What's new in ProFile 2010 R3
Following are the highlights for this release of the ProFile Suite.
February 2011 - version 2010.3.0
Download the latest release of the ProFile Suite, version 2010.3.0.
Open ProFile and select Online > Check for Updates to access the download and read all the details of this release.
NetFile Québec filing release for 2010 TP1 tax preparers
This is the first NetFile filing release for TP1 (Québec) returns.
Before you can use the NetFile Québec service, you must enter your NetFile Québec preparer number, access code, and other settings in the TP1 Internet options screen (EFILE > Options > T1). These numbers are provided by Revenu Québec. For details, visit Revenu Québec's NetFile website.
Revenu Québec will accept and process returns filed using the NetFile Québec service starting Mid-February through Sept. 30, 2011. The service is not available between 3 AM and 7 AM Eastern Time.
Updated T1/TP1 forms
Increase in the Money Purchase Limit for foreign retirement plans (forms RC267, RC268, and RC269)
For the 2010 tax year, the Money Purchase Limit for contributions to a foreign retirement plan has increased from $22,000 to $22,450. This affects the following forms:
These forms also have several cosmetic changes.
New T2 forms
CO-1029.8.36.EM - Tax Credit Relating to Resources
This release includes the new form CO-1029.8.36.EM - Tax Credit Relating to Resources. It can also be used to claim a temporary increase with respect to eligible expenses that were incurred before January 1, 2008 and already paid by the time the corporation claims the credit. In order to claim these credits, corporations must:
For more details (including what qualifies as "eligible expenses"), see the information on the CO-1029.8.36.EM form itself.
ProFile fills out Part 1 - Identification of the corporation automatically based on the Info form. To complete this form and claim one or both of these credits:
ProFile carries the calculated tax credit (and/or the refundable portion of the temporary increase) to lines within 440p through 440y on the CO-17 return, flagged with the appropriate code.
CO-1029.8.36.ID - Cumulative Limit Allocation Agreement for the Tax Credit for Investment
This release includes the new form CO-1029.8.36.ID - Cumulative Limit Allocation Agreement for the Tax Credit for Investment. Corporations must fill out this form under the following conditions:
For more details on requirements for this form, see notes on the CO-1029.8.36.ID form itself.
To fill out this form:
Updated T2 forms
AgriStability and AgriInvest
The codes used to fill out the following sections of the AgriStability and AgriInvest form are updated to reflect changes from the CRA:
T661 - Scientfic Research and Experimental Development (SR&ED) Expenditures Claim
In this release, the calculation in Part 5, line 858 has been updated to reflect an increase in maximum pensionable earnings under the Canada Pension Plan (CPP) for 2011. This maximum is $47,200 in 2010, and $48,300 in 2011.
Schedule 443 - Yukon Corporation Tax Calculation (S5YT)
The Yukon government has increased the small business threshold from $400,000 to $500,000 to match changes to the federal small business threshold. These changes take effect starting Jan. 1, 2011.
To reflect the new threshold, this release of ProFile includes changes to Schedule 443 (S5YT) that accommodate corporations whose taxation years have days in 2011:
Note: The CRA has indicated that its systems will not be able to process this change until April or May 2011. Returns that use the new limit might not be accepted until then.
CO-1029.8.33.6 - Tax Credit for an On-the-Job Training Period
The CO-1029.8.33.6 form now includes a new Part 6 - Tax credit for an on-the -job training period further to the repayment of an amount of assistance, a benefit or an advantage (lines 95-99).
Qualified expenditures must now be calculated based on each of the weeks of training, rather than the total number of weeks. There are also changes to the methods for calculating section 3.3.2 - Maximum amount of qualified expenditures, and 3.4 - Reduction of the weekly limit for qualified expenditures. The line numbers and instructions on the ProFile form reflect these changes.
The notes on the ProFile form are updated to match the most recent version from Revenu Québec, including new notes pertaining to Part 6 and a new notes on Special tax.
The Summary is now Part 7 of the form, and uses amounts from either S1- Tax credit for an on-the-job training period, or S2 - Tax credit for an on-the job training period further to the repayment of an amount of assistance, a benefit or an advantage.
CO-1029.8.33.13 - Tax Credit for the Reporting of Tips
The CO-1029.8.33.13 in this ProFile release is updated to include the 2008, 2009, and 2010 calendar years, and reflect the new Employment Insurace (EI) and Québec Parental Insurance Plan (QPIP) rates. We have also updated the notes section to match the most recent version from Revenu Québec.
