Key Takeaways
- 1.Quebec has no forced heirship (réserve légale), but the family patrimony regime forces a 50/50 split of the residence, vehicles, and registered savings for married couples — constraining how $2M estates are distributed regardless of the will.
- 2.A notarized will in Quebec avoids court verification entirely (cost: $300–$800 at drafting), while Ontario charges ~$29,250 in estate administration tax on a $2M estate — a $28,000+ advantage for Quebec.
- 3.De facto (common-law) spouses inherit nothing under Quebec intestate succession — at $2M, dying without a will can exclude a lifelong partner entirely.
- 4.The 2025 capital gains inclusion rate (2/3 above $250K) adds approximately $30,000–$35,000 in additional tax on a $2M estate with $800K in accrued non-registered gains compared to the old 50% rate.
- 5.QST on investment management fees (9.975%) costs a $2M portfolio roughly $1,995/year in provincial sales tax alone — over $39,900 across 20 years of advisory fees.
The $2M Quebec Estate: Asset Breakdown
Our worked example uses a realistic asset mix for a married Quebec couple in their early 60s — one surviving spouse, two adult children, and no will complications. The deceased spouse held:
| Asset | Fair Market Value | Accrued Gain (ACB) |
|---|---|---|
| Primary residence (Montreal condo) | $650,000 | Exempt (PRE) |
| Non-registered investment portfolio | $600,000 | $800,000 gain on $600K ACB |
| RRSP / RRIF | $450,000 | Fully taxable as income |
| TFSA | $150,000 | Tax-free |
| Rental property (Laval duplex) | $150,000 equity | $100,000 gain |
| Total net worth | $2,000,000 | $900,000 total gains |
The non-registered portfolio was built over 25 years. The original cost base is $600,000 and the current FMV is $1,400,000, producing an $800,000 accrued gain. The rental property has $100,000 in gains after CCA recapture. For a broader look at what $2M households hold across provinces, see our $2M net worth in Ontario: tax implications.
Quebec Civil Law Succession: What Makes It Different
Quebec is the only Canadian province operating under a civil law system for private matters, including succession. The Civil Code of Québec (CCQ) governs how estates are divided — and the rules diverge from common-law provinces in ways that have six-figure consequences at $2M.
No Réserve Légale — But Family Patrimony Changes Everything
A common misconception is that Quebec, like France, imposes a forced heirship (réserve légale) that guarantees children a minimum share. It does not. A Quebec testator has complete testamentary freedom and can leave their entire estate to a charity if they wish.
However, for married couples, the family patrimony (patrimoine familial) provisions in articles 414–426 CCQ override testamentary freedom on specific assets. The family patrimony includes:
- Family residences (and rights conferring use of them)
- Household furnishings
- Motor vehicles used for family travel
- Benefits accrued during marriage under retirement plans (RRSP, pension, RRIF)
At death (or divorce), the net value of the family patrimony is split 50/50 between spouses, regardless of who holds title. For our $2M estate, the family patrimony likely includes the $650,000 residence and $450,000 in RRSP/RRIF — a combined $1,100,000. The surviving spouse is entitled to 50% of the net patrimony value ($550,000) as a priority claim before the will or intestacy rules apply.
Intestate Succession: The De Facto Spouse Trap
If the deceased dies without a will, Quebec's intestate rules (articles 653–683 CCQ) apply:
| Scenario | Married Spouse Share | Children's Share |
|---|---|---|
| Married spouse + children | 1/3 | 2/3 (split equally) |
| Married spouse, no children | 2/3 | 1/3 to parents/siblings |
| Children only, no spouse | N/A | 100% (split equally) |
| De facto (common-law) spouse | $0 | 100% to children |
The de facto spouse rule is Quebec's most dangerous estate planning gap. A common-law partner of 30 years inherits absolutely nothing under intestacy. The only protection is a will. For how other provinces handle common-law succession, see our common-law spouse beneficiary calculator for Alberta.
Matrimonial Regime: Partnership of Acquests vs. Separation of Property
Quebec's default matrimonial regime is partnership of acquests (société d'acquêts). Under this regime, assets acquired during the marriage (acquests) are split equally at dissolution, while assets owned before marriage or received by gift/inheritance (private property) stay with the original owner.
Couples who signed a marriage contract may have opted for separation of property, where each spouse owns only what is in their name. At $2M in combined net worth, the matrimonial regime determines whether the surviving spouse receives a partition of acquests in addition to the family patrimony claim and their intestate/testamentary share. The partition can add $200,000–$400,000 to the surviving spouse's entitlement before the will distributes the remaining estate.
