How payroll works
You have to make deductions on amounts you pay if you are an employer, a trustee or a payer. After you have made the deductions, you have to remit these deductions, plus your share, to us. You then report these amounts on the appropriate information return.
See Employer responsibilities - The payroll steps for a definition of the above terms, and to find out what to do for each step.
If you are operating in Quebec, you also have provincial requirements. See Revenu Québec.
- Employer responsibilities - The payroll steps
- Penalties, interest, and other consequences
- Opening a payroll program account
- Changing your business status
- CRA's and ESDC's responsibilities for the administration of the CPP and the EI Act
- Life events for employees
- Tax deduction estimator (form TD1)
Access this online tool to estimate deductions.
Forms and publications
- Form RC366, Direct Deposit Request for Businesses
- Guide RC4120, Employers' Guide - Filing the T4 Slip and Summary
- Guide RC4157, Deducting Income Tax on Pension and Other Income, and Filing the T4A Slip and Summary
- Guide T4001, Employers' Guide - Payroll Deductions and Remittances
- Guide T4130, Employers' Guide - Taxable Benefits and Allowances
- Video series: Payroll Information for a New Small Business
- Date modified: