Group term life insurance policies
This taxable benefit must be reported in Box 40 of the T4 slip
for active employees or in Box 119 of a T4A slip for
retirees. However, for residents of Quebec, this amount
should be reported in Box L of the RL -1 as an amount of taxable
benefit included in box A and if you are retired, the amount is
also included in Box 211.
To enter this taxable benefit for "ACTIVE
EMPLOYEES", follow this procedure:
1. On the "Left-side menu on the Interview
tab", select "T4 and employment
income".
2. On the screen to the right, select the line that corresponds
to your situation, either "T4 income earned outside
Quebec" or "T4 and RL-1 (Relevé 1) income earned
in Quebec".
3. On the page that appears, enter the amount from "Box
14" as well as the amount from "Box 40"
of the T4 slip. For Quebec residents, also enter the amount from
"Box A" as well as the amount from "Box
L" of the RL-1 slip.
If you are a "RETIRED EMPLOYEE", enter this
benefit amount by following this procedure:
If you are not a Quebec resident:
1. On the "Left-side menu on the Interview
tab", select "Pension income, T4A".
2. On the screen to the right, choose the line "T4A -
Pension, retirement, annuity, and other income".
3. On the page that appears, enter the amounts in Boxes 016 and
022. Then, go to the "Other information (click on the
triangle to see the list of choices)"drop-down menu and
select "(119) Premiums paid to a group term life ins.
plan". Enter the amount from box 119 of your T4A slip.
If you are a Quebec resident:
1. On the "Left-side menu on the Interview
tab", select "Pension income, T4A," and
on the screen to your right, choose "T4A - Pension income
(RL-2) with taxable benefits (RL-1)".
2. On the "T4A - Pension Income and Relevé 2"
section, enter the amounts from boxes 016 and 022.
For box 119, go to the "Other information"
section and to the line "Other information (click on the
triangle to see the list of choices)" and choose the
option "(119) Premiums paid to a group term life insurance
plan".
3. To enter the amounts from boxes A, J, L and 211 of the Relevé
1 go to "Relevé 1 - Taxable Benefits" and enter
the amounts that appear on your Relevé 1.
The amount from box 119 of your T4A slip will be reported by the
program to line 10400 of the federal return, while the
amount from Box L of the RL-1 will be reported to line 101 of the
Quebec return.
For more information about this topic, please consult the following
links:
For the CRA:
https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/benefits-allowances/group-term-life-insurance-policies-employer-paid-premiums.html
For Revenu Québec:
https://www.revenuquebec.ca/en/online-services/forms-and-publications/current-details/in-253-v/
ID: 20191113140920NA.xml
Webpage: KPA310-20191113140920NA.htm
