An annual tax will be levied on vacant Toronto residences, payable beginning in 2023.
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 not occupied by tenants for a total of six months or more during the previous calendar year. Properties may also be deemed (or considered to be) vacant if an owner fails to make a declaration of occupancy status as outlined in the bylaw .
The goal of the City of Toronto’s Vacant Home Tax (VHT) is to increase the supply of housing by discouraging owners from leaving their residential properties unoccupied. Homeowners who choose to keep their properties vacant will be subject to this tax.
Though all homeowners are required to submit a declaration of occupancy status, the tax does not apply to:
- properties that are the principal residence of the owner
- properties that are the principal residence of a permitted occupant or tenant
- properties that qualify for an exemption
If required, homeowners can download and submit a signed paper declaration form. Find more information about submitting a paper form under How to Declare below.
Revenues collected from the Vacant Home Tax will be allocated towards affordable housing initiatives.
