Revenu Québec Infos

As of the 2016 municipal taxation year, seniors who meet certain conditions may be eligible for a grant to help offset a municipal tax increase brought about by a significant increase in the value of their residence.

Eligibility requirements

Seniors can apply for the grant of if they meet all of the following conditions:

• Their residence is an entirely residential assessment unit consisting of only one dwelling, and it serves as their principal residence.
• They are responsible for the municipal tax bill for the residence, for the current year (for example, 2016).
• On December 31 of the previous taxation year, for example 2015, they, 
  • were resident in Québec,
  • were 65 or over,
  • had been the owner of their residence for at least 15 consecutive years (note that this period can include a period during which their spouse owned the residence before transferring ownership to them).
• Their family income for the previous taxation year was $50,000 or less. 

How to apply 

Eligible seniors can apply for the grant by:

• Completing form TP-1029.TM-V, Grant for Seniors to Offset a Municipal Tax Increase. (Note that seniors must know the potential amount of the grant as shown on their municipal tax bill for the current year or on the document issued by the municipality); 
• Entering the result from line 43 of form TP-1029.TM-V on line 462 of their income tax return for the previous taxation year;
• Filing form TP.1029.TM-V, duly completed, along with their return.

Share this information with your friends and family!

As of the 2016 municipal taxation year, seniors who meet certain conditions may be eligible for a grant to help offset a municipal tax increase brought about by a significant increase in the value of their residence.

Eligibility requirements

Seniors can apply for the grant of if they meet all of the following conditions:

• Their residence is an entirely residential assessment unit consisting of only one dwelling, and it serves as their principal residence.
• They are responsible for the municipal tax bill for the residence, for the current year (for example, 2016).
• On December 31 of the previous taxation year, for example 2015, they, 
  • were resident in Québec,
  • were 65 or over,
  • had been the owner of their residence for at least 15 consecutive years (note that this period can include a period during which their spouse owned the residence before transferring ownership to them).
• Their family income for the previous taxation year was $50,000 or less. 

How to apply 

Eligible seniors can apply for the grant by:

• Completing form TP-1029.TM-V, Grant for Seniors to Offset a Municipal Tax Increase. (Note that seniors must know the potential amount of the grant as shown on their municipal tax bill for the current year or on the document issued by the municipality); 
• Entering the result from line 43 of form TP-1029.TM-V on line 462 of their income tax return for the previous taxation year;
• Filing form TP.1029.TM-V, duly completed, along with their return.

Share this information with your friends and family!

As of the 2016 municipal taxation year, seniors who meet certain conditions may be eligible for a grant to help offset a municipal tax increase brought about by a significant increase in the value of their residence.

Eligibility requirements

Seniors can apply for the grant of if they meet all of the following conditions:

• Their residence is an entirely residential assessment unit consisting of only one dwelling, and it serves as their principal residence.
• They are responsible for the municipal tax bill for the residence, for the current year (for example, 2016).
• On December 31 of the previous taxation year, for example 2015, they, 
  • were resident in Québec,
  • were 65 or over,
  • had been the owner of their residence for at least 15 consecutive years (note that this period can include a period during which their spouse owned the residence before transferring ownership to them).
• Their family income for the previous taxation year was $50,000 or less. 

How to apply 

Eligible seniors can apply for the grant by:

• Completing form TP-1029.TM-V, Grant for Seniors to Offset a Municipal Tax Increase. (Note that seniors must know the potential amount of the grant as shown on their municipal tax bill for the current year or on the document issued by the municipality); 
• Entering the result from line 43 of form TP-1029.TM-V on line 462 of their income tax return for the previous taxation year;
• Filing form TP.1029.TM-V, duly completed, along with their return.

Share this information with your friends and family!

As of the 2016 municipal taxation year, seniors who meet certain conditions may be eligible for a grant to help offset a municipal tax increase brought about by a significant increase in the value of their residence. 

Eligibility requirements

Seniors can apply for the grant of if they meet all of the following conditions: 

• Their residence is an entirely residential assessment unit consisting of only one dwelling, and it serves as their principal residence.
• They are responsible for the municipal tax bill for the residence, for the current year (for example, 2016).
• On December 31 of the previous taxation year, for example 2015, they, 
  • were resident in Québec,
  • were 65 or over,
  • had been the owner of their residence for at least 15 consecutive years (note that this period can include a period during which their spouse owned the residence before transferring ownership to them).
• Their family income for the previous taxation year was $50,000 or less. 

