03/22/2023
Started in 2019, this refundable credit is for Working Canadians who are in a training program to help alleviate the cost of training fees. The eligible person will receive an annual credit of up to $250 with a lifetime limit amount of $5000.
This amount will be calculated as the lesser of;
half of the eligible tuition and fees paid in respect of the year, and
your credit limit for the taxation year.
Eligibility: You can claim this credit if you fall under the following conditions;
•You are between the ages of 25 and 64
•Have earned income of at least $10,000 up to approximately $150,000 (includes maternity and parental leave benefits)
•File your taxes
•Your CTC limit for that year is greater than zero
•You live in Canada for the year in question
•Tuition and fees paid to an eligible educational institution for the year in question and these fees are eligible for the existing tuition tax credit.
An eligible educational institution for the purpose of calculating the CTC, will be:
•Post-secondary level university, college or other educational institution in Canada
•A certified institution in Canada by the Ministry of Employment and Social Development providing occupational-skills
Eligible tuition and fees for the Canada training credit will be the same as under the existing rules for the tuition tax credit. In particular, eligible tuition and fees will include:
tuition fees
ancillary fees and charges (e.g. admission fees, exemption fees, charges for a certificate, diploma or degree); and exam fees.
You may be able to claim both the CTC and the tuition tax credit in the same year. However, in calculating your tuition tax credit, your eligible tuition and fees paid for the year will be reduced by the Canada training credit you claim in that year.
How do I find out if I am eligible for this credit?
You will be advised through your NOA each year of what your limit will be. It will also be available through your My CRA Account portal. For 2020, your limit will be on your 2019 NOA.
You will receive a T2202 slip from the institute you attended. This credit will reduce your taxes owing. If higher than your amount owing, you will receive a refund for the difference.
