What Is Line 10100 Tax Return (Formerly 101) in Canada
If you live in Canada, you should file your income tax every year. One of the most important spaces on your tax return is line 10100. It is the space where you enter the total income you earned for the entire year.
Understanding what each line on your return is for is an important part of filing your annual return correctly. The following article will explain where to find line 10100 on your tax return, and what to enter there.
- Line 10100 is the space on your Canadian tax returns where you enter all of the employment income earned in the year.
- You must report your total income sources including your wage, salary, tips, commissions, bonuses, gratuities, and honoraria.
- Line 15000 includes all employment income, as well as any other income source you have, like RRSPs, rental income, and taxable gains.
- You can submit your return online, or by mailing in a completed paper copy.
- What is Line 10100 on a Tax Return?
- Why is Line 10100 Important?
- Where to Find Line 10100 On a Tax Return
- The Tax Information to Enter on Line 10100
- Line 10100 vs 15000 Tax Return
- How to Submit Tax Return In Canada
- Save Time and Money on Tax Preparation with FreshBooks
- Frequently Asked Questions
What Is Line 10100 On a Tax Return?
Line 10100 was called line 101 on your tax paperwork prior to 2019. Line 10100 is the employment income line where you enter all of your employment income, including:
If you only have 1 source of employment income, like a full-time job, with one T4 slip, you can find the income amount needed for line 10100 on your tax return on the T4. When you have more than one employment income source, like other employment income such as tips, add them all together to find your total income.
Why Is Line 10100 Important?
When the Canada Revenue Agency (CRA) decides how much tax you owe on your taxable income that was earned throughout the tax year, it is based on the number you enter on line 10100.
This number needs to be accurate and must represent all of your employment income, so you do not have to face the CRA’s penalties for false reporting or failure to report.
Where To Find Line 10100 On a Tax Return
So where is line 10100 on your tax return? It’s on the third page of your Income Tax and Benefit Return Form, under Step 2 – Total Income.
This is how to find line 10100 on your tax return, where you will enter all of your employment income, and earnings from work, which can be found in Box 14 on your T4 slips that are given to you by your employer.
The Tax Information To Enter On Line 10100
When you are filling in line 10100, add up all of your income amounts for the entire tax year.
For some, it is as simple as entering the income found in Box 14 on your T4 slip, but for others who have employment income from multiple jobs, or who receive tips and commissions or other employment income, it can be more complex.
- Tips: Many people who work in the service industry are able to supplement their wages with the tips they earn from customers, and even a few dollars must be claimed.
- Commissions: This is a sum of money an employee earns after doing a good job, on top of their wages. It is often seen in sales, as an incentive to increase worker productivity.
- Bonuses: These sums of money are never guaranteed, and are often paid out to workers as a performance-based reward, to entice new employees to join a company, or to show gratitude to employees.
- Gratuities: A sum of money often paid by an employer in recognition of an employee’s long-standing service, often calculated as a percentage of the employee’s total salary.
- Honoraria: A payment provided for services that have no set price, or for which it is forbidden to charge a fee.
Not all employment income goes on line 10100. For example, you don’t put medical premium benefits, supplemental unemployment benefits, or veteran benefits in this area.
Completing your taxes accurately, and in a timely manner, is made easier when you use accounting software.
You can take the stress out of tax preparation by using FreshBooks for your personal or small business bookkeeping. Please check out the following video to learn more.
Line 10100 vs 15000 Tax Return
You may notice that line 10100 and line 15000 both ask for your income amounts, which may seem a bit confusing. The difference is that while 10100 is for the total amount of income you earned while working, line 15000 requests the income amount you have earned from all income sources.
This includes your salary, wages, tips, commissions, bonuses, gratuities, and honoraria, as well as income sources like:
- Investment income
- Interest income
- Taxable gains
- Rental income
For people who don’t have these additional sources of income, line 15000 and line 10100 will be the same.
How To Submit Tax Return In Canada
There are several different methods used to send in Canada tax returns. Most people will submit their returns using online filing, for faster processing. You can do this using 3 different methods:
- Manually completing your return using certified tax software like FreshBooks, and then filing the taxes using the CRA’s secure NETFILE service
- Logging in to the CRA MyAccount site, then having your certified tax software automatically complete your taxes, using all the information the CRA has available (you will have to double check before submitting to ensure nothing is left out)
- Finding an authorized tax preparer like a discounter or an accountant to complete and file your taxes on your behalf
If you want to mail in a paper copy of your income taxes to the Canada Revenue Agency (CRA), you can certainly do so, but processing will likely take longer. To mail it in:
- Complete your paper return
- Check the CRA website for the correct mailing address (people in different locations mail their returns to different addresses)
- Send it in the mail
Save Time and Money on Tax Preparation with FreshBooks
FreshBooks is a helpful accounting software that can make doing taxes easier, especially for those who have more complex returns.
Canadian small business owners and individual taxpayers can use this simple software to manage their finances, stay organized, and potentially reduce their capital gains tax liability.
If you need help this tax season or just want to make the tax season run smoother, you can try FreshBooks for free.
FAQs About Line 10100 Tax Return
If you still have questions about the Canada tax return Line 10100, the following frequently asked questions may help.
How do I get my line 10100 online?
Finding your T4 slips on the MyAccount section of the CRA website can be done by navigating to the Tax Returns section, and then clicking on the “Tax Information Slips (T4s and more)” link on the right-hand sidebar. The T4 slips there will have your line 10100 amount in Box 14. This is helpful if your employer fails to remit your T4 slips on time.
Is line 10100 the same as 23600?
No, line 10100 is your total income amount, while line 23600 is your net income, (your gross income minus deductions after tax credits have been applied).
Is line 10100 the same as box 14?
Yes, the dollar amount in Box 14 on your T4 slip is the amount you enter into line 10100 of your annual return. If you have multiple T4 slips from multiple employers or additional income like tips to claim, you must add all of these amounts and put the total on line 10100.
Is line 10100 tax return net or gross?
Tax line 10100 is the total gross employment income for the tax year. If you are looking for the place to enter your total net income, this is line 23600.
If you need help figuring out what your total gross income is, tax preparation software like FreshBooks can help.
What happens if you make an error on Line 10100?
If you file your taxes using the wrong employment income amount, the CRA ReFile program allows Canadians to electronically re-file their taxes with corrections, up to 4 tax seasons back (or up to 10 tax seasons if you want to request an adjustment to get a refund).
About the author
Kristen Slavin is a CPA specializing in accounting, bookkeeping, and tax services for small businesses. In addition to her 16 years experience in the accounting field, she also holds a Master’s Degree in Business Administration. In her spare time, Kristen enjoys camping, hiking, and road tripping with her husband and two children. In 2022 Kristen celebrated opening her own firm; K10 Accounting. Learn more about her services: www.k10accounting.com