The City of Toronto is reminding all homeowners to submit a declaration of their property’s 2022 occupancy status by Thursday, February 2 to determine if the property is subject to the new Vacant Home Tax.
Declarations of occupancy status should be made through the City’s secure online declaration portal at toronto.ca/VacantHomeTax.
Those who do not have access to a computer can authorize someone to act on their behalf to make the online submission. If required, homeowners can request a paper declaration form to complete and submit by mail by calling 311 (Tax & Utilities Inquiry Line). The form is also available online.
The vast majority of Toronto property owners will not pay this tax. Homeowners who live in their own home, live in their own home but go to a vacation home during parts of the year (i.e. snowbirds) or work abroad, and those who rent out their property are not subject to the Vacant Home Tax.
The City mailed notices of the declaration requirement to homeowners in December. The notices included the property owner’s assessment roll number and customer number – two pieces of information needed to make a declaration of occupancy status – as well as instructions on how to quickly and easily submit the declaration online. Homeowners can also find their assessment roll number and customer service number on their most recent property tax bill.
The goal of the Vacant Home Tax is not to drive revenue but to help address the housing shortage in Toronto by encouraging property owners to make their residential properties available for occupation or rent. Any revenues collected from the Vacant Home Tax will be allocated towards affordable housing initiatives.
A property is considered vacant if it was not used as the principal residence by the owner(s) or any permitted occupant(s) or was unoccupied for a total of six months or more during the previous calendar year. Properties may also be deemed vacant if an owner fails to make a declaration of occupancy status. There are a number of exemptions from the Vacant Home Tax, including properties undergoing renovations, homes where the principal resident is in long-term care and death of the registered owner.
Toronto City Council approved the Vacant Home Tax at its December 2021 meeting to address the housing crisis.
In addition to the notice issued in December, the City sent information about the Vacant Home Tax to homeowners in multiple property tax bill and utility bill mailings. Another reminder notice will also be included in the interim property tax bill that will be mailed out this month.
Full details about the Vacant Home Tax, the available exemptions and how to make a submission is available on the City’s Vacant Home Tax webpage.
Quotes:
“Toronto is facing a housing crisis, and we are doing all we can to get more housing built. The vast majority of Toronto property owners will not pay the Vacant Home Tax because their properties are not vacant, and the benefits will be felt across the city by increasing the availability and affordability of housing.”
– Mayor John Tory
“The implementation of the Vacant Home Tax is one of the ways the City is trying to address the issue of housing supply and affordability in Toronto. Housing units that have been built should be used to house people. Requiring homeowners to declare the occupancy status of their property is an important step in identifying the number of vacant properties in Toronto – and spurring the return of these properties to the market for rental or for sale.”
– Brad Bradford (Beaches-East York), Chair of the Planning and Housing Committee
Toronto is home to more than 2.9 million people whose diversity and experiences make this great city Canada’s leading economic engine and one of the world’s most diverse and livable cities. As the fourth largest city in North America, Toronto is a global leader in technology, finance, film, music, culture and innovation, and consistently places at the top of international rankings due to investments championed by its government, residents and businesses. For more information visit the City’s website or follow us on Twitter, Instagram or Facebook.