The amount in box 82 of the T4 slip must be entered within a T4 footnote and as a T2125 business or professional activities income.

[SV2022]

Hi

I am getting the following error message which is preventing me from submitting. can you please help

The amount in box 82 of the T4 slip must be entered within a T4 footnote and as a T2125 business or professional activities income.

Thanks

 

 

[Geo123]

Hello SV2022,

T4 slip - Box 82 - Taxi driver
If you are considered an employee, your employer must deduct the CPP/ QPP contributions, EI premiums, PPIP premiums and income tax as he or she would for regular employees.

However, if you are not considered an employee, but a self-employed worker, the business owner must still deduct your participation in the employment insurance program and enter on a T4 slip your contribution as a worker. If you are a Quebec resident, you must in addition enter your PPIP (QPIP) contribution, as well as your gross income in Box 82 of the T4 slip.

For more information, consult the following links from the CRA's website:

https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/completing-filing-information-returns/t4-information-employers/special-situations/taxi-drivers-drivers-other-passenger-carrying-vehicles.html

https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/payroll-deductions-contributions/special-situations/taxis-drivers-drivers-other-passenger-carrying-vehicles.html

For more information, consult the following link from Revenu:

https://www.revenuquebec.ca/en/businesses/source-deductions-contributions/calculation-of-source-deductions-and-employer-contributions-in-certain-situations/type-of-employment/

If you received a T4 slip with an amount in Box 82, you are considered self-employed. Please follow the procedure below.

1. On the "Left-side menu under the Interview tab", click on "T4 and employment income".

2. On the right-hand side of the screen, select "T4 income (earned in any province except Quebec)", or "T4 and RL-1 (Relevé 1) income earned in Quebec" and enter the information shown on your T4 in the appropriate boxes, namely boxes 18 and 24, as well as boxes 55 and 56 for Quebec residents.

3. Go to the bottom of the "T4 slip income" page, and in the last section entitled "Other information (click on the triangle to see the list of choices)", choose "Memo Box 82 Drivers of taxis & other passenger-carrying veh." from the drop-down menu and enter the amount in the field.

Once you have followed the steps above, you must also enter the amount in box 82 of the T4 as business income. To do so, please follow these steps:

1. Return to the "Left-side menu under the Interview tab" and select "Interview setup". On the right-hand side of the screen, go to the "Self-employment" group and check "Self-employed business income". Also, if you have paid installments, go to the "Instalments and tax transfer" group and check "Tax paid by instalments and tax transfer" and click "Next" at the bottom of this page.

2. Select the line "Self-employment income" that appears under the "Left-side menu under the Interview tab"; and on the right side of the screen, choose one of the T2125 forms that best represents your business. As a rule, you should choose "T2125 - Business income".

3. On the "Business identification" page, enter your full name on the line "Business name" and enter the other mandatory information in the sections marked with a red asterisk.

4. For the line "6-digit code from the North American industry classification system", enter the code that best describes your industry. If you do not know the code, click on the question mark (?) located on the right side of the box to access a list of the codes.

5. On "Income, expenses", enter $0, 00 on the line "Gross sales, commissions or fees" and enter the amount in Box 82 on the line for "Drivers of taxis & other passenger-carrying veh. (T4 Box 82) (Enter the total if you have more than one amount)".

6. If you have any expenses related to this income, fill out the boxes according to each description.

7. Under the sub-heading "Motor vehicle expenses", choose the option that suits you the only currently accessible is "Leased motor vehicle (other than passenger vehicle)".

If you own your taxi vehicle, you must go to the DPA subsection because Category 16 is only accessible here. Because the depreciation rate is 40% for taxis.

Enter the relevant information to claim the depreciation on the vehicle. For other expenses that are calculated based on the total mileage versus that for business we suggest you prepare a document to record all the expenses of your vehicle and to postpone the amount you can claim on the line "Other expenses (specify) ".

Note: Please keep this document as the CRA and Revenu Québec are likely to ask you for more information.

8. On the page that appears, enter the relevant information. If the person rents the car on occasion or has no rental agreement, you enter in the line "Total lease charges in the current year", it will not be necessary to enter the rental dates.

Gross income will be reported on line 13499, while Net income on line 13500 of the federal return and, if applicable, on line 164 of the Quebec return, as well as lines 12 and 22 of Schedule L of Quebec. The program will also generate the federal T2125 form, as well as the Quebec TP-80 form, if applicable.

