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Salary mentioned in T4 is greater than the amount mentioned in Experience Letter

C

coolroby

Full Member
Oct 23, 2012
33
1
Hi All,

I have a quick question.

Salary mentioned in latest T4 is greater than the amount mentioned in Experience letter provided by employer. Would there be any problem in application processing ? Or do we need to provide a clarification and supprting documents reflecting the same ?

Could you please help me.

Thanks
 
No. It shouldn't be a problem. I had the same issue since my T4 had more due to the fact that I received some good incentive.

Well, it may be something if it's way over the mark. For example if you state your comp as 50K, and the T4 shows 100K!!! In that case, you should attach an explanation letter (good to declare the lottery money, eh?) :)
 
JBLoknath said:
No. It shouldn't be a problem. I had the same issue since my T4 had more due to the fact that I received some good incentive.

Well, it may be something if it's way over the mark. For example if you state your comp as 50K, and the T4 shows 100K!!! In that case, you should attach an explanation letter (good to declare the lottery money, eh?) :)
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lol..i will be more happy if i get a lottery of worth 50k...fun apart, the difference in my case is around 9k and this is because salry of December 2011 got credited in Jan 2012 plus some incentive related to my promotion.

After seeing all the absurd reasons CIC is picking up to reject the applications, i am confused :(
 
JBLoknath said:
good to declare the lottery money
Click to expand...

Lottery money would not be reported in T4 issued by employer.

As mentioned by JBLoknath, if the difference is too high it's better to attach an explanation letter. I feel difference of 9k should be explained, but lets wait and see what other seniors has to say about this.
 
coolroby said:
lol..i will be more happy if i get a lottery of worth 50k...fun apart, the difference in my case is around 9k and this is because salry of December 2011 got credited in Jan 2012 plus some incentive related to my promotion.
Click to expand...

It's not a huge difference, but "incentives" or "bonuses" should be described in the letter of employment, along with salary & benefits.

If it is not, you can attach a brief explanation, then stop worrying about it. It's a bigger problem if your T4 shows you're making less than you claim :)
 
It's a bigger problem if your T4 shows you're making less than you claim
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Do you know how CIC calculate hours worked?
Do they go by the time period we state in the application?
Or they calculate by dividing salary received by hourly rate?

I have some issue with my company's salary freeze.
In May 2012 I got evaluated and was promoted to the xx rate.
In the employment reference letter, my manager put that I received xx amount. I submitted application in July 2012.
Since then to now I still received yy (less than xx) due to company's bad economic situation.
I work exactly 40 hours per week.
But if they calculate by dividing salary on my T4 by stated hourly rate (xx) then I definitely worked less than 40 hours per week.

Any suggestion?
 
pingu said:
Do you know how CIC calculate hours worked? It is (should be) stated in your Letter of Employment.
Do they go by the time period we state in the application? Yes, among other things.
Or they calculate by dividing salary received by hourly rate? They certainly could do that to cross-check your information. I would expect they might only do that if something seems odd or off to them.

I have some issue with my company's salary freeze.
In May 2012 I got evaluated and was promoted to the xx rate.
In the employment reference letter, my manager put that I received xx amount. I submitted application in July 2012.
Since then to now I still received yy (less than xx) due to company's bad economic situation.
I work exactly 40 hours per week.
But if they calculate by dividing salary on my T4 by stated hourly rate (xx) then I definitely worked less than 40 hours per week.

That could certainly be a problem, it's hard to see it as anything but your employer lying to CIC (possibly to you as well). If the difference isn't too great, it might not be noticeable or it might not matter (like, if you still meet the work requirement).
Click to expand...
 
JBLoknath said:
No. It shouldn't be a problem. I had the same issue since my T4 had more due to the fact that I received some good incentive.

Well, it may be something if it's way over the mark. For example if you state your comp as 50K, and the T4 shows 100K!!! In that case, you should attach an explanation letter (good to declare the lottery money, eh?) :)
Click to expand...

JBLoknath, just sent you a personal message...Please check and respond at your convenience.
 
Thank you Jes. Do you suggest i write them an explanation letter? Or just let the problem slide and hope the officer dont do the math?
My reference letter clearly states i work forty hours per week.
 
pingu said:
Thank you Jes. Do you suggest i write them an explanation letter? Or just let the problem slide and hope the officer dont do the math?
My reference letter clearly states i work forty hours per week.
Click to expand...

I suggest an explanation letter. They won't really need to do much math to determine they are different... If you send something now it will save any hassle at a later date.
 
Yahoo7 - Replied to your pm.

CECFEB2013 said:
Lottery money would not be reported in T4 issued by employer.
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Oh Yes, this won't be reflected in T4, but must be declared in return file, and thus would be reflected in NOA.

jsm0085 said:
I suggest an explanation letter. They won't really need to do much math to determine they are different... If you send something now it will save any hassle at a later date.
Click to expand...

I second ^^
 
Off topic but..

JBLoknath said:
Oh Yes, this won't be reflected in T4, but must be declared in return file, and thus would be reflected in NOA.
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This is incorrect as lottery winnings are not taxable in Canada, and don't need to be declared on your tax return.
 
Hey folks,
In my reference letter the salary my employer has mentioned is higher then what I have in my T4 as I had one promotion within that year. But in my pay stubs, it clearly mentions the significant difference so, would there be any problem? Or I should have submitted the explanation letter.
Thanks.
 
seton said:
Off topic but..

This is incorrect as lottery winnings are not taxable in Canada, and don't need to be declared on your tax return.
Click to expand...

:) :) Never won it, but know that lottery money is non-taxable in Canada.
I guess I am presuming that, even if it is non-taxable, you have to declare it.
Something like homemakers who have zero income, but still need to file return. I could be wrong, and way off the mark here! Or may be not!
 
JBLoknath said:
I guess I am presuming that, even if it is non-taxable, you have to declare it.
Something like homemakers who have zero income, but still need to file return. I could be wrong, and way off the mark here! Or may be not!
Click to expand...

Nope, you most certainly do not declare it.

May not be an immigration expert, but I am an accountant :)
 
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