A student who does not need all of this year's tuition amount can pass part of it to a parent or grandparent instead of carrying it forward. Line 32400 is where you claim what was transferred to you.
Who can claim it
You can claim a tuition amount transferred from a student if you are the parent or grandparent of the student, or of the student's spouse or common-law partner, and the student designates an amount to you.
The CRA reads "parent" broadly. It includes a natural parent, step-parent, or adoptive parent of the student or of the student's spouse or common-law partner, and a person of whom the student is or was considered to be a child — someone with custody and control of the student, on whom the student is wholly dependent for support. It does not include a foster parent who received support payments from an agency. A grandparent includes the student's grandfather or grandmother, the grandparent of the student's spouse or common-law partner, and the spouse or common-law partner of either.
Only one person can claim the transferred amount from a student for a tax year. That person may change from year to year. You may receive amounts transferred from more than one child or grandchild in the same year.
What has to happen first
All of the following must apply before you can claim on line 32400:
- The student files their own income tax and benefit return for the year and fills out Schedule 11, Federal Tuition Amount and Canada Training Credit.
- The calculation on that Schedule 11 shows there is an unused amount of the current year's tuition fees.
- The student chooses to transfer all or part of that unused amount instead of carrying it forward.
- The student indicates in field 32700 of their Schedule 11 the amount they agree to transfer.
- The student's spouse or common-law partner, if there is one, does not claim an amount for the student on line 30300, 30425, or 32600.
- The amount is transferred to you by the student.
Only current-year amounts can be transferred. Amounts the student carried forward from a previous year cannot.
The amount has to match
The amount you claim must match the amount the student designated on their tuition certificate. This is the mix-up worth watching for: the certificate is issued in the student's name, not yours, so the paper that supports your claim is a document about somebody else. What makes it yours is the designated transfer written on it.
What to keep
Keep a copy of the student's tuition certificate. If the transferred amount is not shown on the certificate, keep the official tuition fees receipt as well. Dossier files the certificate under the student's name so the designated amount is in front of you when you file.
Do not send any supporting documents when you file your tax return. Keep them in case the Canada Revenue Agency asks to see them later.
Official CRA sources
Source: Canada Revenue Agency (canada.ca). Not tax advice.