Principal Changes for 2022
The calculation changes for source deductions and contributions for 2022 relating to tax changes announced before November 1, 2021, are listed below. For information about tax changes announced after October 31, 2021, read the Tax News articles published after that date.
The personal income tax system is indexed at 2.64% for 2022.
Amounts indexed at that rate include:
- income thresholds;
- personal tax credit amounts;
- deduction code amounts;
- the threshold for determining the method to be used to calculate the source deduction of income tax on a gratuity or retroactive pay;
- the maximum deduction for employment income;
- the maximum exemption that can be granted to an emergency services volunteer; and
- the maximum tax-exempt amount of a disability assistance payment from a registered disability savings plan (RDSP).
The taxable income thresholds have been indexed for 2022. The income tax rates have not changed. The constants for adjusting the income tax rates have been indexed.
The table below shows the income tax rates, income thresholds and constants for 2022.
|Taxable income||Tax rate||Constant|
|More than||Not more than|
The personal tax credit amounts on the Source Deductions Return (TP-1015.3-V) are indexed for 2022.
The table below shows the personal tax credit amounts for 2022.
|Personal tax credit amounts||2022|
|Basic personal amount||$16,143|
|Amount transferred from one spouse to the other||$16,143|
|Amount for other dependants||$4,519|
|Amount for a child under 18 enrolled in post-secondary studies (per term)||$3,101|
|Additional amount for a person living alone (single-parent family)||$2,284|
|Amount for a severe and prolonged impairment in mental or physical functions||$3,584|
|Amount for a person living alone||$1,850|
|Amount for retirement income||$3,017|
|Reduction threshold of the age amount, the amount for a person living alone, the amount for retirement income and the amount for career extension||$36,590|
For 2022, the threshold for determining the method to be used to calculate the source deduction of income tax on gratuities and retroactive pay is $16,143.
For 2022, the maximum deduction for employment income is $1,235. The Source Deduction Table for Québec Income Tax (TP-1015.TI-V) takes the amount into account.
For 2022, the maximum exemption that can be granted to an emergency services volunteer is $1,235.
For 2022, you must withhold income tax at a rate of 15% from the portion of a disability assistance payment from a registered disability savings plan (RDSP) that exceeds $19,727.
The table below provides the Québec Pension Plan (QPP) data for 2022.
|Maximum pensionable earnings (pensionable salaries and wages)||$64,900|
|Maximum contributory earnings||$61,400|
|Employee's maximum contribution||$3,776.10|
|Employer's maximum contribution (per employee)||$3,776.10|
The table below provides the Québec parental insurance plan (QPIP) data for 2022.
|Maximum insurable earnings||$88,000|
|Employee's premium rate||0.494%|
|Employee's maximum premium ($88,000 × 0.00494)||$434.72|
|Employer's premium rate||0.692%|
|Employer's maximum premium (per employee) ($88,000 × 0.00692)||$608.96|
The table below shows the health services fund contribution rates for 2022, by total payroll. For this year, the total payroll threshold for eligibility for a reduction of the health services fund contribution rate is increasing from $6.5 million to $7 million.
|Total payroll (TP)|
|$1,000,000 or less||$1,000,001 to $6,999,999||$7,000,000 or more|
|Rates for employers whose total payroll is more than 50% attributable to activities in the primary and manufacturing sectors||1.25%||0.7483 + (0.5017 × TP/1,000,000)1||4.26%|
|Rates for all employers other than public sector employers and employers whose total payroll is more than 50% attributable to activities in the primary and manufacturing sectors||1.65%||1.2150 + (0.4350 × TP/1,000,000)1||4.26%|
|Rate for public sector employers||4.26%|
- The contribution rate must be rounded off to two decimal places. If the number in the third decimal place is 5 or more, round up the number in the second decimal place.
Effective January 1, 2022, the contribution rate applicable to the total remuneration subject to the contribution that an employer pays its employees in the year is reduced from 0.07% to 0.06%.
In addition, certain employers that were exempt from paying the contribution related to labour standards are now subject to this contribution. This applies to the following employers:
- metropolitan communities;
- public transit authorities;
- school service centres;
- school boards;
- the Comité de gestion de la taxe scolaire de l'île de Montréal;
- educational institutions;
- day care centres;
- the Commission de la construction du Québec;
- parity committees constituted under the Act respecting collective agreement decrees;
- the Québec government, its departments and some of its bodies;
- any body established by a Québec statute or by a decision of the government, the Conseil du trésor or a minister;
- the Agence du revenu du Québec;
- the Lieutenant-Governor, the National Assembly and any person appointed by the National Assembly to an office that is under its jurisdiction.
The contribution rate is, however, reduced from 2022 to 2024 for some of the above employers. For more information, consult the Guide for Employers (TP-1015.G-V).
For 2022, the portion of an employee's remuneration in excess of $88,000 is not subject to the contribution related to labour standards.
To calculate the contribution related to labour standards and the remuneration subject to the contribution, complete form LE-39.0.2-V, Calculation of the Contribution Related to Labour Standards, for the year in question. The amount of the contribution that you calculated on that form must be entered in the RL-1 summary (form RLZ-1.S-V, Summary of Source Deductions and Employer Contributions). You have until the deadline for filing the RL-1 summary to pay your contribution.