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Jane Payroll (Beta): Supporting Your Employees With Tax Information in Jane Payroll, 2026 edition

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  2. Jane Payroll (Beta): Supporting Your Employees With Tax Information in Jane Payroll, 2026 edition

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First things first, we need to be absolutely clear. Jane cannot provide tax advice, clinic owners cannot provide tax advice, and employees are responsible for ensuring their own tax information is correct. If anyone is unsure about what to enter, the safest step is always to check with a tax professional or refer to the CRA’s official forms.

For many people, TD1s are the classic “new job form” that gets filled out, forgotten, and then rediscovered at the next job with zero memory of ever having seen it before. This guide helps break that pattern by explaining what Jane asks for and how to support your team without stepping into tax advice.

Feel free to jump to a section below:

What Jane Payroll Asks For

When an employee sets up tax information in Jane Payroll, they will see a few simple fields:

  • Federal Total Claim Amount
  • Extra Withholding
  • Provincial Total Claim Amount
  • Optional checkboxes for whether their income will be less than their claim amounts
  • Whether they are exempt from EI or exempt from CPP

Jane does not collect the full TD1 form, it only asks for the amounts employees derive from it. Because of this, accuracy matters and employees should always check the linked CRA forms if they are unsure. If a clinic or employee does not know what to enter, they should consult a tax professional.

Understanding TD1 Forms

TD1 forms tell employers how much income tax to deduct from an employee’s pay. There are two forms:

  • Federal TD1
  • Provincial TD1 for the province where the employee works

These forms list tax credits that reduce tax withheld. Most employees only use the Basic Personal Amount line, which keeps this process straightforward.

If an employee thinks they might be eligible for other credits but is not sure, they should check with an accountant or refer to the CRA forms linked inside Jane Payroll.

2026 Basic Personal Amounts

Most employees will use the basic amounts from the federal and provincial TD1 forms. These amounts come directly from the 2026 forms.

  • Federal: 16,452
  • British Columbia: 13,216
  • Alberta: 22,769
  • Saskatchewan: 20,381
  • Manitoba: 15,780
  • Ontario: 12,989
  • New Brunswick: 13,664
  • Nova Scotia: 11,932
  • Prince Edward Island: 15,000
  • Newfoundland and Labrador: 11,188

Employees can view the full CRA forms through links in Jane Payroll to confirm the correct amounts. If they are unsure which credits, if any, apply to them, this is another good moment to recommend professional advice.

The Most Common Employee Scenario

Most clinic employees fit this simple scenario:

  • Age 18 to 64
  • Single employer
  • No dependants
  • Not students
  • Not claiming disability credits
  • Not receiving pension income
  • Not in a high income range that reduces the basic amount

In this case, employees will usually:

  • Enter the basic federal amount, 16,452
  • Enter the basic provincial amount
  • Leave all other fields blank
  • Not select EI or CPP exemptions
  • Skip extra withholding unless they want to pay a little more tax each pay period

This is an example of what the Tax Info section for a employee based in BC would look like in this case:

If someone is confident they fit this category, the TD1 process tends to be quick. If they are not sure, a tax professional can help them confirm.

When Employees May Need to Look More Closely

Some situations require an employee to go beyond the basic amounts, such as:

  • Being 65 or older
  • Supporting a spouse or dependant
  • Qualifying for the Disability Tax Credit
  • Paying eligible tuition
  • Providing caregiver support
  • Having higher income that reduces their claim amounts

These credits can affect how much tax is deducted, so employees should rely on the CRA forms or an accountant if they have questions. Clinic owners should not interpret these credits or determine eligibility for employees.

EI and CPP Exemptions

Jane asks employees whether they are exempt from EI or CPP. These exemptions are uncommon, and employees should confirm them carefully.

CPP exemptions apply only if the employee:

  • Is 65 to 70 and has filed Form CPT30 with the CRA

Age related exemptions (under 18 or over 70) are automatically handled by Jane.

EI exemptions usually apply only if the employee:

  • Works for certain family owned businesses that do not qualify for EI
  • Is self-employed, which mostly applies to clinic owners, unless they’ve explicitly opted into the program
  • Has a CRA approved religious exemption

Most self-employed people are exempt from EI unless they opt into the program. If an employee is unsure whether they qualify, they should check with a tax expert, since these exemptions matter for both employees and employers.

What Happens If Employees Enter the Wrong Numbers

Mistakes happen, and usually they are fixable.

For employees

Incorrect TD1 amounts change how much tax is deducted during the year.

  • If they overpay, they get a refund at tax time
  • If they underpay, they owe the difference

There is generally no penalty as long as they pay what they owe when tax season rolls around.

For employers

The risk for employers arises when EI or CPP exemptions are incorrect.

If an employee is marked as exempt when they should not have been, the CRA may issue a Pensionable and Insurable Earnings Review, known as a PIER. This is a request for the employer to review or correct past contributions.

Most employers resolve a PIER by:

  • Providing context, or
  • Paying EI or CPP amounts that were missed

There is usually no penalty if the employer responds promptly and corrects the issue. This is why employees should confirm exemptions with a tax professional if they are unsure.