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March 3, 2020
The welcome tax in Quebec is a municipal transfer duty charged when ownership of a property is transferred from one person or entity to another. Its official name is duties on transfers of immovables, but most buyers, brokers, and municipalities refer to it as the welcome tax.
In most cases, the welcome tax is paid by the buyer or new owner of the property. It can apply to different types of real estate, including single-family homes, condos, land, plexes, and commercial buildings. The amount is paid to the city or municipality where the property is located.
The welcome tax is separate from other home-buying costs. It is not the same as property tax, school tax, notary fees, mortgage payments, mortgage insurance, or moving costs. It is an additional municipal charge that buyers should include when estimating their total closing costs.
The welcome tax is also not usually paid directly at the notary appointment. After the property transfer is registered, the municipality calculates the amount owed and sends a bill to the new owner. This means buyers should keep enough money available after closing, because the bill may arrive after they have already moved into the property.
For example, if a buyer purchases a home in Montréal, Kirkland, LaSalle, or Vaudreuil-Dorion, the municipality calculates the transfer duty based on its rules and sends the bill after the transaction. The exact amount depends on the property value and the city or municipality where the property is located.
Welcome Tax Calculator Quebec 2026
Use this calculator to estimate the welcome tax, also called property transfer duties, for a property purchase in Quebec. Enter the purchase price, municipal assessment value, and municipality to estimate the tax base, welcome tax, possible 2026 refundable tax credit, and net amount after refund.
If unknown, you can leave this blank. The calculator will use the purchase price.
Optional. If left blank, the calculator uses the estimated welcome tax.
LaSalle is a borough of Montréal. For this calculator, LaSalle uses Montréal’s 2026 property transfer duty brackets.
Tax base used
$0
Estimated welcome tax
$0
Estimated refundable tax credit
$0
Estimated net cost after refund
$0
| Bracket portion | Rate | Tax for this portion |
|---|---|---|
| Enter your property details and click calculate. | ||
This calculator provides an estimate only. The official amount is determined by the municipality based on the property transfer, the applicable tax base, exemptions, current municipal brackets, and any other applicable rules. For LaSalle, Montréal rules are used because LaSalle is a Montréal borough.
How is the Welcome Tax Calculated?
The welcome tax in Quebec is calculated by applying progressive tax brackets to the property’s tax base. This means the municipality first determines the value that should be used for the calculation, then applies the relevant tax rates to each portion of that value.
In most cases, the tax base is the highest of the following amounts:
- The amount paid for the property transfer
- The amount stated in the deed of sale
- The market value or municipal value adjusted by the municipality’s comparative factor, where applicable
This is important because the welcome tax is not always calculated only on the purchase price. If the municipal value or adjusted market value is higher than the price paid, the municipality may use that higher amount to calculate the transfer duty.
The welcome tax also uses progressive brackets. This means the highest rate does not apply to the full property value. Instead, each portion of the tax base is taxed at the rate for that specific bracket.
For example, if a property in Montréal has a tax base of $700,000, the calculation uses several brackets:
Portion of tax base | Rate | Tax |
First $62,900 | 0.5% | $314.50 |
Next $252,100 | 1% | $2,521.00 |
Next $237,300 | 1.5% | $3,559.50 |
Remaining $147,700 | 2% | $2,954.00 |
Total estimated welcome tax | $9,349.00 |
2026 Refundable Tax Credit for Access to Homeownership
In 2026, Quebec introduced a refundable tax credit that can refund part or all of the welcome tax for eligible buyers.
This does not usually mean the buyer avoids the welcome tax bill. In most cases, the process works like this:
- The buyer purchases a qualifying home.
- The municipality sends the welcome tax bill after the purchase.
- The buyer pays the welcome tax.
- If eligible, the buyer claims the refundable tax credit with Revenu Québec.
The credit is mainly designed for eligible first-time buyers who purchase a qualifying home as their principal residence. The buyer or their spouse must have paid the welcome tax.
Transfer duties paid | Refund |
First $5,000 | 100% |
Next $3,500 | 25% |
Maximum refund | $5,875 |
The credit is reduced when the tax base is over $750,000 and becomes $0 when the tax base reaches $1,000,000.
This credit is different from a welcome tax exemption. An exemption means the municipality may not charge the welcome tax. A refundable tax credit means the buyer may still pay the bill first, then recover part or all of it later if they qualify.
