Ontario vs Quebec Estate Settlement for a $750K Mixed Portfolio in 2026: Probate Fees, Notarial Costs, and the Deemed Disposition Tax Gap

The Scenario: Same $750K Estate, Two Provinces

A 68-year-old widower dies in 2026. No surviving spouse — wife predeceased him three years ago. Two adult children, ages 38 and 35, inherit everything. He earned $45,000 of pension income in his final year before death. The estate composition is identical in both scenarios — only the province of residence changes.

No principal residence exemption applies to the cottage — the deceased's principal residence was a condo that was sold during his lifetime. No spousal rollover is available because there is no surviving spouse. Both children are in the ~44% marginal bracket in their own right.

Step 1: The Deemed Disposition — Identical in Both Provinces

Under section 70(5) of the Income Tax Act, the deceased is deemed to have disposed of all capital property at fair market value immediately before death. This is a federal rule. It applies the same way whether the deceased lived in Ottawa or Gatineau — two cities separated by a bridge and a $10,500 probate bill.

Step 2: The Income Tax Bill — Ontario vs Quebec

With approximately $395,000 of taxable income on the terminal return, both provinces push the deceased well into the top marginal bracket. But the top rates are almost identical.

The income tax difference between Ontario and Quebec on a $395,000 terminal return is roughly $1,000. This is not where the planning opportunity lives. The income tax is driven by CRA's federal rules (deemed disposition, RRSP collapse) plus the top provincial rate — and Ontario and Quebec happen to have nearly identical top rates. The estate-planning gap between these provinces is not about income tax. It is about probate.

Step 3: Probate — Where the $10,500 Gap Opens

Ontario: Estate Administration Tax

Ontario's probate fee is formally called the Estate Administration Tax. The formula: $0 on the first $50,000, then $15 per $1,000 (1.5%) on everything above $50,000. On a $750,000 estate where all assets pass through the will:

If the RRSP had a named beneficiary (the adult children, directly), the RRSP bypasses the will and probate drops to ($550,000 − $50,000) × $15/$1,000 = $7,500. That one beneficiary designation form saves $3,000. But even the reduced $7,500 figure is substantially more than what Quebec charges.

Quebec: Notarial Will = $0 Probate

Quebec has a fundamentally different system. If the deceased had a notarial will — a will signed before a Quebec notary and one witness — the will is self-proving. No court involvement. No probate application. No probate fee. $0.

If the deceased had a holograph will (handwritten) or a will made before witnesses but not notarized, it must be verified by the Superior Court. The court fee is $65–$107 — still negligible compared to Ontario.

But Quebec Has Notarial Liquidation Fees

Quebec estates don't pay probate, but they do pay a liquidator. The liquidator is the Quebec equivalent of an executor — but unlike Ontario, where an executor often serves informally (family member, no fee beyond probate), Quebec's notarial system typically involves a professional notary handling estate administration. Typical notarial liquidation fees on a $750K estate: $3,000–$8,000, depending on complexity.

The net administrative-cost gap: roughly $3,000–$7,500 in Quebec's favour. On a $750K estate, that gap matters — but it is far smaller than the $10,500 headline difference suggests. Ontario executors who also charge a fee (the standard is up to 2.5% of estate value in Ontario) can push Ontario's total administrative burden even higher. Quebec's notarial system bundles the equivalent service into the liquidation fee.

The Full Side-by-Side: Ontario vs Quebec on $750K

Quebec's Civil-Law Reserve: When the Will Doesn't Control Everything

Ontario is a common-law jurisdiction. A testator can leave their estate to anyone — a charity, a friend, one child and not another. Adult children in Ontario have no automatic right to a parent's estate. If the will says “everything to my cat shelter,” Ontario courts will enforce it (subject to the dependent's relief provisions in the SLRA, which apply only to actual dependants).

Quebec is different. Under the Code civil du Québec, surviving spouses have mandatory rights that can override a will:

• Family patrimony (articles 414–426): the surviving spouse has an automatic right to half the value of certain family assets — family residences, household furnishings, vehicles, and the accumulated value of pensions and registered retirement plans (RRSPs, RRIFs). This applies regardless of the will. On this $750K estate, the $200K RRSP and the cottage (if it was used as a family residence) could be subject to patrimony partition.
• Compensatory allowance (article 427): if one spouse's contribution enriched the other (e.g., unpaid labour in a family business), the surviving spouse can claim additional compensation from the estate.
• Right to claim support: the surviving spouse can claim alimentary support from the estate if they are in need.

Decision Table: Cottage vs. RRSP — Which Asset to Leave to Which Child

With two children inheriting a cottage and an RRSP, the question is which child gets which asset. The answer depends on province — and it is not intuitive.

