Can I get a report of the dental selections for each employee?

There is currently no report. We have asked for this for future years. For now:<ol><li> Go to the <a>T4/T4A Dental Benefits page.</a> From the Payroll menu, select Adjustments > T4/T4A Dental Benefits.</li><li>Make the yes/no selection.</li><li> Click Next.</li><li>Preview and view the employees and their current values.</li></ol>

Dental is covered by the union. What dental option do we choose for the staff?

December 14, 2023: We can confirm that the original guidance was for the dental code entry in T4 Box 45 to be 1 if the dental benefit is offered by the union rather that the employer. This week Health Canada advised the National Payroll Institute (NPI) that, if the employer pays 100% of the premium on dental benefits offered by a union, the entry should be a 2-5, as applicable. Since the understanding has always been that premium payment is irrelevant—it is uncertain at this time what the appropriate Box 45 entry should be for union-provided dental benefits, when premiums are entirely paid by the employer. NPI is expecting written confirmation on what is required and will share that once it is available. It is expected that the Canada.ca site will be updated with an official answer to this question. At this time, there are no employer-facing Q&As posted.

I already filed my tax forms. Do I need to rerun them to add the dental?

CRA has stated ‘To reduce the burden on employers, if you filed your T4 slips for calendar year 2023 before January 2024, you do not have to file amended T4 slips to report this code’.

I am a dental office. I do not have a dental plan but I will do dental work for the staff. How do I fill out the dental page?

You would select option 2-4 based on who you do work for. Just the employee or the employee and children etc.

I have retired employees that I do not create T4 or T4As for normally. Do I need to create one now with the dental information?

If you wouldn't otherwise produce a form for these employees to report income, there is no need to do so for the sole purpose of dental code reporting.

If dental coverage is offered but not active until after a designated 'wait period', what code do I select?

If the employee is not eligible for coverage on December 31, select code 1.

If my weekly payroll pay period runs from Dec 24-30 and is paid on Jan 5, and an employe terminates, do I have to rerun my tax form to change their dental coverage option from 2 - 5 to option 1- no coverage?

Yes, you should be doing a year end run to change the employee to 1 no coverage if they have lost coverage

My employee becomes eligible for benefits in December, but I am assigning dental code values in November, what code do I select for them?

The dental code value is based on whether dental coverage is offered/available to employees as of December 31, select the applicable code for the type of coverage that will be available to them as of that date.

My employee has opted for single coverage, what code do I select for them?

It does not matter what option an employee has selected for their dental benefit, select the applicable code for the type of coverage that is available.

My employee has opted out of the benefits plan as they have coverage through their spouse’s plan with another organization, what code do I select for them?

It does not matter if an employee has opted out of benefits, if dental benefits coverage is available to them through your organization, select the applicable code for the type of coverage that is available to them.

My employees have a Health Spending Account (HSA). What do I select for dental?

Yes, you should be doing a year end run to change the employee to 1 no coverage if they have lost coverage

What code do I select if we offer a Healthcare Spending Account (HSA) to employees in lieu of a benefits plan?

CRA has confirmed that if the HSA covers dental claims, code 2-5 should be selected based on the type of claims employees are eligible to submit (i.e., if they can only submit claims for themselves, select code 2; if they can submit claims for spouse and dependents, select code 3, etc.)

T4/T4A Dental Codes, Canadian Dental Care Plan (CDCP)

As part of the federal budget for 2023, the CDCP is intended to provide coverage for uninsured Canadians with an annual family income of less than $90,000. Since eligibility is determined, in part, based on uninsured status, employers and payors must report on the dental coverage they offer to their employees and retirees as of December 31 on their T4 or T4A tax form.

What does this mean for employers?

Employers need report on the T4 or T4A whether an employee, former employee or a spouse of a deceased employee was eligible on December 31st of the reporting tax year, to access dental insurance or dental coverage of any kind, due to current or former employment. Powerpay now includes the ability to add the appropriate dental code values to your individual employees.

Note: The last payroll of the year cannot be submitted without assigning dental code values to your individual employees. You do not need to wait until the last payroll of the year to update this page. We suggest that you update it as soon as possible.

The tax form options are as follows:

Code	Explanation
1	No access to any dental care insurance, or coverage of dental services of any kind.
2	Access to any dental care insurance, or coverage of dental services of any kind for only the employee.
3	Access to any dental care insurance, or coverage of dental services of any kind for employee, spouse, and dependents. *
4	Access to any dental care insurance, or coverage of dental services of any kind for only the employee and their spouse.
5	Access to any dental care insurance, or coverage of dental services of any kind for only the employee and dependents.

