Payroll Modifications Effective July 1, 2023 for the Provinces of Quebec and Manitoba

Varennes, June 2023

 

The objective of this maestro*EXPRESS document is to inform you about various changes that will come into effect on July 1, 2023, for the payroll calculation.

 

 

Attention! Make sure to only apply these changes after the last payroll of june 2023.

 

Summary

 

Modification of the Taxation Constants and Rate for the Province of Quebec

On May 15, 2023, Revenu Québec announced a reduction of the tax rates for the first two taxable income brackets for individuals.

As of 2023, the tax rates for the first two taxable income brackets will drop from:

  • 15% to 14% for taxable income up to $49,275
  • 20% to 19% for taxable income over $49,275 but no more than $98,540

Furthermore, the constants of the last two income brackets will be increased, as follows:

  • 6,405 to 7,390 for taxable income over 98,540$ but no more than 119,910$
  • 8,503 to 9,489 for taxable income over 119,910$

Also, as of 2023, the conversion rate for the amounts used to calculate personal tax credits will decrease from 15% to 14%.

Changes to the Manitoba Basic Personal Amount

 

maestro* > Time Management > Maintenance > Payroll > Governement Tables
  1. In the Government Tables option, display the details for the province of Quebec.
  2. Open the Provincial Tax tab.
  3. In the Credit Rate field, enter 0.1400 (instead of 0.1500).
  4. In the Income Tax Table section, in the Rate T column:
    1. First line, enter 14.00 (instead of 15.00)
    2. Second line, enter 19.00 (instead of 20.00)
  5. In the Income Tax Table section, in the Constant K column:
    1. Third line, enter 7,390 (instead of 6,405)
    2. Fourth line, enter 9,489 (instead of 8,503)
  6. Save the changes.

 

Changes to the Manitoba Basic Personal Amount

On March 7, 2023, the Government of Manitoba announced an increase to the basic personal amount, effective January 1, 2023. Subject to approval by the Government of Manitoba, the basic personal amount will increase from $10,855 to $15,000.

Since employees have received a lower basic personal amount for the first six months of the year, a prorated basic personal amount of $19,145 will apply for the remaining six months commencing with the first payroll in July.

Modification to the Government Tables in maestro*

 

maestro* > Time Management > Maintenance > Payroll > Governement Tables
  1. In the Government Tables option, display the details for the province of Manitoba.
  2. Open the Provincial Tax tab.
  3. In the Basic Deduction field, enter 19,145 (instead of 10,855).
  4. Save the changes.

 

Last modification: September 19, 2024