Navigation

Schedule 1

Schedule 1 calculates Federal tax owing and Federal non-refundable credits. No information is recorded directly on the form.

To open Schedule 1, double-click on the form named "S1 - Federal Tax Calculations" in the Form Manager.

Note: Not all lines may appear on Schedule 1 depending on the province of return.

The Schedule is broken down into the following steps:

Step 1 - Federal Non-Refundable Credits

• Line 300 - Basic Personal Amount

  A basic credit received by all taxpayers, currently set to $10,527.

• Line 301 - Age Amount

  An additional credit for those age 65 and older, to a maximum of $6,537.

• Line 303 - Spouse Amount

  This is a credit reduced by the income of ones' spouse/common-law partner, to a maximum of $10,527.

• Line 305 - Amount for an Eligible Dependant

  This amount, generally limited to single parents only, is calculated to a maximum of $10,527.

  Open the form named "Dependants", and check the box labeled "Amount for an eligible dependant (line 305)".

  Note: This credit allows the taxpayer to receive a credit for a dependant equivalent to that for a spouse as in line 303, so that single parents are not disadvantaged. As such, the claim can only be made for one dependant.

• Line 306 - Amount for Infirm Dependants age 18 and older

  Open the form named "Dependants", and check the box labeled "Amount for mental or physical impairment (line 306)".

  Note: You cannot make a claim for a dependant as infirm and claim the Caregiver credit for them at the same time. The software will optimize the return by calculating the most advantageous claim between the two options and claim whichever credit is the larger.

• Line 308 - CPP and QPP Contributions Through Employment

  Open the form named "T4", and enter an amount in boxes 16 and/or 17. The total from all T4s flows to line 4 of form T2204 and then to line 308 of Schedule 1.

  Any contributions in excess of the required amount will flow to line 448 of the T1 General.

• Line 310 - CPP and QPP Contributions on Self-Employment and Other Earnings

  The amount here is calculated on Schedule 8.

• Line 312 - EI Premiums Through Employment

  The amount here flows from the result of Part 2 of form T2204, based on the taxpayer's T4 and other forms.

• Line 313 - Adoption Expenses

  Open the form named "Dependants" and enter appropriate amounts in the section labeled "Adoption Expenses".

  Refer to CRA for more information.

• Line 314 - Pension Income Amount

  You may be able to claim up to $2,000 if you reported eligible pension, superannuation, or annuity payments on line 115, line 116, and/or line 129 of your T1 General.

  The amount is automatically calculated and flows from the Federal Worksheet.

• Line 315 - Caregiver Amount

  Open the form named "Dependants", and check the box labeled "Amount for caregiver credit (line 315)".

  Note: You cannot make a claim for a dependant as infirm and claim the Caregiver credit for them at the same time. The software will optimize the return by calculating the most advantageous claim between the two options and claim whichever credit is the larger.

• Line 316 - Disability Amount (For Self)

  Go to the Tools menu, select Review ID Section. In the Identification window, switch to the Status tab, and check both boxes labeled "Taxpayer is disabled" and "Taxpayer's T2201 approved by CRA".

• Line 317 - EI Premiums On Self-Employment and Other Eligible Earnings

  The amount here flows from the result of line 10 of Schedule 13, based on the taxpayer's T4 and other forms.

• Line 318 - Disability Amount Transferred From a Dependant

  Open the form named "Dependants", and check the box labeled "Eligible for disability amount (Valid T2201 on record)" under the section "T2201 Disability Tax Credit Certificate".

• Line 319 - Interest Paid on Student Loans

  This amount flows from the Other Federal Credits Worksheet.

• Line 323 - Tuition and Education Amounts

  The amount here flows from line 17 of Schedule 11.

• Line 324 - Tuition, Education, and Textbook Amounts Transferred from a Child

  Open the form named "Dependants" and enter appropriate amounts in the section labeled "Tuition and Education Amount". These amounts can be calculated on the dependant's Schedule 11.

  Refer to CRA for more information.

  Note: If you are claiming amounts for a child over the age of 18, you will need to report their information on the Dependants form even though they may not qualify as a Dependant for other purposes.

  You can only claim amounts that the dependant themselves are not using to reduce their own tax liability to zero, and since the credit here is non-refundable, it is important not to claim more than you need to reduce your own tax liability. An excess amount transferred to you will be wasted. On the other hand, that excess amount not transferred will be rolled forward to a future year for use by the dependant.

• Line 326 - Amounts Transferred From Your Spouse/Common-Law Partner

  The amount here flows from line 10 of Schedule 2.

• Line 330 - Medical Expenses for Self, Spouse, and Dependant Children Born in 1995 or Later

  The amount here flows from the Section F of the Medical Expenses Worksheet.

• Line 331 - Medical Expenses for Other Dependants

  The amount here flows from the Section F of the Medical Expenses Worksheet.

• Line 332 - Total Medical Expenses

  This amount is the total of lines 330 and 331, reduced by 3% of the taxpayer's net income.

  Note: In general, with a married/common-law couple, it is preferable to have the spouse with the lower net income claim medical expenses as the clawback based on net income is smaller. However, if that spouse's non-refundable credits already exceed their tax liability it may be more beneficial to claim medical expenses on the spouse with the higher net income.

