CELIAPP in Quebec — tax differences?

The CELIAPP is federal, but Quebec recognizes the deduction at the provincial level. You get the double deduction (38-53% depending on bracket).

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FHSA 2026 — Tax-Free Home Savings Account | Assur360

Q: What is the difference between CELIAPP and RAP?

The RAP allows you to borrow from your RRSP (max $60,000) to be repaid over 15 years. The CELIAPP does not have to be repaid — the withdrawal is permanent and tax-free. You can combine both to accumulate $100,000 for a down payment.

Q: What happens if I don't buy a property?

You have 15 years from the opening of the CELIAPP or until you are 71 years old to buy. Otherwise, you can transfer the balance to your RRSP without penalty.

Q: Can I contribute to my spouse's CELIAPP?

No. Each person must open their own CELIAPP. But a couple can have $80,000 combined for the purchase of a property.

The FHSA (Tax-Free First Home Savings Account) is the most advantageous tax regime ever created in Canada for first-time buyers. Launched in 2023, it combines the tax deduction of the RRSP and the tax-free withdrawal of the TFSA — a unique winning duo for those who want to buy their first home or condo. Here’s everything you need to know in 2026, with examples in Quebec with figures.

First home purchased with FHSA in Quebec — With the FHSA, you can accumulate your down payment while reducing your tax liability.

$8,000

Annual cap

$40,000

Lifetime cap

15 years

Maximum duration

Tax on withdrawal*

What exactly is the FHSA?

The FHSA is a registered account of the Canadian federal government, accessible^{since April 1} , 2023. It is specifically aimed at first-time home buyers and allows:

💰

Tax deduction

Every dollar contributed reduces your taxable income for the year, like an RRSP. Typical savings: 25 to 53% depending on your bracket.

🏠

Tax-free withdrawal

If used for the purchase of a qualifying first home, the withdrawal of principal + interest is completely tax-free.

📈

Sheltered growth

The returns generated (interest, dividends, capital gains) are never taxed, regardless of the amount.

Are you eligible for an FHSA?

To open an FHSA in Quebec or elsewhere in Canada, you must meet the following 4 criteria :

1. Be 18 to 71 years old

The minimum age is 18 years old (19 years old in some provinces). The account must be closed in the year you turn 71.

2. Canadian Resident

You must be a tax resident of Canada to open and contribute to the FHSA. Also available in Quebec.

3. First-time buyer

You (or your spouse) have not lived in a principal residence that you owned in the last 4 calendar years.

4. Purchase intent

You plan to buy a property in Canada within 15 years of opening the account.

FHSA Limits 2026 — How Much to Contribute?

cap$

Year	Annual	Maximum possible stacking
2023	$8,000	8,000
2024	$8,000 (+ deferral)	$16,000
2025	$8,000 (+ deferral)	$24,000
2026	$8,000 (+ deferral)	$32,000
2027	$8,000 (+ Carry Forward)	$40,000 (MAX Lifetime)

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Tip — postponable but limited

Unlike the FHSA, the FHSA has a maximum carry-forward limit of 1 year to $8,000. If you open your FHSA in 2026 without having contributed before, you can only contribute $8,000 in the first year (not $24,000 combined).

Case in point—Tax savings in Quebec

Sarah, 28, lives in Montreal and earns $75,000/year. She contributes $8,000 to her FHSA in 2026. Here are its tax savings (QC marginal rate + combined federal ~38%):

Element	Amount
2026 FHSA Contribution $	8,000
Tax savings (38%)	+$3,040
If 5 years of contribution max ($40,000)	$40,000
Total Tax Savings	+$15,200
Estimated value with return 5%/year	~$46,000
Home Withdrawal (Tax-Free)	~$46,000

FHSA + LIFE INSURANCE

Protect your purchase project with life insurance

Are you saving to buy? Mortgage life insurance protects your family if the unexpected happens beforehand.

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Where to open an FHSA in Quebec?

Major financial institutions offer FHSAs in Quebec. Here are the most popular options in 2026, with their peculiarities:

🏦 Desjardins FHSA

Available at the cash register or via AccèsD. Fees depending on the account. Ideal for those who prefer local French-speaking support.

💻 Wealthsimple FHSA

100% online, with no brokerage fees. Ideal for those who want a passive portfolio (ETF) with minimal fees.

🏦 National Bank FHSA

Available in store and online. Good choice for existing NBC customers.

🏦 FHSA other banks

BMO, RBC, TD, CIBC, Scotia also offer the FHSA. Compare the fees and the interest rate offered.

FHSA vs TFSA vs RRSP — Which is better?

Criterion	FHSA	TFSA	RRSP
Tax Deduction	✓ YES	✗ NO	✓ YES
Tax-free withdrawal	✓ (purchase of 1st^property)	✓ Always	✗ Taxed on withdrawal
2026 Annual Cap	$8,000	$7,000	Revenue (max ~$33k)
Restrictions on use	Purchase of property	None	Ideal retirement (HBP possible)
For first-time buyer	★★★★★	★★★	★★★ (HBP)

→ See the complete comparison FHSA vs TFSA vs RRSP

Frequently asked questions about FHSA

What is the difference between CELIAPP and RAP (Home Buyers’ Plan)?

The RAP allows you to borrow from your RRSP (max $60,000) to buy your first home, to be repaid over 15 years. The CELIAPP, on the other hand, does not have to be repaid — the withdrawal is permanent and tax-free. You can combine both to accumulate up to $100,000 for a down payment ($40,000 CELIAPP + $60,000 RAP).

What happens if I don’t buy a property?

You have 15 years from the opening of the CELIAPP, or until you are 71 years old (whichever comes first), to buy. Otherwise, you can transfer the balance to your RRSP without penalty (it does not reduce your RRSP contribution room). Or withdraw it by paying tax on the amount.

Can I contribute to my spouse’s CELIAPP?

No. Each person must open their own CELIAPP. But if you buy together, you can each have a CELIAPP — so $80,000 combined for a couple. Tip: open both as soon as possible to maximize the contribution.

What interest rates do institutions offer on the CELIAPP?

The rate varies by institution and product chosen. CELIAPP savings account: 1-3% typical at major banks, up to 4-5% on promotion. CELIAPP investment (ETFs, funds, stocks): potential return 5-8%/year but with volatility. Wealthsimple often offers the best pure savings rates.

Which CELIAPP to choose: savings account or investment?

If you plan to buy within 3 years: choose a CELIAPP savings account (capital protected, predictable interest rate). If you plan to buy in 5-15 years: opt for a CELIAPP investment with diversified ETFs — the potential for return compensates for the volatility over this horizon.

CELIAPP in Quebec — are there tax differences?

The CELIAPP is a federal program, but Quebec recognizes the tax deduction at the provincial level — so you get a double deduction (federal + Quebec). This is great news: tax savings of 38-53% depending on your bracket, higher than in other provinces.

How to withdraw my CELIAPP to buy a house?

At the time of purchase, you fill out the RC725 form (CRA) and present your signed purchase agreement. The financial institution makes the tax-free withdrawal and sends it to you. You then have until October 1^st of the following year to acquire the property.

What protection should I have with my CELIAPP?

Beyond savings, two protections are strategic: (1) a term life insurance covering the future mortgage loan (often cheaper than the bank’s), and (2) a disability insurance to protect your ability to continue contributing and repaying if you are unable to work.

Why use Assur360 to plan your FHSA?

✓Partner platform of AMF-certified firms

✓Partner firms that are members of the Chamber of Insurance

✓100,000+ submissions processed

✓ Service in French in Quebec

Last updated: June 26, 2026