Land Transfer Tax Calculator 2021
What is land transfer tax?
When buying a home, many people overlook the significant cost of land transfer tax. When you acquire a property (and the land it rests on), you must pay a tax to the government after the transaction closes. The amount paid depends on the value of your property, but almost always forms the largest portion your closing costs.
Our calculator shows you how much you can expect to pay and why. If you are a first-time home buyer, we show you how much you can expect to save in government-sponsored rebates, reducing the impact of your land transfer fees.
| Total Tax | $ | 12,950.00 | |
|---|---|---|---|
| Provincial | $ | 6,475.00 | |
| Municipal | $ | 6,475.00 |
Note: In addition to the tax calculated above, the city of Toronto levies an administration fee of $75 + HST.
Detailed Breakdown
Toronto Land Transfer Tax
Toronto levies an additional land transfer tax equal in value to the Ontario land transfer tax. You will also need to pay an administration fee of $75 + HST.
Toronto offers a land transfer tax rebate of up to $4,475 for first-time home buyers.Since you have not indicated that you are a first-time buyer, you are ineligible for a rebate.
Ontario Land Transfer Tax
Ontario levies a land transfer tax by applying a tax-bracket system to your property’s purchase price. The full breakdown of your provincial land transfer tax is shown below.
| Tax Bracket | Marginal Tax Rate | Marginal Purchase Price | Marginal Tax | ||||
|---|---|---|---|---|---|---|---|
| First $55,00055k | 0.5% | × | $ | 55,00055k | = | $ | 275275 |
| $55,00055k to $250,000250k | 1.0% | × | $ | 195,000195k | = | $ | 1,9501.95k |
| $250,000250k to $400,000400k | 1.5% | × | $ | 150,000150k | = | $ | 2,2502.25k |
| $400,000400k to $2,000,0002.00m | 2.0% | × | $ | 100,000100k | = | $ | 2,0002.00k |
| Over $2,000,0002.00m | 2.5% | × | $ | 00 | = | $ | 00 |
| Total Tax | $ | 6,4756.48k | |||||
Ontario offers a land transfer tax refund of up to $4,000 for first-time home buyers.Since you have not indicated that you are a first-time buyer, you are ineligible for a rebate.
Comparison of Provincial Land Transfer Taxes for a $500K Property
Provincial Land Transfer Tax Calculators
Land Transfer Taxes for Other Provinces
Ontario
Ontario offers a land transfer tax refund of up to $4,000 for first-time home buyers.
British Columbia
BC requires its home buyers to pay a Property Transfer Tax (PTT) when purchasing a new home. The tax is valued at:
- 1% on the first $200,000
- 2% on the balance up to and including $2,000,000
- 3% on the balance greater than $2,000,000
- If the property is residential, a further 2% on the portion greater than $3,000,000
There are several conditions that would allow you to be exempt from this tax. Foreign buyers have to pay an additional 15% of the tax.
If you are a first-time home buyer, British Columbia offers a land transfer tax refund for properties worth below $500,000. The refund covers the full tax amount if your asking price is $475,000 or below. Otherwise, the refund is partial.
For more information, see the official regulations.
Manitoba
Manitoba does not charge Land Transfer Tax for property valued under $30,000 but increases up to charge 2.0% for property valued over $200,000. There may be cases that allow buyers to be subject to exemptions and details can be found by contacting the Land Title Office. In addition to the above bracket-based system, Manitoba levies an additional $70 fee.
Québec
Quebec charges a Land Transfer Tax called the Welcome Tax that is different for Montreal but the same for the rest of Quebec. It increases to up to 1.5% for property valued over $258,600 and for Montreal increases up to 3.0% for property valued over $2,000,000.
The rates above are accurate for fiscal year 2020. You are exempt from the land transfer tax if your property is worth under $5,000, or if you are transferring the property to an immediate family member.
