Income Tax help!

[cashis11]

Well, I want some input here this is only my 3rd year filing taxes so still some what new..usually bring it to Money Mart and let them handle it hahaha

Anyways, Im wondering what you guys think?For 2009 I went to school full time and paid for it aswell (OSAP). BUT I didnt work much at all only made less then $4000(part time/min wage sucks). I was taxed only about $175


My question is...how much of a tax break do they give for schooling? Will I get anything back since I paid next to nothing in taxes?

Reason I ask is because im in need of financial help and just trying figure out what bills to pay and budget accordingly.


Any help is greatly appreciated!

Thanks,
Marco

[Star_Cards]

If you only made $4000 and paid in $175 that isn't much to get back. As far as a tax break for schooling... the only thing I know of is when you start paying student loans you can deduct the interest you pay each year.

[JeRmZ]

I don't know how Canada tax filing works but if it is anything like the US then I'd say exactly what Star Cards just said ... filing for 4000 is not necessary, I believe here in the states the cutoff for "Must File" is $9000. And yes there are no tax breaks for going to school unless you have loans your paying on and then you can deduct the interest for those loans.

I would check with someone locally though, becuase it looks like yout in Canada and I'm not 100% on their tax laws.

[ElectricFriar]

Here's some info from the IRS website:

You may be able to claim a tuition deduction of up to $4,000 of qualified education expenses paid during the year for yourself, your spouse, or your dependent. You cannot claim this deduction if your filing status is married filing separately or if another person can claim an exemption for you as a dependent on his or her tax return. The qualified expenses must be for higher education.
*** If someone is claiming you as a dependent (your parents), then you don't qualify for the tuition deduction ***

You may be able to deduct interest you pay on a qualified student loan. And, if your student loan is canceled, you may not have to include any amount in income. The deduction is claimed as an adjustment to income so you do not need to itemize your deductions on Schedule A Form 1040.

[ElectricFriar]

As an edit to my first post, since you made less than $4000, I don't think you're required to file. However, if your parents aren't claiming you on their taxes as a dependent, then it would be in your best interest to file as you'd be able to take advantage of the tuition deduction.

[cashis11]

Yeah I did some reading up on it aswell

thanks guys for the help!!

[SMVintage]

I'm not sure how Canadian Tax laws are, but you can claim school and books; however, you are probably best off just taking the standard deduction especially if you only made $4000 last year. You shouldn't owe anything and you should get something back. That is if Canada's taxs laws are similar. I actually have been helping a local firm with taxes (senior in Finance, about to start MBA program) and it is amazing how much time is wasted calculating deductions when it wasn't needed!