What you have to know
for 2020 tax season
Deduction for expenses related to working remotely
If you worked from home because of the COVID-19 pandemic, you may be able to deduct some of your expenses. See point 10 in the instructions for line 207 (QC).
Incentive Program to Retain Essential Workers (IPREW)
The Québec government has announced a new financial assistance program for individuals working essential jobs during the COVID-19 pandemic. The assistance amount will make up the difference between the Canada Emergency Response Benefit (CERB) and an eligible individual's wages. Eligible workers can apply for the program online beginning on May 19. The program provides $100 for each week of qualifying work beginning March 15, 2020, and extending for a maximum of 16 weeks. This means that, in addition to their wages, a worker could receive a taxable benefit of $400 per month, for a total of $1,600 for the full 16-week period. Payments will be made every two weeks starting on May 27, 2020.
If you received benefits under the Incentive Program to Retain Essential Workers, see the instructions for line 151 (QC).
Farm worker bonus
The government of Quebec has set up an incentive specifically for the retention of agricultural workers in businesses. This program aims to provide a bonus of $ 100 to seasonal agricultural workers for a minimum work performance of 25 hours per week.
If you received a farm worker bonus under the IPREW, see point 2 in the instructions for line 154 (QC).
Canada Emergency Response Benefit, Canada Emergency Student Benefit and Canada recovery benefits
If you received the Canada Emergency Response Benefit, the Canada Emergency Student Benefit, the Canada Recovery Benefit, the Canada Recovery Sickness Benefit or the Canada Recovery Caregiving Benefit, see point 16 in the instructions for line 154 (QC). However, if you received Employment Insurance benefits under the Canada Emergency Response Benefit, see the instructions for line 111.
Tax credit for childcare expenses
Effective January 1, 2020, what it means to be attending a qualified educational institution has changed for purposes of the tax credit for childcare expenses.
See the instructions for line 455 (QC).
Disability supports deduction
Expenses incurred after December 31, 2019, to obtain goods and services allowing you to take distance courses from a designated educational institution or a secondary school qualify for the disability supports deduction. See point 7 in the instructions for line 250 (QC).
Certifications and prescriptions for therapy by specialized nurse practitioners
Like physicians, specialized nurse practitioners can now issue certifications concerning expenses for medical services not available in your area (line 378) and certifications of dependent senior status for purposes of the tax credit for home-support services for seniors (line 458).
Tax credit for taxi drivers and taxi owners
The new legal framework for remunerated passenger transportation that came into force on October 10, 2020, resulted in changes to the tax credit for taxi drivers and taxi owners.
See point 3 in the instructions for line 462 (QC).
Virtual currency transactions
Transactions using virtual currency (cryptocurrency, etc.) are generally considered barter transactions. The regular barter rules apply.
To report your income correctly, you must determine whether your use of virtual currency resulted in a capital gain (or loss) or business income (or loss).
See the instructions for lines 24, 139 and 164 (QC).
Tax credit for interest on a loan granted by a seller-lender and guaranteed by La Financière agricole du Québec
The tax credit for interest on a loan granted by a seller-lender and guaranteed by La Financière agricole du Québec has been extended for five years. You may therefore be eligible for the credit if you received a loan under a contract signed after December 2, 2014, but before January 1, 2025. See point 30 in the instructions for line 462 (QC).
Tax credit for caregivers
The tax credit for caregivers now has two components. The first is for caregivers providing care to a person 18 or over who has a severe and prolonged impairment in mental or physical functions and needs assistance in carrying out a basic activity of daily living. The second is for caregivers providing care to and living with a person 70 or over.
See point 2 in the instructions for line 462 (QC).
Tax credit for volunteer respite services and tax credit for respite of caregivers
Because of the changes to the tax credit for caregivers, the tax credit for volunteer respite services and the tax credit for respite of caregivers were cancelled as of January 1, 2021. However, you can still claim them for the 2020 taxation year.
In addition, beginning in 2020, you may be able to receive an additional amount (which is not subject to a reduction based on your family income) for expenses paid to receive specialized respite services.
However, you cannot claim the tax credit for volunteer respite services or the tax credit for respite of caregivers in respect of an eligible care receiver for whom you are you are claiming the tax credit for caregivers..
Tax credit for career extension
You can claim this non-refundable tax credit if you meet the following requirements:
- You were resident in Québec on December 31, 2020.
- You were 60 or older on December 31, 2020.