Sell your property

If you are a non-Canadian or an expatriate leaving Quebec and you are selling real estate, it is essential to understand the tax obligations that apply. Having experienced these steps myself and assisted many clients in this situation, I can help you anticipate tax deductions and optimize your tax situation to avoid any unpleasant surprises.

Tax deductions when selling a property in Quebec

When you sell real estate as a non-resident of Canada, tax deductions are taken at source:

1. Federal withholding tax (Canada - Canada Revenue Agency, CRA)

• Until December 31, 2024 : 25% of the gross proceeds of the sale.
• Starting January 1, 2025 : 35% of the gross proceeds of the sale (change expected in the 2024 federal budget).
• Exception for rental properties : If the property was rented and depreciable, the withholding tax increases to 50% of the gross proceeds.

2. Provincial withholding tax (Quebec - Revenu Québec)

• Current rate : 12% of the proceeds of the sale.

3. Certificate of Conformity and Certificate of Disposition

To avoid the buyer being held liable for taxes due, the seller must obtain:

✅ A certificate of conformity from Revenu Quebec.
✅ A certificate of disposition from the Canada Revenue Agency (CRA).

These certificates prove that the taxes due on the transaction have been paid or that arrangements have been made for their payment. Without these documents, the buyer is required to withhold the amounts mentioned above and remit them to the tax authorities.

Declaration and taxation in France

When you return to France after selling a property in Quebec, you must also comply with certain tax obligations with the French tax authorities:

• Declaration of capital gains : As a French tax resident, you must declare the sale on your tax return.
• Tax credit to avoid double taxation : Thanks to the tax treaty between France and Canada, taxes already paid in Canada can be deducted in the form of a tax credit in France (form 2047).
• Documents to provide :
  • Notarized deed of sale.
  • Certificates of conformity and disposition obtained in Canada.
  • Proof of taxes paid in Canada to claim a tax credit in France.

My support for a sale with complete peace of mind

✅ Analysis of your tax situation : Verification of your status and the obligations to be respected.
✅ Coordination with notaries and tax specialists : To guarantee a transaction in compliance with Quebec and French rules.
✅ Tax optimization : Strategies to minimize the impact of withholding taxes and maximize your net capital.
✅ Follow-up after the sale : Help with tax declarations in Canada and France.

Why trust me ?

Having gone through these steps myself, I am fully aware of the challenges involved in selling a property for a return to France. My experience allows me to anticipate difficulties and support you effectively in each step of the process.

📞 Contact me today for a consultation !