Canada Payroll and Tax Reporting

Year End Update 2022

Viswanath Ramamurthy, Ana Falcao SAP
November 01, 2022
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 Agenda
Year end 2022 Delivery
HR Support Packages, CLC and SAP Notes

Upcoming Legal Changes

Request to Reduce Tax Deductions at Source

Non-Binary Gender Identifier in Personnel Administration

Enhancement to ROE logs

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 Year End 2022: CLC & HR Support Packages *

Synch Support Pack October CLC for Canada Base SP

Release
( SAP_HR / EA-HR ) ( SAP_HRCCA / EA-HRCCA ) ( SAP_HR / EA-HR )

EHP8 for SAP ERP 6.0 / HR Renewal 2.0 A6 / A6 B1 / B1 B1 / B1

EHP7 for SAP ERP 6.0 / HR Renewal 1.0 H8 / C9 I3 / D4 I3 / D4

EHP6 for SAP ERP 6.0 H8 / E0 I3 / E5 I3 / E5

EHP5 for SAP ERP 6.0 H8 / F5 I3 / G0 I3 / G0

EHP4 for SAP ERP 6.0 H8 / H8 I3 / I3 I3 / I3

EHP3 for SAP ERP 6.0 L2 / I6 L7 / J1 L7 / J1

EHP2 for SAP ERP 6.0 L2 / J1 L7 / J6 L7 / J6

SAP HR 6.00 L2 / L2 L7 / L7 L7 / L7

SAP Note 3247375 - Main Note for Canadian year end 2022
SAP Note 3248416 - Payroll Canada Year End 2022 - News, FAQ, important SAP Notes and KBAs
* Information also available in the One Support Launchpad ( Link for SAP Success Factors Employee Central Payroll )
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 Upcoming Legal Changes and Deliveries - Payroll

▪ Income Tax Regulation Amendment - CPP additional contributions to be treated as a deduction at source effective 01 January 2023
– Reference: Payroll Deductions Formulas - 116th Edition - Effective July 1, 2022 [ Updated 22nd October , 2022 ]
– Planned Delivery Date: 01st December, 2022

The effect of the introduction of the enhanced CPP/QPP has meant that CPP/QPP contributions must be separated into
two parts for the purposes of payroll calculations: base CPP/QPP contributions and enhanced CPP/QPP contributions. For
employees, base contributions are calculated at a rate of 4.95% for CPP and 5.4% for QPP. Any amount above this is
considered to be an enhanced contribution. Employees are entitled to a 15% federal tax credit on base contributions and
can claim a tax deduction for the enhanced portion. The difference is the tax credit reduces the amount of tax payable,
whereas a tax deduction reduces the amount of taxable income.

▪ Quebec : Harmonization with the regulations amending the income tax regulations as regards additional CPP and QPP contributions
effective January 1, 2023
– Reference: Revised version – Harmonization With the Regulations Amending the Income Tax Regulations as Regards Additional CPP and
QPP Contribution [ Updated 27th October, 2022 ]
– Planned Delivery Date: 01st December, 2022

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 Upcoming Legal Changes and Deliveries - Payroll

▪ T4127 - Payroll Deductions Formulas (CRA): Expected publication on 15th November, 2022 [ PDOC Availability: 9th December, 2022 ]

▪ TP-1015.F-V – Quebec Source Deductions & Contributions: To be published

▪ Federal / Provincial TD1 & Quebec TP-1015.3-V : To be published

▪ Workers’ Compensation: Maximum Assessable Earnings

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 Upcoming Legal Changes and Deliveries - Reporting

PDF Forms
▪ CRA:
– No changes expected for T4, T4A
– T4A-NR Published 19th October : Planned delivery date 01st December 2022
▪ Quebec: Redesign of RL slips for 2022 taxation year
– Delivered: SAP Note 3254287
– RL-1.G.V: French Version published 28th October 2022
– RL-2.G.V: Published 28th October 2022

Electronic Filing : Announcement of Legal Changes - Electronic Filing of Information Returns

