What Is a T4 Slip?
A T4 slip (Statement of Remuneration Paid) is the official Canadian tax document that employers issue to their employees each year. It summarizes all employment income paid and all deductions taken off your paycheque — including CPP contributions, EI premiums, and income tax withheld. The CRA uses T4 information to verify your income and deductions when processing your personal tax return (T1).
If you worked for an employer in Canada during the tax year, you will receive at least one T4 slip. Canadians with multiple jobs receive one T4 from each employer. Understanding your T4 is the starting point for filing an accurate tax return — and at Pathak Professional Corporation, our Mississauga CPA team reviews hundreds of T4 slips each tax season to help clients file accurately and claim every deduction they’re entitled to.
When Does Your Employer Issue Your T4?
Canadian employers are legally required to issue T4 slips to all employees by the last day of February following the tax year. For example, your 2024 T4 slip must be issued by February 28, 2025.
Employers must also file a T4 Summary and all individual T4 slips with the CRA by the same February deadline. This means the CRA often has your T4 information in their system before you file your return — which is why the CRA Auto-Fill (AFR) feature in tax software can pre-populate your return with T4 data.
If you have not received your T4 by early March:
- Contact your employer’s payroll or HR department first
- Check your online employee portal (most payroll systems have electronic T4s)
- Log in to CRA My Account — T4 data is usually visible there within days of filing
- If your former employer is unreachable, call the CRA at 1-800-959-8281
How to Read Your T4: Box-by-Box Breakdown
The T4 slip contains numbered “boxes,” each reporting a specific type of income or deduction. Here are the most important ones:
Income Boxes
| Box | What It Reports | Goes On T1 Return |
|---|---|---|
| Box 14 | Employment income — your total gross pay for the year, including salary, wages, commissions, and most taxable benefits | Line 10100 |
| Box 24 | EI insurable earnings — the amount of earnings subject to Employment Insurance premiums (may differ from Box 14) | For reference only |
| Box 26 | CPP/QPP pensionable earnings — earnings subject to Canada Pension Plan contributions | For reference only |
| Box 36 | Employee home relocation loan deduction | Line 24400 |
| Box 37 | Advance of employment income (employer repayment advance) | Line 10100 |
| Box 38 | Security options benefits — taxable benefit from exercising employee stock options | Line 10100 |
| Box 39 | Security options deduction (50% deduction if CCPC option) | Line 24900 |
| Box 40 | Other taxable benefits not included in Box 14 (e.g., company car, group benefits) | Usually already in Box 14 |
Deduction Boxes
| Box | What It Reports | Goes On T1 Return |
|---|---|---|
| Box 16 | Employee CPP contributions — amount deducted from your pay for Canada Pension Plan | Line 30800 (generates 15% federal credit) |
| Box 17 | Employee CPP2 contributions — second additional CPP contributions (introduced 2024) | Line 30801 |
| Box 18 | Employee EI premiums — amount deducted for Employment Insurance | Line 31200 (generates 15% federal credit) |
| Box 20 | RPP contributions — registered pension plan contributions deducted at source | Line 20700 (fully deductible) |
| Box 22 | Income tax deducted — total federal and provincial income tax withheld from your paycheques | Line 43700 (direct credit against tax owing) |
| Box 44 | Union dues — union membership fees deducted from pay | Line 21200 (fully deductible) |
| Box 46 | Charitable donations — payroll deductions made directly to eligible charities | Schedule 9 (eligible for donation credit) |
| Box 52 | Pension adjustment — reduces your RRSP room based on defined benefit pension accrual | Shown on NOA; reduces RRSP room |
Other Common T4 Boxes
| Box | What It Reports |
|---|---|
| Box 28 | Exempt from CPP contributions (e.g., employees over 70 who have opted out) |
| Box 29 | Employment code — type of employment (regular, seasonal, casual, etc.) |
| Box 45 | Employer-offered dental benefits — whether you had access to dental coverage (new 2023) |
| Box 50 | RPP or DPSP registration number |
| Box 55 | Employee QPP contributions (Quebec only) |
| Box 56 | Employee QPP2 contributions (Quebec only) |
Box 14 vs. Box 40: Understanding Taxable Benefits
Many employees are confused when their Box 14 amount is higher than their actual cash salary. This difference is caused by taxable benefits — non-cash employer-provided benefits that the CRA treats as employment income.
