Moving to Canada in 2026: immigration, French-speaking Quebec and taxation

Canada taxes its residents on their worldwide income. Tax residency is assessed first and foremost on residential ties — home, spouse, dependants, property and social ties — and not on a day count. A subsidiary rule deems a person present for at least 183 days³ to be resident without having established sufficient ties.

This hierarchy of criteria is essential: it is the set of ties that prevails, and a French national who kept an available home and family in Canada would remain resident there whatever their day count.

The federal scale, and the provincial addition

The federal scale is progressive. Its first bracket is taxed at 14%⁴ and its top bracket at 33%⁵.

But this scale is only half the story: each province adds its own. Depending on the province, the combined marginal rate reaches a level close to about 53%⁶ — an order of magnitude comparable to the highest European rates.

Comparing Canada with a European country on the federal scale alone therefore makes no sense. The choice of province matters as much as the choice of country, and the gap between the most and least taxed provinces is considerable.

Capital gains and companies

Only a fraction of capital gains is taxed: the inclusion rate is 50%⁷. Half of the gain is included in taxable income and taxed at the scale rate; the other half is exempt. A plan to raise this rate was announced and then cancelled.

Federal corporate income tax, after the abatement and general rate reduction, stands at about 15%⁸, to which a provincial share is also added.

We do not publish the provincial scales or the Canadian inheritance tax regime — Canada does not levy inheritance tax as such but applies a deemed disposition on death, the mechanism of which does not appear in our sources.

Canada is one of the few destinations in this selection where permanent immigration is an ordinary, organised and selective route, rather than an exceptional scheme reserved for investors.

The federal system is based on points-based selection, covering age, education, work experience and command of the official languages. Quebec has its own separate selection system, with its own criteria and quotas.

For a French speaker, this duality is decisive: command of French is valued in both systems, but in different ways, and an application refused in one may be admissible in the other.

Temporary routes — work permits, study permits, youth mobility — frequently serve as a first step, with the Canadian experience gained then counting towards the permanent application.

We do not publish points thresholds, annual admission caps or the conditions of provincial programmes: they are revised frequently and we have no official, quantified and dated source to cite.

Canada has also ended its long-standing passive residency by investment programme. The remaining routes for entrepreneurs require the creation or takeover of a real business, with job creation commitments — it is not an investment product.

Canada has restricted the purchase of residential property by non-residents and foreign companies, as part of measures to contain rising prices. Exceptions exist, notably for holders of certain permits.

Several provinces and municipalities have also introduced specific taxes targeting foreign buyers or vacant homes. These levies come on top of ordinary transfer taxes and can represent a substantial share of the price.

We do not publish the rates of taxes targeting foreign buyers, provincial transfer taxes or vacant home taxes: they vary by province and municipality and have been amended several times. They must be checked for the locality concerned before any commitment.

The market is highly contrasted: Toronto and Vancouver have seen a prolonged rise that has eroded housing affordability, while Montreal, the Maritime provinces and the Prairies follow different trajectories. In Canada, the housing question cannot be separated from the choice of city.

One technical point deserves a French national's attention: the deemed disposition on leaving Canada can give rise to tax on unrealised gains. A property acquired during Canadian residence should therefore be considered with a possible return in mind.

The Canadian cost of living is close to Western European levels, with marked differences between the major cities and the rest of the country.

We do not publish a typical monthly budget: we have not found an official Canadian series measuring a basket of expenses comparable to an expatriate's.

Three items shape a budget. Housing, the first of them, with poor affordability in Toronto and Vancouver. A car, often necessary outside the centres of the major cities. And energy, whose weight varies greatly depending on the province and the severity of the winter.

On the other hand, the public health system covers residents, with a waiting period on arrival depending on the province, and public schooling is free — two items that weigh heavily in low-tax destinations and are largely socialised here.

This is the central trade-off of the destination: taxation comparable to that of France, in exchange for a dynamic labour market and ordinary access to permanent residence and then to citizenship. Canada is not chosen for its taxation.

1. Determine the route and the system: federal or Quebec, temporary first or permanent directly;
2. have your qualifications assessed and take the language tests, lengthy steps on which the application depends;
3. choose the province with full knowledge of the facts: it determines the tax scale, property taxes and health cover;
4. plan for the waiting period of provincial health insurance on arrival, by taking out private cover for that period;
5. handle the departure from France according to its own criteria and under the France–Canada tax treaty.

The most underestimated step is the second: qualification assessments and language tests take months and must be started well ahead of filing.

We do not publish processing times: they vary greatly by programme and by period, and we have no official, quantified and dated source.

• Tax residency is based on residential ties, not on a day count.
• The combined marginal rate approaches about 53%⁶ in the most heavily taxed provinces: the federal scale alone is meaningless.
• Only half of a capital gain is taxable, at the inclusion rate of 50%⁷: this is a real advantage for a portfolio of financial assets.
• The purchase of homes by non-residents is restricted, and specific taxes are added depending on the province.
• The deemed disposition on departure can trigger tax on unrealised gains: a return must be prepared beforehand, not afterwards.

Finally, the Canadian passport gives visa-free access to about 188⁹, a level comparable to European passports. Naturalisation is available after a period of residence, which sets Canada radically apart from destinations where nationality is bought: here, it is earned by settling, and that is precisely what gives it its value.