Premier Christine Fréchette confirmed that the government will reimburse the welcome tax for first-time buyers, up to a maximum amount of $5,875, at a press conference Friday afternoon in Laval.
More concretely, the first $5000 will be fully reimbursed. The refundable tax credit will be 25 per cent thereafter for an additional $875.
To be eligible, the purchase price must be less than $1 million. The credit is gradually being reduced for properties between $750,000 and $1 million.
The measure is retroactive to January 1 of this year.
The government estimates that the measure will cost $140 million annually. It would benefit 38,000 first-time buyers each year, for an average support of $3,700 per household.
The Primer visited her federal counterpart, Mark Carney, in Ottawa earlier in the day. Fréchette gave a positive assessment of this meeting. She said she was “reassured” about the notwithstanding clause, which she intended to defend “tooth and nail.”
–This report by La Presse Canadienne was translated by CityNews
