The best kinds of dreams are the ones floating right in front of you. The worst kinds of dreams are the ones that end as soon as you wake up. While it may not cause your home ownership dreams to come to an end, discussing things like Land Transfer Tax will have you floating back to reality in no time.
In an attempt to help you get back to your dreams of walk-in closets and luxurious living spaces, we have summarized the most important Land Transfer Tax facts you need to know so you can get back to the dream world as soon as possible.
What is Land Transfer Tax?
This is the tax you pay when you buy land or an interest in land in Ontario. This includes any buildings, buildings to be constructed, and fixtures.
Who Pays Land Transfer Tax?
Once the transaction closes, the buyer is responsible for paying the land transfer tax.
What are the Land Transfer Tax Rates?
0.5% up to and including $55,000
1% above $55,000 up to and including $250,000
1.5% above $250,000
2% above $400,000 where the land contains one or two single family residences.