help?)", go to question "Did you want to stop contributing to the CPP on self-employment income?".

4- For the question, "If you answered Yes to the question above, enter the election date (01-mm- 2022 ) to stop contributing to the CPP (Schedule 8 L.50372) or to revoke an election made in a prior year to stop contributing to the CPP (Schedule 8 L.50374) ", click on the drop down menu and select "Elect to stop contributing to the CPP"and in the box to your right enter the date "(dd-mm-yyyy).

5 - Click on "Next" at the bottom of the page.

Schedule 8 will be generated by the program. In Part 3, the software will calculate your CPP contributions on employment income. In Part 4, the software will calculate CPP contributions on self-employment income and you had no employment income. In Part 5, the software will calculate for the CPP contribution on self-employment income, when you had an employment income.

For more information on the changes to the CPP rules, please visit the following links:

https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/payroll-deductions-contributions/canada-pension-plan-cpp/changes-rules-deducting-canada-pension-plan-cpp-contributions.html

https://www.canada.ca/en/revenue-agency/news/newsroom/tax-tips/tax-tips-2013/workers-aged-60-over-make-sure-you-clear-on-cpp-contribution-rules.html

[Julia2023]

Hello Administrator,

I followed your steps and fill in the date of start the election of stopping contribution to CPP from 01-01-2023, but the schedule 8 is not generated, and there comes a warning shows an error below:

"You entered a date to stop contributing to the CPP, or to revoke an election made in a prior year to stop contributing to the CPP, but you do not qualify to do this election. The date you entered has not been considered by UFile Click here to fix."

I have been tried many times and it continues showing up. How can I solve this problem?

 

Thank you,

Julia

[Geo123]

Hello Julia2023,

Please contact UFile Support so we may review the account.  
You can open a request ticket and submit a request on-line at https://www.ufile.ca/contact/contact-us

[Julia2023]

Thank you Geo123, I submit the request this morning and hopefully this will be solved soon. 

The screenshot is as below, schedule 8 does not appear.

Can we print the tax file and attach a schedule 8, then mail them to CRA? But the result on tax file will be not correct when calculated with election of stopping contribution to CCA, that's the part of another confusion. What should we do to fix it?

[TerryD]

I am having the same problem.

I am in receipt of CPP, and I have no employment income, only self employment.

I elected to stop CPP on self employment in prior years, and cannot seem to continue that election into the 2023 return.  

I have successfully filed on that basis in prior years.

I  have tried various combinations of the self employment income question

NO - I did not make an election in 2023/YES I did make an election in a prior year (This is the true answer)

YES, I want to make an election in 2023 with a start date of 01/01/2023 and YES, I made a prior election

YES, I want to make an election in 2023 with a start date of 01/01/2023 and NO, I did not make a prior election

On each of those combinations, I get a warning that prevents me from electronic filing.

Any advice?

[Geo123]

Hello TerryD,

All workers aged 65 to 70 years old must pay CPP contributions, even if they are receiving a Canada Pension Plan (CPP) or Quebec Pension Plan (QPP) retirement pension.

 As a recipient of the CPP who is working, you have to contribute to the CPP unless you are in one of the following situations:

 * You are a self-employed worker 

* You are at least 65 years old but less than 70 and have made an election to stop contributing to the CPP.

The program will produce a warning to inform you that you must indicate whether you have made a selection, because relevant information must be entered in the "Controls" section of the software.

To stop contributing to the CPP, you must have received CPP benefits and you must have received a T4A (P) slip.

An election filed using Form CPT30 applies to all income from pensionable earnings, including self-employment earnings.

As a self-employed individual, if you do not wish to contribute to the CPP, please follow the steps below:(2022 example)

1- On the "Left side menu on the Interview tab", select the "Controls" option.

2- On the "Canada Pension Plan" section, under "If you had employment earnings:", go to the question "Did you make a CPT30 election in 2022?". If you had both employment income and self-employment income in 2022 and wanted to elect to stop paying CPP contributions in 2022, answer "Yes" from the drop-down menu, then enter the election date.

 

3- On the section, "If you had self-employment income (see help?)", go to question "Did you want to stop contributing to the CPP on self-employment income?".

4- For the question, "If you answered Yes to the question above, enter the election date (01-mm- 2022 ) to stop contributing to the CPP (Schedule 8 L.50372) or to revoke an election made in a prior year to stop contributing to the CPP (Schedule 8 L.50374) ", click on the drop down menu and select "Elect to stop contributing to the CPP"and in the box to your right enter the date "(dd-mm-yyyy).

5 - Click on "Next" at the bottom of the page.

Schedule 8 will be generated by the program. In Part 3, the software will calculate your CPP contributions on employment income. In Part 4, the software will calculate CPP contributions on self-employment income and you had no employment income. In Part 5, the software will calculate for the CPP contribution on self-employment income, when you had an employment income.

For more information on the changes to the CPP rules, please visit the following links:

https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/payroll-deductions-contributions/canada-pension-plan-cpp/changes-rules-deducting-canada-pension-plan-cpp-contributions.html

[TerryD]

I had no employment income

I had only pension and self employment income

I am between 65 and 70 years of age

I did make an election in prior years to stop contributing on self employed income, and have filed on that basis in 2022 and earlier years.

I completed the controls section as advised above (except for date I used 01-01-2023 as this is my 2023 return.

I received the following message

"Tax calculations completed successfully.

However, some errors prevent electronic filing. Please review the Messages section for more details."

 

 

" Electronic Filing Errors

A tax return was generated. However, the errors below prevent the transmission of your declaration.

Terry Duggan

 You cannot currently NETFILE the federal return. Please review the following reasons, and make corrections when possible. If an (*) appears at the end of an explanation below, it denotes a NETFILE exclusion (i.e. the return cannot be transmitted).

You are at least 65 years of age but under 70, you received a CPP/QPP retirement pension, and you have earned self-employment income. You must identify if a Form CPT30 was completed for 2023 to elect to stop contributing to the CPP, or to revoke an election made in a prior year to stop contributing to the CPP and the date of the election. Click here to fix."

Is there no way to use NETFILE ?

 

[Geo123]

Hello TerryD,

RE : You are at least 65 years of age but under 70, you received a CPP/QPP retirement pension, and you have earned self-employment income. You must identify if a Form CPT30 was completed for 2023 to elect to stop contributing to the CPP, or to revoke an election made in a prior year to stop contributing to the CPP and the date of the election. Click here to fix."

Please contact UFile Support so we may review the file confidentially. Please include above note.
Please open a request ticket and submit an anonymous file for review on-line at https://www.ufile.ca/contact/contact-us

[TerryD]

can I upgrade to Ufile Premium so that I can speak with someone?

[TerryD]

Sorry, that shgould be 

HOW can I upgrade to Ufile Premium so that I can speak with someone?

[Geo123]

Hello TerryD,