School Taxes in Quebec: A Quick Overview
July is already coming to an end. Many families have moved, and this week we received some good news regarding the direction of interest rates. However, July is also the month when all homeowners receive their school tax bills for the coming year. These taxes fund an important part of the school network, including the maintenance of equipment, management of institutions, and nearly half the transportation costs for students.
How is the tax rate determined?
The school tax rate is calculated based on local needs and property values. The Ministry of Education annually assesses financial needs according to the number of students and their specific characteristics. The property wealth of taxpayers is also taken into account. Since April 2019, a single tax rate has been established, with an annual exemption of $25,000 on the taxable value of each home.
For the 2024-2025 school year, the tax rate is set at $0.09152 per $100 of property assessment. If the amount due is $300 or more, it can be divided into two payments, with the first due 31 days after the bill is issued. An interest rate of 10% applies to unpaid amounts.
What if you are a new homeowner and haven't received your tax bill?
Unlike the welcome tax, which is sent directly to the new owner, the school tax bill may be sent to the previous owner if you move in after the notices are issued. In this case, it is up to the new occupant to ensure the payment dates and amounts, as school service centers do not issue a second bill.
Conclusion
Buying a property is often the biggest investment of a lifetime. To plan well and minimize unexpected expenses, it is advisable to consult a real estate broker who can guide you through each step of the purchase.
As new homeowners, it is important to understand your tax obligations, including paying school taxes. If you have any questions or concerns, your real estate broker can offer the expertise needed to navigate these processes. For those residing in Saint-Lazare and Hudson, contact Gail Meili, a real estate broker in Saint-Lazare and Hudson, for personalized advice and tailored support in your real estate transactions. Do not hesitate to contact Gail Meili at gailmeili@icloud.com or by phone at 514 969-4134 for more information.
