2015:Why $284 taken from prior year tuition while large medical claim ignored? 2K from Box 135 T4A. 600 other. 13K income 2015/16/17- prefer save tuition amount for 2018.

[delta8877]

Doing 2015- then 16 & 17. Why is Turbotax taking a partial amount ($284) from unused prior year tuition amount but IGNORING large medical deduction (about 2500 on tax summary) completely?? The $284 brings taxable income precisely to zero. When I take out the medical, tax=0. But why can't I USE the medical? There is no way to control the tuition claim or erase it.

Medical: $2333 expense comes from Box 135 of T4A (Pension, Retirement, Annuity)— private plan premiums. $646 from dentist (June 2015). Almost $3K expense, 2550 "deduction" per tax summary. It won’t help to shift medical expenses to 2016 as income is so low. (BTW-- Is it possible to choose claim window for the T4A medical amount and shift 2017 into 2018?).

Net income is almost 14K (3% is about 415). I would rather save the tuition amount for 2018. I can’t find any way to erase the claim and don’t understand why the software is not recognizing the medical. 

Thanks.

[TurboTaxKim · Accepted solution]

When you have tuition amounts that have been carried forward, CRA rules state "you have to claim this amount in the first year you have to pay income tax". This means even if you wish to use another Non Refundable Tax Credit (NRTC) such as medical or donations, to reduce your tax payable, you cannot until your available tuition is used first. This is why there is no option available in the software to claim the medical expenses over the tuition.

You should be aware that CRA keeps track of your education/tuition credits and will apply the amounts you have carried forward whether you do so or not and without factoring in your donations and medical expenses.  Even if you were to remove these amounts from your tax return and try to apply the medical claims, CRA would automatically use what was needed and carry forward the leftover amounts.

* For the Box 135 Medical Premiums on your T4A, there is no option to change the dates on a T slip. :(

[delta8877]

Thanks. Would help to advise user in software. Big empty tuition screen- if it just SAID so, the user would know what was going on.

[delta8877]

Oh- re the Box 135 on T4A-- this note in software is incorrect then?:
"Your non-refundable credits exceed your tax payable. You can carry all or a portion of your medical expenses forward to next year. To do this remove the amounts and save your receipts for use next year. For amounts from T4 Box 85 or T4A Box 135 delete amounts from slip and add as receipt next year."

My understanding is for other receipts the discretionary 12 month "claim period" has to include date of service and end in the year the expense is claimed. Can you take an amount from a T4A slip covering specific entire calendar year and make claim period end in the next year? Then what happens to the T4A amount for that year... ?? (--I didn't see a way to allocate unique claim periods for individual expenses?) I would not have thought one could move a T4A amount into the next year, and you say not-- but software says go ahead!