On transfers of residential real property in Ontario, Ontario Land Transfer Tax (LTT) is calculated on the purchase price (less a calculation regarding HST, if the property purchased is a newly built home). The Ontario land transfer tax is payable by the purchaser on the purchase price upon registration of a Transfer/Deed of Land in the Ontario Land Registry Office on closing based on the following upward sliding scale:
- 0.5% on the first $55,000 of the purchase price, plus
- 1.0% on the amount exceeding $ 55,000 up to and including $250,000, plus
- 1.5% on the amount exceeding $250,000 up to and including $400,000, plus
- 2.0% on the amount over $400,000.(Be aware that for non-residential properties, such as industrial or commercial real estate, there is no 2% charge since the tax rate is 1.5% for any amount of purchase price over $250,000 regardless of the total price.)
CALCULATE YOUR ONTARIO LAND TRANSFER TAX: (based on purchase price of a resale residential home. Please note that this calculation is based on a resale property and not on a newly constructed home which typically includes HST in the price; see the notes below if you are buying from a builder.)
NOTE: If you are buying new from the builder, the Ontario Land Transfer Tax is calculated on a price which is net of HST and therefore the Ontario Land Transfer Tax will be slightly less for a new home than for a resale home with the same price.