Estimation of the welcome tax (real estate transfer tax)
In Quebec (with the exception of the City of Montreal), the calculation of the transfer tax generally follows this structure:
0.5% on the portion of the purchase price not exceeding $52,800
1% on the portion between $52,800 and $264,000
1.5% on the portion exceeding $264,000
Municipalities, however, have the right to apply a rate higher than 1.5% for the portion exceeding $500,000. This rate can reach up to 3% — except in the City of Montreal, where higher rates may apply.
Therefore, for any purchase exceeding $500,000, it is recommended to check the rates in effect with your municipality.