The government of Quebec anticipated the reduction in the single rate of the school tax on July 1st, 2020, the objective being to give financial flexibility to individuals and businesses in the context of the COVID-19 pandemic.
“This acceleration of the drop in the school tax rate is an effective way to give Quebecers financial flexibility when they need it most,” said Finance Minister Eric Girard on Wednesday. We therefore respect our commitment to eliminate inequities between regions by standardizing the rate of the school tax in Quebec. Finally, it is important to remember that the drop in the rate of the school tax has no impact on the funding of the education network, ”he added.
The rate of school tax applicable throughout Québec for the period from July 2020 to June 2021 will therefore be set at $ 0.1054 per $ 100 of standardized property assessment. Thus, landowners will benefit from a reduction in their tax burden totaling $ 355 million for 2020-2021.
Recall that the government had already announced, in the 2020-2021 budget, a further reduction in the tax burden on landowners by almost $ 182 million, making it possible to reach two-thirds of the planned reduction. The addition of nearly $ 173 million today allows the government to announce full standardization this year.
According to the minister, the decrease announced last year and that announced this year represent an annual saving of $ 622 million for taxpayers.