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Adjust employee's pay in a new tax year - Sage Business Cloud Payroll (Canada)
Adjust employee's pay in a new tax year - Sage Business Cloud Payroll (Canada)

What to do if you process pay runs for the new tax year before new tax tables are released (Canada only).

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Written by Wayne Pickard
Updated over 9 months ago

You might need to process pay runs before the Canadian Revenue Agency (CRA) or Revenue Québec release new tax tables.

For example:

You might process future pay runs for January before your business closes for the holiday period.

In this scenario, it is possible that the CRA or Revenue Québec will release new tax tables after you complete the January pay runs.

This may result in employee tax calculations using old tax tables.

Before you process the next active pay run, check if you need to adjust your employees' pay.


How to check tax calculations

Check for any variance in the tax calculations on your pay runs by running the Sage Payroll year to date detailed report.

  1. Select Reports, then Year To Date Detail.

  2. Select the Tax Year.

  3. Select the Pay Group.

  4. Select the Employee.

  5. Select Create PDF

    The Sage Payroll Year To Date Detail reports shows a breakdown per employee of:

    • Total earnings

    • Deductions

    • Other totals for the year

    Compare this report against the Payroll Deductions Online Calculator (PDOC) and Revenue Québec's WebRAS tool.

    The PDOC calculates federal, provincial and territorial payroll deductions for the completed pay runs you want to check.

    WebRAS calculates source deductions and employer contributions for the completed pay runs you want to check.


How to make adjustments

To learn how to make adjustments in the next active pay run, access our Tax and other expense adjustments article - Sage Payroll (Canada only).

Speak to your accountant if you're unsure how to handle any variance between the values.

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