Ontario Land Transfer Tax: 2026 Guide + First-Time Buyer Rebates
Every provincial bracket, Toronto’s additional municipal tax, first-time buyer rebates, and a worked $800,000 example.
7 min readOntario residential purchases
Land transfer tax, calculated clearly.
Estimate Ontario’s provincial tax, Toronto’s additional municipal tax, and first-time buyer rebates—then see exactly how each bracket contributes.
2026 rates included — for Toronto closings on or after April 1, 2026. Amounts are in Canadian dollars.
Ontario land transfer tax estimator
Your purchase
The estimate updates as you type or change an option.
Use the total value of consideration for the property.
Bracket-by-bracket breakdown
Land transfer tax is progressive. Only the portion of the price inside each bracket is taxed at that bracket’s rate.
Ontario provincial tax
Total: —
Toronto municipal tax
Total: —
Breaking your mortgage? Compare current Ontario rates to see if refinancing saves you more.
Refinancing could unlock a lower rate — or free up equity for your next move. It takes minutes to compare.
Compare Today’s Best Rates Review my options →How it works
- Enter the purchase price: the total value of consideration, plus whether the home is in Toronto and whether you’re an eligible first-time buyer.
- We apply each marginal bracket: only the slice of the price inside each bracket is taxed at that rate — for Ontario, and for Toronto’s municipal tax when it applies.
- Subtract your rebates: up to $4,000 provincial and $4,475 Toronto, for the net tax due at closing.
How Ontario land transfer tax works
Ontario land transfer tax is a progressive tax on the value of consideration — usually the purchase price — paid when a property changes hands. Instead of one flat rate, the price is sliced into brackets and each slice is taxed at its own rate, so the effective rate rises gradually with price.
The tax is due at closing and is normally handled by your real estate lawyer, who calculates the final amount and registers it with the transfer. This calculator mirrors the province’s marginal brackets, so the breakdown above matches how the official amount is built.
Toronto buyers pay an additional municipal tax
Purchases inside the City of Toronto attract a second, separate land transfer tax on top of the provincial one. Toronto’s municipal brackets mirror Ontario’s up to $2 million, then climb steeply — reaching 8.60% on value above $20 million. On a typical Toronto home the two taxes combined roughly double the provincial amount, which is why Toronto closings deserve their own line in every budget.
First-time homebuyer rebates
Qualifying first-time buyers can claim up to $4,000 against Ontario land transfer tax and up to $4,475 against Toronto’s municipal tax — combined relief of up to $8,475 on a Toronto purchase. The calculator applies both rebates automatically when you select “yes” for first-time buyer status.
The “yes” selection assumes full eligibility. If only some purchasers qualify, the refund may be reduced in proportion to the ownership interest acquired by eligible buyers. Confirm the final claim with your real estate lawyer.
To qualify in Ontario, you must be at least 18, a Canadian citizen or permanent resident, and never have owned a home anywhere in the world — or not owned one in the four years before the purchase. The home must become your principal residence within nine months of closing. Toronto’s rebate follows similar first-time rules for eligible Toronto homes.
Put land transfer tax in the full closing-cost picture
Land transfer tax is usually the single largest closing cost after the down payment — but it is rarely the only one. Budgeting 1.5–4% of the purchase price for total closing costs keeps the surprises out of closing day.
- Legal fees and disbursements for the purchase and the mortgage.
- Title insurance against fraud, survey and title defects.
- HST on new-build purchases, plus HST on some closing services.
- Closing adjustments — prepaid property taxes, utilities and condo fees reimbursed to the seller.
2026 land transfer tax brackets
Ontario land transfer tax brackets
| Portion of price | Rate |
|---|---|
| Up to $55,000 | 0.5% |
| Over $55,000 to $250,000 | 1.0% |
| Over $250,000 to $400,000 | 1.5% |
| Over $400,000 to $2 million | 2.0% |
| Over $2 million | 2.5% |
The 2.5% Ontario bracket applies where the land contains one or two single-family residences.
Toronto municipal land transfer tax brackets
| Portion of price | Rate |
|---|---|
| Up to $55,000 | 0.5% |
| Over $55,000 to $250,000 | 1.0% |
| Over $250,000 to $400,000 | 1.5% |
| Over $400,000 to $2 million | 2.0% |
| Over $2 million to $3 million | 2.5% |
| Over $3 million to $4 million | 4.40% |
| Over $4 million to $5 million | 5.45% |
| Over $5 million to $10 million | 6.50% |
| Over $10 million to $20 million | 7.55% |
| Over $20 million | 8.60% |
Applies to Toronto closings on or after April 1, 2026.
- Ontario: calculating land transfer tax
- Ontario: land transfer tax refunds for first-time homebuyers
- Toronto: MLTT rates and fees
- Toronto: MLTT rebate opportunities
Rates verified in September 2026.
Frequently asked questions
How is Ontario land transfer tax calculated?
Ontario uses progressive brackets. Each slice of the value of consideration is multiplied by the rate for that bracket. The resulting bracket amounts are added together.
Do Toronto buyers pay land transfer tax twice?
Yes. A purchase in the City of Toronto is generally subject to both Ontario land transfer tax and Toronto’s municipal land transfer tax. The taxes are calculated separately and added together.
What first-time buyer rebates are available?
Qualifying buyers can receive up to $4,000 from Ontario. Toronto offers an additional rebate of up to $4,475 for an eligible Toronto home, for total potential relief of up to $8,475.
Does the rebate mean no land transfer tax on every first home?
No. A rebate reduces tax dollar-for-dollar only up to its limit. Ontario says qualifying buyers pay no provincial LTT on the first $368,000; Toronto’s maximum municipal rebate equals the tax on a $400,000 home. Tax above those amounts remains payable.
When is land transfer tax paid?
It is normally paid when the transfer is registered at closing. Your real estate lawyer typically calculates the final amount and sends it through the land registration process.
What is not included in this estimate?
This calculator does not include Ontario’s Non-Resident Speculation Tax, Toronto’s Municipal Non-Resident Speculation Tax, the City’s MLTT administration fee, legal fees, title insurance, HST, or closing adjustments. It models a residential property containing one or two single-family residences and is scoped to Toronto closings on or after April 1, 2026.
Latest Financial Insights & Guides
View All Articles →
Closing costs
Buying Strategies
Hidden closing costs every first-time Canadian homebuyer forgets
The down payment is only the start. From double land transfer tax in Toronto to title insurance and adjustments, here’s the 1.5–4% of the price most buyers don’t budget for.
5 min read
Housing
Renting vs Buying in Toronto: The Real Math
The 5% rule, opportunity cost of your down payment, CMHC insurance, double land transfer tax, and when buying actually wins.
8 min read