On December 7, 2017 and January 31, 2018, City Council approved the regulation of short-term rentals in Toronto.
The City’s zoning bylaw amendments to permit short-term rentals as a use were appealed to the Local Planning Appeal Tribunal (LPAT). On November 18, 2019 the LPAT issued a ruling that dismissed the appeals and upheld City Council’s adopted zoning bylaw amendments for short-term rentals.
The short-term rental zoning bylaw amendments are now in effect. The amendments now permit short-term rentals (any rental that is less than 28 consecutive days) across the city in principal residences. Within their principal residence, people can rent up to three rooms or their entire home.
With this decision, the Licensing and Registration Of Short-Term Rentals bylaw has also come into effect. The City is now moving forward with the implementation of the bylaw, as adopted by City Council.
Once the licence and registration system is ready, short-term rental companies will be required to obtain a licence and operators will be required to register with the City and pay the Municipal Accommodation Tax (MAT) of four per cent.
The City is planning to implement the regulations for short-term rentals in phases. New online registration, licensing and enforcement systems are being put in place. For more information please see implementation details below.
If you would like to receive information about the short-term rental registration and licensing program, please sign up for E-updates below.
The Licensing and Registration Of Short-Term Rentals bylaw defines a short-term rental as all or part of a dwelling unit in the City of Toronto used to provide sleeping accommodations for any rental period that is less than 28 consecutive days in exchange for payment. This includes existing B&Bs but excludes hotels, motels and accommodations where there is no payment (for example, staying with friends and family, and couchsurfing).
A short-term rental company is any company facilitating or brokering short-term rental reservations online and receiving payment for this service. Short-term rental operators are people renting their homes or rooms on a short-term basis.
Short-term rental companies will be required to be licensed with the City of Toronto. A short-term rental company is any company facilitating or brokering short-term rental reservations online and receiving payment for this service.
Short-term rental operators (people renting their homes on a short-term basis) will be required to register with the City of Toronto.
On March 23, 2020 Mayor John Tory declared an Emergency in the City of Toronto as part of the City’s ongoing efforts to stop the spread of COVID-19. Many City services have been affected by the COVID-19 pandemic as resources have been redirected to emergency response and recovery. This has impacted the short-term rental bylaw implementation timelines.
The City is currently working to determine new implementation timelines for the different phases identified below. This page will be updated as more details are available, with updated timelines expected this Summer.
Phase 1: Complaint-based investigation – ongoing
As the licensing and registration system is being put in place, the City continues to respond to issues on a complaint basis. Residents can contact 311 to report issues related to short-term rentals, such as noise, waste and zoning infractions and the City will investigate accordingly.
Phase 2: Licensing and registration
Once licensing of short-term rental companies and registration of operators begin, current and prospective short-term rental operators will have a period during which they can register. During this time, the City will educate the public on short-term rental rules, encourage operators to register their short-term rentals, and work with companies to ensure compliance with the licensing rules.
Phase 3: Enforcement and MAT
All current short-term rental operators will need to be registered by the end of phase 2. The City will take enforcement actions against short-term rental operators that are not registered or are not following the rules. As of the end of phase 2, registered short-term rental operators will also be required to start paying the four per cent Municipal Accommodation Tax (MAT) on a quarterly basis.
Enforcement action will also be taken against companies that allow unregistered operators to list on their platform or contravene the bylaw.
New short-term rental operators can register on an ongoing basis.
Type (don’t copy and paste) your email into the box below, check the small box below and then click on the blue “Subscribe” button. You will receive an email with instructions to confirm your request.
For more information, see the decisions made by City Council to adopt a new zoning bylaw permitting short-term rentals and a registration and licensing program for short-term rentals and a municipal accommodation tax.