The deadline for homeowners to file a declaration regarding the Toronto Vacant Home Tax (VHT) is fast approaching. It is important to ensure homeowners have made their declaration submissions for each property they own. It is an annual requirement and this year’s deadline is February 29th.  

Interesting statistics from last year:

1. Last year’s filings (in 2023 for the 2022 tax year), 2,336 owners declared their homes as vacant.
2. Additionally, the city deemed 44,902 homes as vacant because no declaration was made.  
3. Once all late declarations were filed, the above number was reduced to 17,437 vacant homes.
4. The city collected about $54 million in its first year of implementation. The funds are slated for affordable housing initiatives.

Consequences for late submissions:

1. The municipality charges a late filing fee of $21.24
2. There is also a fine of $250 that may be applied 
3. Most concerning is if a homeowner does not file a declaration, the city deems the property vacant by default and imposes a lien of 1% of the home’s assessed value (On a $ 1 million home, that is $10,000).
4. False declarations of occupancy status or failure to provide information when requested may result in a fine of up to $10,000, in addition to payment of the tax.
5. For those who owe the tax and pay late, Interest charges will apply to any overdue amount at a rate of 1.25% each month for as long as taxes or charges remain unpaid.

Vacant Home Tax Increase:

The VHT will increase from 1% to 3% of a home’s assessed value for the 2024 taxation year.

Homeowners can submit their Declaration of Occupancy Status by using either of the links below: Link for online submissions (recommended)   OR  Link to download a fillable pdf to be mailed in via Canada Post

We hope you find this information helpful and if you need any clarification, 
do not hesitate to reach out at (647) 294-3039 or by email at olena@agentolena.com.

Below you’ll find even more resources to help you find and purchase the right home in Toronto:

• Can You Buy a Toronto Home from a Listing Agent?
• Is Buying a Home Outright a Good Idea? 
• Traits to Look for in a Luxury Real Estate Agent in Toronto