Why CRA Requests T2202 & Schedule 11 for Student Tax Returns — And Why Ontario Benefits Get Withheld
How Missing T2202 and Schedule 11 Documents Trigger CRA Reviews and Delay Your Refunds
Student tax returns in Canada often look simple on the surface—but they include some of the most frequently reviewed items by the Canada Revenue Agency (CRA). One of the most common issues occurs when CRA asks for T2202 Tuition Certificates and Schedule 11, which leads to the temporary withholding of Ontario provincial benefits such as the Ontario Trillium Benefit (OTB).
If you recently completed a student’s tax return and the CRA sent a review letter asking for documentation, you are not alone. Each year, thousands of students receive these review notices, especially when claiming tuition credits or transferring credits to parents or spouses.
This explains in detail:
Why CRA requests T2202 and Schedule 11
What triggers a pre-assessment or post-assessment review
Why Ontario provincial benefits get withheld
How to properly resubmit documents to CRA
How to ensure the review is resolved quickly
What students should do to avoid future delays
1. Understanding the Core Issue: Tuition Credits and CRA Review
Students often claim federal and provincial tuition credits through Schedule 11, which is generated by information on the T2202 Tuition and Enrolment Certificate from their educational institution.
CRA frequently reviews tuition claims because:
Tuition credits reduce taxable income significantly
Many students claim transfers (to parents/spouses), which CRA must verify
Some students carry forward unused tuition, which requires accurate recordkeeping
Colleges/Universites may issue multiple T2202s or adjust them after the tax return is filed
Therefore, CRA wants to verify:
That the student was actually enrolled
That the correct tuition amount is claimed
That the program meets CRA rules
That the correct individual is claiming the credits
That transfers or carryforwards follow CRA regulations
That No one Frauds with Student’s Tax Returns
When CRA cannot verify these details electronically, they place the file under review.
2. Why CRA Specifically Asks for “T2202” and “Schedule 11”
When CRA flags a return for tuition review, they always ask for two things:
1. T2202 (Tuition Certificate)
This document shows:
Name of the educational institution
Name of the student
Eligible tuition paid
Number of months enrolled full-time or part-time
CRA uses the T2202 to confirm amounts claimed in the tax return.
2. Schedule 11 (Tuition, Education, and Textbook Amounts)
This schedule shows:
How tuition amounts were calculated
How much was used this year
How much is being carried forward
Whether any credits are transferred
Whether past-year carryforwards were used correctly
CRA needs this to ensure:
The numbers match the T2202
No inappropriate or duplicate claims were made
Transfer amounts follow the maximum transfer rules
If either of these documents is missing, incorrect, or inconsistent, CRA withholds credits and benefits until verification is complete.
3. How CRA’s Review System Works for Student Returns
CRA conducts two types of reviews when a tax return is filed:
A. Pre-Assessment Review
Happens before CRA finalizes the refund
CRA puts a hold on benefits or refunds
Usually triggered when the system detects missing documents
Students notice delay in receiving refunds or OTB/CTB payments
B. Post-Assessment Review
Happens after the Notice of Assessment is issued
CRA may ask for documents even after refund is paid
If documents are not provided, CRA reassesses and claws back credits
Students usually face Pre-Assessment Review when tuition amounts seem incorrect, or carryforward amounts do not match CRA’s internal records.
4. Why the Ontario Benefits Get Withheld
Many students rely on Ontario provincial benefits which are:
Ontario Trillium Benefit (OTB)
Ontario Energy and Property Tax Credit (OEPTC)
Ontario Sales Tax Credit (OSTC)
When CRA reviews the return, the system automatically places a hold on OTB payments because:
Provincial benefits are calculated based on tax return information
Any review indicates that numbers may change
CRA cannot release provincial money until federal verification is complete
In short, if CRA suspects that tuition credits may alter the tax outcome—even indirectly—it withholds all related provincial benefits until the review is resolved.
This is why your student client saw their Ontario provincial benefits withheld.
5. What Triggers CRA to Put a Student Return on Review?
Some of the most common triggers include:
1. Claiming Very High Tuition Amounts
Sometimes schools issue large tuition slips (international students especially), which the CRA flags for review.
2. Claiming Tuition Transfers
If a student transfers credits to a parent/spouse, CRA wants to verify:
That the student attended
That they agreed to the transfer
That the receiving person qualifies
3. Changing Institutions or Multiple T2202s
If a student attended two schools in the same year, CRA often requests both slips.
4. Prior-Year Carryforward Doesn’t Match CRA Records
If the amounts differ, CRA needs clarification.
