Global

Details

  • Service: Tax, Global Compliance Management Services, International Tax
  • Type: Regulatory update
  • Date: 11/22/2013

Canada - Quebec mining tax legislation proposed changes 

November 22:  Amendments to Quebec's mining tax law received first reading in the Quebec legislature on 12 November 2013.

Quebec Bill 55—a 28-page bill—introduces a new method for computing mining tax, among other changes.


The new regime is scheduled to be effective as of 1 January 2014. However, because Quebec has a minority government, it is not certain that this bill would become law.

Mining tax changes

Bill 55 would make changes to the mining tax law including:


  • Introducing progressive mining tax rates, ranging from 16% to 28% (replacing the single tax rate of 16%)
  • Implementing a minimum mining tax based on the mine-mouth output value
  • Implementing a non-refundable duties credit on account of the minimum mining tax
  • Increasing the processing allowance
  • Introducing anti-avoidance rules for compliance with the mining tax act

Read a November 2013 report prepared by the KPMG member firm in Canada: Bill 55 - Quebec Introduces Mining Tax Legislation




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