This guide provides detailed tax information for students including the most common income, deductions, and credits available to them.
This pamphlet provides detailed tax information for students including the most common income, deductions, and credits available to them.
# Federal budget 2025: Canada reduces new international students. You are the owner of this article. You have permission to edit this article. “The new study permit caps further erode Canada’s reputation,” said one critic of Ottawa’s plan to next year limit new international student permits to 150,000 from a previous target of 305,900. OTTAWA—The Liberal government’s new immigration plan shifts the focus toward economic immigrants and cuts by more than half the number of new international students that can come to study in Canada. Despite restrictive measures the past two years to rein in the number of study and work permit holders, slightly more than three million non-permanent residents were in Canada at the end of the third quarter of 2025, accounting for 7.2 per cent of Canada’s population. The government imposed a cap on the number of international students in 2024 and initially proposed it as a two-year measure, but the reductions, which have caused financial headaches at colleges and universities, are now projected to continue.
| | | | --- | | taxnews.ey.comPrintShare: | | 17 January 2025 Canada changes eligibility for open work permit for family members of temporary residents On 14 January 2025, the government of Canada announced new eligibility criteria for open work permits for certain accompanying family members of temporary foreign workers. | | | --- | | \* \* \* \* \* \* \* \* \* \* | | --- **Attachment** Full text of Tax Alert | Document ID: 2025-0263 | | | |. Canada changes eligibility for open work permit for family members of temporary residents. On 14 January 2025, the government of Canada announced new eligibility criteria for open work permits for certain accompanying family members of temporary foreign workers. | --- **Attachment** Full text of Tax Alert |. Full text of Tax Alert. | | | | | --- | | | The information contained herein is general in nature and is not intended, and should not be construed, as legal, accounting or tax advice or opinion provided by Ernst & Young LLP to the reader.
# 9 Biggest Tax Changes for Tax Year 2025. With the tax-filing date getting closer with every passing day, this is a great time to review what’s different for tax year 2025—and what adjustments you might make to lower your tax bill. To help you get started, we’ve rounded up 9 tax changes to keep in mind when you file your 2025 tax return. To help Canadians cope with the rising cost of living, on July 1 the federal government reduced the tax rate for the lowest tax bracket from 15% to 14%. (In 2025, the lowest bracket applies to your first $57,375 of income.) Because this tax change happened mid-year, the effective tax rate in 2025 for the lowest income bracket is 14.5%. This credit will keep the 15% tax rate for non-refundable credits claimed beyond the lowest tax-bracket threshold, and it will be in effect for the 2025 to 2030 tax years.
Canada’s new work permit rules. # Canada Removes Co-Op Work Permit Requirement for International Students, Expanding Work Opportunities for Graduates. ## Highlights: Canada to Simplify Employment Pathways With New Work Rules for International Students and Graduates. Canada officially updated its work permit rules for international students and graduates, simplifying study and employment from April 1, 2026. The new work permit policies remove the requirement for a separate co-op permit for pursuing internships during the study program. The new work permit rules are part of Canada’s broader plans to expand work authorization for foreign nationals in 2026. IRCC announced new work authorization rules for the current year to streamline study and work rights in Canada. Canada Announces New Work Permit Rules for International Graduates. ### Benefits of the Latest Work Access Rules in Canada for Foreign Graduates in 2026. The new work authorization rules from April 1, 2026, reduce duplicate applications for work and study permits to clarify work rights for international students in Canada.
As of April 1, 2026, post-secondary international students don't need a co-op work permit for student work placements such as co-op placements
As of April 1, 2026, post-secondary international students in Canada no longer need a co-op work permit to participate in student work