Ontario Land Transfer Tax Calculator

Who pays land transfer tax in Ontario?

Land transfer tax is paid by the buyer, not the seller, on closing day. It is one of the largest closing costs for most Ontario home purchases and must be paid in addition to your down payment. Your lawyer collects and remits land transfer tax on your behalf at closing.

How is Ontario land transfer tax calculated?

Ontario uses a marginal tax system, meaning different portions of your purchase price are taxed at different rates. The calculator above shows the full bracket breakdown for your specific purchase price. On a standard purchase in the $700,000 to $900,000 range, buyers typically pay between $9,000 and $14,000 in provincial land transfer tax.

What is the first-time home buyer land transfer tax rebate in Ontario?

First-time home buyers in Ontario are eligible for a rebate of up to $4,000 on provincial land transfer tax. To qualify you must never have owned or held any interest in a property anywhere in the world, be a Canadian citizen or permanent resident, be at least 18 years old, and occupy the home as your principal residence within nine months of purchase. If only one spouse qualifies, a partial rebate may be available based on that person's ownership share. Your lawyer ensures the rebate is applied correctly at closing. Use our land transfer tax calculator to estimate your exact amount.

What is the Toronto Municipal Land Transfer Tax?

Toronto is the only municipality in Ontario that charges a municipal land transfer tax in addition to the provincial tax. If you are purchasing a property within the City of Toronto boundaries, you pay both taxes, effectively doubling your land transfer tax bill. The Toronto MLTT uses the same bracket structure as the provincial tax for properties up to $3,000,000. As of April 1, 2026, revised higher rates apply to properties above $3,000,000. Use our land transfer tax calculator to estimate your exact amount.

Is there a first-time buyer rebate on the Toronto MLTT?

Yes. First-time home buyers purchasing in Toronto are eligible for a rebate of up to $4,475 on the Toronto Municipal Land Transfer Tax, in addition to the $4,000 provincial rebate. The same eligibility requirements apply. On a Toronto purchase of $800,000 a qualifying first-time buyer could receive up to $8,475 in combined rebates.

Does municipal land transfer tax apply in Mississauga, Oakville, Hamilton, or Burlington?

No. Toronto is the only municipality in Ontario that charges a municipal land transfer tax. Buyers purchasing in Mississauga, Oakville, Hamilton, Burlington, or anywhere else in Ontario outside the City of Toronto pay only the provincial land transfer tax. The provincial land transfer tax applies to all property purchases across Ontario regardless of location.

Can I claim land transfer tax on my income tax return?

No. Land transfer tax is not tax deductible and cannot be claimed on your personal income tax return. It is considered a closing cost rather than a deductible expense.

What other closing costs should I budget for?

Land transfer tax is typically the largest closing cost but is not the only one. Use our land transfer tax calculator to estimate your exact amount. Ontario buyers should also budget for legal fees, title insurance, government registration fees, ministry search fees, and home inspection costs. At Dwell Law our flat legal fee for a standard residential purchase is $1,875 + HST with no hidden charges. Book a free consultation and receive a clear written quote covering all your closing costs by email.