T4, T4A & T5018 slips in Lethbridge
Sound familiar?
- You’re not sure which slip each person needs
- You paid subcontractors and have never heard of a T5018
- February snuck up on you again
- Your slips don’t match what you actually paid
Which slip is which
T4 slips report employment income: wages, plus the CPP, EI and income tax you deducted. Every employee gets one.
T4A slips report other kinds of payments. For example, businesses that aren’t mainly in construction generally report their payments to subcontractors on a T4A.
T5018 slips (the Statement of Contract Payments) are for construction businesses. If more than half your business income comes from construction and you paid a Canadian-resident subcontractor more than $500 in the year (before GST), you report those payments on a T5018. Payments to non-resident subcontractors go on a T4A-NR instead.
Deadlines
There are two dates to know, and I prepare slips straight from your reconciled books so the amounts match what you actually paid.
- T4 and T4A: the last day of February for the previous calendar year, with employee copies due the same day (the next business day if it falls on a weekend)
- T5018: six months after the end of your reporting period, which can be a calendar or fiscal year. A December 31 period means a June 30 deadline.
Filing electronically
If you file more than five slips of the same type, the CRA requires you to file them electronically. Since January 2025, each electronic submission can contain only one return type, so T4s and T4As go in separately. I handle the filing and keep a copy of everything with your year-end records, since the CRA generally expects business records to be kept for six years.
What’s included
- Slip review
- the right slip for each person you paid
- Slip preparation
- amounts taken from reconciled books
- Summary & filing
- filed electronically with the CRA
- Copies for recipients
- ready to send to employees and subtrades
How slips get done
Step 1
Sort who gets what
I go through everyone you paid and confirm which slip applies.
Step 2
Prepare from clean books
Amounts come from your reconciled payroll and payables, not from memory.
Step 3
File on time
Slips and summaries are filed electronically, with copies for each recipient.
The free review of your books costs nothing. Tell me where things stand.
T5018, T4 and T4A slips for southern Alberta trades and employers
The T5018 is the slip local trades most need to know about. If you’re a plumber, framer or other contractor who pays subtrades on jobs around Lethbridge, Coaldale or Taber, and construction is your main line of work, it likely applies to you.
Salons have a rule of their own: for EI, the CRA treats the salon owner as the employer of hairdressers and barbers, even ones who are otherwise self-employed, and that affects which slip they get. Either side can ask the CRA for a ruling. See bookkeeping for trades and contractors and salons, estheticians and spas for more.
Slips, from $50/hour
Slips are charged by the hour, from $50/hour, with your bookkeeping or payroll, based on how many slips you need. Every quote is confirmed after a free review of your books. If you’re already on payroll with me, your T4s are part of the routine.
How pricing worksKeep exploring
Questions about slips
When are T4 slips due?
The last day of February for the previous calendar year, or the next business day if that falls on a weekend. Employees must receive their copies by the same date.
Do I need to file T5018 slips?
If more than half your business income comes from construction and you paid a Canadian-resident subcontractor more than $500 in the year (before GST), yes. If construction isn’t your main activity, those payments generally go on a T4A instead.
What’s the difference between a T4A and a T5018?
Both can report payments to people who aren’t employees. The T5018 is specifically for construction businesses paying subcontractors, while the T4A covers a range of other payments, including subcontractor payments by businesses that aren’t mainly in construction.
Do I have to file slips electronically?
If you’re filing more than five slips of the same type, yes. I file electronically either way.
Let’s get your books level.
Tell me where things stand, even if it’s messy, and I’ll tell you honestly what it’ll take to catch up and keep it that way. Every quote is confirmed after a free review of your books.
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