No new MLTT for Ontario municipalities

Province reaffirms commitment to stop spread of home buyer tax


TORONTO, ON--(Marketwired - November 16, 2016) - Minister Bill Mauro announced today that Ontario municipalities will not be getting new revenue tools including a municipal land transfer tax (MLTT). The announcement comes with the introduction of amendments to the Municipal Act and follows a commitment by the province in December 2015 to not give municipalities MLTT powers.

"Today's announcement is good news for Ontario home buyers," said Ray Ferris, president of the Ontario Real Estate Association (OREA). "The dream of home ownership is a growing challenge for many Ontarians. A second land transfer tax would have made things a lot more difficult."

Toronto is the only municipality that has MLTT powers. The province was under pressure from mayors outside the GTA to extend the same powers to other municipalities. A buyer of an average priced Toronto home pays $15,000 in land transfer taxes.

Today's announcement from Minister Mauro follows the province's commitment in the Fall Economic Statement to double the land transfer tax rebate for first-time home buyers. The new rebate will provide up to $4,000 in tax relief to first-time buyers.

"An MLTT would have forced home buyers to pay $10,000 in total land transfer taxes," said Tim Hudak, CEO Designate at OREA. "Young families need more help to become home owners, not new taxes."

"We look forward to working with Minister Mauro and his government to continue to make home ownership more affordable for Ontarians," said Hudak.

About OREA

Representing the 67,800 real estate brokers and salespeople members of Ontario's 40 real estate boards, the Ontario Real Estate Association (OREA) serves its members through advocacy, educational programs and special services. www.orea.com.

Contact Information:

Contact:
Katarina Markovinovic
Ontario Real Estate Association
katarinam@orea.com
416-445-9910 ext. 615