Tuition related expenses

[JordanaT]

My employer pays for my tuition so I have the following questions:

1) how would I know if they included the tuition on my T4

2) Is there some way to claim parking expenses related to going to school? Does that also count as a "tuition fee"?

[Trek1]

Thank you for your question. 

The Canada Revenue Agency (CRA) considers tuition fees paid by the employer, for the employee as employee training expenditures. The CRA categorizes such tuition expenses into specific employment-related training,  general employee-related training and personal interest training for different tax consequences.

Specific employment-related training -

Tuition fees and other associated costs such as books, meals, travel, and accommodation that the employer pays for courses leading to a degree, diploma, or certificate in a field related to your current or future responsibilities in your employer's business are not taxable benefits. Therefore, it would not be reported on the T 4 slip. 

General employee-related training - Other training-related courses, although not directly related to your employer's business, for example, fees the employer pays for stress management, employment equity, first aid, and language courses are not taxable benefits. Thus it would not be reported on the T 4 slip.

Personal Interest Training -

Courses for personal interest or technical skills not related to the employer's business are taken mainly for the employee's benefit and, therefore, are a taxable benefit. 

If the tuition fees, scholarship or bursary is taxable, your tuition fees would be the part of employee's benefit in box 14 "Employment income" and in the "Other information" area under code 40 at the bottom of the T4 slip. 

The CRA also suggests that, if you are an employee who has questions about amounts on your T 4, contact your employer or go to the link - Tax slips.

Answer 2-  As per the CRA, parking expenses related to going to school would not be counted as tuition fees. 

You can deduct parking costs related to earning your employment income as long as you meet all of the following conditions:

• You were normally required to work away from your employer's place of business or in different places
• Under your contract of employment, you had to pay your own motor vehicle expenses. You are not considered to have paid your own motor vehicle expenses if your employer reimburses you or you refuse a reimbursement or reasonable allowance from your employer
• You did not receive a non-taxable allowance for motor vehicle expenses. Generally, an allowance is non-taxable when it is based solely on a reasonable per-kilometre rate
• You keep with your records a copy of Form T2200, Declaration of Conditions of Employment, which has been completed and signed by your employer. Here is a CRA link for more information - How to claim parking expenses? 

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