In Ontario, the beneficiary designation on the RRSP is a $3,000 probate-saving lever. In Quebec, it is a convenience lever (faster payout), not a cost lever. If you are in Ontario and your estate includes both a cottage and registered accounts, always name beneficiaries on the registered accounts. It is the simplest probate reduction available — one form, five minutes, $3,000 saved. For a deeper look at Ontario probate mechanics, see our guide to inheriting a $1M Ontario estate.

What the Executor Needs to File in Each Province

The executor's to-do list differs meaningfully between Ontario and Quebec. In Ontario, the executor applies for a Certificate of Appointment of Estate Trustee, which requires disclosing the full estate value and paying the Estate Administration Tax. In Quebec, the liquidator presents the notarial will to financial institutions directly — no court application needed.

Quebec's liquidator has one extra layer: the provincial tax return (TP-646) filed with Revenu Québec, plus a separate provincial clearance certificate. Ontario executors file only the federal return — Ontario piggybacks on the federal assessment. This additional filing in Quebec is part of why notarial liquidation fees tend to be higher than Ontario executor costs on simpler estates.

Three Strategies That Save Money in Ontario but Not Quebec (and Vice Versa)

1. Beneficiary Designations (Ontario advantage)

In Ontario, naming a beneficiary on an RRSP, RRIF, TFSA, or life insurance policy removes that asset from the probatable estate. On a $200K RRSP, that saves $3,000 in probate. In Quebec, there is no probate to bypass (with a notarial will), so the designation is a convenience — faster payout — not a cost saving.

2. Joint Tenancy With Right of Survivorship (Ontario advantage, Quebec limitation)

In Ontario, real estate held in joint tenancy with right of survivorship passes outside the will and avoids probate. On a $300K cottage held jointly with one child, this saves $3,750 in probate. Quebec does not recognize joint tenancy with right of survivorship in the same way — property held jointly in Quebec typically becomes undivided co-ownership (indivision), and the deceased's share passes through the estate. This is one area where Ontario's common-law rules offer a planning option that Quebec's civil law does not.

3. Notarial Will (Quebec advantage)

The notarial will is Quebec's primary probate-avoidance tool. It costs $800–$1,500 to have a notary draft it — a one-time cost that eliminates probate entirely. Ontario has no equivalent. Multiple wills (a primary will for probatable assets and a secondary will for private company shares) can reduce Ontario probate, but this is a more complex and expensive strategy. For a broader comparison of how probate works across all provinces, see our complete provincial probate fee comparison.

Who Gets What: Net Distribution to the Two Children

In our scenario, both children inherit equally. Here is what they each actually receive after all costs, in each province:

Each child receives roughly $2,000–$4,500 more from the Quebec estate than the Ontario estate. The difference is real, but it is driven entirely by administrative costs — the income tax is functionally identical. For a deeper look at how Quebec succession law treats adult children differently, see our guide to inheriting a $600K Quebec estate.

The Spousal Rollover: When It Changes Everything

Our scenario has no surviving spouse. But if the wife had survived, the numbers shift dramatically — in both provinces equally. Under the spousal rollover rules (sections 70(6) and 73(1) of the Income Tax Act), all capital property and registered accounts can transfer to the surviving spouse with no immediate tax. The cottage, the RRSP, the equities — all of it rolls over at the original ACB, deferring the entire ~$130,000 tax bill until the surviving spouse dies or sells the assets.

The spousal rollover is a federal rule, not a provincial one. It saves the same ~$130,000 whether the couple lives in Toronto or Montreal. On our $750K estate with a surviving spouse, total costs would drop to just the probate/admin fees: $10,500–$13,000 in Ontario, $0–$8,000 in Quebec. The income tax is deferred entirely. This is why the spousal rollover is the single most powerful tax-deferral tool in Canadian estate planning — and why the death of the second spouse is where the real tax bill lands. For a detailed look at how these deferrals unwind, see our inheritance tax Canada 2026 complete guide.

Province of Residence Is a Lever — But Not a Reason to Move

On a $750K estate, settling in Quebec saves $3,000–$7,500 in administrative costs versus Ontario. On a $2M estate, the gap widens to $20,000+. Province of residence is one of the largest single levers in Canadian estate-planning costs — Alberta caps probate at $525 regardless of estate size, Manitoba charges $0, and Quebec's notarial will eliminates it entirely.

But relocating provinces solely for probate savings is rarely the right call. Family, healthcare, climate, CPP/QPP benefits, and income tax rates all dominate the probate savings on most estates. The point is not “move to Quebec.” The point is: know what your province charges, plan around it, and use every lever your province offers — beneficiary designations in Ontario, notarial wills in Quebec, spousal rollovers everywhere.

For a complete breakdown of probate fees in all ten provinces and three territories, see our probate fees Canada provincial comparison. And for a worked example of how the cottage deemed disposition works in isolation, see our cottage deemed disposition guide.