Opinion

Budget 2019 – Don’t spend your new Canada Training Credit just yet

Cory G. Litzenberger, CPA, CMA, CFP, C.Mgr

Published

6 years ago

6 minute read

On March 19, 2019, the federal government tabled its election-year budget. One of the new provisions is a refundable credit called the Canada Training Credit. However, the $250 credit won’t even be available until you file your 2020 income tax return in April of 2021.

Further, if you are born in 1995 or later, you won’t qualify yet. If you were born in 1954 or earlier, you would never be eligible.

In addition, the maximum benefit you can receive is $5,000 in a lifetime (which will take 20 years to get at $250 a year) and the benefit can only be used to a maximum of 50% of eligible tuition costs.

So let’s consider the following scenario:

It is 2019 – you are 25 years of age making $27,000 a year and file your taxes every year.

You decide to take advantage of this credit and enroll in your first semester of schooling in the fall of 2023.
According to Statistics Canada, the average Canadian undergraduate pays $3,419 per semester.

So, you take time off work to go to school full-time in the fall, thus reducing your income by 1/3 in the year to $18,000.

Under the current 2019 rules, you would only have $39 in federal income tax. This amount is low because the tuition credits reduce your taxes.

By 2023, you have built up a “pool” of $250 per year after you turned 26, and believe you have a $1,000 pool available for that year.

When you file your 2023 return the $1,000 is triggered as a refundable tax credit. But you won’t be getting $961 back ($1,000 – 39).

Here’s the catch:

The $1,000 pool reduces the amount you can claim for tuition credits as well, which changes the tax owing to $189 Federal income tax. Meaning the $1,000 pool that you waited for is reduced by 15% by the time you pay it out.

Cash in jeans: $811.

But what if the course you decided to go into begins in January of 2023? You go for the January-April semester, work from May-August, and attend school September-December.

Using the same $27,000 – your income is now reduced by 2/3 while attending full time. Your income is only $9,000 as a result of the May-August period.

Your tuition (possibly paid through student loans) is $6,838 for the year.

Your tax is now zero because even before tuition credits you are below the Basic Personal Amount in your earnings.

Does this mean you get the full $1,000?

No.

Because your income is less than $10,000 in 2023, you don’t get the $250 for that year. As such, you only get $750, and your tuition credits available for carryforward are reduced by $750 as well, thus having a future negative impact on tax of $112.50.

Net result: $637.50 cash in jeans

What if you are a parent that decides to stay home with the kids until they are in school full time and go back to school in 2023?
Unfortunately, because you did not make more than $10,000 a year in any of the years, you get zero.

What if you were laid off, collecting regular EI benefits, and decide to go back to school?
Regular EI Benefits don’t qualify for the $10,000 income calculation. As a result, unless you had special EI benefits like parental leave or earned income from another source greater than $10,000, you don’t qualify.

What if you were self-employed through a small business corporation and paid yourself dividends instead of wages and then decided to upgrade your training?
Your dividend income does not qualify, and so you are not eligible for amounts to be added to the pool.

So assuming you qualify, and you wait the four years to build up a pool of $1,000 (remember that the $1,000 is only a net $850 because of the reduction in tuition credits). That same Statistics Canada report says that tuition is increasing at 3.3% per year. That means by you waiting four years so you can get the Net $850 means your annual tuition has likely increased from $6,838 to $7,786 ($948).

You waited four years, and the tax amount you receive won’t even cover the inflationary price increase on tuition.

In Conclusion

Those that do qualify won’t see anything until April 2021; the actual net amount of what they will see is only $212.50; and their annual tuition will likely have increased by $225.65.
Students under the age of 25 will see nothing;
People over the age of 25 that don’t have more than $10,000 of income will see nothing;
Seniors will see nothing;
Parents looking to re-enter the workforce will see nothing; and
People who have been laid off and have less than $10,000 of non-EI income will see nothing.

Seems like a lot of complex legislation for nothing.

