Planning to work remotely from Montreal. Should I pay taxed @ QC or ON rates?

The Ontario deduction for rent is for rent paid only in Ontario. So, you unfortunately cannot claim the rent in this case. She can't claim it either.

In order to claim the rent in Montreal, your daughter would have to be considered a resident of the province of Quebec, and if she's just there temporarily in order to attend school, she would still be considered a resident of her home province. http://www.cra-arc.gc.ca/E/pub/tg/5006-n...

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