Enhanced Canada Pension Plan (CPP) and Quebec Pension Plan (QPP): Year-End Reporting

In Update 23D, updates were made to support the enhancements made to the Canada Pension Plan (CPP) and Quebec Pension Plan (QPP) retirement and supplemental benefits, as published by Canada Revenue Agency (CRA) and Revenu Quebec.

In this release, we are now providing the end-of-year reporting for phase 2 of the enhancements made in 23D. The following enhancements were completed to support the CPP2/QPP2 balances, and are further discussed in the sections below.

  • End-of-Year Exception Report
  • T4 End-of-Year Register
  • T4 Year-End Slip
  • T4 End-of-Year Interface

End-of-Year Exception Report

The End-of-Year Exception Report was enhanced to support the new balances for CPP2/QPP2 and include the following updates:

  • New validations and exception messages for the T4
    • The employee has CPP2 deductions over the annual limit. (Error)
    • The expected and actual CPP2 deductions do not match. See columns P-S. (Error)
  • New validations and exception messages for the RL-1
    • The employee has QPP2 deductions over the annual limit. (Error)
    • The expected and actual QPP2 deductions do not match. See columns O-R. (Error)
    • The employee has a QPP Revocation Date of <DATE> on the employee's tax calculation card. (Informational)
    • The employee has a QPP Election Date of <DATE> on the employee's tax calculation card. (Informational)
    • The employee turned 73 years of age during either the previous or current reporting year. The Date of Birth on the person record is <DATE>. (Informational)

Note: For the new validations regarding the employee’s age, the "Tax Report Year" parameter determines the reporting year, as of December 31.

  • For the T4, Employee Exceptions tab
    • “Pensionable Earnings” column was renamed to “CPP Pensionable Earnings”
    • New columns were added to support CPP2
      • CPP2 Pensionable Earnings
      • Expected CPP2 Deduction
      • Actual CPP2 Deduction
      • CPP2 Discrepancy
  • For the RL-1, Employee Exceptions tab
    • Pensionable Earnings column was renamed to “QPP Pensionable Earnings”
    • New columns were added to support QPP2
      • QPP2 Pensionable Earnings
      • Expected QPP2 Deduction
      • Actual QPP2 Deduction
      • QPP2 Discrepancy

T4 End-of-Year Register

The End-of-Year Register was enhanced to report the new balances for CPP2/QPP2 in the boxes below.

  • Box 16A (Employee's second CPP contributions - CPP2)
  • Box 17A (Employee's second QPP contributions - QPP2)
  • Box 26 (CPP/QPP pensionable earnings)

T4 Year-End Slip

The T4 template was updated to include the new balances for CPP2/QPP2 in the boxes below.

  • Box 16A (Employee's second CPP contributions - CPP2)
  • Box 17A (Employee's second QPP contributions - QPP2)
  • Box 26 (CPP/QPP pensionable earnings)

T4 End-of-Year Interface

The following T4 XML tags were updated in the <T4_TAMT> section to include the CPP2/QPP2 balances.

  • <tot_empe_cppe_amt></tot_empe_cppe_amt> (Total employees' second Pension Plan contributions)
  • <tot_empr_cppe_amt></tot_empr_cppe_amt> (Total employer's second Pension Plan contributions)
  • <cppe_cntrb_amt> (Employee's second Pension Plan contributions)
  • <qppe_cntrb_amt> (Employee's second Pension Plan contributions)

This feature supports statutory requirements, as published by Canada Revenue Agency and Revenu Quebec.

Steps to Enable

You don't need to do anything to enable this feature.

Tips And Considerations

End-of-year-end reporting for the RL-1 will be addressed at a later date, once changes are published for 2024.

Key Resources

Refer to these documents on the Canada Information Center for additional information.

Canada Information Center: https://support.oracle.com/rs?type=doc&id=2102586.2

  • CA – Payroll tab > End-of-Year Processing > End-of-Year Processing Guide

Hot Topics Email (To Receive Critical Statutory Legislative Product News)

To receive important Fusion Canada Legislative Product News, you must subscribe to the Hot Topics Email feature available in My Oracle Support.  Refer to the document below on the Canada Information Center for additional information.

https://support.oracle.com/rs?type=doc&id=2102586.2

  • Welcome tab > Other Documents > How To Use My Oracle Support Hot Topics Email Subscription Feature