What Makes Montreal Different?
Qu'est-ce qui distingue Montréal des autres villes?
Every Quebec municipality collects the taxe de bienvenue using the same provincial bracket structure: 0.5%, 1.0%, 1.5%, 2.0%, and 2.5%. Montreal does the same — but adds three extra brackets on top of the provincial minimum that apply exclusively to high-value properties.
These luxury brackets reach 3.5% and 4.0%, making Montreal the only municipality in Quebec with a top transfer tax rate of 4.0%. For most buyers purchasing under $500,000, there is no difference between Montreal and the rest of Quebec. The divergence begins to matter for properties above $552,300, and it becomes significant above $2,136,500.
Full 2026 Montreal Bracket Table
Tableau complet des tranches de Montréal pour 2026
The three rows highlighted below are the brackets unique to Montreal. Standard Quebec municipalities do not apply any rate above 2.5%, and their 2.5% bracket begins at $1,000,001.
| Bracket / Tranche | Rate / Taux | Type |
|---|---|---|
| $0 – $62,900 | 0.5% | Provincial standard |
| $62,901 – $314,600 | 1.0% | Provincial standard |
| $314,601 – $552,300 | 1.5% | Provincial standard |
| $552,301 – $1,104,700 | 2.0% | Provincial standard |
| $1,104,701 – $2,136,500 | 2.5% | Montreal luxury bracket |
| $2,136,501 – $3,113,000 | 3.5% | Montreal luxury bracket |
| Above $3,113,000 | 4.0% | Montreal luxury bracket |
Brackets are indexed annually by Revenu Québec. The figures above apply for 2026. Note that Montreal's first four brackets have wider ranges than the standard Quebec structure — for example, Montreal applies 1.5% up to $552,300, while other municipalities move to 2.0% after $314,600.
Step-by-Step Example: $750,000 Property
Exemple étape par étape : propriété à 750 000 $
A buyer purchasing a condo or plex for $750,000 in Montreal falls into the first four brackets. No luxury bracket applies at this price.
| Bracket / Tranche | Rate | Amount in bracket | Tax owed |
|---|---|---|---|
| $0 – $62,900 | 0.5% | $62,900 | $314.50 |
| $62,901 – $314,600 | 1.0% | $251,700 | $2,517.00 |
| $314,601 – $552,300 | 1.5% | $237,700 | $3,565.50 |
| $552,301 – $750,000 | 2.0% | $197,700 | $3,954.00 |
| Total welcome tax / Taxe de bienvenue totale | $10,351.00 | ||
The effective rate on this $750,000 purchase is 1.38% — well below the top rate of 2.0% that applies to a portion of the price. Budget for approximately $10,400 in addition to your notary fees and closing costs.
Step-by-Step Example: $1,500,000 Property
Exemple étape par étape : propriété à 1 500 000 $
A $1,500,000 purchase in Montreal crosses into the first luxury bracket at $1,104,701. The 2.5% rate applies only to the portion of the price above that threshold.
| Bracket / Tranche | Rate | Amount in bracket | Tax owed |
|---|---|---|---|
| $0 – $62,900 | 0.5% | $62,900 | $314.50 |
| $62,901 – $314,600 | 1.0% | $251,700 | $2,517.00 |
| $314,601 – $552,300 | 1.5% | $237,700 | $3,565.50 |
| $552,301 – $1,104,700 | 2.0% | $552,400 | $11,048.00 |
| $1,104,701 – $1,500,000 | 2.5% | $395,300 | $9,882.50 |
| Total welcome tax / Taxe de bienvenue totale | $27,327.50 | ||
The effective rate on this $1,500,000 purchase is 1.82%. The luxury bracket (highlighted above) accounts for $9,882.50 of the total bill. Budget approximately $27,400 for the taxe de bienvenue alone at this price point.
Who Pays, When, and How
Qui paie, quand et comment?
The buyer always pays the taxe de bienvenue. The amount is calculated on the greater of the sale price or the property's municipal evaluation (valeur municipale). If you negotiate a deal below the city's assessed value, your tax may still be based on the higher municipal figure.
Your notary collects the tax at closing and remits it to the City of Montreal. The bill arrives after you take possession, typically within 30 days of signing the deed of sale. The taxe de bienvenue is not included in your mortgage — it must be paid in cash at closing alongside notary fees and any other closing costs.
Some transfers are exempt or partially exempt: transfers between spouses, from a parent to a child at fair market value, certain farming property transfers, and situations where a corporation transfers property to a shareholder under specific conditions. Always confirm your specific situation with your notary before closing.
Calculate Your Montreal Welcome Tax
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→ Use the Free CalculatorIs the welcome tax higher in Montreal than elsewhere in Quebec?
It depends on the price. For properties below roughly $500,000, the effective tax is very similar across Quebec municipalities. Montreal's bracket structure actually produces marginally different results from standard Quebec for properties in the $500,000–$1,000,000 range. The significant premium appears above $2,136,500, where Montreal charges 3.5% on a portion that would be taxed at 2.5% elsewhere — and 4.0% above $3,113,000.
What is the Montreal luxury rate? / Quel est le taux de luxe à Montréal?
Montreal applies three luxury brackets that no other Quebec municipality uses: 2.5% on $1,104,701–$2,136,500, 3.5% on $2,136,501–$3,113,000, and 4.0% on anything above $3,113,000. These rates apply only to the portion of the price within each bracket, not to the full purchase price.
When do I pay the taxe de bienvenue? / Quand dois-je payer la taxe de bienvenue?
Your notary handles collection at closing. The tax is due after the deed of sale is signed and registered, typically within 30 days. You must have the funds available in cash — the welcome tax cannot be added to your mortgage.
Is the tax based on purchase price or municipal evaluation?
The tax is calculated on the greater of the sale price or the property's municipal evaluation. If the city has assessed your property at a higher value than what you paid, the tax is based on the municipal evaluation. Your notary will confirm which applies to your transaction before closing.