• Line 349 - Donations and Gifts

  This amount flows from line 13 of Schedule 9.

• Line 362 - Volunteer Firefighter Amount

  This amount flows from the Other Federal Credits Worksheet.

• Line 363 - Canada Employment Amount

  The Canada employment amount provides recognition for work-related expenses such as home computers, uniforms and supplies in the public and private sector.

  The amount is calculated based on the income from lines 101 and 104 of the T1 General.

• Line 364 - Public Transit Amount

  This amount flows from the Other Federal Credits Worksheet.

• Line 365 - Children's Fitness Amount

  Open the form named "Dependants" and enter appropriate amounts in the section labeled "Children's Fitness and Arts Amount".

• Line 367 - Amount for Children Born in 1995 or Later

  This amount flows from the Other Federal Credits Worksheet.

• Line 369 - Home Buyers' Amount

  This amount flows from the Other Federal Credits Worksheet.

• Line 370 - Children's Arts Amount

  Open the form named "Dependants" and enter appropriate amounts in the section labeled "Children's Fitness and Arts Amount".

• Line 375 - Provincial Parental Insurance Plan (PPIP) Premiums Paid

  Open the form named "T4" and enter am amount in box 55.

  Note: The software will calculate the appropriate amount to be recorded in line 375 and forward the remainder to line 457 of the Quebec Provincial TP1 Return. This amount may not match the amount from box 55 of all T4 slips, however this is normal.

• Line 376 - PPIP Premiums Payable on Employment Income

  This amount forwards from line 16 of Part B from Schedule 10.

• Line 378 - PPIP Premiums Payable on Self-Employment Income

  This amount forwards from line 10 of Part A from Schedule 10.

Step 2 - Federal Tax on Taxable Income

This step calculates the Federal Tax payable based on the taxpayer's income and his/her marginal tax rate.

Step 3 - Net Federal Tax

This step factors in additional non-refundable credits

• Line 405 - Federal Foreign Tax Credit

  Open the form named "T2209 - Foreign Tax Credit" and enter appropriate details. The amount from line 10 on page 3 will forward to line 405 of Schedule 1.

  Refer to CRA for more information.

  Note: Reporting foreign income on forms like T3 or T5 will automatically add T2209 forms to the return. The procedure for reporting information on the T2209 is as follows:

  Example 1:  U.S. Income on a single T5 form

  Identify the country as US in the field provided under Additional Information for Boxes 15 and 16 on the T5, as well as any other required information.

  On page 2 of the T2209, Identify the country as US using the drop down box at the top of the page.

  Example 2:  U.K. Income on multiple T5 forms

  Identify the country as GB in the field provided under Additional Information for Boxes 15 and 16 on the T5s, as well as any other required information.

  On page 2 of the first T2209, Identify the country as GB using the drop down box at the top of the page. On the second T2209, leave the country blank and check the box labeled "Check here if you have selected a country for which you have T2209 already included in the return".

  Example 3:  U.K. Income on a single T5 form, single T3 form. U.S. Income on a single T5 form

  Identify the countries as appropriate in the field provided under Additional Information for Boxes 15 and 16 on the T5s, as well as any other required information. Identify the country as GB in the field provided under Additional Information for Box 25 on the T3, as well as any other required information.

  On page 2 of the first T2209, Identify the country as GB using the drop down box at the top of the page. On the second T2209, Identify the country as US using the drop down box at the top of the page. On the remaining T2209, leave the country blank and check the box labeled "Check here if you have selected a country for which you have T2209 already included in the return".

   

• Line 409 - Federal Political Contributions

  This amount flows from the Other Federal Credits Worksheet.

• Line 412 - Investment Tax Credit

  Open the form named "T2038 - ITC" and enter appropriate details. The amount from box 6 from the Investment Tax Credit Summary on page 3 will forward to line 412 of Schedule 1.

  Refer to CRA for more information.

• Line 414 - Labour Sponsored Funds Tax Credit

  Open the form named "T5006 -LSVC slip" and enter appropriate details.

• Line 415 - Working Income Tax Benefit (WITB) Advance Payments Received

  Open the form named "WITB Advance" and enter an appropriate amount in the field provided.

• Line 418 - Additional Tax on RESP Accumulated Income Payments

  Open the form named "T1172 - RESP Income" and enter appropriate details. The results will forward to line 418 of Schedule 1.

• Line 424 - Federal Tax on Split Income

  Open the form named "T1206 - Split income" and enter appropriate details. The amount from line 5 of Part 1 will forward to line 424 of Schedule 1.

  Refer to CRA for more information.

• Line 425 - Federal Dividend Tax Credit

  This amount will be calculated automatically based on the taxpayer's reporting of dividend income on lines 120 and 180 of the T1 General.

• Line 426 - Overseas Employment Tax Credit

  Open the form named "T626 - Overseas employment tax credit" and enter appropriate details. The amount from line 17 of Part 2 will forward to line 426 of Schedule 1.

  Refer to CRA for more information.

• Line 427 - Minimum Tax Carry-Over

  Open the form named "T691 - Minimum Tax" and enter appropriate details. The amount from line 124 of Part 7 will forward to line 427 of Schedule 1.

  Refer to CRA for more information.

Reporting Information

There is no information entered directly on this Schedule.

The results flow into line 420 of your T1 General.