TP-776.1.ND-V: Tax Credit for Recent Graduates Working in Remote Resource Regions

Did you graduate and receive a recognized secondary or post-secondary diploma* within the past two years, and are now living and working in a remote resource region of Québec? If that’s the case, you might be able to claim as much as 40% of your salary as a tax credit by completing form TP-776.1.ND-V! This means you can potentially claim up to $3,000 per year, and as much as $8,000 to $10,000 in your lifetime. Visit the Revenu Québec website to find out how much of your salary you’re allowed to claim.

For the purposes of this credit, a recognized diploma can be a Diploma of Vocational Studies, an Attestation of Vocational Specialization (AVS), or an Attestation of Vocational Education (AVE). This list however, isn’t complete. For a full list of recognized secondary diplomas, refer to page 3 of form TP-776.1.ND-V.

If you live in one of the following regions, regional county municipalities (MRCs), and cities you’ll be able to claim this credit:

  • Bas-Saint-Laurent (region 01)
  • Saguenay–Lac-Saint-Jean (region 02)
  • Abitibi-Témiscamingue (region 08)
  • Côte-Nord (region 09)
  • Nord-du-Québec (region 10)
  • Gaspésie–Îles-de-la-Madeleine (region 11)
  • MRC d’Antoine-Labelle
  • MRC de La Vallée-de-la-Gatineau
  • MRC de Mékinac
  • MRC de Pontiac and
  • La Tuque, La Bostonnais and Lac-Édouard

Keep in mind that your work must be related to the field of study you recently graduated from, and for which you received a recognized diploma. Also, you can’t claim this tax credit if you were self-employed.

Note: Revenu Québec requires that you complete a separate TP-776.1.ND-V form for each eligible employment. Unfortunately, H&R Block’s tax software currently allows you to complete this form once. If you need to complete more than one TP-776.1.ND-V this year, we recommend that you contact one of our retail offices and speak to a Tax Expert – they’ll be happy to help! (fees will apply).

The cumulative, or lifetime amount of your tax credit

Depending on your situation, you’re entitled to one of two cumulative amounts for this tax credit. If one of the following situations applies to you, the cumulative amount that you’re entitled to is $10,000:

  • You began to hold the eligible employment after March 20, 2012 and within the 24-month period following either:
    • the date on which you successfully completed training that led to a recognized post-secondary diploma or
    • the date on which you were awarded, by a university, a recognized diploma that’s a master’s or doctoral degree, after having written an essay, dissertation, or thesis required to earn such a diploma
  • You meet all of the following conditions:
    • You began holding eligible employment after March 20, 2012
    • In a previous year, you were eligible for a tax credit respecting an eligible employment that entitled you to the cumulative amount of $10,000
    • You were a resident in a remote resource region in Québec beginning at the end of the previous year and ending at the end of the year for which this form is being filed
    • Your employment is related to the field of specialization in which you received a recognized post-secondary diploma

If neither of the above situations apply to you (but you did hold eligible employment), the cumulative amount to which you’re entitled to is $8,000.

What does Revenu Québec consider “eligible salary or wages”?

Basically, eligible salary or wages refers to the income earned from all eligible employment throughout the year. For the purposes of this tax credit, eligible employment refers to the work performed by an individual for a business located in a remote resource region of the province. The work must be related to the specialty in which he or she received training that led to them earning a recognized diploma.

Where do I claim this?

Follow these steps in H&R Block’s tax software to file your 2016 taxes:

Before you begin, make sure you told us that you lived in QUÉBEC on December 31, 2016.

  1. On the PREPARE tab, click the LET’S TALK ABOUT 2016 icon.

  2. Select the checkbox labelled I was a student or I wasn't a student, but I have unused education amounts.

  3. Click the STUDENTS icon. You will find yourself here:

  4. Under the CREDIT AMOUNTS heading, select the checkbox labelled Tax credit for recent graduates working in remote resource regions (TP-776.1.ND-V), then click Continue.

  5. When you arrive at the page for the Tax credit for recent graduates working in remote resource regions, enter your information into the tax software.