Montreal property taxes are an important annual expense for homeowners, but the amount on a tax bill is not determined by a simple citywide percentage of a home’s purchase price. Municipal taxes depend on the property’s tax base, applicable tax rates, building category and borough.
For 2026, Montreal is also beginning a new three-year property assessment cycle. Understanding the 2026–2028 assessment roll, the city’s averaging mechanism and the annual tax rates makes it easier to understand why your bill may change.
How Are Montreal Property Taxes Calculated?
The City of Montréal explains the basic calculation as the tax base multiplied by the applicable tax rate. Tax rates apply to each $100 of the tax base and can vary according to the category of building and borough.
The city sets tax rates each year according to property values and the revenue required to provide municipal services. This means an increase in assessed value does not automatically translate into the same percentage increase in your tax bill. See the City’s explanation of municipal tax calculations.
What Is the 2026–2028 Property Assessment Roll?
Montreal property assessment rolls are generally tabled every three years. The new roll covers 2026, 2027 and 2028. It identifies properties and records information including their characteristics, ownership and assessed value.
For the 2026–2028 roll, the valuation reference date is July 1, 2024. The City says assessors consider factors such as location, lot area, building size, age, major renovations or additions, construction quality and, where relevant, income generated by the property.
You can learn more through the City’s official property assessment roll information.
Why Doesn’t a Higher Assessment Mean the Same Increase in Tax?
Property assessment and the tax rate are separate parts of the calculation. The City adjusts rates annually, and for the new roll it generally uses an averaging measure to phase changes in assessed value over three years.
The City gives an example of a property that rises from $560,000 on the previous roll to $620,000 on the 2026–2028 roll. Its tax base would generally move from $560,000 in 2025 to $580,000 in 2026, $600,000 in 2027 and $620,000 in 2028. Certain situations are exceptions to averaging.
What Are Montreal’s 2026 Property Tax Rates?
There is no single tax rate that accurately applies to every Montreal property. Rates vary by building category and borough, and several components can appear on the tax account. The City publishes an official annual rate document rather than one universal residential percentage.
Homeowners who need the exact rate applicable to their property should use the City of Montréal’s official 2026 tax-rate information and their own municipal tax account.
When Are Montreal Property Taxes Due in 2026?
The City states that annual municipal tax bills are generally sent at the end of January. For 2026, the payment deadlines are:
- First instalment: March 2, 2026
- Second instalment: June 1, 2026
If the annual bill is under $300, the full amount is due by the first deadline. Bills of $300 or more can generally be paid in one or two instalments without interest or penalty when paid on time. See official payment information from the City of Montréal.
What Happens if Property Taxes Are Paid Late?
For overdue 2026 annual-tax instalments, the City lists monthly rates calculated daily of 0.75% interest and a 0.41% penalty. Because rates and procedures can change, homeowners should rely on the current City page and their tax statement when making a payment.
How Can You View Your Montreal Tax Account?
Property owners can view copies of their municipal tax account online using a tax account number or property address. The online service provides statements for the current year and previous two years. A statement includes the payment reference number, amounts payable and due dates.
Use the City’s tax-account service for the current information associated with your property.
What Is the Montreal Welcome Tax?
The property transfer duty—commonly called the “welcome tax”—is different from the annual municipal property tax. It generally applies when a property is acquired and is payable in one instalment within 30 days after the City sends the bill.
For 2026, Montreal calculates transfer duties progressively using value brackets. The tax base is generally the highest of the consideration paid, the consideration stipulated in the transfer document, or the property’s market value determined from the assessment roll and applicable comparative factor.
| 2026 Tax Base Bracket | Rate |
|---|---|
| Up to $62,900 | 0.5% |
| $62,900 to $315,000 | 1% |
| $315,000 to $552,300 | 1.5% |
| $552,300 to $1,104,700 | 2% |
| $1,104,700 to $2,136,500 | 2.5% |
| $2,136,500 to $3,113,000 | 3.5% |
| Above $3,113,000 | 4% |
The 2026 comparative factor listed by the City is 1.00. For the latest rules and examples, see how Montreal calculates property transfer duties.
Can You Challenge Your Property Assessment?
There is an administrative review process for people who have an interest in contesting an entry on the property assessment roll. The City notes that an application can address errors or omissions, but simply arguing that taxes are high or comparing your assessment with other assessment values is not considered a valid reason.
Review applications have fees that vary according to assessed value and are subject to applicable deadlines and conditions. Check the official property assessment review process before applying.
Budgeting for Property Taxes When Buying a Home
Buyers should distinguish between recurring municipal taxes and the one-time property transfer duty. Before closing, review the property’s assessment, recent municipal tax account and potential welcome tax. The City also advises new owners to make sure municipal taxes are fully paid because it does not automatically issue a new annual tax account following a property transfer.
Final Takeaway
Montreal property taxes are based on more than the headline assessed value. Your tax base, building category, borough and annual rates all matter. In 2026, the new 2026–2028 assessment roll and the city’s averaging mechanism are particularly important for understanding how valuation changes flow through to tax bills.
For exact amounts, use your own City of Montréal tax account and the current official tax-rate documents rather than relying on a citywide estimate.
Frequently Asked Questions
When are Montreal property taxes due in 2026?
The 2026 annual municipal tax deadlines are March 2 and June 1. Bills under $300 are generally payable in full by the first deadline.
Is Montreal property tax based on the purchase price?
Annual municipal property tax is based on the applicable tax base and tax rates, not simply the amount you paid for the property.
Is the welcome tax the same as annual property tax?
No. The welcome tax is a property transfer duty generally triggered by acquiring a property. Annual municipal property tax is a recurring tax account.
Does a 20% assessment increase mean my taxes rise 20%?
Not necessarily. The City states that an assessment increase does not automatically result in an equivalent increase in municipal tax because rates are adjusted and an averaging mechanism can apply.
