Warning: T4A box 48 requires T2125

You will see the following error message in H&R Block’s 2024 tax software if you entered an amount in box 48 on the T4A: Statement of pension, retirement, annuity, and other income page, but did not report any business or professional income on the T2125: Statement of business and professional activities page:

Make sure you report your fees (in box 48 on your T4A slip) as self-employment income, and any expenses related to those fees. They should be entered on the Statement of business or professional activities (T2125) page. To find this page, click the Tax Topics icon under the Credits & deductions tab. In the Self-employment income & expenses box, click the Add This Topic button. Then go to the Employment section to complete the T2125. Note that if you live in Québec, this page is called Business or professional income and expenses (T2125 & TP-80-V). [warning]

 

How do I fix this?

To clear this warning, enter your business or professional income on the T2125: Statement of business and professional activities page in the tax software. If you’re a Québec resident, this page is called Business or professional income and expenses (T2125 & TP-80-V). The amount in box 48 refers to fees you received for services that you provided during the year and is treated as self-employment income by the Canada Revenue Agency (CRA). Therefore, this amount must also be reported as business or professional income on your tax return.

Note: You can find the T2125 page on the Credits & deductions tab under Employment provided you add the Self-employment income & expenses option on the Tax Topics page.