Montréal Welcome Tax Rates in 2026
Welcome Tax Rates in Montreal
Montréal has its own property transfer duty brackets, including higher rates for more expensive properties. This means buyers in Montréal may pay more welcome tax on high-value properties than they would in some other Quebec municipalities.
For 2026, Montréal’s comparative factor is 1.00, and the following brackets apply from January 1, 2026.
Tax base value for 2026 | Rate |
Up to $62,900 | 0.5% |
$62,900 to $315,000 | 1% |
$315,000 to $552,300 | 1.5% |
$552,300 to $1,104,700 | 2% |
$1,104,700 to $2,136,500 | 2.5% |
$2,136,500 to $3,113,000 | 3.5% |
Higher than $3,113,000 | 4% |
The bill is usually sent after the property transfer is processed. In Montréal, property transfer duties are payable in one instalment within 30 days of the billing date.
Montréal’s Higher Luxury-Property Brackets
One important difference in Montréal is that the city applies higher rates to more expensive properties. For 2026, the standard brackets increase up to 4% for the highest-value properties.
The higher Montréal brackets are:
- 2.5% on the portion above $1,104,700
- 3.5% on the portion above $2,136,500
- 4% on the portion above $3,113,000
Montréal Calculation Example
Here is an example using a $700,000 tax base in Montréal.
Portion of tax base | Rate | Estimated tax |
$62,900 | 0.5% | $314.50 |
$252,100 | 1% | $2,521.00 |
$237,300 | 1.5% | $3,559.50 |
$147,700 | 2% | $2,954.00 |
Estimated total | $9,349.00 |
For a $700,000 tax base, the estimated Montréal welcome tax is $9,349.
If you are planning to buy in Montréal and want to understand how this affects your full purchase budget, speak on of our mortgage broker in Montreal. You can also review the official City of Montréal page on how property transfer duties are calculated.
Kirkland Welcome Tax Rates
For 2026, Kirkland’s comparative factor is 1.00. The duties are payable in one instalment within 30 days from the mailing date of the tax bill.
|
Kirkland tax base for 2026 |
Rate |
|
Up to $62,900 |
0.5% |
|
$62,900 to $315,000 |
1% |
|
$315,000 to $500,000 |
1.5% |
|
$500,000 to $1,000,000 |
2% |
|
Higher than $1,000,000 |
2.5% |
Here is an example using a $1,100,000 basis of imposition in Kirkland:
|
Portion of tax base |
Rate |
Estimated tax |
|
$62,900 |
0.5% |
$314.50 |
|
$252,100 |
1% |
$2,521.00 |
|
$185,000 |
1.5% |
$2,775.00 |
|
$500,000 |
2% |
$10,000.00 |
|
$100,000 |
2.5% |
$2,500.00 |
|
Estimated total |
$18,110.50 |
For a $1,100,000 tax base, the estimated Kirkland welcome tax is $18,110.50.
If you are planning to buy in Kirkland, working with a mortgage broker in Kirkland can help you get the best mortgage rates. You can also review the official Ville de Kirkland page on duties on transfers of immovables.
LaSalle Welcome Tax Rates
LaSalle is a borough of Montréal. This means buyers purchasing a property in LaSalle should use Montréal’s transfer duty rules and 2026 bracket table.
For 2026, LaSalle buyers should use the Montréal bracket structure:
LaSalle / Montréal tax base for 2026 | Rate |
Up to $62,900 | 0.5% |
$62,900 to $315,000 | 1% |
$315,000 to $552,300 | 1.5% |
$552,300 to $1,104,700 | 2% |
$1,104,700 to $2,136,500 | 2.5% |
$2,136,500 to $3,113,000 | 3.5% |
Higher than $3,113,000 | 4% |
Because LaSalle follows Montréal rules, high-value properties in LaSalle can also be affected by Montréal’s higher luxury-property brackets.
If you are buying in LaSalle, a mortgage broker in LaSalle can help you understand how the welcome tax fits into your full buying budget. You can also review the official Ville de Montréal page on how property transfer duties are calculated.
Vaudreuil-Dorion Welcome Tax Rates
For 2026, Vaudreuil-Dorion’s comparative factor is 1.04. If the municipality calculates the tax based on market value, the value on the assessment roll is multiplied by the comparative factor for the fiscal year.