– Planned Delivery Date: 01st December 2022
▪ CRA:
– T4 Statement of Remuneration Paid: No changes
– T4A Statement of Pension, Retirement, Annuity, and Other Income : No changes
– T4A-NR Statement of Fees, Commissions, or Other Amounts Paid to Non-Residents: No changes
– CRA: XML Schema updated and published xmlschm1-23-1.zip

▪ Revenue Québec
– RL-01 slip preparation guide in XML format
– RL-02 slip preparation guide in XML format
– Schema for RL Slips and Information Slips published ED-800-T

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 What’s cooking in the Lab

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 Request to Reduce Tax Deductions at Source
Tax based on province of residence – Planned for EHP8+ December 2022 HRSP

▪ An employee who lives in one province or territory but reports to your place of business in another might have
too much tax deducted. If so, he or she can ask to reduce tax deductions by getting a letter of authority from any tax
services office. For more information, go to Letter of authority
▪ Currently available only for Quebec (Tax Authority QRES)
▪ Extended to provinces other than Quebec (Tax Authority CRES)
▪ Concurrent Employment scenarios out of scope

Infotype 0461 Infotype 0464 Infotype 0464

Infotype 0462

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 Request to Reduce Tax Deductions at Source
Tax based on province of residence – Planned for EHP8+ December 2022 HRSP

Payroll Log

SAP Note 3216046 - CALC: Tax based on Province of Residence (to be released)
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* Subject to change 10
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 Additional Gender Value in Personal Data and Family Members Data
Available as of February 2022

▪ The Gender Framework enhancement now enables the system to store the gender of individuals who identify as Non-
Binary. Non-Binary gender is now enabled for Canada HCM Localization
▪ Customers can now define Form of Address values
▪ Infotypes: Personal Data (0002) and Family Members/Dependents (0021)
▪ Concurrent Employment
▪ HR Renewal
▪ Employee Self-Service (ESS) – Web Dynpro ABAP and SAP Fiori Apps

• Availability:
• SAP_HR 600+ → PA30
• EA-HR 605+ → ESS WebDynpro ABAP + PA30
• EA-HR 607+ → HR Renewal + ESS WebDynpro ABAP + PA30

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 Additional Gender Value in Personal Data and Family Members Data
Available as of February 2022

PA30 HR Renewal ESS Web Dynpro ABAP

For Canada Personnel Administration (PA-PA-CA), see SAP Note 3089990 - HR CA: Gender Framework
For SAP Fiori App (PA-FIO-PER), see SAP Note 3149395 - HCMFAB_PERS_MAN - Gender (US/Canada) and
SAP Note 3149394 - HCMFAB_FMLY_MAN - Gender (US/Canada)

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 Enhancement to ROE Log
Available as of May 2022

▪ The ROE Workbench (HRPAYCA_ROEWB) now has enhanced log for Amendment Test Runs

▪ SAP Note 3086910 - ROE: Original record data log for amendment test runs

▪ Available in the following HRSP’s

▪ SAP_HRCCA 600 L3

▪ SAP_HRCCA 604 H9

▪ SAP_HRCCA 608 A7

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 Enhancement to ROE Log
Available as of May 2022

Original
ROE column

Color identification
for changed blocks

Record of Employment (ROE) - Details

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 Questions on your mind?

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Appendix
 SAP One Support Launchpad

SAP recommends that you use SAP One Support Launchpad to search for Notes.
The following apps are available to you on the Launchpad:

Announcement of
My SAP Notes & KBAs SAP Legal Change Notes
Legal Change
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 SAP HR Support Packages
Support.sap.com > Maintenance > Maintenance Information > Schedules for Maintenance Deliveries

https://support.sap.com/en/release-upgrade-maintenance/maintenance-information/schedules-for-maintenance-deliveries.html
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Thank you.
Contact information:
▪ Viswanath Ramamurthy
▪ Director – Product Management
▪ Globalization Services
▪ E: viswanath.ramamurthy@sap.com

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