Ford Promises to Eliminate Toronto Land Transfer Tax by 2015
Before he was elected in 2010, Rob Ford stated that one of his goals as mayor of Toronto would be to eliminate the Toronto Land Transfer Tax which costs condo buyers thousands of dollars every year. It’s practically 2012 and we had not heard a peep about it until now!
In an interview on CP24, Rob Ford announced that plans to eliminate the land transfer tax would begin by reducing it in 2012 with the eventual goal of being completely eliminated by 2015.
In the interview, Ford stated “I can’t say we will wipe it all out this year, but we are going to do it piece by piece and you will see a portion of the land transfer tax gone by next year.” It is not yet clear how much it will be reduced by in 2012 and what the exact dates are, however, some reports have stated that it be reduced as much as 25%.
Using the trusty Land Transfer Tax Calculator on RateHub, we calculated how much Torontonians pay in Land Transfer Tax at certain price points:
| PURCHASE PRICE | TORONTO LAND TRANSFER TAX |
| $300,000 | $2,725 |
| $350,000 | $3,225 |
| $400,000 | $3,725 |
| $450,000 | $4,725 |
| $500,000 | $5,725 |
Land Transfer Tax is typically the largest cost a home buyer will incur at closing, and these reductions will certainly be a welcome change for Toronto Real Estate buyers!
