Start planning for a mid-Year CRA Tax Update Now

GP 2015 Tax and Year End Updates End Mid-April

Let’s face it, with the COVID-19 subsidy changes the federal government is making almost weekly, it is anyone’s guess as to whether there will be a mid-year tax update required for Dynamic GP.

If your company has a current version (2016 or newer), you will automatically be able to update the tax tables as soon as Microsoft releases them, which in the past has been early July.

However, if you’re running GP 2015 and Canadian payroll, any mid-year tax table updates will not be applicable. If you were planning to do the upgrade this year so you would be ready for December year-end, you may be in a challenging position if CRA does announce mid-year updates. We won’t know if the mid-year tax updates are happening until early June.

If this is your situation, you should be planning for your upgrade to happen by July 1st, 2020. This will ensure that if tax updates are released, you would be eligible for the Microsoft updates. With a typical timing for upgrades of 6 to 8 weeks, you need to start planning NOW. When you factor in that many people are working remotely, there is even more reason to begin the planning process soon.

What if we don’t upgrade by July 1?

In this unprecedented and uncertain pandemic environment, you may be asking: what happens if there is a mid-year tax update and we do not upgrade GP 2015 by July 1st?

If there are changes and you don’t upgrade on time, it will require manual adjustments at each pay period until you get the tax tables. Keep in mind the degree of difficulty with manual adjustments to payroll is influenced by your number of employees, the number of provinces in which you pay employees, the number of changes CRA publishes, the number of payroll resources you have and your willingness to accept possible errors.

How Joesoftware can help

With virtually every business facing some degree of interruption for the last month and likely for some time to come, budgeting for a GP upgrade may have fallen down your priority list. This is where Joesoftware can help.

In the past, Joesoftware has done custom tax table updates to delay the upgrade. At this point, we are anticipating that CRA will have mid-year updates and that some GP 2015 customers using Canadian payroll will be looking for an alternative way to manage to the end of the year or longer.
If this is a scenario your company may be facing, contact us to learn more about your options.

If you require a custom update, Joesoftware can move quickly to help you make this transition. The more you can advise us in advance of your needs, the better we can advise and prepare your organization.