Liberty Tax Discounting Cheques

INFORMATION

RC71 - DISCOUNTING (cheques)

When you do a send for the client and you receive a code 103 - There is a balance outstanding of more than $10 with CCRA, you must phone CCRA to find out how much is owing. (THIS REFERS TO TAX RUSHES ONLY, FOR A TAX PREP WE WILL NOT CALL) Identify yourself with CCRA and pass the phone to the client for her/him to give CCRA their personal information. The client will tell CCRA that she/he want us to speak with them.

Ask CCRA how much is owing. When you are finished with call return to the clients return and do the following:

Example:

Clients return is for $1,825.00 and they owe CCRA $120.00. Go back to the clients return and reopen. On the info sheet make sure to answer the question Is return discounted as Yes. You will find this under the heading Filing.

Next save return as completed and close the form. Go into Liberty Tax, Discounting, Discounting Input. A box opens. Enter clients SIN number. In the box balance owing CCRA enter the amount CCRA told you the client owes. Save and Exit. Next enter Liberty Tax, Discounting, Print Cheques. A new window opens and the clients name and SIN will show along with the cheque amount. Put the 4 part cheque into the printer and press Print.

After the cheque prints remember to get the clients signature on the RC71 both copies as well as the voided portion of the cheque.

If you have a client that also shows Code 124 - CRA has a prior claim on the refund for Canada Child Tax Benefits overpayments you can call CCRA and get the amount owing. However we cannot do a Tax rush. Our system will not allow a cheque to be printed when the client owes Child Tax monies. The client will have to pay off the money owing to