This month, our Managing Partner, Carrie Ritchie contributed to the Toronto Law Journal and explored some of the legislative history and mechanics of the Non-Resident Speculation Tax applicable here in Ontario.
"For those who practice real estate law in Toronto, we are all
too familiar with the thankless task of explaining the Land Transfer Taxes that are imposed on (almost) all purchases in the City of Toronto. In 2022, the Government of Ontario introduced an additional tax on real estate conveyances, this time extending the reach to all of the Greater Golden Horseshoe area, and later all of Ontario.
The Non-Resident Speculation Tax (“NRST”) is paid in addition to the Provincial Land Transfer Tax, and the Municipal Land Transfer Tax. The taxable rate currently is twenty-five percent (25%) of the consideration for the transfer of the property, the consideration generally being the purchase price under the agreement of purchase and sale."
The full text of the article can be found here: Read the full article.
This update is not intended to provide legal advice, but to high-light matters of interest in this area of law. If you have questions or need assistance in navigating the NRST in the acquisition of a property, please contact Carrie Ritchie at carrie@ritchiesmyth.com.
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