Toronto Double LTT: Toronto is the only city in Canada where buyers pay both a provincial and a municipal land transfer tax. The combined cost can be significant — on a $850,000 home, expect to pay over $28,000 total.
Ontario Provincial LTT Rates
| Purchase Price | Rate |
|---|
| First $55,000 | 0.5% |
| $55,001 – $250,000 | 1.0% |
| $250,001 – $400,000 | 1.5% |
| $400,001 – $2,000,000 | 2.0% |
| Above $2,000,000 | 2.5% |
First-time buyer rebate: up to $4,000 (rebates full tax on homes up to ~$368,000)
Toronto Municipal LTT Rates
| Purchase Price | Rate |
|---|
| First $55,000 | 0.5% |
| $55,001 – $250,000 | 1.0% |
| $250,001 – $400,000 | 1.5% |
| $400,001 – $2,000,000 | 2.0% |
| Above $2,000,000 | 2.5% |
First-time buyer rebate: up to $4,475 (rebates full tax on homes up to ~$400,000)
Frequently Asked Questions
Does every Toronto buyer pay two land transfer taxes?+
Yes. All Toronto property purchases are subject to both the Ontario provincial land transfer tax and the Toronto municipal land transfer tax. This applies regardless of whether you're buying a condo, house, or commercial property within Toronto's city limits. Only properties outside Toronto pay just the provincial tax.
How much is the first-time buyer rebate in Toronto?+
First-time buyers in Toronto can receive two separate rebates: up to $4,000 on the Ontario provincial LTT and up to $4,475 on the Toronto municipal LTT, for a combined maximum rebate of $8,475. To qualify, you must never have owned a home anywhere in the world, be a Canadian citizen or permanent resident, and occupy the home within 9 months of closing.
When is land transfer tax paid?+
Land transfer tax is paid on the closing date of your purchase, not at time of offer. Your lawyer will collect the funds and remit them to the provincial and municipal governments as part of the closing costs. Budget for this along with legal fees and home inspection costs.
Are newly built homes subject to Toronto's LTT?+
Yes, newly built homes and condos are fully subject to both the Ontario provincial LTT and Toronto municipal LTT. There is no exemption for new construction. The tax is calculated on the purchase price including GST/HST in most cases — confirm with your lawyer.
Can I include LTT in my mortgage?+
No. Land transfer tax cannot be rolled into your mortgage. It must be paid in cash at closing. This is one reason financial advisors recommend having at least 1.5–4% of the purchase price set aside for closing costs in addition to your down payment.
Do Ottawa and Mississauga buyers pay Toronto's municipal LTT?+
No. Toronto's municipal land transfer tax only applies within the City of Toronto boundaries. Buyers in Ottawa, Mississauga, Brampton, Hamilton, and all other Ontario municipalities outside Toronto pay only the Ontario provincial land transfer tax.