5. First-time filer with tuition credits
New students filing their first tax return almost always face a review because CRA has no prior enrollment history on file.
6. International Students
CRA reviews international tuition claims more frequently because residency status, eligibility, and program recognition must be clear.
6. How to Correct the Issue: Step-by-Step Solution
Here is how a student or tax consultant can resolve the tuition review quickly.
Step 1: Gather All Required Documents
You must gather the following:
a) T2202 Tuition Certificate
Download these from the student’s school portal or student account.
b) Schedule 11
If you used tax software, regenerate it
Ensure the amounts match the T2202
Ensure no incorrect transfers or carryforward errors
Optional but helpful documents supporting Sch 11:
Proof of enrollment letters
Payment receipts if tuition was partially refunded
Step 2: Review for Accuracy Before Submitting to CRA
Double-check:
Tuition matches exactly
No extra zeros or decimal errors
Full-time/part-time months are correct
Provincial and federal tuition amounts match
Errors like claiming tuition for courses not eligible for credit (e.g., language classes not part of a degree program) often trigger reviews.
Step 3: Submit the Documents to CRA
You can submit documents through any of the following:
Option A — Upload through CRA My Account (Fastest)
Log in to CRA My Account
Go to “Submit Documents”
Choose the request letter reference number
Upload PDFs or clear images
Option B — Upload through CRA Represent a Client
If you’re representing someone, you can submit on their behalf.
Option C — Mail or Fax
Slower but accepted if digital upload fails.
Always include the:
Reference number from CRA letter
SIN
Tax year in question
Step 4: Wait for CRA Review Completion
Typical processing times:
Digital submission: 2–6 weeks
Mail submission: 6–12 weeks
During this time, CRA will:
Verify eligibility
Match amounts with school-reported data
Assess carryforwards
Recalculate benefits
Once CRA is satisfied, they will release the withheld Ontario benefits immediately.
7. What Happens After CRA Accepts the Documents?
Once CRA completes the review:
A Notice of Reassessment May Be Issued
This will either:
Approve the claimed tuition
Adjust the amounts (if errors found)
Update carryforward balances
Provincial Benefits Will Be Released
If CRA withheld OTB or OEPTC:
They will pay the next available cycle
Any past months will be paid retroactively
Refund Will Be Released (If Applicable)
If a refund was delayed due to review, CRA releases it instantly upon approval.
8. What If CRA Rejects the Tuition Claim?
If CRA finds errors, they may:
Reduce tuition claimed
Disallow ineligible programs
Remove transferred credits
Recalculate carryforwards
This affects:
Federal tuition credits
Ontario provincial credits
Future year carryforwards
Refund amounts
Provincial benefit eligibility
If the student disagrees, they can:
File an Objection (T400A)
Must be done within 90 days of the Notice of Reassessment
CRA’s Appeals Division reviews the case
Most students are successful if they submit proper documentation.
9. How Students Can Avoid Future CRA Holds
To prevent future benefit delays:
Always download T2202 directly from the school
Not from screenshots or email attachments.
Keep all tuition receipts for at least six years
CRA may ask for past-year records.
Ensure Schedule 11 is prepared accurately
Software errors are common; double-check.
Avoid inflating tuition by mistake
International fees vs. domestic fees must match exactly.
Do not overclaim months of study
Full-time vs. part-time months must match CRA definitions.
Keep proof of program enrollment
Especially for international or private college students.
10. A Realistic Example of This Situation
A student filed their return claiming:
$9,500 tuition
8 months full-time study
$2,000 carryforward
$5,000 transferred to a parent
CRA reviews the return because:
The carryforward does not match last year’s record
Tuition seems high
A transfer was claimed
CRA asks for:
T2202
Schedule 11
While waiting, Ontario Trillium Benefit is withheld.
After submitting documents:
CRA adjusts tuition to $8,700
Transfer is reduced to $4,000
Carryforward is corrected
Withheld OTB is released the following month
11. Finally the Usual Practice
When CRA requests T2202 and Schedule 11, it is a standard review procedure—not a penalty and not a sign of wrongdoing. It simply means CRA needs clarification before finalizing federal and provincial benefits.
Ontario provincial benefits like OTB are automatically withheld until CRA completes the verification because these benefits rely directly on the accuracy of the filed tax return.
To correct the issue:
Gather T2202 and Schedule 11
Validate accuracy
Upload documents through CRA My Account
Wait for CRA to complete the review
Receive withheld benefits and updated assessment
Students and tax professionals can avoid delays in future years by ensuring tuition documents are accurate, complete, and aligned with CRA rules before filing.