Tax Credit for Music Lessons!
Oh, joy! It’s tax season! I’m sure you are all excitedly preparing your receipts, assessing your income, and engaging in amicable discussions with your accountant. If only every season could be so pleasant! (That was sarcasm.)
For those who may not be aware, the Canadian government recognizes that music lessons are an educational investment – much like attending a University. Meaning, you are investing in to your social capital and the development of yourself as a Canadian citizen. For this reason, tax credits are available to ensure ongoing participation throughout the years.
You may qualify for the credit for a taxation year if you were a resident of Ontario on the last day of that year, and if you or your spouse or common-law partner paid fees in that year to register your child in an eligible activity – meaning any sort of instrument music lessons or vocal lessons. The credit helps reduce or eliminate the amount of tax you owe. If you have an excess credit, it may be paid as a refund after your return is assessed — even if you pay no income tax. In that case, you should receive your money within 6 to 8 weeks after the Canada Revenue Agency has assessed your return.
If you have a child enrolled in activities, such as painting classes, soccer, hockey or music lessons, for 2014 you can claim up to $541 in eligible expenses and get up to $54.10 back for each child under 16. For 2015 you can claim up to $551 in eligible expenses and get up to $55.10 back for each child under 16. If you have any more questions about the “Children’s Activity Tax Credit”, please click here.
Just think – that means that you can get an average of $550 back for your investment in musical education. That’s a full return for almost 6 months of weekly lessons.
At the Frederic Chopin Music School, all students receive a letter which states total costs incurred for lessons. Meaning that in addition to doing our own taxes, we painstakingly type up your exemption letter.
How can you get such a letter from us? Call 905 279 7761 or send us a note!