16  /

Quebec Refundable Tax Credit Rates and Amounts for 2014

1

Notes

(1) Quebec’s credit rate, maximum expense eligible and method of calculation of the credit 

varies from one type of refundable credit to another. Quebec’s credit rate is applied to 

the dollar amounts in the table to determine the maximum credit value. For example, 

the adoption expense credit amount of $20,000 is multiplied by 50% to determine the 

maximum credit value of $10,000. Some refundable credits are reduced when thresholds 

are exceeded.

(2) Quebec provides a refundable tax credit equal to the total of 25% of medical expenses 

eligible for the non-refundable credit (see the table “Quebec Non-Refundable Tax Credit 

Rates and Amounts for 2014”) and 25% of the amount deducted for impairment support 

products and services. 

(3) Quebec indexes various tax credits each year by using an inflation factor that is calculated 

based on the provincial rate of inflation, excluding changes in liquor and tobacco taxes.  

The Quebec inflation factor is 0.97% for 2014.

(4) Unlike the federal treatment of qualifying child care expenses, which are eligible for a 

deduction in computing net income, Quebec provides a refundable tax credit for such 

expenses. The rate of credit falls as net family income rises.

In general, the maximum amount of expenses eligible for credit is the lesser of:

• $10,000 for a child of any age who has a severe or prolonged mental or physical                                     

impairment, plus $9,000 for a child under the age of seven, plus $4,000 for a child 
under the age of 17, or

• The actual child care expenses incurred in the year.

The definition of eligible expenses includes costs incurred during the period an individual 

receives benefits under the Quebec Parental Insurance Plan or the Employment Insurance 
Plan (see the table “Employment Withholdings

–-Quebec“). The child care expenses are 

not limited by the earned income of the parent.

(5) Qualifying expenses include court and legal fees paid to obtain the final adoption order, 

travel and accommodation expenses for foreign adoptions, translation expenses, and fees 

charged by foreign and domestic social agencies.

(6) There are three components to this credit. The first component applies to caregivers 

who house an eligible relative in their home where the relative is 70 years of age or 

older or is an adult with a severe and prolonged mental or physical impairment. The 

second component applies to informal caregivers who live in an eligible relative’s home 

and a physician has attested that the relative is unable to live alone due to a severe 

and prolonged mental or physical impairment. Finally, the third component applies to 

caregivers whose spouse is 70 years of age or older, or has a severe and prolonged mental 

or physical impairment, and the couple lives in their own home other than in a seniors’ 

residence. 

Note that caregivers caring for an elderly spouse are not entitled to the supplement 

amount, although the amount of the credit increased to $850 for 2014 in such cases.

For the purposes of this credit, an eligible relative is a child, grandchild, nephew, niece, 

brother, sister, uncle, aunt, great-uncle, great-aunt or any other direct ascendant of the 

individual or the individual’s spouse.

© 2014 KPMG LLP, a Canadian limited liability partnership and a member firm of the KPMG network of independent member firms

affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Current as of June 30, 2014