Land Transfer Tax – Ontario

The Province of Ontario charges a tax on residential property transactions that is calculated as follows:

• 0.5% on the first $55,000 of the purchase price,
• plus1.0% on the amount exceeding $ 55,000 up to and including $250,000,
• plus1.5% on the amount exceeding $250,000 up to and including $400,000,
• plus2.0% on the amount over $400,000.

There are certain purchase situations where refunds are available to purchases involving new properties and first-time home buyers.

Land Transfer Tax – Toronto
The City of Toronto charges a tax on residential property transactions within its city limits that is calculated as follows:

• 0.5% of the amount of the purchase price up to $55,000.00,plus
• 1.0% of the purchase price between $55,000.00 and $400,000.00, plus
• 2.0% of the purchase price above $400,000.00

First time home buyers of newly constructed and resale homes of $400,000 and under are exempted from the Toronto land transfer tax. First time buyers of newly constructed and resale homes over $400,000 must pay the tax, less $3,725.