How to apply 

Eligible seniors can apply for the grant by:

• Completing form TP-1029.TM-V, Grant for Seniors to Offset a Municipal Tax Increase. (Note that seniors must know the potential amount of the grant as shown on their municipal tax bill for the current year or on the document issued by the municipality); 
• Entering the result from line 43 of form TP-1029.TM-V on line 462 of their income tax return for the previous taxation year;
• Filing form TP.1029.TM-V, duly completed, along with their return.

Share this information with your friends and family!

You are not required to withhold income tax on employment income from an international organization, from the government of a foreign country or from an office of a political division of a foreign state if the income is non-taxable or exempt from income tax under a regulation.

The tax holiday for large investment projects has been improved. In summary:

• the time limit for filing an application for an initial certificate has been extended to November 20, 2017;
• the capital investment threshold has been reduced to $100 million ($75 million if the investment is carried out in an eligible region);
• the investment period has been extended and is now 60 months; and
• the tax holiday period has been extended and is now 15 years.

The tax holiday consists of a deduction in the calculation of taxable income, in the case of a corporation, and an exemption from the contribution to the health services fund with regard to eligible activities relating to a large investment project, in the case of a corporation or a partnership. 

For more information about the exemption from the contribution to the health services fund, see Large Investment Project.

For more information on the tax holiday for large investment projects, consult the website of the Ministère des Finances.

Beginning in 2016, new employers will be able to make their remittances on a quarterly basis from the month in which they become new employers, provided:

• the total of their source deductions and employer contributions for each month is less than $1,000; and
• they fulfill all their fiscal obligations.

An employer will be able to make quarterly remittances of source deductions and employer contributions as long as the employer meets the above conditions. Otherwise, we consider that remittances will have to be made according to the rules regarding the frequency of remittances that are in effect.

Beginning in 2016, new employers will be able to make their remittances on a quarterly basis from the month in which they become new employers, provided:

• the total of their source deductions and employer contributions for each month is less than $1,000; and
• they fulfill all their fiscal obligations.

An employer will be able to make quarterly remittances of source deductions and employer contributions as long as the employer meets the above conditions. Otherwise, we consider that remittances will have to be made according to the rules regarding the frequency of remittances that are in effect.

Beginning in 2016, new employers will be able to make their remittances on a quarterly basis from the month in which they become new employers, provided:

• the total of their source deductions and employer contributions for each month is less than $1,000; and
• they fulfill all their fiscal obligations.

An employer will be able to make quarterly remittances of source deductions and employer contributions as long as the employer meets the above conditions. Otherwise, we consider that remittances will have to be made according to the rules regarding the frequency of remittances that are in effect.

Beginning in 2016, new employers will be able to make their remittances on a quarterly basis from the month in which they become new employers, provided:

• the total of their source deductions and employer contributions for each month is less than $1,000; and
• they fulfill all their fiscal obligations.

An employer will be able to make quarterly remittances of source deductions and employer contributions as long as the employer meets the above conditions. Otherwise, we consider that remittances will have to be made according to the rules regarding the frequency of remittances that are in effect.

Beginning in 2016, new employers will be able to make their remittances on a quarterly basis from the month in which they become new employers, provided:

• the total of their source deductions and employer contributions for each month is less than $1,000; and
• they fulfill all their fiscal obligations.

An employer will be able to make quarterly remittances of source deductions and employer contributions as long as the employer meets the above conditions. Otherwise, we consider that remittances will have to be made according to the rules regarding the frequency of remittances that are in effect.

Allowance for the use of a motor vehicle

For 2015, the per-kilometre rate for the use of a motor vehicle that you pay an employee and that we consider reasonable has increased from $0.54 to $0.55 for the first 5,000 kilometres and from $0.48 to $0.49 for each additional kilometre.

Operating-costs benefit related to an automobile made available to an employee

For 2015, the per-kilometre rate used to calculate the operating-costs benefit related to an automobile made available to an employee is $0.27. For employees engaged principally in selling or leasing automobiles, the per-kilometre rate is $0.24.

Changes to the Summary of Source Deductions and Employer Contributions (form RLZ-1.S-V)Reduction of the contribution to the health services fund for small and medium-sized businesses in the primary and manufacturing sectors 

For 2015 and subsequent years, if your total payroll for the year is less than $5 million and more than 50% of that payroll is attributable to activities in the primary and manufacturing sectors (agriculture, forestry, fishing and hunting sector, the mining, quarrying and oil and gas extraction sector, or the manufacturing sector), you can claim a reduction in the contribution to the health services fund.

For more information, see NAICS Code for Small and Medium-Sized Businesses in the Primary and Manufacturing Sectors (line 29).

