Temporary Wage Subsidy - Reporting Guidance

CRA has updated their guidance on the submission of the PD27 in respect of the temporary wage subsidy (TWS).

  1. Employers need to complete and submit Form PD27 to the CRA if they are eligible to receive TWS and:

    • they already claimed the TWS

    • they intend to claim the TWS (the form will help calculate the eligible TWS amount)

    • they claimed the Canada Emergency Wage Subsidy (CEWS) and, as a result, need to confirm on Form PD27 the amount of the TWS they are claiming (refer to Line F of the CEWS application).

    Note: The employer should state how they want to receive any balances of TWS on their Form PD27 under “Additional Comments.”

  2. Two additional scenario examples have been added:

    • Scenario 3 – You are an eligible employer who wants to receive the TWS and have already reduced your remittances, but you have not used your full eligible TWS amount

    • Scenario 5 – You are an eligible employer whose pay period is outside of the 3-month eligibility period

  3. When to file:

    Employers are encouraged to provide all the information requested on Form PD27 and submit it to the CRA as soon as possible to avoid receiving a discrepancy notice at the end of the year. Employers do not need to wait until they file their T4 information return.

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