Quick Answer
Box 042 on your T4A tax slip shows RESP educational assistance payments (EAPs) paid to you as the student. This amount is taxable income — reported by the student, not the parent — and it goes on line 13000 of your tax return for the year you received it.
Key Takeaways
- Box 042 is for RESP educational assistance payments — not a refund of contributions.
- The student reports this amount, not the parent or RESP subscriber.
- Box 042 is entered on line 13000 of the tax return.
- The amount can include government grants (CESG), the Canada Learning Bond (CLB), provincial incentives, and RESP investment earnings.
- Refunds of original RESP contributions are not shown in Box 042 and are not taxable.
- You will receive a T4A tax slip if your EAPs totalled $50 or more in the calendar year.
At Embark, we help families navigate education savings at every stage — including tax time. As Canada’s leading RESP provider, we processed over 120,000 withdrawals entirely online in 2025, with more than $600 million paid out to students and families. If you took money out of your RESP this year, you may have received a T4A slip with an amount in Box 042. This page explains what that means, why the slip came to you and not your parents, and what you need to do when you file.
What is RESP T4A Box 042?
Box 042 on a T4A slip is for RESP educational assistance payments, or EAPs. An EAP is the taxable portion of money paid from a Registered Education Savings Plan to support a student’s post-secondary education.
When your RESP provider sends you an EAP, they are required to report that amount to the Canada Revenue Agency (CRA) on a T4A slip. That slip shows up in Box 042. If you received $50 or more in EAPs during the calendar year, a T4A slip has to be prepared for you.
Definition: Educational Assistance Payment (EAP)
An EAP is a withdrawal from an RESP that includes grants, bonds, and earnings — not the original contributions. It is paid to the student for qualifying post-secondary education costs.
What does Box 042 include?
Box 042 can include four types of amounts from your RESP:
- Canada Education Savings Grant (CESG)
- Canada Learning Bond (CLB)
- Designated provincial incentive amounts (extra grants offered by some provinces)
- Investment earnings on the money saved in the RESP
It does not include the original contributions the parent or guardian put into the RESP. Those are savings made with money that was already taxed, and they are handled separately — more on this below.
Who receives the T4A slip for Box 042?
The T4A slip goes to the student — not the parent or the person who opened the RESP (called the subscriber). That is because EAPs are taxable income for the student, the person who actually uses the money for education.
This surprises some families. Parents sometimes expect the slip since they managed the RESP for years. But the CRA is clear: the beneficiary (the student) reports EAP income, not the subscriber.
Embark is the only RESP provider in Canada with a dedicated student portal where students can log in and download their T4A directly — no waiting for mail, no calling in.
Where do students report Box 042 on their tax return?
Enter the amount from Box 042 on line 13000 of your tax return — “Other income.” Most tax software will ask you to enter your T4A slip information and will automatically place the Box 042 amount on the correct line. If you use a tax preparer, simply give them the tax slip.
Keep in mind that Box 042 is not the same as scholarship income. Scholarships are reported on a different line — see the Box 042 vs. Box 105 section below.
Ready to make an RESP withdrawal?
If you’re planning your first RESP withdrawal, Embark can walk you through the process — from paperwork to payment. It takes just 5 minutes to start the withdrawal process digitally. No branch visits necessary.
Box 042 vs. non-taxable RESP contributions
One of the most common points of confusion: original RESP contributions are not included in Box 042, and they are not taxable.
When a subscriber puts money into an RESP, those contributions are made with after-tax dollars. If that money is paid back to the subscriber or returned as a refund of contributions, it is not shown on a T4A slip and does not need to be reported as income. Only the EAP portion — grants, bonds, and earnings — is taxable and reported in Box 042.
Key Rule
Refund of RESP contributions: NOT on the T4A, NOT taxable.
RESP educational assistance payment (EAP): Box 042 on the T4A, reported on line 13000.
Box 042 vs. Box 105 and other T4A boxes
Box 105 on a T4A slip is for scholarships, fellowships, and bursaries. That amount goes on line 13010 of the return — a different line than Box 042.
| Box 042 | Box 105 |
|---|---|
| RESP educational assistance payments | Scholarships, fellowships, bursaries |
| Reported on line 13000 | Reported on line 13010 |
| Taxable to the student beneficiary | May be partly or fully exempt, depending on enrolment status |
If you received both RESP EAPs and a scholarship in the same year, you may have amounts in both Box 042 and Box 105 on the same slip or on separate slips. Make sure each amount goes on the correct line. Most tax software handles this automatically when you enter the T4A fields.
What students should do if they receive a T4A Box 042 slip
Here is what to do, step by step:
- Keep the T4A slip with your other tax documents for the year.
- Enter the Box 042 amount on line 13000 through your tax software or give the slip to your tax preparer.
- Make sure the slip is filed under your return, not your parent’s.
- Gather your tuition and other education-related tax forms — they may help reduce the overall tax you owe.
For more guidance, check out How to File Your Taxes as a Student and Are RESP Withdrawals Taxable? in the Embark Learning Centre. You may also find What Role Do EAPs Play in RESPs? helpful for understanding what an EAP includes.
Have questions about your education savings?
Speak with an Embark Education Savings Specialist — we are here to help.
Common mistakes with RESP T4A Box 042
- Entering it on the wrong line. Box 042 goes on line 13000, not the scholarship line (13010).
- Assuming the parent reports it. The student is responsible for reporting EAP income.
- Thinking contributions are included. Original contributions are not in Box 042 and are not taxable.
- Ignoring the slip because no tax was withheld. No tax is deducted at source on EAPs, but the income still needs to be reported. Leaving it out can result in a reassessment from the CRA.
Frequently Asked Questions
What is RESP T4A Box 042?
Box 042 on a T4A slip is for RESP educational assistance payments — the taxable portion of RESP withdrawals paid to a student for post-secondary education.
Who reports Box 042 on taxes?
The student (beneficiary) reports Box 042 on their own tax return. The parent or RESP subscriber does not report this income.
Where does Box 042 go on the tax return?
Box 042 is entered on line 13000 of the federal tax return (“Other income”).
Are RESP contributions included in Box 042?
No. Original RESP contributions are not shown in Box 042 and are not taxable income.
Does Box 042 always mean the student will owe tax?
Not necessarily. Whether you owe tax depends on your total income for the year, any deductions, and other credits — including tuition amounts. Many students have low enough income that little or no tax is owed on their EAP income.
The Bottom Line
Getting a T4A slip for the first time can feel a little overwhelming, but Box 042 is straightforward once you know what it includes and where it goes. The student reports it, it goes on line 13000, and the original contributions your family saved are not part of it.
Have more questions about RESP withdrawals and taxes? Visit the Embark Learning Centre for more plain-English guides or reach out to an Education Savings Specialist who can help with your specific situation. We make sure you’re in the know, every step of the way.