*It does not matter what option an employee has selected as their dental benefit. If family coverage is available, select code 3.

This value will be displayed in the applicable box on the T4/T4A for each employee.

Box 45 - T4 Employer-Offered Dental Benefits / Prestations dentaires offertes par l'employeur
Box 015 - T4A Payer-Offered Dental Benefits / Prestations dentaires offertes par le payeur

Note: If a change in dental coverage occurs for an employee on or before December 31, you must update this value for tax form reporting.

Video

This video is designed to assist Powerpay customers with understanding the T4/T4A implications of the new Canadian Dental Care Plan (CDCP) and how to complete the new T4/T4A Dental Benefits page in Powerpay starting for the 2023Tax Year.

Canadian Dental Care Plan Webinar

Tasks

Assign Dental Code values

Click the Pay Period menu and click the Enter button for the pay period you want to work with.
Go to the T4/T4A Dental Benefits page. From the Payroll menu, select Adjustments > T4/T4A Dental Benefits. or T4/T4A Dental Benefits page. From the Payroll menu, select T4/T4A Dental Benefits. on Year End runs.

Note: Access to this page is controlled by Role Based Security when enabled. For more information see Security Roles.
Does your company offer dental care insurance or coverage of dental services of any kind to any employees on the payroll?
No
1. Select No.
2. Click Next.
  
  All employees are defaulted to the value:
  
  1- No dental insurance or coverage of any kind.
3. A preview of your employee list displays the default value each employee will be assigned in the New Value column. Review the preview to ensure the values are correct as of December 31 of the current year.
4. Click Save.
Note: If a change in dental coverage occurs for an employee on or before December 31, you must update this value for tax form reporting.
Yes
1. Select Yes.
2. Click Next.
3. In the Set Defaults section, select the code that applies to each group of employees based on their employee status.
  - 1 – No dental coverage offered
  - 2 – Dental coverage limited to employees
  - 3 – Dental coverage offered to employees, spouses and children
  - 4 – Dental coverage is limited to employees and their spouses
  - 5 – Dental coverage is limited to employees and children
  After selecting the default code for each group you will be able to change the value for individual employees as required.
4. Click Preview.
5. A preview of your employee list displays the default value each employee will be assigned in the New Value column. Review the preview to ensure the values are correct as of December 31 of the current year.
6. If you need to change values for individual employees, select the new value as required.
  
  For example, if you offer family dental coverage to all active employees, but have a new employee that doesn't qualify for benefits as of December 31 of the tax year, select option 3 as your default value and update the new employee's value to 1.
7. Click Save.
Note: If a change in dental coverage occurs for an employee on or before December 31, you must update this value for tax form reporting.

Modify Dental Code values

Click the Pay Period menu and click the Enter button for the pay period you want to work with.
Go to the T4/T4A Dental Benefits page. From the Payroll menu, select Adjustments > T4/T4A Dental Benefits. or T4/T4A Dental Benefits page. From the Payroll menu, select T4/T4A Dental Benefits. on Year End runs.

Note: Access to this page is controlled by Role Based Security when enabled. For more information see Security Roles.
Select Yes to the question "Does your company offer dental care insurance or coverage of dental services of any kind to any employees on the payroll?"
Click Next.
Is a change required to the default value assigned to all employees based on their employee status?
Yes
1. In the Set Defaults section, select the code that applies to each group of employees based on their employee status.
2. Click Preview.
3. Powerpay displays the new default value to apply to each employee in the New Value column. Review the preview to ensure the values are correct as of December 31 of the current year.
4. If you need to change values for individual employees, select the new value as required.
  
  For example, if you offer family dental coverage to all active employees, but have a new employee that doesn't qualify for benefits as of December 31 of the tax year, select option 3 as your default value and update the new employee's value to 1.
5. Click Save.
Note: If a change in dental coverage occurs for an employee on or before December 31, you must update this value for tax form reporting.
No
1. Click Preview.
2. A preview of your employee list displays the value each employee is assigned in the New Value column. Review the preview to ensure the values are correct as of December 31 of the current year.
3. Select a new value for individual employees as required.
4. Click Save.
Note: If a change in dental coverage occurs for an employee on or before December 31, you must update this value for tax form reporting.

T4/T4A Dental Codes, Canadian Dental Care Plan (CDCP)

What does this mean for employers?

Video

Tasks

Related Information