Tax Guide for International Students in Quebec: Income Reporting, Tuition Credits, and Work Rules — CPA Firm Near You, Montreal

Introduction

International students in Quebec must navigate a complicated tax landscape. Although they hold study permits, many work part-time, earn research or teaching income, receive scholarships, and pay significant tuition fees. Understanding what must be reported — and which credits they are entitled to — helps avoid reassessments and ensures students maximize their refunds. This guide explains how international students must report income, claim tuition credits, handle scholarships, and how a CPA firm near you in Montreal can help ensure accurate, stress-free tax filing.

Legal and Regulatory Framework

Under the Income Tax Act and the Taxation Act of Quebec, international students may be considered residents for tax purposes if they establish significant residential ties in Quebec, such as renting a home, enrolling full-time, or remaining in Canada for most of the year. Residents must report worldwide income starting from their residency date. Income from part-time work must be reported using T4 and RL-1 slips. Scholarships, bursaries, and research grants may be partially or fully tax-exempt if used for education. Tuition receipts (T2202 and RL-8) must be claimed to receive federal and Quebec tuition credits. International students may also qualify for GST/HST Credit, Quebec Solidarity Credit, and childcare credits once they meet residency conditions.

Key Court Decisions

Courts have ruled that full-time international students with residential ties are tax residents and must report worldwide income. Judges have confirmed that scholarships used for education are generally tax-exempt but still must be reported on tax returns. Cases also highlight that part-time and on-campus employment must be declared even without a formal T4 slip. Courts deny tuition credits when students fail to include the RL-8 or misreport program periods.

Why CRA and Revenu Québec Target International Students

International students are sometimes reviewed or audited because of:
• Missing tuition slips (T2202/RL-8)
• Misreported scholarships or research funding
• Cash or informal employment
• Failure to report foreign bank interest
• Incorrect residency classification
• Ineligible Solidarity Credit claims
• Work income earned before obtaining a SIN

Auditors cross-check immigration files, school records, SIN activity, employer filings, and tuition statements.

Mackisen Strategy

At Mackisen CPA Montreal, we help international students correctly file taxes and maximize their credits. We determine residency status, organize employment slips, report worldwide income from the residency date, and apply tuition credits accurately. For students with scholarships, we classify each type of funding properly to avoid unnecessary tax. We also apply for benefits and refundable credits when eligible. If CRA or Revenu Québec requests more information, we respond on your behalf with complete documentation to prevent reassessments.

Real Client Experience

An international student at a Montreal university received a large research grant and incorrectly assumed it was non-taxable. CRA flagged the return. We corrected the reporting, applied education exemptions, and eliminated the tax owing. Another student failed to file RL-8 tuition slips for three years; we filed adjustments and recovered thousands in missed tuition credits.

Common Questions

Are international students tax residents?

Often yes, if they live in Quebec full-time and establish residential ties.

Do international students need to report foreign income?

Yes, from the date they become tax residents.

Are scholarships taxable?

Many are tax-exempt if used for education, but they must still be reported.

Do international students qualify for GST/HST and Solidarity Credits?

Yes, once they become tax residents and meet all program requirements.

Why Mackisen

With more than 35 years of combined CPA experience, Mackisen CPA Montreal helps international students stay compliant while maximizing tuition credits, benefits, and refunds. Whether studying part-time or full-time, our expert team ensures precision, transparency, and full audit protection.