—
Cory G. Litzenberger, CPA, CMA, CFP, C.Mgr is the President & Founder of CGL Strategic Business & Tax Advisors; you can find out more about Cory’s biography at http://www.CGLtax.ca/Litzenberger-Cory.html

Cory G. Litzenberger, CPA, CMA, CFP, C.Mgr

CEO | Director CGL Tax Professional Corporation With the Income Tax Act always by his side on his smart-phone, Cory has taken tax-nerd to a whole other level. His background in strategic planning, tax-efficient corporate reorganizations, business management, and financial planning bring a well-rounded approach to assist private corporations and their owners increase their wealth through the strategies that work best for them. An entrepreneur himself, Cory started CGL with the idea that he wanted to help clients adapt to the ever-changing tax and economic environment and increase their wealth through optimizing the use of tax legislation coupled with strategic business planning and financial analysis. His relaxed blue-collar approach in a traditionally white-collar industry can raise a few eyebrows, but in his own words: “People don’t pay me for my looks. My modeling career ended at birth.” More info: https://CGLtax.ca/Litzenberger-Cory.html

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Crime

Former Tim Walz appointee wanted for Minnesota shootings

Published on June 15, 2025

Duane Rolheiser

MxM News

Quick Hit:

Vance Luther Boelter, a former appointee of Minnesota Gov. Tim Walz, is wanted for Saturday’s targeted shootings that killed a state lawmaker and seriously injured another.

Key Details:

Authorities say Boelter first shot Sen. John Hoffman and his wife at their Champlin home before killing former House Speaker Melissa Hortman and her husband in nearby Brooklyn Park.
Dressed in police-style gear, Boelter reportedly exchanged gunfire with officers before retreating from the scene and escaping.
Investigators found a list of targeted politicians, including Gov. Walz and Lt. Gov. Peggy Flanagan, as well as anti-Trump flyers reading “No Kings.”

Diving Deeper:

Law enforcement sources said Saturday that Vance Luther Boelter, 57, is the primary suspect in a string of targeted shootings that left former Minnesota House Speaker Melissa Hortman and her husband dead, and Sen. John Hoffman and his wife hospitalized. First reported by The Blaze, Boelter—a former appointee of both Gov. Tim Walz and former Gov. Mark Dayton—has not yet been apprehended.

The violence began early Saturday morning in Champlin, where the gunman reportedly posed as a police officer, dressed in black body armor and carrying a Taser, badge, and radio. Surveillance footage showed him knocking on the Hoffmans’ front door while wearing a cowboy hat and wielding a flashlight. The couple was shot multiple times and rushed into surgery. Both are expected to survive.

Shortly after the Champlin attack, police were dispatched to check on Hortman’s Brooklyn Park residence. According to Police Chief Mark Bruley, officers encountered what looked like a marked police vehicle in her driveway and a man in uniform exiting the home. When they approached, the man opened fire and retreated into the house. Officers returned fire but did not apprehend him. Hortman, 55, was found dead inside, alongside her husband. Their family dog, Gilbert, was also shot.

Police say Boelter left behind a manifesto naming 70 individuals—ranging from elected officials like Walz and Flanagan to abortion providers and Planned Parenthood affiliates.

The suspect also carried “No Kings” flyers, referencing a national day of protest against President Donald Trump. These same flyers were promoted online as part of anti-Trump demonstrations across the country on Saturday. In response to the shootings, the Minnesota State Patrol urged residents to stay home.

Boelter reportedly ran a private security firm, Praetorian Guard Security Services, which offered armed patrols for a steep monthly fee. He held appointments under two Democrat governors—first in 2016 on the Workforce Development Council, and again in 2019 when Gov. Walz tapped him for the state’s Workforce Development Board.

His apparent political motivations are under review, especially following recent controversy surrounding Hortman’s vote to strip state health benefits from illegal immigrants. Just days before her murder, Hortman had broken with her party to side with Republicans on the issue—providing the deciding vote after a tense budget standoff. “They’re right to be mad at me,” she told reporters after the vote, acknowledging anger within her caucus.

Crime

Manhunt on for suspect in shooting deaths of Minnesota House speaker, husband

Published on June 15, 2025

Todayville

Vance Luther Boelter, wanted in the murders of former Minnesota House speaker and her husband, shown in image from video Saturday.

From The Center Square

By J.D. Davidson

Second lawmaker, his wife also shot; suspect remains at large

Two Minnesota state lawmakers who are members of the Democratic-Farm-Labor Party were shot early Saturday by a person posing as a law enforcement officer just north of Minneapolis.

House Speaker Emeritus Melissa Hortman and her husband were shot and killed in what Gov. Tim Walz called a politically-motivated assassination. The suspect, identified as Vance Boelter, 57, remains at large and a manhunt is ongoing. Authorities said he no longer is in the area of the shootings.

Gov. Walz on Shooting of Minnesota Legislators: ‘An Unspeakable Tragedy’. 6/14/25

Source: Minnesota Department of Public Safety

“My good friend and colleague, Speaker Melissa Hortman and her husband Mark, were shot and killed early this morning in what appears to be a politically-motivated assassination,” Walz said at a news conference. “Our state lost a great leader, and I lost a dearest of friends.”

