Quebec Land Transfer Tax 2020

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Welcome Tax

Commonly known as the “Welcome Tax,” government of Québec’s Land Transfer Tax system came to effect in 1992. It was named after Jean Bienvenue, who was the Minister of Municipal Affairs responsible for instituting this tax. This tax requires the new owner of property to pay a certain percentage of the value of the property to the municipality, with the value of the property being determined as the highest of either the sale price or the market value determined by municipal assessment. About four to six weeks after you sign the contract of ownership over the new property, the municipality will send you an invoice of the tax that must be paid within 30 days. It is important to note that there is a difference in the cost of the tax between Montreal and the rest of Québec, where there is an extra percentage added onto higher tax brackets in Montreal.

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Québec Land Transfer Tax Calculator

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Montreal
Total Tax$0.00
add_circleProvincial$0.00
remove_circleRebate$0.00
Rest of Québec
Total Tax$0.00
add_circleProvincial$0.00

Comparison of Québec Land Transfer Taxes with Other Provinces

Land transfer tax comparison of all Canadian provinces for a $500K property in 2020

Calcul de Taxe de Bienvenue (Land Transfer Tax Calculator)

Montreal

Purchase Price of Home Land Transfer Marginal Tax Fee
First $51,7000.5%
$51,700 to $258,6001.0%
$258,600 to $517,1001.5%
$517,100 to $1,034,2002.0%
$1,034,200 to $2,000,0002.5%
Over $2,000,0003.0%

Rest of Québec

Purchase Price of Home Land Transfer Marginal Tax Fee
First $51,7000.5%
$51,700 to $258,6001.0%
Over $258,6001.5%

The Montreal Home Ownership Program

Implemented in 2018, the Montreal Home Ownership Program provides financial assistance to first-time home buyers through granting lump-sum payments and, if the household has children, a refund for up to 100% of the Welcome Tax. If the property was bought prior to 2018, families with at least one child are still eligible to receive only the refund if the property consists of at minimum three bedrooms. The amount of the lump-sum payment is dependent on the purchase price of the property. The program is eligible for all households who are buying their first property for residential purposes. Details are shown below:

Home-Buyer Requirements Eligible Property Values Lump-Sum Payment Welcome Tax Refund
Single Buyer without Children Under $200,000 $2250
Household without Children (More than one buyer) Under $250,000 $2250
Households with minimum one child under 18 Under $280,000 (Increases up to $360,000 if property has more than 3 bedrooms)$5,000 (Increases up to $6,250 if property has living spaces of more than 1033 square feet) 100%
Households who already bought property prior to 2018 and has at least one child under 18Under $360,000 (Must have more than three bedrooms) 100%

Exonération du Paiement (Exemptions)

Aside from the Montreal Home Ownership Program, several other possible conditions also allows the owner to be exempt from paying the tax:

  • The building value is less than $5,000
  • The transfer is occurring between spouses
  • The transfer is occurring between family members
  • The transfer is between a company and its shareholder
  • Both the transferor and transferee are registered charities

Few other conditions also exist. However, the municipality may still collect a smaller amount of charge from those who are exempt from the tax. If this charge is applicable, it will be applied as follows:

Property Value Total Fee
Less than $5,000 $0
$5,000 to $40,000 0.5%
Over $40,000 $200

Visit our Canada Land Transfer Tax page to find out more information about land transfer and other taxes accross Canada.

This calculator is provided for general information purposes only. WOWA does not guarantee the accuracy of information shown, and is not responsible for any consequences of the use of the calculator.
* Rates shown are on approved credit and subject to change without notice.