CORRECTION*
Thank-you @joe.justjoe1. I was too far down in the weeds to notice that I have checked the Professional Box.
ORIGINAL POST
Form T2202 is used to report tuition tax credit. Do I need to complete both the T2202A and the T4A artists performance exemption amount or do I simply enter the T4A artists exemption amount. In either case the T4A amount does not transfer to the T4A T2125 form as professional income.
Recently occupational training fees became allowable expenses when added to T2202. In 2017 and 2018, per CRA instructions, I reported occupational training tuition amount on the T2202A even when no T2202 was issued such as a violin making master class for a fine wood cabinet maker instructor and to report recertification training fees for red seal mechanics and more.
In 2019 both the T4A and T2200 input forms have changed such that I am unclear about what I need to complete and how.
BALLET DANCER + MASTER CLASS INSTRUCTOR
In this case my client received an artists grant of $1000 towards a tuition fees of $1400. She received a T4A, box 105, artists project grant. There is a box on the T4A form for eligible expenses related to artists’ project grant in which I entered $1400. The school provides professional training for dancers to improve their conditioning and range of motion and aerial jumps. This does not seem to fit any of the T2202 school types.
In the past when receiving a T4A for a bursary, scholarship, or grant, we had to complete a T2202 to make this income non-taxable.
Q1 - In this case will the T4A non-taxable expense declaration suffice or do I need to report this on the T2202 form as well?
Q2 - In this case do I add the $400 not reimbursed nor granted as an expense on the T2125 as seems to fit best in 2019, or, on T2202 as recommended on prior years?
Q3 - For my trades who need to pay for re-certification training and exams do I claim this on T777 employment expense, as other expense, or as T2202?
In 2019, the T2202 form requests me to complete the School Category and the name of program. None of the school categories apply. My options for school category include -
- university
- college
- other post secondary
- certified by ESDC
- flying schools
My client is a performing artist who receives her performance and master class training income as T4A fees for service or as checks paid with no T4A. We report all her ballerina performance and master class instructor training income as Professional Fees on a T2125.
Per P105 Students Income Tax Pamphlet the performance grant income is non-taxable. Where, on which form, do I need to
Per Line 22900 - Other employment expense
You can deduct the cost of a training course as an employment expense. The course has to maintain, upgrade, or update your existing skills or qualifications that relate to your employment.
You cannot deduct the cost of a training course as an employment expense if the course is for personal reasons, the cost is unreasonable, or you receive a lasting benefit from the course. For example, you receive a lasting benefit when you take a course to get a credit towards a degree, diploma, professional qualification, or similar certificate.
CRA Tuition Tax Credit Folio
Income Tax Folio S1-F2-C2, Tuition Tax Credit
Series 1: Individuals
Folio 2: Students
Chapter 2: Tuition Tax Credit
Eligible Tuition Fees
Eligible tuition fees
2.34 The following items that relate to a particular program (whether identified separately or included as course or subject fees) are considered eligible tuition fees:
- admission fees;
- charges for use of library or laboratory facilities;
- exemption fees;
- examination fees (including re-reading charges) that are integral to a program of study;
- application fees (but only if the student subsequently enrolls in the institution);
- confirmation fees;
- charges for a certificate, diploma or degree;
- membership or seminar fees that are specifically related to an academic program and its administration;
- mandatory computer service fees; and
- academic fees.
When the goods and services tax (GST) or harmonized sales tax (HST) is added to a tuition fee that is eligible for the tuition tax credit, the amount of the fee including the GST or HST is eligible for the tuition tax credit.