Which statement is true about Form T1213?

• A. It's used to file a payroll remittance
• B. It's used to request reduced tax deductions at source
• C. It's used to report employee earnings
• D. It's used to apply for a tax lien

Answer: (B)

Form T1213 is used to request a reduction in the amount of income tax withheld from your pay at source. You’d submit it when you expect to claim deductions or non-refundable tax credits later in the year that will lower your overall tax payable, such as RRSP contributions or other eligible credits. If CRA approves the request, your employer can reduce the tax withheld for the periods covered, so you take home more pay and avoid a large balance due at tax time. The employer must wait for CRA approval before changing withholding. This form isn’t for filing payroll remittances, reporting employee earnings, or applying for a tax lien.