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Declare and pay dividends
Updated
On an incorporated book, record dividends to shareholders and get the T5 prep totals ready:
- First add the recipient under Ledger › Accounting › Shareholders (Add shareholder).
- Go to Ledger › Accounting › Dividends, and on the Year-end dividend card choose the shareholder, set the declaration date and amount, and click Declare dividend.
- When you pay it, choose the account it was paid from under Paid from (with only one bank account or card, HQ fills it in), then click Pay on that row. Use Reverse payment to undo a payment, or Discard to remove an unpaid declaration.
HQ books the declaration and its payment, and T5 / RL-3 prep totals roll up per shareholder. A paid dividend can't be discarded until you reverse the payment first. These totals are for preparation: your accountant assigns the slip boxes and files. The same card also prepares contractor slips (T5018 / T4A) from your worker totals.
Good to know: Dividends are for incorporated books only, and you add the shareholder first
under Accounting › Shareholders. Once a dividend is paid you must reverse the
payment before you can discard it. HQ totals for T5 prep; your accountant
files.