Shifts in Federal Income Tax Brackets

As updated by the Canada Revenue Agency in November, federal income tax brackets have been adjusted to accommodate inflation, though the tax rates themselves remain unchanged: - **15%** on incomes of **$57,375 or less** - **20.5%** on incomes from **$57,375.01 to $114,750** - **26%** on incomes from **$114,750.01 to $177,882** - **29%** on incomes from **$177,882.01 to $253,414** - **33%** on incomes over **$253,414.01**

**Provincial Tax Rates Will Also Change:** For the upcoming year, Quebec’s provincial taxes will have the following brackets: - **14%** on income of **$53,255 or less** - **19%** on income between **$53,255.01 and $106,495** - **24%** on income between **$106,495.01 and $129,590** - **25.75%** on income above **$129,590.01**

Illness Absences Simplified

The recent passing of Bill 68 means that employees will no longer need to provide a medical certificate for the first three sick days taken within a year. Similarly, students now enjoy the benefit of skipping a medical note for absences due to illness of five days or fewer.

Childcare Costs on the Rise

Parents should prepare for a price increase in public daycare services, effective January 1, 2025. Daily rates for subsidized childcare will rise from **$9.10 to $9.35**, impacting family budgets across the province.

Electric Vehicle Subsidies Temporarily Halted

For those contemplating purchasing an electric vehicle, time is of the essence! The provincial "Go Green" (Roulez vert) subsidy program will be suspended from February 1 and only resume in April, post-new budget discussions. Given the current high demand, subsidies will be reduced and could face termination by 2026.

Vehicle Registration Fee Hike

Montreal residents will experience a significant increase in vehicle registration fees, rising from **$59 to $150**. This hike, prompted by a need to bolster public transportation funding, will affect a total of **82 municipalities** in the Montreal area.

Revamped Recycling System Launching

Quebec is set to introduce an innovative curbside recycling system that will allow households to dispose of a broader array of items in their recycling bins. Starting January, **Éco Entreprises Québec (ÉEQ)** will oversee this initiative for the next five years. **What Can You Recycle?** - Containers made of paper, cardboard, glass, plastic, or metal - Packaging materials such as chip bags and food film - Printed materials including newspapers and magazines **What Can't You Recycle?** - Pressurized containers like aerosols - Biodegradable plastics and styrofoam

Retirement Benefits on the Rise

In addition to these changes, pension benefits will see a boost, with a **2.6% increase** starting in January, providing a much-needed financial cushion for retirees.

As Quebec approaches this transformative year, residents will need to stay informed and prepared for these substantial shifts that will affect their finances, vehicle ownership, childcare, and environmental impact. Buckle up; 2025 is set to be a game-changer in Quebec!