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New Member
posted Oct 30, 2019 9:08:37 AM

Is the tax transfer for residents of Quebec using Line 438 mandatory?

It seems that this is optional but I want to be certain.

0 7 6088
7 Replies
New Member
Oct 30, 2019 9:08:38 AM

From CRA;

Line 438 - Tax transfer for residents of Quebec

If you were a resident of Quebec on December 31, 2017, and you earned income, such as employment income, outside Quebec during 2017, tax may have been deducted for a province or territory other than Quebec.

You can (emphasis added) transfer to the province of Quebec up to 45% of the income tax shown on information slips issued to you by payers outside Quebec.

New Member
Oct 30, 2019 9:08:40 AM
New Member
Oct 30, 2019 9:08:41 AM

I was a resident of Quebec on the 31st of December. Then, is the transfer of 45% mandatory or is it optional?

New Member
Oct 30, 2019 9:08:42 AM

CRA uses the word CAN versus the word MUST. I will leave it to you to interpret the meaning of can vs must and decide if you are going  to transfer a federal tax refund to a Quebec balance owing. This of course does not address whether you SHOULD do the transfer.

New Member
Feb 24, 2023 3:01:32 PM

In your software, could you please advise how to actually modify the field? I recognize one could increase the amount to 45% but how precisely does one do that? 

New Member
Mar 1, 2023 7:14:11 AM

This is occurring for me as well. I enter my total tax paid and it changes nothing on my total amount owed. What is the fix???

Moderator
Mar 1, 2023 9:20:14 AM

As per the CRA: If you earned income, such as employment income, outside Quebec during the year, tax may have been deducted for a province or territory other than Quebec. Enter, on line 43800 of your federal return, the transfer amount (up to the maximum) and claim the same amount on line 454 of your Revenu Québec Income Tax Return.

You can transfer to the Province of Quebec up to 45% of the income tax shown on information slips issued to you by payers outside Quebec. 

 

If you are using TurboTax Online- follow the screenshots below: 

You will enter your T4 slip- once entered you will go to "Provincial" Other Quebec Credits" then click on "Other Québec Credits Profile" You will check off "Tax transfer for residents of Québec who earned income in another province and from which federal tax was deducted" Continue.  The following page will have an amount entered already- If you want to claim the full 45% enter that same amount and the 45% will automatically be added in your income tax summary.

 

 

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