1. Go to Employees > Master Paycard > Compensation Summary you will see "Employer Offered Dental Benefit" at the end.
2. Select the correct code and hit the save button.
If you would like to mass-update this box for all employees, this will be a billable service. Please provide us with a file containing the employee ID and their designated codes for us to send an estimate.
Why is there a new box for Dental in the Tax forms?
Employers will be required to report if they provide dental insurance to their employees as part of the new public Canadian Dental Care Plan (CDCP). This new reporting requirement is to notify Health Canada if an employee, former employee, or their spouse and dependents were eligible for dental insurance or any other type of dental coverage on December 31st of the tax reporting year, including a health care expenditure or wellness account.
T4 Tax Form:
Box 45 – Employer-offered dental benefits.
For T4 slips filed for calendar year 2023 and after, enter the appropriate code using box 45 if you provided access to any dental care insurance or for coverage of dental services of any kind to an employee.
For additional information, go to T4 slip – Information for employer
T4A Tax Form:
Box 015 – Payer- offered dental benefits.
This field must be completed if there’s an amount reported in Box 016 for “Pension or superannuation.” If no amount is reported in Box 016, then the new Box 015 is optional.
For additional information, go to T4A slip – Information for payers
The Canada Revenue Agency (CRA) may reject any T4 or T4A slip that is filed without this information.
To complete the new T4/T4A boxes, the coding options are as follows:
- Code 1 – the employee does not have access to any dental care insurance or coverage of any kind.
- Code 2 – the employee is the only one with access to dental care insurance or coverage of any kind under the employee’s plan.
- Code 3 – the employee, their spouse, and dependents have access to dental care insurance or coverage of any kind under the employee’s plan.
- Code 4 – only the employee and their spouse have access to dental care insurance or coverage of any kind under the employee’s plan.
- Code 5 – only the employee and their dependents have access to dental care insurance or coverage of any kind under the employee’s plan.
Special Case scenarios:
What happens if an employee is offered dental benefits but chooses not to take them?
Use codes 2 to 5 if the employee is still eligible for dental care provided by the employer, even if they choose not to accept it.
What happens if an employee’s significant other covers for their dental care and the company offers dental coverage to its employee members?
If the employer provides dental care to its employees, use codes 2 to 5 since the individual is still qualified even if their significant others are covering for their dental care.