Increase in the threshold for mandatory participation in workforce skills development (line 50) 

For 2015 and subsequent years, only employers whose total payroll for a year exceeds $2 million will be required to participate in workforce skills development for the year.

Allowance for the use of a motor vehicle

For 2015, the per-kilometre rate for the use of a motor vehicle that you pay an employee and that we consider reasonable has increased from $0.54 to $0.55 for the first 5,000 kilometres and from $0.48 to $0.49 for each additional kilometre.

Operating-costs benefit related to an automobile made available to an employee

For 2015, the per-kilometre rate used to calculate the operating-costs benefit related to an automobile made available to an employee is $0.27. For employees engaged principally in selling or leasing automobiles, the per-kilometre rate is $0.24.

Changes to the Summary of Source Deductions and Employer Contributions (form RLZ-1.S-V)Reduction of the contribution to the health services fund for small and medium-sized businesses in the primary and manufacturing sectors 

For 2015 and subsequent years, if your total payroll for the year is less than $5 million and more than 50% of that payroll is attributable to activities in the primary and manufacturing sectors (agriculture, forestry, fishing and hunting sector, the mining, quarrying and oil and gas extraction sector, or the manufacturing sector), you can claim a reduction in the contribution to the health services fund.

For more information, see NAICS Code for Small and Medium-Sized Businesses in the Primary and Manufacturing Sectors (line 29).

Increase in the threshold for mandatory participation in workforce skills development (line 50) 

For 2015 and subsequent years, only employers whose total payroll for a year exceeds $2 million will be required to participate in workforce skills development for the year.

Allowance for the use of a motor vehicle

For 2015, the per-kilometre rate for the use of a motor vehicle that you pay an employee and that we consider reasonable has increased from $0.54 to $0.55 for the first 5,000 kilometres and from $0.48 to $0.49 for each additional kilometre.

Operating-costs benefit related to an automobile made available to an employee

For 2015, the per-kilometre rate used to calculate the operating-costs benefit related to an automobile made available to an employee is $0.27. For employees engaged principally in selling or leasing automobiles, the per-kilometre rate is $0.24.

Changes to the Summary of Source Deductions and Employer Contributions (form RLZ-1.S-V)Reduction of the contribution to the health services fund for small and medium-sized businesses in the primary and manufacturing sectors 

For 2015 and subsequent years, if your total payroll for the year is less than $5 million and more than 50% of that payroll is attributable to activities in the primary and manufacturing sectors (agriculture, forestry, fishing and hunting sector, the mining, quarrying and oil and gas extraction sector, or the manufacturing sector), you can claim a reduction in the contribution to the health services fund.

For more information, see NAICS Code for Small and Medium-Sized Businesses in the Primary and Manufacturing Sectors (line 29).

Increase in the threshold for mandatory participation in workforce skills development (line 50) 

For 2015 and subsequent years, only employers whose total payroll for a year exceeds $2 million will be required to participate in workforce skills development for the year.

Allowance for the use of a motor vehicle

For 2015, the per-kilometre rate for the use of a motor vehicle that you pay an employee and that we consider reasonable has increased from $0.54 to $0.55 for the first 5,000 kilometres and from $0.48 to $0.49 for each additional kilometre.

Operating-costs benefit related to an automobile made available to an employee

For 2015, the per-kilometre rate used to calculate the operating-costs benefit related to an automobile made available to an employee is $0.27. For employees engaged principally in selling or leasing automobiles, the per-kilometre rate is $0.24.

Changes to the Summary of Source Deductions and Employer Contributions (form RLZ-1.S-V)Reduction of the contribution to the health services fund for small and medium-sized businesses in the primary and manufacturing sectors 

For 2015 and subsequent years, if your total payroll for the year is less than $5 million and more than 50% of that payroll is attributable to activities in the primary and manufacturing sectors (agriculture, forestry, fishing and hunting sector, the mining, quarrying and oil and gas extraction sector, or the manufacturing sector), you can claim a reduction in the contribution to the health services fund.

For more information, see NAICS Code for Small and Medium-Sized Businesses in the Primary and Manufacturing Sectors (line 29).

Increase in the threshold for mandatory participation in workforce skills development (line 50) 

For 2015 and subsequent years, only employers whose total payroll for a year exceeds $2 million will be required to participate in workforce skills development for the year.

Allowance for the use of a motor vehicle

For 2015, the per-kilometre rate for the use of a motor vehicle that you pay an employee and that we consider reasonable has increased from $0.54 to $0.55 for the first 5,000 kilometres and from $0.48 to $0.49 for each additional kilometre. 

