Welcome Tax in Montréal and Brossard in 2026: Rates, Examples and the First-Time Buyer Credit
2026 land transfer tax brackets for Montréal and Brossard, worked examples at $500,000 and $1M, the new first-time buyer credit and when you pay.
What is the welcome tax?
In Quebec, the land transfer tax is officially called the duties on transfers of immovables, but everyone calls it the welcome tax. Your municipality bills it to you, the buyer, every time a property changes hands. It is not part of the purchase price, it is not rolled into a standard mortgage, and the bill shows up a few weeks after you sign at the notary. That means it belongs in your budget from day one, right next to your down payment, notary fees and inspection.
The tax is calculated in progressive brackets, much like income tax: each slice of the price is taxed at its own rate. Quebec indexes the bracket thresholds every year, but some cities, including Montréal and Brossard, add higher rates for more expensive properties. That is why the same purchase price can produce two very different bills on either side of the river.
What amount is the tax based on?
The taxable base is the highest of three numbers: the price you paid (before GST and QST), the price stated in the deed of sale, and the municipal assessment multiplied by the city's comparative factor. For 2026, that factor is 1.00 in Montréal and 1.04 in Brossard. If you buy below the adjusted assessment, the assessment is what gets taxed.
Tip: before you make an offer, look up the municipal assessment and multiply it by the comparative factor. If the result is higher than your price, your bill will be based on that higher figure.
Montréal's 2026 brackets
Montréal uses its own upper brackets, which are steeper than the basic provincial schedule. For a transfer registered in 2026, the rates are: 0.5% up to $62,900; 1% from $62,900 to $315,000; 1.5% from $315,000 to $552,300; 2% from $552,300 to $1,104,700; 2.5% from $1,104,700 to $2,136,500; 3.5% from $2,136,500 to $3,113,000; and 4% above $3,113,000.
These brackets apply across every borough of the City of Montréal, whether you are buying a downtown condo, a unit in Griffintown or a house elsewhere within city limits. The reconstituted suburbs on the island set their own rules.
Brossard's 2026 brackets
Brossard uses Quebec's three basic brackets, then adds a higher rate on the portion above $500,000, as provincial law allows. In 2026: 0.5% up to $62,900; 1% from $62,900 to $315,000; 1.5% from $315,000 to $500,000; and 3% on everything above $500,000.
Bottom line: below $500,000, Brossard and Montréal produce the same bill. Above that, Brossard gets more expensive because its rate jumps straight to 3%, while Montréal climbs more gradually.
Worked examples: $500,000 and $1,000,000
A $500,000 purchase in Montréal: $314.50 on the first bracket, $2,521 on the second and $2,775 on the slice from $315,000 to $500,000, for a total of $5,610.50.
A $500,000 purchase in Brossard: the exact same math, so $5,610.50, since the higher rate only kicks in above $500,000.
A $1,000,000 purchase in Montréal: $314.50 + $2,521 + $3,559.50 (from $315,000 to $552,300) + $8,954 (from $552,300 to $1,000,000), for a total of $15,349.
A $1,000,000 purchase in Brossard: $314.50 + $2,521 + $2,775 + $15,000 (3% on the $500,000 above the threshold), for a total of $20,610.50. That is more than $5,000 above Montréal for the same price.
These examples assume the purchase price is the highest taxable base. If the adjusted municipal assessment is higher, redo the math with that number.
New for 2026: Quebec's homeownership tax credit
There is still no outright welcome tax exemption for first-time buyers in Montréal or Brossard. What changed is that Quebec introduced a refundable homeownership tax credit, administered by Revenu Québec, that pays back a large share of the duties on a home acquired after December 31, 2025.
The credit covers 100% of the first $5,000 of duties and 25% of the next $3,500, up to a maximum of $5,875. It is gradually reduced once the taxable base passes $750,000 and disappears at $1,000,000. To qualify, neither you nor your spouse can have owned and lived in a home during the period starting at the beginning of the fourth calendar year before the purchase, and the property must become your principal residence within a year.
In our $500,000 example, the credit would be about $5,153, bringing your net cost down to roughly $458. At $1,000,000, there is no credit. If your estimated credit is over $1,000, you can request an advance payment through Revenu Québec's My Account for individuals by December 1 of the purchase year; otherwise you claim it on your tax return.
When do you pay?
Nothing is paid at the notary's office. Once the deed is registered in the land register, the city mails you a bill, usually a few weeks later. In Montréal, it is payable in a single instalment within 30 days of being sent. In Brossard, smaller amounts are due in one payment while larger bills can be split into instalments; check the terms printed on your bill.
Practical advice: set the money aside as soon as your promise to purchase is accepted. Our brokers in Montréal and Brossard can prepare a precise estimate of your closing costs before you even make an offer.
Can I add the welcome tax to my mortgage?
Generally, no. It is billed after closing and has to be paid from your own funds, so include it in your closing cost budget.
Are first-time buyers exempt from the welcome tax in 2026?
Not directly, but Revenu Québec's homeownership tax credit refunds up to $5,875 of the duties you pay, depending on the property's value and your eligibility.
Why is the tax higher in Brossard than in Montréal on a $1M home?
Brossard charges 3% on the entire portion above $500,000, while Montréal charges 1.5% and then 2% over that same range. The gap widens as the price goes up.
Have a project in mind?
Talk to a CENTURY 21 Collection broker.