PR08.1 - Canada Tax Authority
**Form Purpose
Use Canada Tax Authority (PR08.1) to define a Canadian tax authority that
provides a link between the Lawson Payroll system and the Business Software,
Inc.(BSI) tax tables.
**Prerequisites
Before you define Canada tax authorities, you must have BSI installed. You
must define your BSI tax codes before you create a Canadian tax authority.
You define BSI tax codes within the BSI system. See your BSI Procedures
Manual for more information.
**Process at a Glance for Defining Deduction Structure
1. Define BSI tax codes in the BSI system. For more information see your BSI
Procedures Manual.
2. Define tax authority on this form (PR08).
3. Define deduction class (PR02).
4. Define required code (PR03).
5. Define deduction (PR05).
**Required Fields
You must enter information in the following fields:
*Tax Authority
*BSI Tax Code
*Authority Type
If you select Provincial in the Authority Type field, you must make a
selection in the Province field.
**Decision/Impact
You define tax authorities for:
- Federal authority for Revenue Canada
- Federal authorities for each province that has a tax obligation to the
federal government
- Provincial authorities for each province with reporting requirements
separate from Revenue Canada
Before you set up your tax authorities, think about the naming convention you
want to use. Most Lawson clients use the same code for the tax authority as
they do for the BSI tax code. Using the same name makes it easier to remember
which tax authority is linked to which BSI tax code.
You assign a tax authority to tax deductions on Deduction (PR05.1). The BSI
tax code you assign to this tax authority determines how the Payroll
application calculates the deductions you assign the tax authority to.
You also assign a tax authority to garnishment rules on Canada Garnishment
Rules (PR46.2). You can override the tax authority on Canada Employee
Garnishment (PR47.1). The tax authority on the garnishment represents the
governing body with the authority to garnish wages.
**Application Integration
The Lawson Payroll system works with the third party application BSI to
correctly calculate taxes. BSI maintains the correct tax tables while Lawson
performs the calculations to deduct taxes. You must define BSI tax codes
before you can create a Canada tax authority. You also must maintain BSI tax
tables to ensure the Payroll system calculates the correct tax amounts. See
your BSI Procedures Manual for more information.
**More Help
Access the Minimum Wage subform to define a minimum wage and its effective
date for the tax authority.
A tax authority can also be defined to establish garnishment rules only.
Reports are available in the BSI system that provide listings of BSI tax
codes.
Updated Files
PRMINWAGE -
PRTAXAUTH -
Referenced Files
DEDCODE -
PRPROVINCE -
PR08.2 - Canada Minimum Wage
** Form Purpose
Use Canada Minimum Wage (PR08.2) to define minimum wage information for the
tax authority. These minimum wages are informational only.
** Prerequisites
You must define a tax authority before creating minimum wages on this form.
** Required Fields
You must make an entry in the Minimum Wage field.
** Process at a Glance
1. Define a tax authority on Canada Tax Authority (PR08.1).
2. Define minimum wages using this form.
Updated Files
PRMINWAGE -
Referenced Files
PRTAXAUTH -
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