The Saskatchewan Graduate Retention Program Explained
For graduates in Saskatchewan, the Graduate Retention Program offers a way to convert paid tuition into a provincial tax credit. Understand the process.
The Saskatchewan Graduate Retention Program (GRP) offers a provincial tax credit to encourage graduates to live and work in the province after their post-secondary education. This program provides a rebate on tuition fees, which is claimed over several years to directly reduce the amount of Saskatchewan provincial income tax an individual owes. The goal is to build a skilled workforce by making it financially attractive for graduates to establish their careers in Saskatchewan.
Determining Your Eligibility
To qualify for the Graduate Retention Program, you must meet educational and residency requirements. The educational component requires graduating from an approved post-secondary program of at least six months of full-time study. This program must result in a certificate, diploma, undergraduate degree, or a journeyperson certification. Master’s and doctoral degrees are not eligible for this program.
Eligible institutions include universities, colleges, and technical schools recognized for Canada-Saskatchewan student loans. A comprehensive list of these designated educational institutions is available on the Government of Canada’s CanLearn website. It is important to verify that your program and institution meet the criteria.
Residency is the other main requirement. You must live in Saskatchewan and file a provincial income tax return to claim the credit. Even if you completed your studies outside of the province, you can become eligible once you move to Saskatchewan. You must apply for the program within seven years of your graduation date.
Calculating Your Maximum Rebate
The total rebate you can receive is tied to your academic credential and the amount of tuition paid. The program sets maximum lifetime rebate amounts based on the program completed. For instance, a certificate or diploma has a maximum rebate of $6,400, while a four-year undergraduate degree allows for up to $20,000. This maximum increases to $24,000 for those graduating on or after October 1, 2024.
Your specific rebate is calculated based on the eligible tuition fees reported on your official T2202A tax slips, issued by your educational institution. These slips detail the qualifying amounts up to the program maximums. It is important to note that fees for student unions, health and dental plans, and books are not considered eligible tuition fees and cannot be part of your claim.
Required Information and Documentation
Before you apply for the GRP, you must gather several documents. You will need to provide personal details, information about your education, and proof of your tuition payments. The required items include:
- The completed Graduate Retention Program Application form.
- Personal details, including your Social Insurance Number (SIN), full name, and mailing address.
- Your official graduation date, the name of your institution, and the name and length of your program.
- A copy of your certificate, diploma, or degree as proof of graduation.
- Official T2202A tuition tax slips for each year you attended to substantiate your claim.
The Application and Claim Process
The first step is to submit your application for the Graduate Retention Program Certificate. For most graduates from Saskatchewan institutions, the school will apply on your behalf automatically. If you attended an institution out-of-province or one that does not apply for you, you must submit the application package to the Ministry of Advanced Education. After your application is approved, you will receive instructions to download your official GRP Certificate.
With your GRP Certificate, you can claim the tax credit on your annual Saskatchewan income tax return using Form SK428, Saskatchewan Tax and Credits. The GRP provides the credit over a seven-year period: 10% of the total rebate is available in each of the first four years, and 20% in each of the following three years. You only need to submit the GRP certificate the first time you file.
If your tax credit in a given year is more than the provincial tax you owe, the unused portion is not lost. You can carry forward any unused credit for up to 10 years from the year of graduation. Your annual Notice of Assessment from the Canada Revenue Agency (CRA) will show your remaining GRP credit balance available for future years.