Ontario LTT vs. Toronto Double LTT — Who Pays What
Every Ontario home purchase triggers provincial Land Transfer Tax, calculated on the purchase price using a tiered rate structure. Buyers within the City of Toronto boundary pay a second, matching municipal LTT on top. Vaughan, Mississauga, Brampton, Markham, Richmond Hill, Oakville — provincial LTT only.
On an $800,000 purchase in Toronto, the combined LTT before rebates is approximately $24,950. On the same purchase in Vaughan: $12,475. That $12,475 gap is purely a function of which side of the municipal boundary your property falls on.
First-Time Buyer Rebates — Up to $8,475 Combined
Ontario first-time buyers receive a provincial LTT rebate of up to $4,000. Toronto first-time buyers receive an additional municipal rebate of up to $4,475. You must never have owned a home anywhere in the world to qualify — this is a lifetime eligibility, stricter than the four-year lookback used for FHSA and HBP.
Your real estate lawyer applies both rebates automatically at closing. Confirm this with your lawyer before closing day — some buyers discover the rebate months after the fact, complicating the recovery process.
Ontario Land Transfer Tax — Common Questions
Land Transfer Tax FAQ — Ontario & Toronto
Toronto double LTT, first-time buyer rebates, and who pays what — the closing cost Ontario buyers most often get wrong.
No. The Toronto Municipal Land Transfer Tax only applies within the City of Toronto’s geographic boundary. All 905 municipalities — Vaughan, Mississauga, Brampton, Markham, Richmond Hill, Oakville, Burlington, Pickering — pay provincial Ontario LTT only.
At closing, through your real estate lawyer. LTT cannot be financed or added to your mortgage — it must be paid in cash on closing day. Budget for it as a separate line item on top of your down payment.
The rebate is based on your individual ownership history. If you’ve never owned, you can claim a partial rebate proportional to your ownership share on title. Your partner would not qualify for their portion. Confirm the structure with your lawyer before closing.
0.5% on the first $55,000 / 1.0% on $55,001–$250,000 / 1.5% on $250,001–$400,000 / 2.0% on $400,001–$2,000,000 / 2.5% above $2,000,000. Toronto MLTT uses identical tiers.
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