Quebec Welcome Tax Calculator (2026)

The official name is “duties on transfers of immovables” (droits sur les mutations immobilières). These duties are set by the Act respecting duties on transfers of immovables (CQLR, chapter D-15.1) and are collected by the municipality where the property is located. They apply whenever ownership of real estate changes hands, whether it is a single-family home, a condo, a plex or a vacant lot. The nickname is said to come from Jean Bienvenue, the minister in office when the law was adopted in the 1970s.

The buyer pays, not the seller. The amount is not part of the purchase price and is generally not included in the mortgage, so you need to have it in cash, just like the notary’s fees, the inspection or moving costs. The municipality sends the bill after the deed is registered in the land register, often a few weeks or months after you take possession.

The calculation works in brackets, much like income tax. Each portion of the tax base is taxed at its own rate, and the results are added up. For 2026, the provincial brackets are:

Example: for a property bought for $350,000, you pay $314.50 on the first bracket, $2,521 on the second and $525 on the remaining $35,000, for a total of $3,360.50. The Quebec government’s website rounds this example to $3,361.

The bracket thresholds are indexed every year based on the consumer price index and published in the Gazette officielle du Québec. For 2026, the indexation rate is 2.3438%. The same price can therefore produce a slightly different amount from one year to the next.

The law uses the highest of three amounts: the consideration actually provided (the price paid), the consideration stated in the deed, and the market value of the property. To estimate market value, the municipality multiplies the value on the property assessment roll by the roll’s comparative factor, which brings the assessment in line with current market levels.

In most transactions the price paid exceeds the municipal assessment and becomes the tax base. But when a property is bought below its assessed value, for example a sale between relatives that does not qualify for an exemption or a discounted purchase, the municipality may calculate the duties on market value. That is why the calculator lets you add the assessment and the comparative factor.

The law allows a municipality to adopt a rate higher than 1.5% on the portion of the tax base above $500,000, up to a maximum of 3%. Several cities have done so; check the rate adopted by yours (the municipal taxation office or your notary can confirm it) and enter it in the “Other municipality” option.

Montreal has special rules and applies its own, higher brackets for more expensive properties. In 2026, Montreal’s rates rise to 2% above $552,300, 2.5% above $1,104,700, 3.5% above $2,136,500 and 4% above $3,113,000. For a $700,000 property, the duties reach $9,349 in Montreal, compared with $8,610.50 under the standard provincial brackets alone and $11,610.50 in a municipality charging 3% above $500,000.

Some transfers are exempt, including transfers between family members in the direct line (parents, children, grandchildren), between spouses and between certain in-laws, as well as some transfers of registered farmland or where the tax base is under $5,000. The conditions are precise, so have your notary confirm them. Even for an exempt transfer, the municipality may charge a substitute duty (droit supplétif), generally up to $200.

First-time buyers pay the duties like everyone else, but since 2026 Quebec refunds most of them through a refundable home-ownership tax credit: 100% of the first $5,000 of duties paid plus 25% of the next $3,500, up to $5,875. The credit is reduced by 2.35% of the tax base above $750,000 and reaches zero at $1,000,000. It applies to a home acquired on or after January 1, 2026 by someone who did not own a home they lived in during the period covering the previous four calendar years; an advance payment can be requested by December 1 of the year if the credit exceeds $1,000 (Revenu Québec, April 21, 2026). In Montreal, the municipal home-purchase assistance program stopped accepting new applications on July 7, 2026.

For a first home around $400,000, the welcome tax is about $4,000 under the provincial brackets. Add the notary’s fees, the pre-purchase inspection, municipal and school tax adjustments, home insurance and moving costs, and keep a buffer for surprises. Use our mortgage calculator to estimate your payments, then use this calculator to set aside the right amount from the start.