Quebec bill to establish single school tax rate could mean $700-million tax break for homeowners

The Coalition Avenir Quebec (CAQ) government tabled one of its signature pieces of legislation Thursday — an act to establish a single school tax rate.

READ MORE: Quebec announces tax breaks for families, businesses in economic update

If Bill 3 is passed, Quebec homeowners will pay the same school taxes regardless of what region they live in.

Story continues below

During the campaign, the CAQ said it would establish the new rate at 10 cents per $100 on the value of your house, a plan they estimated would cost $700 million a year annually.

READ MORE: Quebec education minister says plan to abolish school boards will respect constitutional minority rights

Asked about how the government would make up for this loss during question period last week, Education Minister Jean-François Roberge said it would compensate school boards for the loss of revenue with money from the general fund.

WATCH BELOW: New Quebec government unveils economic update

Opposition parties have voiced concerns about this bill, namely with the government’s ability to balance its budget and provide the same level of services in education with less money.

“We have to ask ourselves at this time, ‘Is this right now the best decision?'” said Parti Québécois(PQ) MNA Véronique Hivon.

She added that if the government has $700 million available to invest in education, why not invest it on top of what is already being collected in school taxes?

READ MORE: How the Coalition Avenir Québec plans to pay for $2.6 billion in promises

“If you talk to the people at the Commission Scolaire de Montréal, it will have a very, very important impact on a fund that they have that they manage themselves, so there [will be] many impacts,” Hivon said.

WATCH BELOW: CAQ’s Francois Legault pledges school tax reform

© 2018 Global News, a division of Corus Entertainment Inc.

The administration of the site does not bear responsibility for the materials published on the site. The author of the material is The material available by this link , or was available 2018-12-06 17:06:59 of the time