State Sen. John Hoffman, DFL-Brooklyn Park, and his wife also were shot about 2 a.m., and Hortman and her husband were found about 90 minutes later.

Walz said the Hoffmans were each shot multiple times but he was hopeful for their recovery.

Law enforcement issued a shelter-in-place order for an area around Edinburgh Course that continued into the hours Saturday but has since been lifted. The suspect was seen wearing blue pants, a blue shirt, body armor, and reportedly driving a dark SUV with lights meant to make it appear like a police vehicle.

The suspect, Boelter, was appointed by Walz to serve on the Governor’s Workforce Development Board in 2019. Various media outlets reported that he is the director of Praetorian Guard Security Services, where he had access to police-like security equipment. Media outlets also reported that Boelter had a list of about 70 names in his vehicle which included the lawmakers who were shot, other lawmakers and abortion providers.

State officials are encouraging residents to not attend “No Kings” protests at the state capitol and across Minnesota. “No Kings” flyers were found in the suspect’s vehicle, law enforcement said.

FNF The scene near a shooting of Minnesota lawmakers — Law enforcement at the scene of a shooting in Minneapolis

J.D. Davidson | The Center Square

The “suspect exploited the trust of our uniforms, what our uniforms are meant to represent,” Public Safety Commissioner Bob Jacobson said. “That betrayal is deeply disturbing to those of us who wear the badge with honor and responsibility.”

According to authorities, the gunman allegedly escaped through a back door of Hortman’s house following an exchange of gunfire with police.

President Donald Trump also released a statement on X, posted by White House Press Secretary Karoline Leavitt.

“Our Attorney General, Pam Bondi, and the FBI are investigating the situation, and they will be prosecuting anyone involved to the fullest extent of the law,” Trump said. “Such horrific violence will not be tolerated in the United States of America. God Bless the great people of Minnesota, a truly great place!”

The FBI said it is offering a reward of up to $50,000 for information leading to the arrest of Boelter.

Drew Evans, superintendent of the Minnesota Bureau of Criminal Apprehension, said Saturday that officers arrived at the Hortman residence as part of a routine check on lawmakers in the area and exchanged gunfire with the suspect, who managed to flee.

Brooklyn Park Police Chief Burley said officers knocked on the Hortmans door and were met by what appeared to be a police officer wearing police gear, a gun, a taser and a badge. Officers and the suspect exchanged gunfire in the home before the suspect fled out the rear of the house.

Burley also said the suspect was driving an SUV that looked like a police vehicle with lights. The car was impounded, and Burley said the suspect is on foot. He encouraged citizens to not answer the door for police officers and instructed Brooklyn Park police officers to not approach citizens alone, only in groups of two or more.

Burley said several people have been detained, and police are looking for others of interest.

Burley said a manifesto was found in the suspect’s vehicle that identified several other lawmakers. Both Hoffman and Hortman were on the list of people found in the car, Evans said.

Life-saving efforts were given to the Hortmans at the scene, Evans said.

“This was an act of targeted political violence. Peaceful discourse is the foundation of our democracy.We don’t settle our differences with violence at gun point. We must all stand against political violence,” Walz, also a DFL party member, said. “This tragic act in Minnesota should serve as a reminder that democracy and debate is a the way to settle our differences and move to a better place.”

The shootings happened seven miles away from each other, and law enforcement officials have called both shootings “targeted.”

Law enforcement was dispatched to the homes of several other state lawmakers – both Democrats and Republicans – in the Twin Cities area for protection overnight. Those lawmakers were told not to answer the door if an officer comes to it, but confirm with 911 before answering.

U.S. Sen. Amy Klobuhar, D-Minn., was shocked by the news.

“This is a stunning act of violence. I’m thankful for all the law enforcement who are responding in real time. My prayers are with the Hortman and Hoffman families. Both legislators are close friends and devoted to their families and public service,” Klobuchar said on social media.

Republican House Speaker Lisa Demuth, R-Cold Spring, called the shootings evil and asked for prayers.

“I am shocked and horrified by the evil attack that took place overnight. Please lift up in prayer the victims along with the law enforcement personal working to apprehend the perpetrator,” Demuth said on social media.

Walz activated the state emergency operations center early Saturday.

Hoffman was first elected to the Senate in 2012 and currently chairs the Human Services Committee.

Hortman was first elected in 2002 and was elected as speaker of the house in 2018. She is the current speaker emeritus.

She was also one of four DFL members to break with the party Monday and join Republicans to pass a state budget and end state health care services for noncitizens after a long and contentious special session.

The initial budget vote ended in a tie, before Hortman and three other DFL members broke ranks and joined Republicans to pass the legislation.