T4 slip - Box 82 - Taxi driver
If you are considered an employee, your employer must deduct the
CPP/ QPP contributions, EI premiums, PPIP premiums and income tax
as he or she would for regular employees.
However, if you are not considered an employee, but a
self-employed worker, the business owner must still deduct your
participation in the employment insurance program and enter on a T4
slip your contribution as a worker. If you are a Quebec resident,
you must in addition enter your PPIP (QPIP) contribution, as well
as your gross income in Box 82 of the T4 slip.
For more information, consult the following links from the CRA's
website:
https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/completing-filing-information-returns/t4-information-employers/special-situations/taxi-drivers-drivers-other-passenger-carrying-vehicles.html
https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/payroll-deductions-contributions/special-situations/taxis-drivers-drivers-other-passenger-carrying-vehicles.html
For more information, consult the following link from
Revenu:
https://www.revenuquebec.ca/en/businesses/source-deductions-contributions/calculation-of-source-deductions-and-employer-contributions-in-certain-situations/type-of-employment/
If you received a T4 slip with an amount in Box 82, you are
considered self-employed. Please follow the procedure below.
1. On the "Left-side menu under the Interview tab", click
on "T4 and employment income".
2. On the right-hand side of the screen, select "T4 income
(earned in any province except Quebec)", or "T4 and RL-1
(Relevé 1) income earned in Quebec" and enter the information
shown on your T4 in the appropriate boxes, namely boxes 18 and 24,
as well as boxes 55 and 56 for Quebec residents.
3. Go to the bottom of the "T4 slip income" page, and in
the last section entitled "Other information (click on the
triangle to see the list of choices)", choose "Memo Box 82
Drivers of taxis & other passenger-carrying veh." from the
drop-down menu and enter the amount in the field.
Once you have followed the steps above, you must also enter the
amount in box 82 of the T4 as business income. To do so, please
follow these steps:
1. Return to the "Left-side menu under the Interview tab"
and select "Interview setup". On the right-hand side of the
screen, go to the "Self-employment" group and check
"Self-employed business income". Also, if you have paid
installments, go to the "Instalments and tax transfer" group
and check "Tax paid by instalments and tax transfer" and
click "Next" at the bottom of this page.
2. Select the line "Self-employment income" that appears
under the "Left-side menu under the Interview tab"; and on
the right side of the screen, choose one of the T2125 forms that
best represents your business. As a rule, you should choose
"T2125 - Business income".
3. On the "Business identification" page, enter your full
name on the line "Business name" and enter the other
mandatory information in the sections marked with a red
asterisk.
4. For the line "6-digit code from the North American
industry classification system", enter the code that best
describes your industry. If you do not know the code, click on the
question mark (?) located on the right side of the box to
access a list of the codes.
5. On "Income, expenses", enter $0, 00 on the line
"Gross sales, commissions or fees" and enter the amount
in Box 82 on the line for "Drivers of taxis &
other passenger-carrying veh. (T4 Box 82) (Enter the total if you
have more than one amount)".
6. If you have any expenses related to this income, fill out the
boxes according to each description.
7. Under the sub-heading "Motor vehicle expenses", choose
the option that suits you the only currently accessible is
"Leased motor vehicle (other than passenger vehicle)".
If you own your taxi vehicle, you must go to the DPA
subsection because Category 16 is only accessible here.
Because the depreciation rate is 40% for taxis.
Enter the relevant information to claim the depreciation on the
vehicle. For other expenses that are calculated based on the total
mileage versus that for business we suggest you prepare a document
to record all the expenses of your vehicle and to postpone the
amount you can claim on the line "Other expenses (specify)
".
Note: Please keep this document as the CRA and Revenu
Québec are likely to ask you for more information.
8. On the page that appears, enter the relevant information. If
the person rents the car on occasion or has no rental agreement,
you enter in the line "Total lease charges in the current
year", it will not be necessary to enter the rental dates.
Gross income will be reported on line 13499, while
Net income on line 13500 of the federal return
and, if applicable, on line 164 of the Quebec return, as well as
lines 12 and 22 of Schedule L of Quebec. The program will also
generate the federal T2125 form, as well as the Quebec
TP-80 form, if applicable.
ID: 20191209083940DEX.xml
Webpage: KPA390-20191209083940DE.htm