Vaudreuil-Dorion tax base for 2026 | Rate |
Up to $62,900 | 0.5% |
$62,900 to $315,000 | 1% |
$315,000 to $619,300 | 1.5% |
Higher than $619,300 | 3% |
The city also notes that an additional fee of $200 is imposed on exempt real estate transactions.
For payment, Vaudreuil-Dorion recommends online payment through a financial institution. Buyers should use the “Matricule” number shown on the property transfer duties account and allow enough time for the city to receive the payment. Payment can also be made at a financial institution, by mail, or at City Hall by cash, cheque, or debit card. Credit cards are not accepted.
If you are buying in Vaudreuil-Dorion, a mortgage broker in Vaudreuil-Dorion can help you estimate your closing costs and compare mortgage options before making an offer. You can also review the official Ville de Vaudreuil-Dorion page on taxation and transfer duties.
Where to Find Welcome Tax Rates for Other Quebec Cities
Because the welcome tax is collected by municipalities, buyers should always verify the current rates directly on the official website of the city where the property is located. Some cities use only the standard Quebec transfer duty brackets, while others add higher brackets for more expensive properties.
Below are official municipal pages where buyers can check current welcome tax rates, payment deadlines, exemptions, and calculators where available.
City | Official page | What to check |
Montréal | Current brackets, higher-value brackets, comparative factor, calculation method | |
Montréal | Payment deadline, billing process, exemptions, new homeowner information | |
Laval | Current brackets, calculation method, payment details | |
Longueuil | Current brackets, tax base, payment rules | |
Brossard | Current brackets, online calculator, tax base | |
Québec City | Payment options, current rules, billing information | |
Québec City | Higher-value brackets and official regulation | |
Gatineau | Tax base, assessment value, calculation rules | |
Sherbrooke | Current brackets, calculator, payment methods | |
Terrebonne | Taxes, assessment roll, municipal contact information | |
Kirkland | Current brackets, comparative factor, payment deadline | |
Vaudreuil-Dorion | Current brackets, payment deadline, payment methods, comparative factor |
Common Welcome Tax Situations to Understand
The welcome tax can apply in many different buying situations, but the rules are not always the same for every buyer. Some situations may qualify for a refund, some may qualify for an exemption, and others may require extra review from a notary or tax professional.
First-Time Buyer
First-time buyers usually still have to pay the welcome tax when they purchase a property in Quebec. Being a first-time buyer does not automatically exempt someone from municipal transfer duties.
However, starting in 2026, eligible first-time buyers may qualify for the refundable tax credit for access to homeownership. This credit can refund part or all of the transfer duties paid to the municipality, depending on the amount paid and the property’s tax base.
First-time buyers may also qualify for other home buyer tax credits, such as the Quebec Home Buyers’ Tax Credit or the federal Home Buyers’ Amount. These are separate from the welcome tax and should not be confused with a municipal exemption.
Buying With a Spouse
When a property is purchased with a spouse, both buyers may be responsible for the welcome tax as new owners of the property. The municipality calculates the transfer duty based on the property transfer, not simply based on one buyer’s personal situation.
If both spouses qualify for the 2026 refundable tax credit, the total claim is still limited to the maximum amount for one qualifying home. In other words, two buyers cannot each claim the full maximum refund on the same property purchase.
Buyers purchasing with a spouse should also verify whether both people meet the first-time buyer and principal residence conditions before assuming the credit applies.
Buying From a Parent
Some transfers between family members may qualify for a welcome tax exemption, but this depends on the legal relationship and the details of the transaction.
For example, certain transfers between direct relatives may be treated differently than a standard sale between unrelated buyers. However, the exemption is not automatic just because the seller is a parent or family member. The notary must review the transaction and confirm whether the legal conditions are met.
If the transfer does not meet the exemption rules, the municipality may still charge the welcome tax.
Inheriting a Property
Some transfers that happen through a succession or inheritance may be exempt from the welcome tax. This can apply when ownership is transferred because of a death rather than a standard purchase.
However, the buyer or heir must usually be able to provide documents that support the exemption. The municipality may need proof of the succession, the relationship between the parties, and the legal reason for the transfer.
Because inheritance situations can be technical, it is important to confirm the details with a notary before assuming no welcome tax will apply.
Buying Through a Company
Buying a property through a company can make the welcome tax rules more technical. Some corporate transfers may qualify for specific exemptions, but these rules are complex and depend on the ownership structure, relationship between the parties, and purpose of the transfer.
