Being a student isn’t easy at all. Besides all the school work you have to do, the sleepless nights you have to juggle with studying and holding a job, there’s the burden of tax season. Now that can cause quite a bit of pressure to your already ridiculous schedule. We want to show you some of the tax benefits that you can gain when you are a student doing taxes. Just read below.
You can claim a deduction for your moving expenses if you earn income while in the new location. If you are a parent to a student, you can’t claim the expenses for them. That’s why it is advisable that student consider earning enough income throughout the school year and throughout the summer.
You can lend your child money from your organization. That way the student won’t pay much or any tax that accumulated if they have little or no income. You will be able to lend them approximately $20,000 and not have to worry about taxes. After graduation and the securing of a fulltime job, the student can repay the loan and get a tax deduction as well.
You can file a tax return, so that your child can create a RRSP (registered retirement savings plan) contribution room if there is any income. Afterwards, there can make contributions to an RRSP and save tax. Tax return filing will likely entitle a student who has turned 19, to a GST credit of about $200 or more in cash.
You can claim your tax credits because they are available for tuition paid in the year. There is “an education credit based on $400 a month of full-time ($120 for part-time) enrolment, and a textbook tax credit based on $65 a month of full-time ($20 part-time) enrolment.”
You may be eligible to claim a scholarship exemption that can make bursaries, fellowships and scholarships free of taxes. However, you must be qualified by the program of the study.
If you are looking for a professional accountant to do your taxes in Canada, then you have come to the right place as we are tax experts in Kingston Ontario and we can help process your income tax return quickly while maximizing the tax return you will receive. Our decades of income tax filing experience can help you with your personal and business taxes in Kingston. Remove the headache from taxes and let our skilled tax consultants handle your accounting and bookkeeping to process smooth tax returns for you. Precise, Accurate Instant Tax Refunds Since 2002.
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