Quebec to review tax system in effort to save money

Quebec will review its tax regime in an effort to reduce how much the province spends on the system.

This spring, the Quebec government plans to review all of its spending, and personal, corporate and consumption taxes will be examined.

In 2023, Quebec’s tax system included 277 tax expenditures totalling $49.0 billion. When including the province’s basic tax measures, such as the basic personal amount, the total cost rises to $71.3 billion. Quebec estimates the total cost will be $74.0 billion in 2024.

The government’s review will also examine the expenses of its departments and agencies.

Quebec finance minister Eric Girard tabled a $158-billion budget on Tuesday with an $11-billion deficit and a delay of his timeline to balance the books.

In this context, Girard said, Quebec must strive to improve the efficiency of government interventions with regard to the tax system.

The budget for the 2024–25 fiscal year doesn’t include details about how and when the province’s finances will return to balance — that will only come next year. Girard would only commit on Tuesday to balancing the budget by the 2029–30 fiscal year — two years later than he had forecast 12 months ago.

Richard Cloutier

Richard Cloutier is the editor in chief of Conseiller.ca and its sister publication, Finance et Investissement. He was a Chartered Administrator of Quebec from 1995 to 2012 before devoting himself to journalism. Reach him at richard@newcom.ca.