Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CRA.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ARC.
Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CCRA.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ADRC.
Principal Issues: Can we provide general information on the Tuition Tax Credit and the Education Tax Credit in respect of non-residents?
Position: Yes.
Reasons: General information is provided.
XXXXXXXXXX 2002-016270
October 31, 2002
Dear XXXXXXXXXX:
Re: Tuition and Education Tax Credits
This is in response to your letter of September 9, 2002, wherein you requested information regarding the application of the Tuition and Education Tax Credits to a non-resident of Canada.
You attended a three month full-time course in Canada and you received a "Tuition and education credit certificate" from the education institution. You want to know how to claim the available credits.
Under the Canadian income tax system, a person's liability for income tax is based on his or her status as a resident or a non-resident of Canada. A person who is resident in Canada during a taxation year is subject to Canadian income tax on his or her worldwide income from all sources. Generally, a non-resident person is only subject to Canadian income tax on income from sources inside Canada. For the Canada Customs and Revenue Agency's ("CCRA") general views on residency, please refer to Interpretation Bulletin IT-221R3, Determination of an Individual's Residence Status. Interpretation Bulletins can be accessed on our website at the following address: http://www.ccra-adrc.gc.ca/tax/technical/incometax/menu-e.html.
The CCRA's general views in respect of the education tax credit and the tuition tax credit are found in Interpretation Bulletin IT-515R2, Education Tax Credit and Interpretation Bulletin IT-516R2, Tuition Tax Credit. The Guide titled "Students and Income Tax" will also help you to understand the application of the education and tuition tax credits. This is available at: http://www.ccra-adrc.gc.ca/E/pub/tg/p105/p105eq.html.
An individual may be entitled to claim non-refundable tax credits (education and tuition tax credits) in calculating his or her income taxes payable under Part I of the Income Tax Act (Canada) (the "Act"). As a non-resident, if you have Canadian source income that is subject to income tax under Part I of the Act in Canada, you can claim the credits to reduce your income taxes. However, if your credits exceed the amount of Part I taxes that you owe, you will not get a refund for the difference.
We trust that the above comments will be of assistance to you.
Yours truly,
Mickey Sarazin, CA
for Director
Financial Industries Division
Income Tax Rulings Directorate
All rights reserved. Permission is granted to electronically copy and to print in hard copy for internal use only. No part of this information may be reproduced, modified, transmitted or redistributed in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, or stored in a retrieval system for any purpose other than noted above (including sales), without prior written permission of Canada Revenue Agency, Ottawa, Ontario K1A 0L5
© Her Majesty the Queen in Right of Canada, 2002
Tous droits réservés. Il est permis de copier sous forme électronique ou d'imprimer pour un usage interne seulement. Toutefois, il est interdit de reproduire, de modifier, de transmettre ou de redistributer de l'information, sous quelque forme ou par quelque moyen que ce soit, de facon électronique, méchanique, photocopies ou autre, ou par stockage dans des systèmes d'extraction ou pour tout usage autre que ceux susmentionnés (incluant pour fin commerciale), sans l'autorisation écrite préalable de l'Agence du revenu du Canada, Ottawa, Ontario K1A 0L5.
© Sa Majesté la Reine du Chef du Canada, 2002
Email this Content