A buyer should not assume that purchasing through a company will avoid the welcome tax. Municipalities can review these transactions, and an exemption may be denied if the legal conditions are not met.
Before buying through a company, buyers should verify the situation with a notary, lawyer, or tax professional.
Beware of Risky Legal Schemes to Avoid the Welcome Tax
Some buyers look for ways to avoid or reduce the welcome tax, but not every strategy is legal, safe, or accepted by the municipality. A transfer that appears to qualify for an exemption can still be reviewed, questioned, or refused if the legal conditions are not met.
The goal should be to understand the rules, plan ahead, and use legitimate exemptions where they apply — not to create a structure that could be challenged later.
Artificially Lowering the Declared Sale Price
One risky approach is artificially lowering the declared sale price.
The welcome tax is not necessarily based only on the amount written in the sale agreement. Municipalities can use the highest applicable value, such as:
- The amount paid for the property transfer
- The amount stated in the deed of sale
- The property’s market value or adjusted municipal value
This means lowering the declared price may not reduce the welcome tax. It can also create legal, tax, and financing problems.
Using a Company Just to Avoid the Tax
Buying through a company does not automatically remove the welcome tax.
Some corporate transfers may qualify for specific exemptions, but the rules are technical. The municipality may review the transaction and refuse the exemption if the structure does not meet the legal requirements.
A company should not be used only as a way to avoid municipal transfer duties without proper legal and tax advice.
Using a Trust Without Proper Legal Structure
Trusts can also create problems if they are not set up correctly.
A trust may be useful in some estate planning or ownership situations, but it does not automatically create a welcome tax exemption. If the trust structure is incomplete, unclear, or mainly created to avoid transfer duties, the municipality may contest it.
Buyers should get legal advice before using a trust in a property transaction.
Fake Family Transfers
Some transfers between family members may qualify for an exemption, but the exemption depends on the legal relationship and the details of the transaction.
A transfer should not be presented as a family transfer if it does not truly meet the legal conditions. The municipality may request supporting documents and review whether the exemption actually applies.
For example, buying from a parent, spouse, or relative does not automatically mean there is no welcome tax.
Buying Through Another Person
Using another person as the buyer can create serious issues.
For example, some buyers may think about using a parent, spouse, friend, or company to purchase the property in order to reduce or avoid the welcome tax. This can create ownership, financing, tax, and legal problems.
The person listed on title is usually the legal owner. That can affect mortgage approval, future resale, tax reporting, and control over the property.
Misrepresenting First-Time Buyer Status
In 2026, eligible first-time buyers may qualify for a refundable tax credit for access to homeownership. However, the buyer must actually meet the eligibility rules.
A buyer should not claim first-time buyer status if they or their spouse do not qualify. If the claim is incorrect, the credit may be refused or recovered later.
Misrepresenting Principal Residence Status
The refundable tax credit is generally connected to the purchase of a qualifying home that will be used as the buyer’s principal residence.
A buyer should not claim that the property is their principal residence if it is actually being purchased as a rental property, investment property, secondary residence, or short-term-use property.
Incorrectly claiming principal residence status can create tax problems and may affect eligibility for the credit.
Not Disclosing a Loss of Exemption
Some exemptions or credits depend on specific conditions being met.
If the buyer’s situation changes, or if they no longer meet the conditions, there may be disclosure requirements or tax consequences. Not disclosing the loss of an exemption when required can create additional problems.
Speak With a Professional Before Relying on an Exemption
Before relying on any welcome tax exemption, company structure, trust, family transfer, or refundable tax credit claim, buyers should speak with a notary, lawyer, tax professional, or mortgage broker.
The safest approach is to confirm the rules before the transaction is completed, keep the right documents, and make sure the exemption or credit is being used legally.
Looking for the Best Mortgage Rates in Montréal?
The welcome tax is only one part of buying a home in Quebec. Your mortgage rate can have a much bigger impact on your monthly payment and long-term cost.
Hypothèque Rapide can help you compare mortgage options through a network of 30+ lenders to find competitive mortgage rates in Montréal. If you are buying a home, refinancing, or renewing your mortgage, our brokers can help you review your options and understand your full budget, including the welcome tax and other closing costs.
Contact Hypothèque Rapide to compare mortgage rates in Montréal and find the option that fits your situation.
Mathieu Lebrun’s Team
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