The Quebec government has confirmed that they are harmonizing the Automobile Deduction limits for 2024 with the Federal Government.
Effective January 1, 2024, the general prescribed rate used to determine the taxable benefit for employees relating to the personal portion of automobile expenses paid by their employers remains at 33 cents per kilometre. For people employed principally in selling or leasing automobiles, the rate used to determine the employee’s taxable benefit stays at 30 cents per kilometre. The limit on the deduction of tax-exempt allowances paid by employers to employees who use their personal vehicle for business purposes in all jurisdictions increased from 68 to 70 cents per kilometre for the first 5,000 kilometres driven and from 62 to 64 cents for each additional kilometre.
For the territories, the deductible limit for tax-exempt allowances paid by employers to employees is increased to 74 cents for the first 5,000 kilometres travelled and 68 cents for additional kilometres.