Professional Income T2125

[RJB]

I earned a minor amount as a background actor; downloaded the data on a T4A, loaded amount into Box 48. System insists I include this also on  T2125 Professional Income.

I try to do that, but there are quetions that don't relate: I don't have a company, a business account number, no GST number, etc. Do the best I can, but UFile still gives me a warning (which, as a warning, I believe I can ignore because I have created a T2125P entry)  

When I calculate my return or try to print my return this amount is not included and UFile does not allow me to Netfile

I compared this to my last year's return and it looks eactly the same (except for the amount of course) so I have no idea what to try next.

How do I get past this hurdle?

Thanks

Reg

 

Later, PS -- think I solved it, sorry to waste your time

 

Reg

Edited March 9 by RJB
Solved

[WallyM]

Reg,

I have the same issue. How did you solve it?

[Geo123]

Hello WallyM,

You received a T4A slip with an amount in Box 048, 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.
 

[WallyM]

Thank you for the excellent details.

[Geo123]

Hello WallyM,

You are welcome.

[MariaEs]

my husband worked 4 months as a contractor and he only got  invoices. we did not received any t4 for this time he worked.

He received around $18,000.00.  Is he supposed to pay CPP and taxes? If so, how he can do that?

 

[Geo123]

Hello MariaEs,

CPP is calculated (and compulsory) by UFIle.  In the tax return refer to Schedule 8
Contributions to the Canada Pension Plan
With very few exceptions, every person over the age of 18 who works in Canada outside of Quebec and earns more than a minimum amount ($3,500 per year) must contribute to the Canada Pension Plan (CPP). If you have an employer, you pay half the required contributions and your employer pays the other half. If you are self-employed, you make the whole contribution.
https://www.canada.ca/en/services/benefits/publicpensions/cpp/contributions.html

Schedule 8    
https://www.canada.ca/en/revenue-agency