The Montreal Home Ownership Program provides financial assistance to first-time home buyers amongst other tax-exemption possibilities. You may qualify for both a land transfer tax rebate as well as a lump-sum subsidy when purchasing your first home in Montreal. For your convenience, we have provided the table below.
| Home-Buyer Requirements | Eligible Property Values | Lump-Sum Payment | Welcome Tax Refund |
|---|---|---|---|
| Single Buyer without Children | Under $200,000 | $2250 | |
| Household without Children (More than one buyer) | Under $250,000 | $2250 | |
| Households with minimum one child under 18 | Under $280,000 (Increases up to $360,000 if property has more than 3 bedrooms) | $5,000 (Increases up to $6,250 if property has living spaces of more than 1033 square feet) | 100% |
| Households who already bought property prior to 2018 and has at least one child under 18 | Under $360,000 (Must have more than three bedrooms) | 100% |
New Brunswick
New Brunswick charges a land transfer tax equal to 1% of your purchase price.
Nova Scotia
Nova Scotia does not charge a provincial land transfer tax outside of Halifax. Specific cities may charge a land transfer tax, generally around 1%.
Newfoundland and Labrador
Newfoundland and Labrador charges a land transfer tax of $100, plus 40 cents for every $100 of purchase price over $500 (rounded down).
Prince Edward Island
The PEI transfer tax exemption waives the property transfer tax for first-time home buyers. You must have resided in PEI for 183 consecutive days before purchasing your home, or have occupied your new purchased home for at least 183 consecutive days.
There is no limit on the purchase price for first-time home buyers to receive a refund. Prior to 2016, the purchase price limit to be eligible for the refund was $200,000.
Non-first-time home buyers are also exempt from PEI’s real property transfer tax if the cost of the property being transferred is below $30,000.
Alberta
Alberta does not charge a land transfer tax. However, you will be charged a property registration fee.
The property registration fee has two components:
- Property Value Component: $50, plus $1 for every $5,000 of purchase price (rounded up).
- Mortgage Component: $50, plus $1 for every $5,000 of your mortgage amount (rounded up).
Your total registration fee is the sum of the two fees above. In our calculations, we assume a 20% down payment.
Saskatchewan
Saskatchewan charges a land transfer tax equal to 0.3% of your purchase price. Exceptions apply if your property is worth $8,800 or less.
Yukon
Land Transfer Fees in Yukon consists of three flat fees: an Assurance Fee if the value of your property has increased from the last time its ownership was transferred, a Transfer Fee that starts out being $50 for property valued under $100,000 and increases up to $650 for property valued over $10,000,000, and a Mortgage Fee with costs almost equivalent to the cost of the Transfer Fee.
Nunavut
Similar to the Northwest Territories, there is no Land Transfer Tax for Nunavut but there is a charge of two fees: a registration fee of $1.50 for every $1000 of property value with a base fee of $60 if the property is under $1,000,000 and $1 for every $1000 that surpasses it paid to the Legal Registries Office, plus a fee to register mortgage that costs $1 for each $1000 of the mortgage amount with a base fee of $40.
Northwest Territories
There is no Land Transfer Tax for the Northwest Territories, but there is a charge of two fees that make up the process of Land Transfer: $1.50 for every $1000 of property value with a base fee of $100 if the property is under $1,000,000 and $1 for every $1000 that surpasses it, along with a mortgage fee of $1 for every $1000 of the mortgage amount with a base fee of $80.
Frequently Asked Questions
Am I a first-time home-buyer?
Each province has their own definitions of a First-Time Home Buyer. Generally:
- You must be at least 18 years of age.
- You must be a Canadian citizen or permanent resident.
- You must occupy the property as your principal residence.
- You cannot have owned a home, or a stake in a home, anywhere in the world, at any time.
- Your spouse/common-law partner cannot have owned a home while they were your partner.
How do I claim the refund?
You may claim an immediate refund (or exemption from the tax) at the time of registration.
I did not claim a rebate at the time of registration. Am I still eligible?
Yes. You may have up to an 18 month period after the registration of your new home to apply for a refund.
Can I get a rebate if I am not a citizen or permanent resident of Canada?
Yes, in certain cases. After the purchase of a property, you have an 18-month window following registration to obtain a rebate. If you gain citizenship or permanent residency during this period, you can claim the full rebate amount.