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Thanks for the reply! To address your points: 1. Hmm.. maybe I'll call the CRA again and double check whether or not RA/TA appointments that support grad studies are taxable. I've generally been really pleased with the help I get from the CRA agents (and I'm grateful that there's actually a number to call where help is provided), but as with any helpline you can sometimes get a bad apple. I'll call again and update with their response. At any rate the T2209 will provide a tax break, but it's not enough. My software (and calculations) are still showing tax owed. 2. Interesting note: I spoke to the international agents at the CRA, and one of them said Canadian students studying outside of Canada (with no spouse, or a spouse joining them out of country), who do not own a home in Canada should likely file as non-residents. This seemed like a good idea (because we wouldn't have to pay any tax), but after some more digging I'm starting to think that it's a really bad idea. It seems we'd need to pay different kinds of tax (departure/Part XIII tax), and we'd need to sever all ties to Canada. Given that most of us have Canadian bank accounts, driver's licenses, rooms in family homes, social ties, etc., the most likely determination from the CRA is that we're still factual residents. 3. My university completed the TL11A and I double checked it. They also provided me with official university documents showing my full time studies and the tuition paid for each quarter. In my first year of PhD studies the CRA asked for additional documents to support my claim and I provided a letter and any other documents they required. They determined that I was entitled to the tuition credits. The following year I filed the same way, and was again asked for supporting documents. I gave the same forms and the same letter (with an extra paragraph explaining that this happened last year), and the CRA determined that I was not entitled to the credits. Win some/lose some?? Extra note: Congrats on the fellowship! In particular, congrats on finding one that's open to non-US citizens!

The eternally relevant thread... I have an identical situation, so this has been really helpful; thanks! Some follow-up questions: How do you report your US income (the stipend from your university on your W2) while having it be considered non-taxable? I called the CRA and they told me to report all income. The advice was that the stipend top-up would be "Foreign employment income", but I could then use T2209 to get a tax break on the US tax paid on that income. This method results in me paying tax in Canada on all income, even though this income is used to support my graduate studies. Why do you say we are "deemed" residents instead of "factual" residents for tax purposes? As for the tuition credits, I submitted a TL11A, but the CRA determined that I was not due the tuition amount. As you say, the tuition is charged to my bill and then tuition credits are automatically applied by my department. Nevertheless, my notice of reassessment indicates that I was not granted the tuition amounts. Any suggestions? Lastly, (since I see that you're in California), do you file using form 540NR Long or Short? California charges tax on worldwide income, which (according to the information I gathered from the California tax board) includes foreign scholarships. As such, it would seem we need to file using 540NR Long, completely with the associated Schedule CA, and indicate the foreign income we don't report on the federal return. The net effect is to (slightly) change our tax bracket...