CO-1029.8.36.IC - Election concerning the Investment Tax Credit
This release includes an updated form CO-1029.8.36.IC - Election concerning the Investment Tax Credit, based on changes from Revenu Québec. In addition to purely cosmetic changes, these updates are:
CO-1029.8.36.IN# - Investment tax credit
This release includes an updated version of form CO-1029.8.36.IN - Investment tax credit, based on extensive changes from RQ. In general, these changes handle additional rules for partnerships; cases where the corporation is a part of a joint venture; and cases where the paid-up capital of the corporation exceeds $500 million.
Brand new sections are as follows. Subsequent sections are renumbered to accommodate.
In addition to purely cosmetic changes, existing sections of form CO-1029.8.36.IN have the following updates:
CO-1136 - Calculation of Paid-Up Capital and CO-1136.CS - Paid-Up Capital for Purposes of Calculating the Income Tax of Certain Corporations
Revenu Québec has removed the following lines from the CO-1136 and CO-1136.CS forms:
The instructions and calculations for lines 340 and 349 are also updated to reflect these changes.
CO-1140 - Calculation of the Paid-Up Capital of a Financial Institution, and CO-1140.A - Paid-Up Capital to be Used for Purposes Other than the Calculation of Tax on Capital
As of March 31, 2010, corporations that claim the tax credit for salaries and wages - International Financial Centres on form CO-1129.36.CI, are not eligible for the deduction for operating an International Financial Centre (IFC) for a portion of the year. The instructions for part 5 - Deduction allowed to financial institutions that operate an IFC, are updated to reflect the change in eligibility.
There is a new Part 5.5 - Reduced deduction for the operation of an IFC, which you must complete if you filed a credit through CO-1129.36.CI.
CO-1159.2 - Compensation Tax for Financial Institutions
This release has an updated form CO-1159.2 - Compensation Tax for Financial Institutions based on changes from Revenu Québec.
Most changes accommodate a change in tax rates that took effect March 31, 2010. Amounts and calculations are now separated into separate columns for the period before March 31, 2010 and the period after March 30, 2010. This occurs in the following lines:
Apart from purely cosmetic changes, other updates are:
CO-1175.4 - Life Insurance Corporation: Calculation of the tax on capital
Revenu Québec has redesigned the CO-1175.4 form to include more complete information about a corporation's financial activities. The new form is divided into 6 parts and has a new Important section in the introductory notes explaining where to find the amounts to enter on the form.
Calculation of the taxable capital is divided into the following 3 parts:
Corporations not resident in Canada now complete Part 3 - Amount used to calculate the taxable capital of a corporation not resident in Canada, rather than lines 1, 16 and 17-20 on the old form.
Using the redesigned CO-1175.4, you calculate your tax on capital payable at the end of the form, after calculating the capital allowance.
The notes section in ProFile is also updated to match the most recent version of the form from Revenu Québec.
CO-737.18.18 - Exemption for Small and Medium-Sized Manufacturing Businesses in Remote Resource Regions
Based on extensive changes from Revenu Québec, this release of ProFile includes an updated form CO-737.18.18.
The following fields have been removed:
The following sections were added to calculate additional amounts for corporations whose taxation years began in 2010. Amounts calculated by these sections are compared to corresponding amounts in previous sections of the form:
In addition to many cosmetic changes, other changes are as follows:
CO-17.A.1 - Net Income for Income Tax Purposes
This release includes a revised form CO-17.A.1 based on changes from Revenu Québec. In addition to various cosmetic changes, these updates are:
COR-17.W - Keying summary for the Corporation Income Tax Return
The COR-17 keying summary is updated based on changes from Revenu Québec. These include cosmetic changes, and changes to reflect the updates to the CO-17 and CO-17SP returns as well as forms CO-17.A.1 and CO-1029.8.36.IN.
RD-1029.7 - Tax Credit for Salaries and Wages (R&D)
The RD-1029.7 form in this ProFile release reflects substantial changes from Revenu Québec. The notes at the beginning and end of the form are also updated to reflect the changes.
