Do you have a child or grandchild who paid tuition fees? If so, you may be eligible to have part of the tax credit associated with these transferred to you.
Once more, SHARP & Associates is here to answer any questions you may have about this transfer:
Who is eligible to receive the transfer?
A student may transfer an amount to a parent or grandparent, or to the parent or grandparent’s spouse or common-law partner.
How much can be transferred?
A student can transfer up to $5000, less the amount which they need to reduce their own taxes owing. This means that the full $5000 can be transferred where students already have no taxes owing.
How many individuals can the student transfer to?
A student may only transfer unused tuition amounts to one person per tax year. It does not need to be the same person from year to year.
What if the student has unused tuition fees in excess of the amount it transfers?
Any unused amounts in excess of the amounts used/transferred can be carried forward to future years. However, these carried forward amounts cannot be transferred in future years.
Does the student have to be under 18 or live with the parent/grandparent in order to be able to make the transfer?
No. The student can be over 18 and not live with the parent/grandparent and still be able to make the transfer.
What needs to be done in order to complete the transfer?
In order to complete the transfer, the student will have to complete and sign the transfer section of their tax certificate, and provide a copy to the party to whom it is transferring. The parent or grandparent would then need to enter this amount on line 32400 of their tax return.
If you have any further questions on tuition transfers, or any other tax questions in general, SHARP & Associates is here to help. Our dedicated team of experts is always ready to provide solutions tailored to your individual needs.
Click the “Get in Touch” button to get started.
Click below to visit the CRA website for further details:
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