When purchasing a property in Toronto, you must pay both the Ontario Land Transfer Tax (OLTT) and the Municipal Land Transfer Tax (MLTT). Both are calculated on a marginal, tiered system based on the purchase price. First-time buyers may qualify for eligible rebates on both. [1, 2]
Because you pay both provincial and municipal taxes, your marginal rate doubles what is typically seen outside Toronto. For most standard residential properties, the combined marginal rates apply to specific price thresholds: [1]
Up to $55,000: 1.0% Combined (0.5% OLTT + 0.5% MLTT)
$55,001 to $250,000: 2.0% Combined (1.0% OLTT + 1.0% MLTT)
$250,001 to $400,000: 3.0% Combined (1.5% OLTT + 1.5% MLTT)
$400,001 to $2,000,000: 4.0% Combined (2.0% OLTT + 2.0% MLTT)
$2,000,001 to $3,000,000: 5.0% Combined (2.5% OLTT + 2.5% MLTT) [1, 2, 3]
Luxury Residential Brackets
For homes with one or two single-family residences valued above $3 million, Toronto applies graduated MLTT rates in addition to provincial rates. These municipal brackets are: [1]
If you are a Canadian citizen or permanent resident who has never owned a home anywhere in the world, you can claim refunds to reduce your closing costs. [1, 2]
Provincial Rebate: Up to $4,000
Municipal Rebate: Up to $4,475 [1]
Non-Resident Speculation Tax
If you are not a Canadian citizen or permanent resident (or are a foreign corporation), you may also be subject to the Non-Resident Speculation Tax. [1]