CRA (canada.ca) · 2026
Capital gains tax on property in Quebec
Canada has no separate capital gains tax. One-half of the gain is added to your income for the year and taxed at your federal and Quebec marginal rates. That is why the province you live in changes the answer.
The Quebec figures, with their sources
- One-half of a capital gain is taxable in Canada, so a $100,000 gain on a property in Quebec adds $50,000 to income for the year.Source: CRA, Calculating and reporting your capital gains and losses.
- The top Quebec marginal rate for 2026 is 25.75%, charged on income over $132,245.Source: Canada Revenue Agency (canada.ca), current year tax rates and income brackets.
- On a $100,000 gain with $100,000 of other income, the estimated tax in Quebec is $21,949, which is 21.9% of the gain.Source: PropertyGainsTax, how the estimate is calculated.
- Quebec residents receive a refundable abatement of 16.5% of basic federal tax, which this estimate applies.Source: CRA, Line 44000.
A worked example for Quebec
A property bought for $300,000 and sold for $400,000 produces a gain of $100,000. One-half of that, $50,000, is added to income. For someone with $100,000 of other income living in Quebec, the estimated tax is $21,949, which is 21.9% of the gain. This is an estimate for general information, not tax advice.
Work out your own figures in the Canada calculator
Quebec tax brackets for 2026
| Taxable income | Quebec rate |
|---|---|
| $0 to $54,345 | 14.00% |
| $54,345 to $108,680 | 19.00% |
| $108,680 to $132,245 | 24.00% |
| over $132,245 | 25.75% |
Federal brackets, charged on top
| Taxable income | Federal rate |
|---|---|
| $0 to $58,523 | 14.00% |
| $58,523 to $117,045 | 20.50% |
| $117,045 to $181,440 | 26.00% |
| $181,440 to $258,482 | 29.00% |
| over $258,482 | 33.00% |
Quebec residents receive an abatement of 16.5% against federal tax, because Quebec administers its own income tax. The estimate above applies it.
Common questions
Common questions
How much capital gains tax will I pay on a property in Quebec?
It depends on the gain and on your other income, because Canada has no separate capital gains tax. One-half of the gain is added to your income and taxed at your federal and Quebec marginal rates. On a $100,000 gain with $100,000 of other income, the estimated tax is $21,949, which is 21.9% of the gain. Enter your own figures in the Canada calculator to see the estimate for your sale.
What are the Quebec tax brackets used in this estimate?
Quebec charges 14.00% on income $0 to $54,345, 19.00% on income $54,345 to $108,680, 24.00% on income $108,680 to $132,245, 25.75% on income over $132,245. These are the 2026 brackets, taken from the published rates and last checked on 6 September 2026. Federal tax is charged on top.
Do I pay capital gains tax when I sell my home in Quebec?
Usually not. Where the property was your principal residence for every year you owned it, the gain is exempt, though the sale must still be reported on Schedule 3 and designated on Form T2091(IND). The exemption is federal, so it works the same way in every province and territory.
Why is federal tax lower in Quebec?
Quebec residents receive an abatement of 16.5% against federal tax, because Quebec administers its own income tax. The estimate on this page applies that abatement, which is why the federal share is smaller here than in any other province.
Every province and territory
- Capital gains tax in Alberta
- Capital gains tax in British Columbia
- Capital gains tax in Manitoba
- Capital gains tax in New Brunswick
- Capital gains tax in Newfoundland and Labrador
- Capital gains tax in Northwest Territories
- Capital gains tax in Nova Scotia
- Capital gains tax in Nunavut
- Capital gains tax in Ontario
- Capital gains tax in Prince Edward Island
- Capital gains tax in Saskatchewan
- Capital gains tax in Yukon
Sources
- Calculating and reporting your capital gains and losses (inclusion rate)
- Prime Minister cancels proposed capital gains tax increase, 21 March 2025
- Current year tax rates and income brackets, 2026 (federal and provincial)
- Revenu Québec, income tax rates for 2026
- Principal residence and other real estate (designation, half-hectare limit, flipping rule)
- Income Tax Folio S1-F3-C2, Principal Residence (exemption formula, paragraph 2.20)
Rates last checked against Canada Revenue Agency (canada.ca) on 6 September 2026. Estimates for general information only, not tax advice. A qualified adviser should be used for a decision.