Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
New Member
posted Oct 30, 2019 3:19:33 AM

My daughter is 16 and filing her first tax return and she's paid for her own monthly bus passes, and her tax back total hasn't changed with the 325 added for the passes.

0 1 781
1 Best answer
New Member
Oct 30, 2019 3:19:34 AM

The transit pass credit is a non-refundable tax credit.  Non-refundable tax credits do help to reduce the tax owing...however once the tax owing (liability) reaches zero, then extra credits do not help.  If your daughter's income for 2016 is less than $11,474 then her basic personal amount is already enough to cause her to have a zero tax liability.  If such is the case, her refund will consist of any amounts withheld from her paycheques for taxes.

The good news is, you are able to claim her transit passes on your own tax return.

http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns360-390/364/wh-eng.html

1 Replies
New Member
Oct 30, 2019 3:19:34 AM

The transit pass credit is a non-refundable tax credit.  Non-refundable tax credits do help to reduce the tax owing...however once the tax owing (liability) reaches zero, then extra credits do not help.  If your daughter's income for 2016 is less than $11,474 then her basic personal amount is already enough to cause her to have a zero tax liability.  If such is the case, her refund will consist of any amounts withheld from her paycheques for taxes.

The good news is, you are able to claim her transit passes on your own tax return.

http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns360-390/364/wh-eng.html