There are several Canadian tax credits which will allow you to reduce the amount of taxes you pay or eliminate the need to pay all together. For post-secondary students, a tuition tax credit can be claimed for eligible students. If you owe taxes, this credit can be used to reduce or pay off a tax bill.
How do you claim tuition tax credits?
During tax season, your university or college will provide you with a T2202A form. This form can be used when filing taxes. Most schools will have an online portal with a section to download this form. It’s important to always claim your tax credits every time you file for taxes.
Additionally, most students don’t make that much in terms of income (thus receiving a tax refund instead of owing money to the government), hence these tax credits may be carried forward or transferred to a spouse, common-law partner, or a parent/grandparent.
For more eligibility information, click this link to open the CRA webpage.
Are tuition tax credits refundable as cash?
No, tuition tax credits are non-refundable credits that can only be used to pay a tax bill (If you owe taxes). You cannot claim cash or a refund with these credits. However, having accumulated tuition tax credits will be extremely helpful in the future when faced with tax liability.
Taxtips also has a great article explaining tuition tax credits in depth. To check out their article click this link.
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