Operating-costs benefit related to an automobile made available to an employee

For 2015, the per-kilometre rate used to calculate the operating-costs benefit related to an automobile made available to an employee is $0.27. For employees engaged principally in selling or leasing automobiles, the per-kilometre rate is $0.24.

Changes to the Summary of Source Deductions and Employer Contributions (form RLZ-1.S-V) Reduction of the contribution to the health services fund for small and medium-sized businesses in the primary and manufacturing sectors 

For 2015 and subsequent years, if your total payroll for the year is less than $5 million and more than 50% of that payroll is attributable to activities in the primary and manufacturing sectors (agriculture, forestry, fishing and hunting sector, the mining, quarrying and oil and gas extraction sector, or the manufacturing sector), you can claim a reduction in the contribution to the health services fund.

For more information, see NAICS Code for Small and Medium-Sized Businesses in the Primary and Manufacturing Sectors (line 29).

Increase in the threshold for mandatory participation in workforce skills development (line 50) 

For 2015 and subsequent years, only employers whose total payroll for a year exceeds $2 million will be required to participate in workforce skills development for the year.

The RL-31 slip will have to be filed by any person or business that is the owner of a residential complex with one or more leased dwellings. Such property owners will have to provide a copy of the slip to any person that is the tenant or subtenant of a dwelling on December 31, 2015.

The RL-31 slip will serve to report information about the leased dwelling, the number of tenants and information about the tenants. It will have to be filed with us and distributed to tenants and subtenants by February 29, 2016.

To prepare and file the RL-31 slip, rental property owners will be able to use either:

• the Prepare the RL-31 Slip online service, with its simple authentication procedure; or
• software authorized by Revenu Québec to generate RL-31 slips. 

If neither of these methods is possible, owners will have to contact us.

For complete information on filing RL-31 slips, see the Guide to Filing the RL-31 Slip: Information About a Leased Dwelling (RL-31.G-V).

There will be changes to the solidarity tax credit in 2016. The changes come as a result of the review of the terms of application of the credit that was announced in the Budget Speech of March 26, 2015. 

The key changes are the following: 

Calculation of the tax credit

As of January 1, 2016, the amount of the credit will depend on the individual's situation on December 31 of each year. Accordingly, for the payment period beginning July 2016, the amount of the credit will be determined based on the individual's situation on December 31, 2015.

Change in the course of the year

Since the credit will be calculated based on an individual's situation on December 31, it will no longer be necessary to notify us of a change in situation in the course of the year, except in the following cases: 

• The individual dies. 
• The individual is confined to a prison or similar establishment.
• The individual ceases to be resident in Québec. 

Individuals who are in any of these situations immediately before the beginning of a given month will not be entitled to receive the credit payment for that month.

Payment frequency

As of the payment period beginning in July 2016, the frequency of solidarity tax credit payments will vary based on the amount of the credit determined for the year. 

Payment frequency Annual amount determined Monthly $800 or more Quarterly (July, October, January and April) More than $240 but less than $800 Annual (July) $240 or less

Note that payments are always made in the first five days of the month.

Proof of eligibility regarding housing Tenants

Tenants and subtenants of eligible dwellings (This link will open a new window) will receive RL-31 slips from the owners of their dwellings by February 29, 2016. They will have to use the information provided on the slips to claim the solidarity tax credit on their income tax return.

Owners

To claim the solidarity tax credit on their income tax return, owners will have to provide the roll number or identification number shown on their municipal tax bills.  

More information on this subject will soon be available on our website. 

Like sales of property or services, barter transactions are generally taxable supplies under the GST and QST systems. However, they may also be exempt supplies or zero-rated supplies, depending on the property or services supplied.

To determine whether a person is a small supplier or is required to register for the GST and the QST, add the value of the property or service supplied in the barter transaction to the total sales of property and services.

Value of the property or service supplied in a barter transaction

Generally speaking, the value of the property or service supplied in a barter transaction corresponds to the fair market value (FMV) of the property or service exchanged.

However, where two registrants exchange property of the same class or type, the value of the consideration for the property is considered nil if

• the property is acquired by the recipient as inventory to be used or consumed in the course of the recipient's commercial activities; and
• the consideration is acquired by the supplier as inventory to be used or consumed in the course of the supplier's commercial activities.

Designation of a barter exchange network

Under the GST and QST systems, special rules apply to transactions carried out between members of a designated barter exchange network using barter units.

The members of a designated barter exchange network are not required to pay GST and QST in respect of the barter units accepted in exchange for property or services. The members, if they are registrants, must charge GST and QST in respect of the taxable supplies of property or services they make in exchange for the barter units. The taxes in respect of such property or services are calculated on the exchange value of the barter units accepted as consideration.

