Students—Do the Math and Save at Tax Time!

Did you know?

The Canada Revenue Agency (CRA) has tax credits, deductions, and benefits to help students—no exam required. All you have to do is file your income tax and benefit return and claim them. Read on for tips that will ensure you get the most from your income tax and benefit return.

There are many ways to save at tax time—here is a lesson you don’t want to miss!

And don’t forget when your assignment is due! The deadline to file your personal income tax return is April 30^th!

Claim your eligible tuition fees—You will have received a tax certificate from your educational institution with the total eligible fees paid for the tax year.

Claim the education amount—If you are a full-time student (or a part-time student who can claim the disability amount or has a certified mental or physical impairment), you can claim $400 for each month you were enrolled in an educational institution. If you are a part-time student, you can claim $120 for each month you were enrolled.

Claim the textbook amount—You can claim this amount only if you are entitled to claim the education amount. You can claim:

$65 for each month you qualify for the full-time education amount; or
$20 for each month you qualify for the part-time education amount.

Claim the interest paid on your student loans—You may be able to claim an amount for the interest paid on your loan in 2014 for post-secondary education. You can also claim interest paid over the last five years if you haven't already claimed it. Only interest paid on loans received under the Canada Student Loans Act, the Canada Student Financial Assistance Act, or similar provincial or territorial legislation for post-secondary education can be claimed.

Claim the public transit amount—If you use public transit, you may be able to reduce your taxes owing by claiming the cost of your transit passes. Keep your transit passes for local buses, streetcars, subways, commuter trains or buses, and local ferries, and enter your total public transit amount on line 364 of Schedule 1, Federal Tax. To find out if your transit pass is eligible and for more information, visit www.cra.gc.ca/transitpass.

Claim your eligible moving expenses—If you moved for your post-secondary studies and you are a full-time student, you may be able to claim moving expenses. However, you can only deduct these expenses from the part of your scholarships, fellowships, bursaries, certain prizes, and research grants that has to be included in your income. If you moved to work (including summer employment) or to run a business, you can also claim moving expenses. However you can only deduct these expenses from the income you earned at the new work location. To qualify, your new home must be at least 40 kilometres closer to your new school or work location.

Claim the GST/HST credit—If you have low or modest income, you are a resident of Canada, and 19 years of age or older, you may be able to receive the goods and services tax/harmonized sales tax (GST/HST) credit. Starting this year, you no longer need to apply for this credit—the CRA will determine your eligibility when you file your income tax and benefit return and send you a notice if you are entitled.

Claim your child care expenses—If you have to pay someone to look after your child so you can go to school, you may be able to deduct child care expenses.

If you need help filing your return, and you have a modest income and a simple tax situation, volunteers from the Community Volunteer Income Tax Program may be able to prepare and submit your tax return for you to make sure you receive all the credits and benefits you are entitled to. For more information, go to www.cra.gc.ca/volunteer.

CRA online services make filing easier and let you get your refund faster

The CRA’s online services are fast, easy, and secure. You can use them to file your income tax and benefit return, make a payment, set up a direct deposit, track your refund, pay with a pre-authorized debit, register for online mail and more.

Sign up for direct deposit

Did you know...that the Government of Canada is switching to direct deposit for payments that it issues? Direct deposit is a faster, more convenient, reliable, and secure way to get your income tax refund and your credit and benefit payments directly into your account at a financial institution in Canada. Why wait? Sign up for direct deposit today. For more information, go to www.cra.gc.ca/getready.

International students

If you are an international student studying in Canada, you first have to determine your residency status at www.cra.gc.ca/internationalstudents. You may owe taxes to the Canadian government, and may qualify for GST/HST credit payments. If you are an international student, your individual income tax and benefit return is due on April 30 and you have to send it to the CRA’s International and Ottawa Tax Services Office. If you have questions, call the CRA’s international tax and non-resident enquiries line at 1-800-959-8281.

Looking for more information? Get out the popcorn, because the CRA has informative videos just for students. Check them out at www.cra.gc.ca/videogallery.