Canada announces rising driver license and registration fees in Quebec

Asma - | World

The Quebec government has announced a slight increase in the annual driver's license fee for this year. The nominal increase is primarily attributed to the introduction of a new registration tax, specifically within the greater Montreal area.

Effective January 1, 2024, Quebec implemented a tax on the registration of all passenger vehicles in select regions, encompassing areas such as Beloeil, Plainville, Boisbriand, Bois-des-Filion, Boucherville, Brossard, L’Assomption, Laval, Longueuil, Mascouche, Mirabel, Repentigny, Rosemère, Terrebonne, Varennes, and Vaudreuil-Dorion.

This initiative is part of a broader strategy to diversify funding sources for the public transportation network in the Montreal metropolitan area. The aim is to address the sustainable mobility needs of the population while contributing to the reduction of greenhouse gas emissions and alleviating road congestion. A joint statement from the Montreal Metropolitan Municipality and the Regional Authority for Urban Transport (ARTM) underscores these goals.

The auto insurance agency of Quebec (SAAQ) is responsible for collecting the $59 registration tax on behalf of the ARTM, according to the new rule. There will be a rise from $45 to $59 for vehicle owners in the Greater Montreal region who have been contributing to this tax since 2011. In 2024, this tax—which is modified annually according to the Consumer Price Index—is projected to bring in an extra $122 million, which will go toward supporting public transportation.

The insurance tax rebate that Quebec license holders have been receiving since 2022, when the SAAQ generated a surplus of $1.158 billion, will continue to be available despite the increase in license fees.

In 2023, the cost of a Quebec driver's license stood at $24.75. In 2024, a marginal increase of $0.75 brings the cost to $25.50. Prior to the discount, the average cost of a driver's license in Quebec was approximately $90.

For drivers residing outside of Montreal, the upcoming increase in the cost of registering a passenger car is $240.32, up from $232.74. The overall cost to register a car in Montreal is $299.32, but island residents must pay an extra $59 on top of that.

Motorcyclists will also experience fee increases, with the cost of registration rising to $1,907.84, marking an almost $100 increase. Additionally, scooter owners will witness an increase from $297.42 to $311.85.

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