On February 15, 2017, City of Toronto Council approved changes to the Municipal Land Transfer Tax (MLTT) rates.

Current MLTT Rates

Municipal land transfer tax applicable to properties other than those with one or two single family residences (“non-residential properties”) is currently assessed on the “value of consideration” as follows:

  • 0.5% of the value up to and including $55,000;
  • 1.0% of the value which exceeds $55,000 up to and including $250,000;
  • 1.0% of the value which exceeds $250,000 up to and including $400,000;
  • 1.5% of the value which exceeds $400,000 up to and including $40 million; and
  • 1.0% of the value which exceeds $40 million.

Increases to MLTT Rates

Effective March 1, 2017, the MLTT rate for non-residential properties will increase from 1.0% to 1.5% of the value of consideration which exceeds $250,000 up to and including $400,000, and to 2.0% of the value of consideration which exceeds $400,000.

Practical Considerations

The increased MLTT rates apply to all transactions registered on or after March 1, 2017. This will harmonize the MLTT rates with the previously announced Ontario Land Transfer Tax (LTT) rate changes, which were implemented January 1, 2017 and are summarized here.