Probate Fees: Quebec's $28,000+ Advantage Over Ontario
Quebec's notarized will (testament notarié) is unique in Canada: because a notary witnesses and records the will at drafting, the will does not require court verification (homologation) at death. The cost is paid upfront — typically $300–$800 for the notarial act.
| Province | Probate / Verification Cost | Cost on $2M Estate |
|---|---|---|
| Quebec (notarized will) | $300–$800 (paid at drafting) | ~$500 |
| Quebec (holograph/witness will) | Homologation: $1,000–$3,000 legal fees | ~$2,000 |
| Ontario | $15 per $1,000 above $50,000 | $29,250 |
| Alberta | Flat cap | $525 |
| Quebec advantage vs. Ontario | — | $27,250–$28,750 |
The notarized will is one of Quebec's clearest estate planning wins. At $2M, the probate fee savings vs. Ontario are large enough to fund a year of retirement withdrawals.
QST on Investment Management Fees
A cost that quietly erodes Quebec investment portfolios: the Québec Sales Tax (QST) applies to financial advisory and investment management services at 9.975%, on top of the federal 5% GST. The combined 14.975% rate applies to:
- Portfolio management fees (percentage-of-AUM fees)
- Financial planning fees
- Insurance advisory fees (where applicable)
- Account administration fees
| Province | Sales Tax on Advisory Fees | Annual Tax on $20K Fees | 20-Year Cumulative |
|---|---|---|---|
| Quebec (GST + QST) | 14.975% | $2,995 | $59,900 |
| Ontario (HST) | 13% | $2,600 | $52,000 |
| Alberta (GST only) | 5% | $1,000 | $20,000 |
Assumes a 1% AUM fee on a $2M portfolio ($20,000/year). The QST component alone is $1,995/year. Over 20 years, a Quebec investor pays roughly $39,900 more in sales tax on advisory fees than an Alberta investor. For a deeper look at QST mechanics, see our Quebec QST/GST calculator.
The QST on advisory fees is not deductible inside registered accounts (TFSA, RRSP). For the non-registered portion, the management fees themselves are deductible against investment income, but the QST paid on those fees is also deductible as part of the fee. The net after-tax cost is lower, but the cash-flow impact is immediate.
The 2025 Capital Gains Inclusion Rate: Impact on $800K Accrued Gain
Effective for dispositions after June 25, 2024, the capital gains inclusion rate for individuals is 50% on the first $250,000 of annual gains and 66.67% on gains above that threshold. For our $2M estate with $800,000 in accrued non-registered gains plus $100,000 from the rental property:
Deemed disposition at death — $900,000 total capital gains:
First $250,000 × 50% inclusion = $125,000 taxable
Remaining $650,000 × 66.67% inclusion = $433,355 taxable
Total taxable capital gain: $558,355
Under the old uniform 50% inclusion:
$900,000 × 50% = $450,000 taxable
Incremental taxable income from the 2025 change: $108,355
At Quebec's top combined marginal rate (~53.31%): ~$57,800 additional tax
The RRSP/RRIF adds another layer. The $450,000 RRSP is deemed withdrawn at death (unless rolled to a surviving spouse). If there is no spousal rollover, the full $450,000 is added to the final return as ordinary income — pushing the estate deep into the top bracket.
Worked Example: Liquidating the $2M Quebec Estate
Here is the full tax and distribution calculation for our scenario: married couple under partnership of acquests, one spouse dies, two adult children, notarized will leaving everything to the surviving spouse.
Step 1: Family Patrimony Partition
Family patrimony assets (accumulated during marriage):
Primary residence: $650,000
RRSP/RRIF: $450,000
Vehicles (est.): $40,000
Total family patrimony: $1,140,000
Surviving spouse's entitlement: 50% = $570,000
Deceased's share of patrimony: $570,000
(This partition happens before the will distributes the estate)
Step 2: Deemed Disposition Tax on Final Return
Assuming RRSP/RRIF rolls to surviving spouse (tax-deferred):
Capital gains on non-registered portfolio: $800,000
Capital gains on rental property: $100,000
Total capital gains: $900,000
Taxable capital gain (new inclusion rates): $558,355
Other income on final return (salary, pension, etc.): ~$50,000
Total taxable income: ~$608,355
Estimated combined federal + Quebec tax:
Federal tax: ~$152,000
Quebec provincial tax: ~$128,000
Total tax on final return: ~$280,000
Step 3: Net Distributable Estate
| Item | Amount |
|---|---|
| Gross estate | $2,000,000 |
| Less: family patrimony to surviving spouse | −$570,000 |
| Less: tax on deemed disposition | −$280,000 |
| Less: RRSP/RRIF (rolled to spouse, tax-deferred) | −$450,000 |
| Less: liquidator and legal fees (est.) | −$15,000 |
| Less: probate/verification (notarized will) | −$500 |
| Net distributable estate (per will) | ~$684,500 |
The surviving spouse receives $570,000 from the family patrimony partition, $450,000 in rolled RRSP/RRIF, and the $684,500 distributable estate (per the will leaving everything to the spouse). Total received by surviving spouse: ~$1,704,500. The two adult children receive $0 under this will — but would have received 2/3 of the distributable estate (~$456,000 split equally) had the deceased died intestate.
