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Hi All,

I've been helping my cousin do her taxes for the 2019 tax year. She's a Full Time Student and has a part time job. I've entered in her T4 and T5 and it appears she's getting close to $1500 back on an income of $10k?

Then when I add in 8 months of Full Time studies, this drops to $165 for a tax return.

I can understand the $1500 back based on being under the exemption, but why would it lower the tax return when adding in something that should give you a deduction.

I'm tempted to not use the T2202A at all to get her the $1500 but then could we use those credits at a later date?

Thanks.
 

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I understand the tuition tax credit can only work to reduce tax payable, it is a 'nonrefundable tax credit'. She has no tax payable and is getting a refund so what you want to do is get her to carry forward the credits.

She can then use them once she has more income and has tax payable.

Or she can transfer them to you and you can use them against your tax payable.
 

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I believe she is getting Canada Workers Benefit when you don't include the tuition fees. However, she is not eligible to receive the CWB since she was enrolled as a full-time student at a designated educational institution for more than 13 weeks in the year.

 
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