Claiming Tutoring Fees on Your Income Tax

If you are paying for a tutor for your child, you can claim the fees you pay on your income tax.  In Canada, you can claim the tuition fees through the Children’s Art Tax Credit.  The Canada Revenue Agency (CRA) provides a tax credit for fees that are paid for activities related to the “artistic, cultural, recreational or development of your child” (http://www.cra-arc.gc.ca/gncy/bdgt/2011/qa01-eng.html).  Eligible expenses are for fees that “provide enrichment or tutoring in academic subjects.”

So, what do you need to know?  Some of the highlights of the credit include:

- You can claim $500 per year for each of your children under 16 years of age.  The $500 would include the total fees for all eligible programs – tutoring, music lessons or any other artistic, cultural, recreational or developmental activity.

- The program whose fees you are claiming must run for eight consecutive weeks or for five consecutive days.  When claiming tutoring fees, the most likely scenario will be claiming the costs of eight consecutive weeks of lessons.

- Ask for receipts but do not include them when you file your income tax and benefit return – keep the receipts in case CRA asks for them to verify your claim. Receipt should have the organization/individual’s name and address; name of the eligible program; amount received, date received, full name of payer, full name of the child, child’s year of birth and a signature.

Disability credits are also available, although there are some special rules that apply.  You should contact the CRA directly if you have any questions on how to claim credits for your disabled child.