The holiday season is about to get even merrier for family’s developments for Quebec! In an exciting announcement on November 7, 2019, the provincial government revealed its plan to share its budget surplus with its residents. So, what does this mean for Quebecers? Get ready for some major financial benefits! The government has committed to providing a minimum of $3.3 billion over the course of the next five years, ensuring a significant boost to the bank accounts of Quebec residents. Prepare for some serious cha-ching coming your way!
Developments for Quebec: Quebec’s Tax Changes: Understanding Who Benefits, How Much, and When
Have you heard the exciting news about tax changes in Quebec? We’re here to help you navigate through the details and understand how these changes will impact your taxes.
Bid farewell to expensive childcare!
The Quebec government has decided to bring back a popular policy from before 2015. Starting this year, there will be a single reduced rate for subsidized childcare services, which means significant savings for 140,000 families. On average, each family will save around $1,100 per year. But that’s not all! This reduction will be retroactively applied to the beginning of 2019, putting more money back into your pocket when you file your tax return.
Equal treatment for all.
The Family Allowance enhancement, originally set for 2022, is being implemented sooner. Beginning next year, approximately 679,000 families will receive an average additional amount of $779 per year. Currently, the minimum amount per child is $1,000, but this will increase to a maximum of $2,515 per child, up from $1,735. Moreover, benefits will now be equal for all children within the same family, eliminating the need for preferential treatment.
Support for disabled children.
Earlier this year, the Quebec government announced the addition of a second tier of assistance for disabled children requiring exceptional care. This means additional monthly payments of $652 for previously ineligible children and $978 for those qualifying under the first tier. It’s important to note that these payments will be separate from the tax return, so expect them to be handled differently.
Updates to the solidarity tax credit.
If you’re a low or middle-income family, listen up. The government has made changes to the solidarity tax credit process. Social assistance recipients who did not file their 2018 tax return in December 2018 no longer need to file a tax return to receive the credit. However, there are some conditions to consider. Each adult will receive a basic amount of $292 for the period from July 2019 to June 2020, which will be paid at the end of this period. Supplementary amounts, such as the additional amount for a person living alone, the housing component, and the component for individuals living in northern villages, will only be eligible if you file a tax return.
Stay informed about these tax changes to maximize your benefits and ensure you’re taking advantage of the available credits and exemptions.
