The Quebec tax credit for buying a first home will rise from $750 to $1,500, Treasury Secretary Eric Girard said, announcing a series of tax adjustments aimed at aligning with the last federal budget.
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Alongside this measure, which is expected to affect around 70,000 people a year who are buying a first home, Quebec will follow in the footsteps of the federal government, which has decided to tackle “home flips”.
So from 1ah As of January 1, 2023, those who buy and renovate a home with the intention of selling it for more in the following 12 months will see their profits taxed in Quebec like Ottawa.
This new rule, which “regulates the hasty resale of homes and buildings, is intended to discourage a form of speculation,” explained Minister Girard.
– Listen to Mario Dumont’s interview with Éric Girard on QUB radio:
Revenu Québec is also preparing the ground for the 2023 implementation of the new tax-free first home purchase (CELIAPP) savings account announced in the federal budget. Minister Girard, who last March opposed any measure likely to contribute to overheating, believes the timing is “more appropriate to introduce such a measure”.
“The market has changed a bit there. We had a market that was totally in turmoil and [en ce moment] we have a market that is slowing down,” he analyzed.
Mr Girard also announced various tax cuts on company payrolls to better address labor shortages.
Thanks to these adjustments, the Treasury Secretary estimates that more than 13,000 companies will now benefit from tax credits that help retain experienced workers and those with severe employment disabilities.
The VP for Quebec from the Canadian Federation of Independent Business, François Vincent is pleased. “We need to increase the number of these workers to address the labor shortage. […] We’re really happy today,” he responded.