Tax exempt employment income

Spring2025

Turbo Tax is asking to fix the 2 errors and the first one is.

#1 Tax-exempt employment income from T4 slips: If the footnote of the T4 reads, "Non-taxable earnings $ ___ - status Indian employee, election under 29.1(1) - Cppr", enter the amount here. If the footnote of the T4 reads only " Non-taxable earnings $__ - Status Indian employee", the non taxable income should no be entered here.

This non taxable income is for a Status Indian employee and the non-taxable income should NOT be entered here.

#2 You have told us that you have tax exempt employment earnings and/or other tax exempt earned income, but didn't answer the question.

I have answered the question with a NO and it won't let me e-file.

How do I fix these issues? Do I start over?

I cannot e-file due to this issue

JoanneLH

How does the Indian Act tax exemption apply to employment income?

The article linked here has instructions at the bottom that should be helpful.
The first message seems to indicate there is an incorrect entry made on your T4. If you are reporting employment income exempt under the Indian Act, you will also have an amount in box 71 of your T4 that is required.

As for the second error, if you could provide the question, I may be able to assist you. But, it's possible the instructions in the linked article here will resolve both issues.

@Spring2025

Tax exempt employment income

Troubleshooting