T4A box 028

[MMD]

Trying to file my spouses return and get the error "amount in box 028 of the T4A slip must also be reported within the correcsponding buisness as self employemnt income." I followed the prompts, entered the same amount in the corresponding spot in the T2125P, but I am still getting the warning and unable to file. Any help would be appreciated!

[Geo123]

Hello MMD,

According to the CRA Guide, box 028 of the T4A slip allows you to enter any other amount which may be declared elsewhere on a T4A slip or any other.

However, payment for services must be reported under Box 048 of the T4A.

You have received a T4A with the amount shown in box 028; we suggest you contact the issuer of the slip for a verification in that regard.

To enter this amount, please follow the steps below:

1. In the "Left-side menu on the Interview tab", select the "Interview setup".

2. On the screen to your right, go to the "Pension" group and check "Pension income, other income and split pension income (T4A, T4A (OAS), T4A (P), T4A-RCA, T4RSP, T4RIF, T1033)" and click "Next" at the bottom of the page.

3. Return to the "Left-side menu on the Interview tab", select the "Pension income, T4A". On the right-side page, choose the option "Pension, retirement, annuity, and other income".

4. If payment is not related to a service, go to the page entitled "T4A - Pension, retirement, annuity and other income", and select the line "Other information (click on the triangle to see the list of choices) (A payment of fees for services under code 028 should be entered in Box 048)". In the drop-down menu, choose "(028) Other income".

5. However, if the payment is for services rendered, you entered the amount in Box 048 and in this case, return to the "Left-side menu on the Interview tab" and select "Interview setup".

6. On the screen to your right, go to the "Self-employed" group, check "Self-employed business income" and click "Next" at the bottom of the page.

7. Then, select "Self-employment income" in the "Left-side menu on the Interview tab".

8. On the screen to your right, choose "T2125 - Business income" or any other option that applies most to your work.

9. Complete the "T2125 - Business identification" page and then on the next page "Income, expenses", enter the amount from box 048 of your T4A slip on the line "Fees for services (T4A Box 048)". If you have expenses, enter them in the boxes that correspond to their description.

For Quebec residents, if the amount in Box O of the RL-1 with an RZ code differs from the amount shown on the T4A slip, click on the "Maple Leaf" icon of the corresponding box, and a new box will be displayed where you can enter the amount for Quebec. This box will only be displayed if you have entered the federal amount first.

However, if no amount has been recorded with the code RZ on your RL-1, we suggest you contact the payer or the issuer of the slip to determine where he entered this other income amount.

You can visit the following link to the CRA:

http://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/completing-filing-information-returns/t4a-information-payers.html

[Member1982]

Hello,

 

I am having the same issue as a Member posted above.  I have T4A Box 28 income and on the same T4A Box 20 income. I entered it under 048, as per Ufile direction.  I went onto complete the T2125C - Commission and a T2125 - Business.  However, I am getting the same error:

 

”The amount in box 048 of the T4A slip must also be reported within the corresponding business as self-employment income.”

 

Any help would be appreciated.

[Geo123]

T4A slip - Box 028

According to the CRA Guide, box 028 of the T4A slip allows you to enter any other amount which may be declared elsewhere on a T4A slip or any other.

 However, payment for services must be reported under Box 048 of the T4A.

 You have received a T4A with the amount shown in box 028; we suggest you contact the issuer of the slip for a verification in that regard.

 To enter this amount, please follow the steps below:

 1. In the "Left-side menu on the Interview tab", select the "Interview setup".

 2. On the screen to your right, go to the "Pension" group and check "Pension income, other income and split pension income (T4A, T4A (OAS), T4A (P), T4A-RCA, T4RSP, T4RIF, T1033)" and click "Next" at the bottom of the page.

 3. Return to the "Left-side menu on the Interview tab", select the "Pension income, T4A". On the right-side page, choose the option "Pension, retirement, annuity, and other income".

 4. If payment is not related to a service, go to the page entitled "T4A - Pension, retirement, annuity and other income", and select the line "Other information (click on the triangle to see the list of choices) (A payment of fees for services under code 028 should be entered in Box 048)". In the drop-down menu, choose "(028) Other income".

 5. However, if the payment is for services rendered, you entered the amount in Box 048 and in this case, return to the "Left-side menu on the Interview tab" and select "Interview setup".

 6. On the screen to your right, go to the "Self-employed" group, check "Self-employed business income" and click "Next" at the bottom of the page.

 7. Then, select "Self-employment income" in the "Left-side menu on the Interview tab".

 8. On the screen to your right, choose "T2125 - Business income" or any other option that applies most to your work.

 9. Complete the "T2125 - Business identification" page and then on the next page "Income, expenses", enter the amount from the above box 048 of your T4A slip on the line "Fees for services (T4A Box 028)" – NOT box 048. If you have expenses, enter them in the boxes that correspond to their description.

 For Quebec residents, if the amount in Box O of the RL-1 with an RZ code differs from the amount shown on the T4A slip, click on the "Maple Leaf" icon of the corresponding box, and a new box will be displayed where you can enter the amount for Quebec. This box will only be displayed if you have entered the federal amount first.

 However, if no amount has been recorded with the code RZ on your RL-1, we suggest you contact the payer or the issuer of the slip to determine where he entered this other income amount.

 You can visit the following link to the CRA:

 http://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/completing-filing-information-returns/t4a-information-payers.html

 The amount will be transferred to line 13000 of the federal return and line 154 in the Quebec return.

