Entering employee purchases of LSVCCs

Note: Starting with the 2016 budget year, employees may be eligible for a federal tax credit when they purchase shares of provincially registered Labour-Sponsored Venture Capital Corporations (LSVCCs).

You record the net cost of an employee's purchase of provincially registered LSVCCs in the 5-2-1 Employees window, using one of four boxes on the General Information tab. Sage 100 Contractor uses this amount to calculate the employee's federal tax credits when computing payroll.

To record an employee's purchase of provincially registered LSVCCs, Sage 100 Contractor:

1. Open the 5-2-1 Employees window.
2. Use the data control box to display the employee record.

3. On the General Information tab, in any one of the following boxes, type LSVCC: followed by the amount withheld from this employee's annual pay to purchase a provincially registered LSVCC:

   • User Def1
   • User Def2
   • Fax#
   • Pager#

   Sage 100 Contractor recognizes the first amount (in the order listed above) that is preceded by "LSVCC:" as the amount eligible for the federal tax credit.

   You do not need to include a thousands separator in the amount, but you must include "LSVCC:" as the initial characters in the box.

   Also, you do not have to use the same field to record provincially registered LSVCC amounts for each employee.

Federal tax credits for federally registered LSVCCs

Federal tax credits for federally registered labour-sponsored funds are calculated based on the net cost you record in the Labour-Sponsored Fund box on the Compensation tab.