Common taxable benefits included in Box 14:
- Personal use of a company vehicle (automobile standby charge + operating benefit)
- Employer-paid group life insurance premiums (above $25,000 of coverage)
- Employer-paid tuition for courses not related to your job
- Interest-free or low-interest employer loans (imputed interest benefit)
- Moving expense reimbursements where you did not move for work
Box 40 shows taxable benefits that are separately identified but are also already included in Box 14. You do not claim Box 40 separately — it is informational only.
The Pension Adjustment (Box 52) — How It Reduces Your RRSP Room
If your employer has a registered pension plan (RPP), your T4 will include a Pension Adjustment (PA) in Box 52. This amount reduces your RRSP contribution room for the following year.
Example:
Employment income (Box 14): $100,000
RRSP room earned (18% of earned income): $18,000
Pension Adjustment (Box 52): $11,000
Net RRSP room for next year: $7,000
The PA ensures that Canadians with employer pensions do not get double retirement savings tax advantages. Your exact RRSP room is shown on your Notice of Assessment and in CRA My Account — your T4 Box 52 is an input into that calculation.
T4 vs. T4A vs. T4E: Which Slip Do You Have?
| Slip | Who Issues It | Income Type |
|---|---|---|
| T4 | Your employer | Employment income (salary, wages, commissions) |
| T4A | Payers of self-employment/contract income | Fees for services, pension/annuity, RESP, scholarships, retiring allowances |
| T4E | Service Canada (Government) | Employment Insurance (EI) benefits received |
| T4OAS | Service Canada | Old Age Security (OAS) pension payments |
| T4RIF | Financial institution | RRIF (Registered Retirement Income Fund) withdrawals |
| T4RSP | Financial institution | RRSP withdrawals (and HBP/LLP repayments) |
Important distinction: If you are self-employed or a contractor, your clients issue T4A slips — not T4 slips. T4A income is reported differently on your T1 return and may require you to also file a T2125 (Statement of Business Activities) to claim business expenses.
How to File Your Taxes Using Your T4
When filing your T1 personal return, your T4 information is reported as follows:
- Box 14 → Line 10100 (Employment income)
- Box 16 → Line 30800 (CPP contributions — generates a 15% non-refundable tax credit)
- Box 17 → Line 30801 (CPP2 contributions — generates a refundable tax credit in 2024+)
- Box 18 → Line 31200 (EI premiums — generates a 15% non-refundable tax credit)
- Box 20 → Line 20700 (RPP contributions — fully deductible, reduces taxable income)
- Box 22 → Line 43700 (Income tax deducted — credited directly against your tax owing)
- Box 44 → Line 21200 (Union dues — fully deductible)
If you use CRA Auto-Fill (AFR) through tax software like TurboTax, Wealthsimple Tax, or H&R Block, these boxes are automatically imported. However, always verify the imported amounts against your physical T4 slip.
What If Your T4 Has an Error?
If you believe your T4 contains an error — incorrect Box 14 amount, missing CPP deduction, wrong SIN — contact your employer’s payroll department immediately. The employer must issue an amended T4 (also called a T4 amendment or corrected T4) and file it with the CRA.
If your employer is uncooperative or you cannot reach them (e.g., company closed), call the CRA at 1-800-959-8281. The CRA can use the T4 data the employer submitted to their system. If the employer never filed their T4 Summary, file your return using your pay stubs and the CRA will follow up with the employer directly.