Example

Mr. A and Ms. B are GST and QST registrants and members of a designated barter exchange network. Mr. A provides legal services to Ms. B in exchange for barter units having a value of $100. Mr. A will have to charge GST and QST in respect of the services he provided. Those taxes will be calculated on $100. Ms. B will not have to charge GST and QST in respect of the barter units given in exchange for the legal services.

Note that if the barter exchange network is not designated, GST and QST generally have to be paid in respect of the barter units accepted by a registrant in exchange for property or services.

Application for designation of a barter exchange network

The administrator of a barter exchange network may apply to have the network designated for GST and QST purposes by sending Revenu Québec a letter that is signed by the administrator or an authorized individual and contains the following information:

• the name of the barter exchange network;
• the name, address, telephone number and trade name of the administrator of the barter exchange network as well as the numbers used by Revenu Québec to identify the administrator;
• the effective date requested;
• a copy of the membership agreement of the barter exchange network describing the responsibilities of the members and of the administrator;
• a statement from the applicant indicating that the applicant meets the definition of "administrator" of a barter exchange network given in the Excise Tax Act and the Act respecting the Québec sales tax; and
• a statement from the applicant, signed by the administrator of the network or by an individual authorized to sign on behalf of the administrator, certifying that the information provided in the application and in any document enclosed therewith is true, accurate and complete.

The letter must be sent to:

Direction principale des lois sur les taxes et l'administration fiscale et des affaires autochtones
Revenu Québec 
3800, rue de Marly, secteur 5-2-2
Québec (Québec)  G1X 4A5

Revenu Québec will notify the administrator of the network in writing of the designation and its effective date.

Like sales of property or services, barter transactions are generally taxable supplies under the GST and QST systems. However, they may also be exempt supplies or zero-rated supplies, depending on the property or services supplied.

To determine whether a person is a small supplier or is required to register for the GST and the QST, add the value of the property or service supplied in the barter transaction to the total sales of property and services.

Value of the property or service supplied in a barter transaction

Generally speaking, the value of the property or service supplied in a barter transaction corresponds to the fair market value (FMV) of the property or service exchanged.

However, where two registrants exchange property of the same class or type, the value of the consideration for the property is considered nil if

• the property is acquired by the recipient as inventory to be used or consumed in the course of the recipient's commercial activities; and
• the consideration is acquired by the supplier as inventory to be used or consumed in the course of the supplier's commercial activities.

Designation of a barter exchange network

Under the GST and QST systems, special rules apply to transactions carried out between members of a designated barter exchange network using barter units.

The members of a designated barter exchange network are not required to pay GST and QST in respect of the barter units accepted in exchange for property or services. The members, if they are registrants, must charge GST and QST in respect of the taxable supplies of property or services they make in exchange for the barter units. The taxes in respect of such property or services are calculated on the exchange value of the barter units accepted as consideration.

Example

Mr. A and Ms. B are GST and QST registrants and members of a designated barter exchange network. Mr. A provides legal services to Ms. B in exchange for barter units having a value of $100. Mr. A will have to charge GST and QST in respect of the services he provided. Those taxes will be calculated on $100. Ms. B will not have to charge GST and QST in respect of the barter units given in exchange for the legal services.

Note that if the barter exchange network is not designated, GST and QST generally have to be paid in respect of the barter units accepted by a registrant in exchange for property or services.

Application for designation of a barter exchange network

The administrator of a barter exchange network may apply to have the network designated for GST and QST purposes by sending Revenu Québec a letter that is signed by the administrator or an authorized individual and contains the following information:

• the name of the barter exchange network;
• the name, address, telephone number and trade name of the administrator of the barter exchange network as well as the numbers used by Revenu Québec to identify the administrator;
• the effective date requested;
• a copy of the membership agreement of the barter exchange network describing the responsibilities of the members and of the administrator;
• a statement from the applicant indicating that the applicant meets the definition of "administrator" of a barter exchange network given in the Excise Tax Act and the Act respecting the Québec sales tax; and
• a statement from the applicant, signed by the administrator of the network or by an individual authorized to sign on behalf of the administrator, certifying that the information provided in the application and in any document enclosed therewith is true, accurate and complete.

The letter must be sent to:

Direction principale des lois sur les taxes et l'administration fiscale et des affaires autochtones
Revenu Québec 
3800, rue de Marly, secteur 5-2-2
Québec (Québec)  G1X 4A5

Revenu Québec will notify the administrator of the network in writing of the designation and its effective date.