What is the Canada Training Credit (CTC) Limit & How to Claim It

The Canada Training Credit limit is $250 per year, beginning in 2019, up to a lifetime limit of $5,000.

An eligible person’s credit limit for a given year will be their Canada Training Credit limit from the year before, minus any contributions, plus the annual limit increase of $250.

What is the Canada Training Credit?

The Canada Training Credit is a refundable tax credit that is meant to help Canadians with the costs of tuition, courses and other related training fees.

To be eligible to accumulate $250 per year to your Canada Training Credit limit, you must file a tax return for that year, be a Canadian resident for that year, have at least $10,000 in earnings from work in that year (including maternity and parental benefits) and have income less than the third tax bracket for that year (about $150,000).

Classroom with adults

Am I Eligible to Claim the Canada Training Credit?

To be eligible to claim the Canada Training Credit, you must meet the following requirements:

  • You have filed an income tax and benefit return for that year.
  • You have a Canada Training Credit limit larger than zero.
  • You are a Canadian resident in that year.
  • You have paid tuition or other related fees to an eligible educational institution for that year.
  • The tuition and fees are qualified for the tax credit (they must either be tuition, ancillary or examination fees.)

Keep in mind that anyone under the age of 26 and over the age of 65 at the end of a given year have a Canada Training Credit of zero for that year and won’t be eligible to claim the credit.

What Qualifies as an Eligible Educational Institution?

When it comes to the Canada Training Credit, an eligible educational institution is considered:

  • A Canadian post-secondary university, college or other educational institution.
  • A certified Canadian institution that offers occupational-skill courses.

Where Can I Find My Canada Training Limit?

You can find your Canada Training limit on your yearly Notice of Assessment (NOA).

The easiest way to access your NOA is on CRA’s portal called My Account.

Your 2020 NOA will specify what your credit limit is for 2021, so that if you pay any tuition or take any courses in that year, you can claim it for a potential tax refund.

How Do I Claim the CTC Credit?

You claim the CTC in your annual tax return, on line 45350.

Frequently Asked Questions

  • Can I claim the Canada Training Credit and the tuition tax credit in the same year?
  • Can I transfer my CTC limit to someone else?

Tara Al-Khudairi is a freelance personal finance writer who has worked in the financial services industry since 2017. She graduated from McMaster University with a degree in Finance and is pursuing her CFA.

She has worked at a major Canadian financial institution in various client-facing advisory roles, starting as a bank teller and working up to a Client Services Associate within the Asset Management division. She specializes in simplifying concepts of personal finance for people of various financial backgrounds.

When she’s not examining the markets looking for the next SHOP.TO, she’s either practicing yoga, planning her next vacation, or has her nose buried deep in a book.