How to report travel on the T4 in Box 32

• The amount displayed in Box 32 of the T4 represents a taxable benefit for one or more trips in a prescribed zone.
• See the 'Travel assistance in a prescribed zone - non cash' section here.

Save a copy of your data as a new file

1. Select File, Save As, and name the new file T4 201x Reporting (or any name you choose)
2. Sage will open the new file as T4 201x Reporting (see the name in the Title bar)

Add a new payroll field

1. Select Setup, Settings, Payroll, Incomes.
2. Rename an available field to Travel with Type as Benefit.
3. Check of Calc Tax and Calc CPP. See Related resources on why this is the case.
4. Select Linked Accounts, Incomes and add a Linked Account for Travel.

Update the employee record

1. Open the Employee Record, Income tab.
2. Place a check mark in the Use column next to Travel.
3. Leave the Amount per Unit blank.

Create a paycheque

1. Create a new paycheque for the employee.
2. Date the paycheque for 12/31 and change the Cheque Number to ADJ Travel (or any appropriate name).
3. Zero out all amounts on the paycheque
4. On the Income tab, enter an amount for the Travel (listed under Other Amounts column).
5. Input 0.01 into any income field that isn’t a benefit, for example, Loans.
6. Process/Post the paycheque.
7. Create another paycheque for the employee.
   • Enter 12/31 as the date
   • Change the Cheque number to ADJ Travel 2
   • Input -0.01, for example, Loans to reverse the previous income you reported

Process the T4's

1. Select Reports, Payroll, Print T4 Slips and Summary and make appropriate selections.
2. On the T4 Box Options window in the Incomes section, click the dropdown box next to Travel and select 32.
3. Continue processing the T4.
4. Verify the travel amount displays in Box 32 on the T4. (The Travel benefit will also display in box 14 as Employment income).

How to create a new payroll income or deduction
T4 slips box options