Intestate Comparison: What If There Were No Will?
Without a will (intestate, married spouse + 2 children):
Distributable estate: ~$684,500
Married spouse's intestate share: 1/3 = ~$228,167
Children's intestate share: 2/3 = ~$456,333 ($228,167 each)
Surviving spouse total (intestate):
Family patrimony: $570,000
RRSP rollover: $450,000
Intestate share: $228,167
Total: ~$1,248,167
Difference vs. will leaving everything to spouse: ~$456,333 less
If de facto (common-law) spouse instead of married:
Spouse receives: $0 from intestacy + $0 family patrimony = $0
Children receive: 100% = ~$684,500 ($342,250 each)
The de facto spouse scenario is the sharpest illustration of Quebec's civil law difference. A common-law partner who contributed to the household for decades receives nothing — no family patrimony partition, no intestate share. The only protection is a will or named beneficiary designations on registered accounts. For how this compares to common-law provinces, see our common-law vs. married net worth guide.
Notarial Will with Testamentary Trust: The $2M Optimization
For a $2M Quebec estate, the most tax-efficient structure typically combines a notarized will with a testamentary trust for the children's share. Here is how it works:
- Spousal rollover: All assets left to the surviving spouse roll over at adjusted cost base, deferring the capital gains tax until the second death.
- Testamentary trust for children: If the will allocates a portion to children, a testamentary trust allows income splitting — the trust is taxed at graduated rates (like an individual) on income earned inside it.
- RRSP/RRIF beneficiary designation: Naming the surviving spouse as beneficiary allows a direct rollover, bypassing the estate and the liquidator entirely.
Under the spousal rollover scenario, the entire $280,000 tax bill on the final return is deferred. The estate distributes the full $2M (less fees) to the surviving spouse. The tax comes due on the surviving spouse's eventual death or disposition — potentially decades later. For estates involving business shares, the lifetime capital gains exemption may shelter a further portion; see our Quebec LCGE calculator for family business shares.
The Estate Liquidator's Role in Quebec
Quebec uses the term liquidator (liquidateur) rather than executor. The liquidator's duties under articles 783–835 CCQ include:
- Filing the deceased's final tax return (federal T1 and Quebec TP-1)
- Obtaining clearance certificates from CRA and Revenu Québec before distributing assets
- Paying all debts and legacies from the estate
- Preparing a full accounting to the heirs
Professional liquidator fees typically range from 2.5% to 5% of estate value. On a $2M estate, this is $50,000–$100,000 if a professional is appointed. A family member serving as liquidator eliminates this cost but takes on significant personal liability for errors — including tax underpayments. Our worked example used $15,000 as an estimate assuming a family member liquidator with some professional support.
Quebec vs. Ontario: Side-by-Side on a $2M Estate
| Factor | Quebec | Ontario |
|---|---|---|
| Probate / verification cost | ~$500 (notarized will) | $29,250 |
| De facto spouse inherits (intestate)? | No | Partial (after application) |
| Family patrimony split? | Yes (married only) | Net family property equalization |
| Sales tax on advisory fees | 14.975% (GST + QST) | 13% (HST) |
| Top combined marginal rate | 53.31% | 53.53% |
| Capital gains tax on $900K (deemed disposition) | ~$280,000 | ~$284,000 |
Quebec's top combined marginal rate (53.31%) is slightly below Ontario's (53.53%), making the deemed disposition tax marginally lower. But the real Quebec advantage at $2M is the $28,750 probate savings. For Quebec income tax mechanics at lower incomes, see our Quebec income tax take-home calculator.
Important Disclaimer
This article provides general information about Quebec civil law succession, tax rules, and estate planning considerations. It is not financial, tax, or legal advice. Quebec's Civil Code provisions, federal and provincial tax brackets, the capital gains inclusion rate, QST rates, and probate/verification procedures are set by their respective governments and subject to change. The 2025 capital gains inclusion rate change (2/3 above $250,000) is effective for dispositions on or after June 25, 2024. Tax calculations are estimates based on 2025–2026 published rates and may not reflect your specific situation. The family patrimony and matrimonial regime rules apply differently depending on the date of marriage, any marriage contract, and the specific assets held. De facto (common-law) spouses in Quebec have significantly different rights than in other provinces. Consult a Quebec notary, tax professional, or estate planning lawyer before making decisions based on this information.