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T4 (annual employment slip)

Français : T4 (relevé d'emploi annuel)

Federal annual tax slip issued by the employer. Shows compensation, CPP/EI contributions, tax withheld. Complementary to the NOA for qualification.

Definition

The T4, or Statement of Remuneration Paid, is the federal annual tax slip an employer issues (before late February) for each employee. It shows annual gross compensation, CPP, EI, and supplemental CPP contributions, federal and provincial tax withheld at source, and taxable benefits (insurance, car allowance).

In Québec, the federal T4 is complemented by the provincial Relevé 1 (RL-1) issued by Revenu Québec — together they form declarable income.

In the mortgage context, lenders typically request the last 2 T4s (or RL-1s) for a salaried employee, plus a recent employment letter (≤ 30 days) and 1-2 recent pay stubs. This is sufficient to qualify a stable salaried borrower. If income includes bonus, overtime, or commission, the lender will use a 2-3 year average (sometimes weighted downward).

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This definition is provided for informational purposes only and does not constitute legal, tax, or financial advice. For a personal situation, consult an AMF-licensed mortgage broker, notary, accountant, or the relevant financial institution.