Welcome Tax – taxe de bienvenue
Duties on transfers of immovables
Duties on transfers of immovables are amounts that are payable when the right of ownership on a property is transferred. The buyer is responsible for paying these duties. Where there is more than one buyer, they are joint and solidarily liable for payment of the transfer duties. All municipalities must collect duties on the transfer of any immovable situated within its territory. (Act respecting duties on transfers of immovables – R.S.Q., chapter D-15.1).
The “Welcome Tax” is a land transfer tax or in French, commonly referred to in Montreal as the “taxe de bienvenue”.
Since January 1, 1992, every Quebec municipality must collect duties on the transfer of any immovable situated within its territory. This tax is payable by the buyer and is calculated as follows:
- 0.5% of the first $50,000;
- 1% of the next $50,000 to $250,000;
- 1.5% of the next $250,000 to $500,000.
- 2% of any portion exceeding $500,000