It used to be that students never really had to give much thought to taxes until they were ready to join the working world once they completed school. Now with the economy the way it is, and many families not being able to afford the high cost of education, many students have to find part work through their school years to help subsidize the costs. This has now added an extra responsibility for them which is their Canada taxes.
Students vary with their income generating. Some only work during the summer and Holiday season, while others work part during the entire year. Earned income has to be reported just like it does for those who are not full or part time students.
The tax system can be confusing even for what one would think would be a simple tax matter like a student tax filing. Usually there are no complex investments that have to be included or other mitigating factors. For example, students often look at their income as that which they have earned through work, but don’t realize that if they have received financial assistance through scholarships or grants this may also have to be included in their tax filing.
Often students miss out on a lot of the potential tax credits that are available to them, which could be important to bringing their income level down to where they owe no taxes, or are entitled to a refund.
The CRA has a lot of information for students to help them with their tax matters, but students are just as busy as the other working adults who find it time consuming and complex to sift through all that material. There has been a recent bulletin released for students that summarizes their credits…
“Top ways for students to save at tax time
Did you know?
The Canada Revenue Agency (CRA) has tax credits, deductions, and benefits to help students. All you have to do is file your income tax and benefit return and claim them.
Important Facts
Here are the top ways to save at tax time:…” continue reading
One of the best ways to tackle your tax obligations is to make your tax filing a family affair by using one quality Toronto Accountant who is able to attend to the individual tax matters of the entire family. There are a lot of benefits to this. Often an individual’s tax matter could affect another family member. For example a student who is not earning income, but has student expenses being covered by the parent may mean the parent can claim these expenses, or part of them. There are so many different areas of the Canada tax laws that have to be scrutinized by the Canada tax payer hoping to do their own tax filings that it can be much simpler to just hand over this obligation to a tax professional.
