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D
DGrigg
May 2, 2020
Question

Temporary Wage Subsidy Question for payroll tax amounts already paid

  • May 2, 2020
  • 2 replies
  • 0 views

I had already paid my payroll taxes for March before realizing we could qualify for both the temporary wage subsidy and the 75% wage subsidy.  I have entered the prior payroll tax payment as directed in the outline from quickbooks on how to handle it but now it shows that I have an overpayment for March and it is not putting that forward to my April amount that is due.  When I did some research, I see that there is a resolve overpayment button on the US site for doing this simply but I can't find that option on my Canadian quickbooks.  How can I do this easily?  Can I just get rid of the March prior payroll tax payment and add up the total subsidy for both March and April and input the whole amount on my April prior tax payment so that it has the correct amount that I should pay?  Any help would be appreciated.  

2 replies

J
JamesM
May 4, 2020

Hi there, 

 

Glad to have you post in the Community. I'd be happy to share more info about resolving tax overpayments in QuickBooks Online.

 

QB Online is great for managing your taxes as it saves you from having to do extensive calculations. It's important to get the support you need with resolving the overpayment and I encourage you to reach out to our support team using this link for further assistance. Otherwise, if you'd like to record the tax overpayment as a refund, here's how: 

 

1. Click the Taxes tab, then select Sales Tax. 

2. Under the "Filed" tab, click the small drop-down arrow in the Action column next to the filing you overpaid on. 

3. Click Record refund.

4. Enter the refund amount (the overpayment).

5. Click Record Refund. 

 

Let me know if this info helps by leaving a comment below. I'll be one message away. :) 

D
DGriggAuthor
May 4, 2020

It's not sales tax, it's payroll tax so that doesn't help unfortunately.  I guess there is no resolve overpayment button for the canadian online version of quickbooks.  I think we have it resolved with our accountant's help but we had to do a workaround because there was no way to apply the overpayment last month to this months remittance.

P
PPAHMRR
May 6, 2020

Mind sharing the work around? We also did this. 

X
xyqq215
May 13, 2020

According to:

 https://www.canada.ca/en/revenue-agency/campaigns/covid-19-update/frequently-asked-questions-wage-subsidy-small-businesses.html#h1

8. What if I don’t reduce payroll remittances during the year?

If you are an eligible employer but choose not to reduce your payroll remittances during the year, you can still calculate the 10% Temporary Wage Subsidy for Employers on remuneration paid from March 18, 2020, to June 19, 2020. At the end of the year, the CRA will pay the amount to you or transfer it to your next year’s remittance.

 

It seems that CRA will pay back what we overpaid. However, I am not sure if we need to apply for it or it will happen automatically. 

 

Anyone can answer the question?

 

AddieC
AddieC
May 13, 2020

Hi xyqq215, 

 

I'd encourage you to reach out to your accountant, or the CRA directly, in order to get the best information about whether or not you need to apply for the subsidy. 

 

If you're not yet connected to an accountant, you can find one in your area here: Find a ProAdvisor.

 

I know how important it is to be given the proper information, so you'll be in good hands reaching out to an accountant or the CRA.

 

Have a great day. 

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