The 2024 tax season is fast approaching, and it comes with its share of changes at Revenu Québec. Take the time to check the changes that could affect you directly via the My file portal for citizens, in anticipation of your tax return.
!Filing your tax return on time is crucial not only to avoid penalties and delays, but also to determine your eligibility for certain provincial credits and benefits based on declared income. So don’t let these opportunities pass you by!
For the year 2024, please note that the indexation rate of the personal income tax system has been revised to a rate of 5.08%. This applies in particular to the following aspects:
- Income thresholds;
- The amounts of personal tax credits;
- The amounts corresponding to the deduction codes;
- The threshold which makes it possible to determine the method to be used to calculate the withholding tax on a bonus or a retroactive payment;
- The maximum amount of the employment deduction;
- The maximum amount of exemption granted to an emergency services volunteer.
Here are now the main news for your 2024 taxes in Quebec.
Income thresholds and tax rates
The taxable salary levels as well as the tax rates have been indexed according to the cost of living. These have also been reduced for the first two income brackets as follows:
- 14% for the portion of the salary which amounts to $51,780 or less;
- 19% for the part of income between $51,780 and $103,545.
And the income thresholds have also been revised upwards for those in the last two levels:
- 24% for all amounts earned between $103,545 and $126,000;
- 25.75% for the portion of income greater than $126,000.
Don’t forget that these amounts are added to the tax that you will have to pay to the Canada Revenue Agency (CRA) for your 2024 income. You can also consult the new federal income brackets.
Personal tax credit amounts
The amounts granted for certain financial aid have been increased, including that of the tax credit called the basic personal amount. This is $18,056 for your 2024 tax return.
So, you will not have to pay a round of this amount, whether your income is equal to or less than this amount, or even if your annual salary exceeds this amount.
Here are the other amounts that have been revised upwards for the 2024 tax year:
Bonuses and retroactive payments
If your employment allowed you to obtain bonuses and retroactive payments in 2024, know that the threshold which allows you to determine the calculation method for tax withholding is $18,056.
You can consult examples chosen by Revenu Québec to make your own calculations.
To find out more about bonuses and retroactive payments
Deduction for worker
-For 2024, the maximum amount of this deduction for workersis $1,380, whereas it was $1,315 for the previous taxation year. If you want to do the calculation for your financial situation, the amount that you can deduct is equivalent to 6% of your eligible work income.
This applies to employment income, net income from a business that you operate alone or as an associate, the net amount of research grants as well as benefits from the Employee Protection Program and amounts received as part of a work incentive program.
Please note that certain income is not eligible for this assistance, including income composed solely of taxable benefits that you could have benefited from from a former job.
To find out more about the worker deduction
Deduction of additional contributions to the Quebec Pension Plan (QPP)
The amounts of all QPP contributions have been revised upwards for 2024. Here are some for comparison:
- maximum eligible earnings (salaries): $68,500
- maximum contributory earnings: $65,000
- maximum contribution and maximum employer contribution (per employee): $4,160
Since January 1, 2023, there is something new regarding the calculation of tax withholdings; it includes the maximum additional contributions that people who have earned more than $66,600 can pay to the Quebec Pension Plan (QPP).
To find out more about deductions for additional contributions to the Quebec Pension Plan (QPP)
Contributions to the Quebec Parental Insurance Plan (RQAP)
All people who benefited from the Quebec Parental Insurance Plan in 2024 are subject to these changes:
- maximum insurable income: $94,000 rather than $91,000 in 2023
- maximum employee contribution: $464.36, whereas this amount was $449.54 during the previous tax year
Emergency Services Volunteers
Note that for 2024, the maximum amount of the exemption granted to a volunteer participating in emergency services is $1,380.
Contributions to the Health Services Fund (FSS)
This contribution, which allows all taxpayers to benefit from health services in Quebec and participate in their financing, only concerns employers.
Companies can refer to the FSS contribution rates according to their total payroll for 2024. Note that this threshold allowing for a reduction in the rate has increased from $7.2 million to $7.5 million for taxes. to be produced this year.
To find out more about Contributions to the Health Services Fund (FSS)
