16.15.1 As mentioned at paragraph 4.2.6 of this policy, pursuant to paragraph 221(1)(d) of the Income Tax Act, payments exceeding $500.00 made by departments and agencies under applicable service contracts, including contracts involving a mix of goods and services, must be reported on a T1204 supplementary slip.
16.15.2 Although the Government Contracts Regulations define printing as a goods contracts, departments must report on a T1204 any payments related to printing contracts in the manner indicated in this section and section 16.15.
16.15.3 Exceptions. Contract purchases for services that are exempt under this requirement (i.e., do not require T1204 slips) are direct purchases made using acquisition cards, direct purchases under local purchase orders, grants and contributions, utility payments, and rental or leasing of office space and equipment and other "goods".
16.15.4 The amount to be reported on each information slip is the total of payments made to the enterprise in the calendar year, including any goods portion, expenses, indirect costs, etc., but excluding GST/HST.
16.15.5 All forms of enterprises should receive these slips, including sole proprietorships (individuals), corporations and partnerships.
16.15.6 Slips are required for service contracts where a Canadian resident is working outside the country. The payments made to non-residents providing services in Canada are not reported on T1204 supplementary slips, not being part of this reporting requirement. See section 16.15 for information on tax treatment of non-residents who perform services in Canada.
16.15.7 To comply with this requirement, T1204 slips must contain the following information:
1. the legal name of the contractor, as applicable, i.e. the name associated with one of the CRA identifier (see (c) below), as well as the business address and postal code. If the contractor is a sole proprietor, the contractor's last name, first name and initial must also be reported;
2. a code to distinguish the type of enterprise (sole proprietorship, corporations or partnership);
3. the contractor's identifier(s), depending on the contractor's type of enterprise:
1. for sole proprietorships, the contractor's SIN and the contractor's Business Number or GST/HST Number if the contractor has one;
2. for corporations, the contractor's Business Number or GST/HST Number; alternately, the T2 Corporation Tax Number;
3. for partnerships, the contractor's Business Number or GST/HST Number and the Partnership filer Identification Number if the contractor has one.
4. The total amount paid to the contractor for the calendar year (e.g., from January 1, 2001 to December 31, 2001).
16.15.8 Departments and agencies will have to certify, as much as possible, that the information the contractor gave is complete and accurate.
16.15.9 Canada Customs and Revenue Agency has prepared a Federal Departments, Agencies and Crown Corporations Guide that provides general information on reporting and filing payment information. For information on the classification of service contracts, consult the Services section of the Master List of Objects of Expenditures (economic objects) in the Treasury Board Chart of Accounts (link: /pubs_pol/dcgpubs/coa/siglist-eng.asp/Pubs_pol/dcgpubs/COA/2001-02/coa01-02_821-eng.asp).