Toronto Land Transfer Tax 2020
City of Toronto Flag 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. The Land Transfer Tax cost will be uniform accross Ontario except for it's capital city Toronto and Toronto's surrounding regions including North York, Etobicoke and Scarborough. See below for more details.
Toronto Land Transfer Tax Calculator
| Total Tax | $ | 0.00 | |
|---|---|---|---|
| Provincial | $ | 0.00 | |
| Municipal | $ | 0.00 | |
| Speculation Tax | $ | 0.00 | |
| Rebate | $ | 0.00 |
Land Transfer Tax of Major Canadian Cities 2020
| Toronto at a Glance | |
|---|---|
| Province | Ontario |
| Settled | 1750 |
| Established | 1793 |
| Incorporated | 1834 |
| Population | 2,731,571 |
| City Area | 630.20 km 2 (243.32 sq mi) |
Comparison of Ontario Land Transfer Taxes with Other Provinces
Lower than the Major Banks
* For mortgages of at least $500,000 with down payment under 20%.
WOWA assumes no liability for the accuracy of information presented.
†For mortgages of at least $500,000 over a 25-year amortization period.
Other Toronto Taxes
Land Transfer Tax is just the start. When you own your dream property, you must pay a yearly property tax fee. This fee is composed of both municiple and provincial parts. For your convenience we have included Toronto's property tax rates from the past 3 years in the table below.
Find out more about Toronto property taxes.| Residential Property Tax Rate for Toronto from 2018 to 2020 | |||
|---|---|---|---|
| Year | Municipal Rate | Educational Rate | Final Tax Rate |
| 2020 | 0.440230% | 0.153000% | 0.599704% |
| 2019 | 0.451568% | 0.161000% | 0.614770% |
| 2018 | 0.463237% | 0.170000% | 0.635505% |
History of Toronto’s Property Tax
First introduced in 1849, Ontario’s Property Tax was created with the Municipal Act (or Baldwin Act) as the act constituted a municipal structure with cities, towns, and villages along with the creation of property tax that municipalities must collect that would also support schools. After the 1960s, the post-war boom led to a series of reforms to the tax system throughout the 1990s for which new elements such as exemptions under certain conditions were modified. Up to this day, Ontario’s tax system has experienced steady growth and no major changes.
Toronto itself has one of the lowest property tax rates in the province as it is more densely populated compared to the other cities. The tax is calculated by multiplying the current year property-value assessed by the Municipal Property Assessment Corporation (MPAC) with the total tax rate which consists of:
- Council-approved City Tax Rate
- City Building Fund Levy Rate
- Education Tax Rate as set by the Ontario Provincial Government
Payment Methods:
The Pre-Authorized Tax Payment Tax Bill (PTP) authorizes your financial institution to directly withdraw tax payments and send them to the City before the due date. You can also mail cheques, pay through online banking, and put your payments in drop boxes at select Tax Offices. If a mortgage company takes care of your tax payments, they will either receive your statements directly or you will have to forward your tax statement to their office. You will keep only the final property tax bill for your records.
Property Tax Relief Programs
Toronto offers Property Tax Relief Programs for certain groups including:
- Low-income seniors
- Low-income persons with disabilities
- Tax appeals for owners whose property are undergoing major construction
- Registered charities
More details can be found on the Property Tax, Water & Solid Waste Relief and Rebates page
Visit our Canada Land Transfer Tax page to find out more information about land transfer and other taxes accross Canada.
* Rates shown are on approved credit and subject to change without notice.