An employer paid the tuition fees of one of its employees at a master's program. However, the employee was required to reimburse the employer upon the employee’s failure to return to work for a specified minimum period following the program completion. CRA stated:
[W]here a taxpayer's tuition is paid by the taxpayer’s employer and those expenses are not included in computing the taxpayer’s income, … the taxpayer could, subject always to all other conditions set out in paragraph 118.5(1)(a), claim the tuition tax credit under section 118.5 but only with respect to the portion of the tuition fees that the taxpayer reimbursed to the employer.