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19 changes: 11 additions & 8 deletions dynamics-gp/payroll/CAN18YETax.md
Original file line number Diff line number Diff line change
Expand Up @@ -8,7 +8,7 @@ manager: jswymer
ms.topic: article
ms.reviewer: jswymer
ms.author: theley
ms.date: 12/9/2024
ms.date: 1/16/2024
---

# Canadian Payroll 2024 Year-end Update & 2025 Tax Update
Expand Down Expand Up @@ -105,8 +105,9 @@ Use the following checklist for Canadian Payroll year-end processing. For detail
To make it easier to determine CPP and EI maximums between running a payroll in a new year (2025 maximums) and printing T4's from prior years (2024 maximum), two constants are created each with the year maximum in place.

Example:
Constant 1 2024 Maximum
Constant 2 2025 Maximum

- Constant 1 2024 Maximum
- Constant 2 2025 Maximum

To determine when you run a 2024 payroll what maximum to use, the system looks to the **Federal Basic Personal Amount** in the Tax Credit Control window.
Tools | Setup | Payroll Canada | Control | Tax Credits.
Expand Down Expand Up @@ -140,7 +141,7 @@ Canadian Payroll for Microsoft Dynamics GP has the ability to generate the XML f

### Finding the Software Developer Number and RL-1 Authorization number

If you plan to use the Internet to submit RL-1 records, you need to obtain the [Software Developer Number and the RL-1 Slip authorization number](https://learn.microsoft.com/dynamics/s-e/gp/cagptuye2018_285). Both numbers change every year.
If you plan to use the Internet to submit RL-1 records, you need to obtain the [Software Developer Number and the RL-1 Slip authorization number](/dynamics/s-e/gp/cagptuye2018_285). Both numbers change every year.

You also can see [XML and form changes](#xml-and-form-changes) for the RL-1 authorization number and the steps for entering it.

Expand Down Expand Up @@ -325,11 +326,13 @@ Contribution rates for both employers and employees for 2025 is 5.95%. The follo
> To make it easier to determine CPP and EI maximums between running a payroll in a new year (2025 maximums) and printing T4's from prior years (2024 maximum), two constants are created each with the year maximum in place.
>
> Example:
> Constant 1 2024 Maximum
> Constant 2 2025 Maximum
> - Constant 1 2024 Maximum
> - Constant 2 2025 Maximum
>
> To determine when you run a 2025 payroll what maximum to use, the system looks to the Federal Basic Personal Amount in the Tax Credit Control window (Tools > Setup > Payroll Canada > Control > Tax Credits).
> The system expects the amount of $16,129 for Federal Basic personal Amount in the control and then it will pull the 2025 maximum.

To determine when you run a 2025 payroll what maximum to use, the system looks to the Federal Basic Personal Amount in the Tax Credit Control window (Tools > Setup > Payroll Canada > Control > Tax Credits).
The system expects the amount of $16,129 for Federal Basic personal Amount in the control and then it will pull the 2025 maximum.
#### Canadian Payroll Tax Calculations

[The CRA accepts different tax calculation methods, and these are outlined on their website](https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/t4127-payroll-deductions-formulas-computer-programs.html)

Expand Down