[SV2022]

Hi,

Thanks for the reply. It is for part time ubereats delivery. I did not receive any T4. I have the filled the T2125 as per steps above. Do I need to create a T4 section as well even if I don't have a T4?

Thanks

[Geo123]

Hello,

If it's not a T4 with box 82 then you likely received a T4A with box 048.  You only compete the T4A NOT the T4 and T2125

[dogs1025]

On 3/13/2023 at 8:26 AM, Geo123 said:

Hello SV2022,

T4 slip - Box 82 - Taxi driver
If you are considered an employee, your employer must deduct the CPP/ QPP contributions, EI premiums, PPIP premiums and income tax as he or she would for regular employees.

However, if you are not considered an employee, but a self-employed worker, the business owner must still deduct your participation in the employment insurance program and enter on a T4 slip your contribution as a worker. If you are a Quebec resident, you must in addition enter your PPIP (QPIP) contribution, as well as your gross income in Box 82 of the T4 slip.

For more information, consult the following links from the CRA's website:

https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/completing-filing-information-returns/t4-information-employers/special-situations/taxi-drivers-drivers-other-passenger-carrying-vehicles.html

https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/payroll-deductions-contributions/special-situations/taxis-drivers-drivers-other-passenger-carrying-vehicles.html

For more information, consult the following link from Revenu:

https://www.revenuquebec.ca/en/businesses/source-deductions-contributions/calculation-of-source-deductions-and-employer-contributions-in-certain-situations/type-of-employment/

If you received a T4 slip with an amount in Box 82, you are considered self-employed. Please follow the procedure below.

1. On the "Left-side menu under the Interview tab", click on "T4 and employment income".

2. On the right-hand side of the screen, select "T4 income (earned in any province except Quebec)", or "T4 and RL-1 (Relevé 1) income earned in Quebec" and enter the information shown on your T4 in the appropriate boxes, namely boxes 18 and 24, as well as boxes 55 and 56 for Quebec residents.

3. Go to the bottom of the "T4 slip income" page, and in the last section entitled "Other information (click on the triangle to see the list of choices)", choose "Memo Box 82 Drivers of taxis & other passenger-carrying veh." from the drop-down menu and enter the amount in the field.

Once you have followed the steps above, you must also enter the amount in box 82 of the T4 as business income. To do so, please follow these steps:

1. Return to the "Left-side menu under the Interview tab" and select "Interview setup". On the right-hand side of the screen, go to the "Self-employment" group and check "Self-employed business income". Also, if you have paid installments, go to the "Instalments and tax transfer" group and check "Tax paid by instalments and tax transfer" and click "Next" at the bottom of this page.

2. Select the line "Self-employment income" that appears under the "Left-side menu under the Interview tab"; and on the right side of the screen, choose one of the T2125 forms that best represents your business. As a rule, you should choose "T2125 - Business income".

3. On the "Business identification" page, enter your full name on the line "Business name" and enter the other mandatory information in the sections marked with a red asterisk.

4. For the line "6-digit code from the North American industry classification system", enter the code that best describes your industry. If you do not know the code, click on the question mark (?) located on the right side of the box to access a list of the codes.

5. On "Income, expenses", enter $0, 00 on the line "Gross sales, commissions or fees" and enter the amount in Box 82 on the line for "Drivers of taxis & other passenger-carrying veh. (T4 Box 82) (Enter the total if you have more than one amount)".

6. If you have any expenses related to this income, fill out the boxes according to each description.

7. Under the sub-heading "Motor vehicle expenses", choose the option that suits you the only currently accessible is "Leased motor vehicle (other than passenger vehicle)".

If you own your taxi vehicle, you must go to the DPA subsection because Category 16 is only accessible here. Because the depreciation rate is 40% for taxis.

Enter the relevant information to claim the depreciation on the vehicle. For other expenses that are calculated based on the total mileage versus that for business we suggest you prepare a document to record all the expenses of your vehicle and to postpone the amount you can claim on the line "Other expenses (specify) ".

Note: Please keep this document as the CRA and Revenu Québec are likely to ask you for more information.

8. On the page that appears, enter the relevant information. If the person rents the car on occasion or has no rental agreement, you enter in the line "Total lease charges in the current year", it will not be necessary to enter the rental dates.

Gross income will be reported on line 13499, while Net income on line 13500 of the federal return and, if applicable, on line 164 of the Quebec return, as well as lines 12 and 22 of Schedule L of Quebec. The program will also generate the federal T2125 form, as well as the Quebec TP-80 form, if applicable.