Ontario Cracking Down on Foreign Real-Estate Speculation with the Most Comprehensive Non-Resident Speculation Tax in Canada

• By Mike Heddle
• Posted Monday, Apr 11, 2022 12:30 pm

Ontario Cracking Down on Foreign Real-Estate Speculation with the Most Comprehensive Non-Resident Speculation Tax in Canada

TORONTO — As part of its commitment to tackle Ontario’s housing crisis by prioritizing Ontario families and homebuyers, the government is increasing the Non-Resident Speculation Tax rate to 20 per cent, closing loopholes to fight tax avoidance and expanding the tax to apply provincewide effective March 30, 2022.

The changes made to establish the tax as the most comprehensive in Canada were announced as the government prepares to unveil the next components of its housing supply action plan designed to build more homes in Ontario.

Currently, the Non-Resident Speculation Tax rate is 15 per cent and only applies to homes purchased in the Greater Golden Horseshoe Region by foreign nationals, foreign corporations and taxable trustees. Increasing the tax rate to 20 per cent and expanding the tax to apply provincewide will strengthen efforts to deter non-resident investors from speculating on Ontario’s housing market and help make home ownership more attainable for...[READ MORE]