T4 and the CRA Auto-Fill (AFR) Feature
Since 2016, CRA Auto-Fill allows most Canadian tax software to automatically download your T4, T5, and other slips directly from the CRA. Here is how it works:
- Authorize the tax software to access your CRA My Account
- Select Auto-Fill My Return (AFR)
- The software imports all available T-slips including T4, T5, T4E, T4RSP, RRSP contribution receipts, and benefit payment info
- Review the imported data — do not skip this step
Caution: T4 data is submitted by employers and may not always be available immediately. If your employer filed their T4 Summary late, the AFR data may be missing or incomplete. Always compare against your physical slips or year-end pay stub.
Dental Benefit Box 45 — New Since 2023
Starting with 2023 T4 slips, employers must report in Box 45 whether they offered employees access to dental insurance or coverage. This information determines eligibility for the Canada Dental Benefit program for lower-income Canadians.
Box 45 codes:
- 1 — No dental coverage offered
- 2 — Dental coverage for employee only
- 3 — Dental coverage for employee and dependants
- 4 — Dental coverage for employee and spouse or partner
- 5 — Dental coverage for employee, spouse/partner, and dependants
T4 Deadline and Penalties for Employers
Employers who fail to file T4 slips by the February 28 deadline face penalties from the CRA:
| Number of T4 Slips | Penalty Per Day Late | Maximum Penalty |
|---|---|---|
| 1–50 slips | $10/day | $1,000 |
| 51–500 slips | $15/day | $1,500 |
| 501–2,500 slips | $25/day | $2,500 |
| 2,501–10,000 slips | $50/day | $5,000 |
| Over 10,000 slips | $75/day | $7,500 |
Frequently Asked Questions: T4 Slip Canada
Q: What is the difference between gross income and the Box 14 amount on my T4?
A: Box 14 includes your cash salary plus all taxable benefits (company car, group insurance premiums, etc.). So Box 14 can be higher than your cash salary. It also excludes non-taxable benefits like employer RRSP matching contributions (which appear on your RRSP receipt, not the T4).
Q: My Box 22 (income tax deducted) is less than what I expect to owe — what happens?
A: If your employer withheld less tax than your actual tax owing — common for those with multiple income sources, investment income, or self-employment income — you will owe a balance on April 30. To avoid this, file a TD1 with each employer and consider making quarterly instalment payments to the CRA.
Q: I have two T4 slips from two jobs. How do I file?
A: Report both T4s. Add the Box 14 amounts together — this is your total employment income. Add the Box 16 (CPP) amounts — if the total exceeds the annual CPP maximum ($3,867.50 for 2024), you are entitled to a refund of the excess through your tax return. Same for Box 18 (EI) — if total EI premiums exceed $1,049.12 (2024 maximum), the excess is refunded.
Q: Can I get my T4 before my employer sends it?
A: Yes. Once your employer files their T4 Summary with the CRA (by February 28), the data appears in CRA My Account and can be accessed via CRA Auto-Fill in tax software. Many payroll platforms (ADP, Ceridian, Dayforce) also provide electronic T4s through employee self-service portals.
Q: What if I received both a T4 and a T4A in the same year?
A: This is common for people who had employment income (T4) and also did freelance or contract work (T4A). You report both: T4 Box 14 on line 10100, and T4A income on the applicable line based on the income type (Box 020 = self-employment → T2125; Box 028 = other income → line 13000). The CPA team at Pathak Professional Corporation can help you determine which lines apply and identify deductible business expenses against your T4A income.
Contact Pathak Professional Corporation — Mississauga Tax Experts
Whether you have a single T4 or multiple slips with stock options, pension adjustments, and taxable benefits, Pathak Professional Corporation can ensure your T1 return is filed accurately and all credits are claimed. We serve employees, contractors, and incorporated professionals across Mississauga, Brampton, Oakville, and the GTA.
📍 48 Village Centre Place, Mississauga ON L4Z 1V9
📞 437-872-7399
📧 info@pathakcpa.ca