[stac]

hello

I am having the same issue with box 028 on t4a

The amount placed in box 048 under t4a pension title indicates underneath to place amounts for box 028 under 048 of the pension t4a ie under OTHER INFORMATION (underneath fees for services (box 048) 

OTHER INFORMATION (Covid 19 benefits) (click on the triangle to see the list of choices) (a payment of fees for services under CODE 028 should be entered in Box 048)

I have reported this same amount as other income box 028 on t4a under my business.

The program is still indicating I need to fill out each others forms to report the amount twice and therefore I am not eligible to netfile.

There is definitely something wrong with the crossover of boxes 048 and 028.  the income earned in contract so it definitely should not be box 048.  I think you need to make box 048 recognize both boxes 048 and 028 and vice versa on the business form to recognize t4a box under pension tab.  I have gone in and removed business tab and re-entered.  I have gone in and removed t4a tab and clicked on business when prompted with t4a entry tab.  Nothing is working to fix it.

The error message is as follows:

The amount in box 028 of the t4a slip (other income included in business income (memo)) must also be reported within the corresponding business as self employment income. 

And the other way the t4 a error message is as follows:

The amount is box 048 of the T4A slip must also be reported within the corresponding business as self-employment income.

The problem is that the self employment income is box 028 not box 048 which corresponds to the other information note below on the t4 a tab that box 028 should appear in box 048, but this is clearly not working.

Stacey

[Geo123]

Hello stac,

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

[stac]

Ok,

just submitted

thank you for the help

[Geo123]

Hello stac,

You are welcome.

[Maged]

Hello, I had a part-time job in 2023 and the employer gave me T4A.  I made small amount 4K and it's included in T4A- box 048, so I have completed form T4A now the system asking me to fill in form T2125? but I do not have a business or any think, should I fill T2125 as business or professional income? and the info for business should i include my home address. 

[Geo123]

Hello Maged,

Video : https://youtu.be/QjHnb2BM_4s

You received a T4A slip with an amount in Box 020 or Box 048 (or box 028) , for the professional service fees you earned.

Note that this amount does not include taxes.

To enter this amount in the program, follow the steps below:

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

2. On the screen that appears on the right, go to the "Pension" group and check the box "Pension income, other income and split pension income (T4A, T4A(OAS), T4A(P), T4A-RCA, T4RSP, T4RIF, T1032)". Then, go to the "Self-employment" group and check the box "Self-employment business income". If you paid tax by instalments, go to the group "Tax paid by instalments and tax transfer" and check the box "Tax paid by instalments and tax transfer" then click "Next" at the bottom of the page.

3. Return to the "Left-side menu on the Interview tab" and select "Pension income, T4A".

4. On the page appearing to your right, click on the plus sign "+" icon to the right of the line "T4A - Pension, retirement, annuity and other income".

5. On the new page generated, enter the amount shown in Box 048 of your T4A to the line "Fees for services (report this amount as a T2125 - Business or Professional income)", in box 048.

6. Return to the "Left-side menu on the Interview tab", select the item "Self-employment income" and on the page appearing on the right, choose the appropriate option, either "T2125 - Business income" or "T2125P - Professional income".

7. On the page "T2125 - Business identification", enter the name of the business on the line "Name of the business (or your own name if the business does not have one)", then enter the other information in the mandatory fields marked with a red asterisk.

8. On the field for "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 tool tip (the question mark) (?) next to the box to get the list.

9. On the line "Products or services and their respective percentage (%) in the total income (mandatory for a Quebec return)", in the field on the right, enter your main service or product and enter the percentage (%). If you have other products or services, click on the "plus sign +" icon on the right to generate another field.

10. On the next page, "Income, expenses", enter the amount from Box 048 of the T4A on the line "Fees for services (T4A Box 048) (Enter the total if you have more than one amount)". If you have expenses, enter them in the boxes corresponding to their description.

11. If you paid tax by instalments, return to the "Left-side menu on the Interview tab", select "Instalments and tax transfers" and on the screen to your right, choose the option "Income tax paid by instalments" and enter the amounts paid to the federal government and to the Quebec government for residents of this province.

12. For expenses, if your company is registered for the GST and HST (QST), these expenses must be entered before taxes to reflect the ITRs and ITCs that you claimed.

13. For residents of Quebec, if you wish to pay your registration fee for Quebec, return to the "Left-side menu on the Interview tab", choose the "Self-employment income" section in the screen located at right and choose the option ''Q438 - Quebec annual registration fee for the enterprise register''.

The gross amount will be carried over to lines 13499 or 13699, while the net income will be reported on lines 13500 or 13700 of the federal return. If applicable, this amount will also appear on line 154 of the Quebec return as well as line 25 of Quebec Schedule L. The program will also generate federal form T2125, as well as Quebec form TP-80 if applicable.

[Maged]

that's great, thanks a lot!

[Maged]

How to apply for GST/ HST credit?

 

[Geo123]

Hello Maged,

It is automatic.

 

GST Credit estimated amouint

Tax Return (Tab 4) >>Summary page

Total income

Net income

Taxable income

Marginal tax rate

Average tax rate (total income taxes paid ÷ total income)

Total tax payable

Balance due (refund)

Ontario climate action incentive (if in Ontario)

Canada child benefit

GST/HST credit  < - - - - HERE