Tl11b Flying Training Tuition Receipt

[3Lions]

All sounds a bit too good to be true!!

 

I've been told that the government may contribute to your education/flight training in the form of a tax rebate amounting to 25% of the training fees, and all you need is the form TL11B, issued by your flight school.

 

My wife's already worked out how she's spending the money. I'm not convinced... the government doesn't give out tax rebates that easily, right?

[100ft]

My $52K became $39K at tax time. It is tuition as long as its a CPL program.

[L'ACADIAN]

hey,

sounds great ,but they don't cut u a check,right!!

it's just the next year of work, when u get a pay check that at the end of the year they don't tax up to a certain point.....correct ??

 

uncertain !!

[Skidz]

It's a "non-refundable tax credit", just like any other admissible tuition fees. You may not be able to claim the full amount the first year, but defer it to the next...

[twinstar_ca]

and besides, any little bit of help or break you can get $$ wise is better than nuttin'!! :up:

[cap]

Twinstar -----hey!..that's the same line I used on my wife when I married her ......and that was Dec 23rd. Her reply was ...."would you care to explain that?"

[twinstar_ca]

lmao, cap!!!!! :up: :up:

 

dare i ask when the dependant deductions... i mean kids, were born!!!

[Ryan]

From my understanding, you can claim a tax credit anywhere from 15% to 40% of the total training costs depending on your tax bracket. Like me most student pilots are in the 15% group, but that's about $7000 back in your pocket. But like Skidz said, you might have to defer some to the following year. Still not too shabby! :up:

[Demon AESOp]

From my understanding, you can claim a tax credit anywhere from 15% to 40% of the total training costs depending on your tax bracket. Like me most student pilots are in the 15% group, but that's about $7000 back in your pocket. But like Skidz said, you might have to defer some to the following year. Still not too shabby! :up:

<{POST_SNAPBACK}>

 

The deduction is on the right (low) side of the tax form. This means it gets deducted of the first x dollars of your income, not the last. It essentially makes your tax bracket a non-issue in this matter. The lowest tax rate I believe is about 17% federal (besides zero for very low income earners). So about $170 for every 1000 spent from the feds.

 

Where the variation comes in is in Provincial portion of taxes. All provinces have a different method and tax rate for their calculations. you can expect on average though for the provincial portion to be somewhere in the 30-50 percent of federal taxes range.

 

That $170 plus say about $80 for provincial taxes gives about $250 back for every 1000 you spend, or about 25%. Of course that assumes you have other income that is causing you to pay taxes in the first place. This is roughly how it worked out for me.

 

As for what you can deduct, that is a different matter. You are deducting under 'tuition fees'. I read today in the COPA newsletter that only Commercial and higher courses may be deducted, because it must go towards future employment. I have known people however that have deducted there private licence tuition fees as well. You need it for the commercial, so I guess they argued it successfully. I recommend deducting them all and let rc sort it out.

 

my $.02

[snowedin]

your private license expense, whether fixed or rotary, becomes deductable upon completion of your commercial license....at least in my case....hopefully others as well...