QCredits - Other Credits
Due to new form CO-1029.8.36.EM - Tax credit relating to resources, the following lines have been added to the QCredits form:
In addition, the names of lines 58 - Mining, petroleum and gas exploration expenditures and 69 - Temporary improvement to tax credit related to mineral resources have changed, and their amounts now also come from CO-1029.8.36.EM.
QSpecial - Special tax payable
You can now enter an amount for code 58 - Special tax in respect of the tax credit on wages - IFC within the QSpecial form.
Additional minor form updates
The following forms have been updated with minor changes to reflect the latest government updates.
First filing release for 2010 Québec trust returns (TP-646)
This version of ProFile T3/TP-646 is fully certified and conforms to all Revenu Québec requirements for paper filing, electronic/magnetic media filing, and filing by Internet file transfer. Filing of 2010 Federal trust returns was authorized with the CRA in the previous ProFile version.
Note that while you can still file forms either on paper, via electronic/magnetic media, or by Internet file transfer, if you submit more than 50 information slips or returns (of any type), RQ requires you to file by Internet file transfer.
Electronic Media and Internet Slip Filing (XML) of RL16 slips
This release also supports filing of eligible RL16 slips on electronic media format (CD, DVD) or by using the Internet Slip Filing service (EFILE > Internet file slips). You must have ProFile T3/TP-646 Premier to use this feature.
Before you can file using these services, you must enter the Québec Transmitter Number and other settings in the T3/FX EFILE Options window (EFILE > Options > T3/FX). The Québec Transmitter Number is provided by Revenu Québec.
Note: Using format overrides (CTRL+F2) on fields within a return that uses XML filing may cause your XML files to become invalid. To ensure that your XML file submissions are valid, avoid data overrides wherever possible.
Tip: After using the Internet file transfer feature, make sure you save each return so that your saved return always has the latest slip status.
Electronically File Form T1013 - Authorizing or Cancelling a Representative
Beginning with this release, you can electronically file T1013 forms from ProFile. To do this, open the T1013 form you wish to file, and select EFILE this T1013 from the EFILE menu. Click OK in the following window to proceed with your submission.
ProFile will tell you whether or not your submission was accepted, and provide you with either your confirmation number, or a description of errors identified by the CRA. Correct any errors before you resubmit the form.
FX/Q form and slip updates
T3010-1 - Registered Charity Information Return
Use the new T3010-1 for fiscal years ending after March 3, 2010. For fiscal years ending before March 3, use form T3010B.
In addition to cosmetic changes, the T3010-1 form has the following changes to Section D:
T3010 Schedule 6 Detailed Financial Information
Schedule 6 has two new lines for 10 year gifts: line 4180 and line 4505. The following lines have been removed:
Schedules 1, 2, 3, and 4 of the T3010 also have minor cosmetic changes.
T1236 - Qualified Donees Worksheet / Amounts Provided to Other Organizations
The CRA has removed boxes for Amount of enduring property and Amount of specified gifts from the T1236 form. Due to changes in the 2010 Federal Budget, these boxes are no longer applicable.
T5013 - Statement of Partnership Income
Effective January 1, 2011, the CRA is introducing new criteria for filing partnership information returns. The new criteria only applies to partnerships whose fiscal years end on or after January 1, 2011. For details, see New filing requirements for partnerships in 2011 on the CRA website.
The T5013 Slip and Summary also have minor cosmetic changes.
T2081 - Excess corporate holdings worksheet for private foundations
The CRA has made the following changes to the T2081 form, as well as significant cosmetic changes:
RL-15 - Amounts allocated to the members of a partnership
The 2010 Relevé 15 has the following changes:
The following ProFile forms have been updated to reflect changes to the RL-15:
TP-600 Summary - Partnership Information Return
The ProFile TP600 summary has several new on-screen only fields which ProFile uses to complete a new Additional Information section.
TP-600 Schedule E - Summary of Certain Information Entered on RL-15 Slips
Schedule E (formerly called Summary of Information on the Tax Shelter or Flow-Through Shares) is now called Summary of Certain Information Entered on RL-15 Slips. The schedule now includes instructions at the beginning of the form, as well as two new parts for Resource expenses incurred by the operating partnership and Tax credit.
There are also minor changes to the following TP-600 Schedules:
|Product delivery|| |
This release will be shipped to all ProFile customers who requested CDs by courier delivery. The expected delivery date for this ProFile package is during the week of February 14.
|Coming soon!|| |
Look for the following in a future release: