Coming into effect for the 2017 taxation year, the federal textbook tax credits will be eliminated. This credit was $400/month for full-time students and $65/month for part-time students. Even with this change, taxpayers will still be able to carry forward the education and textbook credit amounts from tax years prior to 2017. The federal tuition tax credit will not be eliminated as a result of this measure. If you think this might impact you or have questions, contact us.
TFSA is an acronym for Tax-free Savings Account, which allows Canadians aged 18 and older with a valid social insurance number to make annual contributions, up to a specified limit. Starting from Janaury 1st, 2016, the annual contribution limit for TFSAs has decreased from $10,000 (in 2015) to $5,500. Previous contributions have not been affected therefore the accumulated contribution room through 2016 is $46,500. Be careful when making contributions as there is a 1% penalty
The Eligible Educator School Supply Tax Credit is a new refundable tax credit for 2016. You can claim a 15% credit on up to $1,000 of school supplies purchased each year if you are an eligible educator. An eligible educator is considered a teacher or early childhood educator working at a regulated child care facility, elementary school or secondary school. Supplies that are eligible must be used in the facility for teaching purposes and must not be subject to reimbursement, a