How do I fill out my Canadian tax forms (TD1)?

Last updated: August 2, 2026

Applies to: Canadian employees (T4). Working in the US instead? See How do I fill out my US tax forms (W-4)?

Summary: As a Canadian employee you complete a TD1 Personal Tax Credits Return — the federal TD1 plus the TD1 for your province of work (e.g. TD1AB in Alberta). Your answers set how much income tax is withheld from each pay. You complete it during onboarding and should update it whenever your circumstances change.

What the TD1 is

The TD1 tells your employer which personal tax credits you're entitled to (basic personal amount, and any additional amounts such as tuition, disability, or amounts for dependants). Your total credits determine how much income tax is deducted from your pay. There are two parts:
- Federal TD1 — everyone completes this.
- Provincial TD1 — based on your province of work (for example, TD1AB for Alberta, TD1ON for Ontario). Provincial credit amounts differ, so this part depends on where you work, not where you live.

How to complete it

  1. You'll be asked for your TD1 information during your Canadian payroll onboarding with Ascen.

  2. If you have only the basic personal amount (most people), you claim the basic amount and you're done.

  3. If you're entitled to additional credits, add them — claiming more credits means less tax withheld; claiming fewer means more withheld.

  4. If you have more than one employer at the same time, claim your personal amounts with only one of them — otherwise too little tax is withheld and you may owe at filing time.

When and how to update it

Submit a new TD1 within a reasonable time when your circumstances change — for example, your dependants change, you start or stop being eligible for a credit, or you move to a different province of work.

You can redo it yourself. Just like US employees can reset their W-4, you can reset your withholdings from your account — this reopens your TD1 so you can complete it again with your updated information. You don't need to wait on anyone to do it for you.

If you run into a problem or have a payroll/tax-withholding question, email support@ascen.com — in Canada, payroll and tax-withholding go to Ascen, not your staffing agency.

  • When will I get my T4 (and Relevé 1 in Quebec)?

  • How do I fill out my tax forms? (all worker types)

  • Am I a T4 employee or a self-employed contractor? (Canada)

This isn't individual tax advice — for your personal situation, consult a tax professional or the Canada Revenue Agency.