|
Home purchasers in most large Canadian centres have to add Land Transfer Taxes ("LTT") to their list of closing costs. Unless you live in Alberta, Saskatchewan, or rural Nova Scotia, Land Transfer Taxes (or property purchase taxes) are a basic fact of life.
Land Transfer Taxes, levied on properties changing hands, are the responsibility of the purchaser. Depending on where you live, the taxes can range from 0.5% to 2% of the total value of the property.
Use my Land Transfer Tax Calculator Tool below to estimate the LTT on your residential or commercial property purchase.
Many provinces have multi-tiered taxation systems and these can be complicated. If you purchase a property for $260,000 in Ontario, for example, 0.5% is charged on the first $55,000; 1% is charged on $55,000 to $250,000, and 1.5% is charged on $250,000 to $400,000.
For more information regarding Ontario Land Transfer Tax please visit the Ontario Ministry of Revenue Website and refer to Ontario Tax Bulletin LTT 2-2005.
|