Please note the following mid-year tax updates for Dynamics GP Canadian payroll users.
Mid-Year Tax Update for Dynamics GP Canadian Payroll
- There are no Federal changes.
- There are changes for British Columbia and New Brunswick.
British Columbia Changes
The Provincial Labour-Sponsored Funds Tax Credit rate and amount have been removed. If you have this amount entered as a tax credit on your employee card, you can remove it. This also means that you do not need to install this update.
New Brunswick Changes
The New Brunswick Basic Personal Amount has been changed.
On March 22, 2022, the Government of New Brunswick announced an increase to the basic personal amount, effective January 1, 2022. The basic personal amount will increase from $10,817 to $11,720. Since employees have received a lower basic personal amount for the first six months of the year, a prorated basic personal amount of $12,623 will apply for the remaining six months commencing with the first payroll in July.
Since the new July tax update will do the calculating and prorating for you, it is recommended that if you have employees in New Brunswick you should install the new tax patch.
When Will the Update be Available?
Microsoft is expected to release the Canadian Payroll July tax update approximately June 20th.
Information in the screenshot above will be updated on Microsoft’s Canadian Payroll Tax Update page.
Please continue to check Microsoft’s Canadian Payroll Year-End and Tax Updates for Microsoft Dynamics GP page for the release of this update and any other information that may change.
Review the latest change from the CRA release of the T4127 document – Payroll Deductions Formulas, 116th Edition, Effective July 1, 2022.
If you have questions about Canadian payroll for Dynamics GP or would like Encore’s assistance with installing the update, please contact us.
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