US government stimulus check taxed by Quebec?

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lith
Posts: 2
Joined: Sat Mar 06, 2021 3:20 am

US government stimulus check taxed by Quebec?

Post by lith »

The US Congress passed the CARES Act explaining that the US $1200 stimulus was legally defined to be a tax credit:
IN GENERAL. — In the case of an eligible individual,
there shall be allowed as a credit against the tax
imposed by subtitle A for the first taxable year beginning
in 2020 an amount equal to the sum of—
(1) $1,200
[plus provisions for married couples & children]
[The stimulus was defined to be a tax credit specifically so that it would not qualify as income and would not be taxable.]

The Canada Revenue Agency announced on 2020 August 31 that in the case of the US EIP (covid-19 stimulus check), the CRA would consider a reduction of U.S. income taxes in the circumstances described — either in the form of a tax credit or an advance payment — not to be income from a source for Canadian income tax purposes, and hence not taxable.

Quebec has never taxed any of the tax credits that I have received from other governments.

Therefore Quebec will not impose an income tax on this US $1200 tax credit.

Has anyone found any explicit remarks by Quebec regarding this issue?
nelsona
Posts: 18359
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: US government stimulus check taxed by Quebec?

Post by nelsona »

In foreign taxation, QC and the other provinces follow the lead of CRA.

Besides, the stimulus payments do not appear on your US tax return.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
lith
Posts: 2
Joined: Sat Mar 06, 2021 3:20 am

Re: US government stimulus check taxed by Quebec?

Post by lith »

nelsona wrote:
> In foreign taxation, QC and the other provinces follow the lead of CRA.

Thank you for the clear, explanatory reply !
That's exactly what I needed.
-- lith
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