The tax credit in Quebec for the purchase of a first home will increase from $750 to $1,500, said Finance Minister Eric Girard, announcing a series of tax adjustments aimed at harmonizing the last federal budget.
In addition to this measure, which was to affect approximately 70,000 people per year who buy a first home, Quebec will follow in the footsteps of the federal government, which has decided to tackle “real estate flips”.
Thus, as of January 1, 2023, those who buy and renovate a house to resell it for more in the following 12 months will see their profit taxed in Quebec, as in Ottawa.
Revenu Québec will also begin to prepare the ground for the coming into force, in 2023, of the new tax-free savings account for the purchase of a first home (CELIAPP) announced in the federal budget.
Labor shortage
Mr. Girard also announced various reductions to better counter the labor shortage.
Thanks to the adjustments made, the Minister of Finance estimates that more than 13 000 businesses will now be able to benefit from the refundable tax credit promoting the retention of experienced workers and the refundable tax credit for persons with severe restrictions on employment.