Manitoba Land Transfer Tax 2024

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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. Our calculator shows you how much you can expect to pay and why.

Manitoba Land Transfer Tax Calculator

Comparison of Manitoba Land Transfer Taxes with Other Provinces

History Manitoba Land Transfer Tax

Introduced by the Manitoba provincial government in 1987, the Land Transfer Tax is due upon closing and must be paid on top of the registration fee based on the market value of the property on the date of registration when buying a property or land. There is no tax paid on the first $30,000 and the rest is applied on a sliding-scale; The Land Title Office (LTO) collects and remits the tax when you visit the office to register the transfer of property. The requirement is derived from Part III of The Tax Administration and Miscellaneous Taxes Act. There is no tax rebate for first-time home buyers, but Manitoba’s fees are much lower than other provinces.

Manitoba Land Transfer Tax Rates & Rebates

Exemptions from the Tax

Under the following circumstances, the Land Transfer Tax does not have to be paid:

• If the transfer is farmland bought by a farmer or family farm corporation and the land will continue to serve farming purposes
• If the transferee is a registered charity
• If the transfer is made to benefit an Indian band under the Indian Act
• If the transfer is made to shareholders of a dissolved corporation
• If the transfer is made to a spouse for non-commercial property

There may be few other cases that are subject to exemptions and details can be found by contacting the Land Title Office.

Visit our Canada Land Transfer Tax page to find out more information about land transfer and other taxes across Canada.

The purchaser of the property pays the Land Transfer Tax. Generally, the buyer's real estate lawyer collects and pays the tax on behalf of their client. When registering the transfer, the purchaser must present an executed copy of the land transfer tax form to the LTO.

When purchasing a property, the land transfer tax is based on the property's fair market value being exchanged. Typically this is assessed using a comparative market analysis (CMA). It is worth noting that the tax is paid at the time of ownership transfer and not when the purchase agreement is finalized. This means if you wait a few months to transfer the title, this tax could increase as property values rise.

The land transfer tax must be paid at registration by cash, bank transfer or cheque. Alternatively, the tax can be paid online or in person at a Teranet Manitoba branch.

According to the City of Winnipeg, interest is charged on the unpaid tax at the rate of 2.5% per month from the due date of the tax until it is paid in full.