Kathleen Wynne again musing about giving municipalities power to levy more taxes, like a land transfer tax despite denying any such plan existed in December: Plan will cost between $10,000 and $15,000 on a $450,000 home

Kathleen Wynne Flip Flopping on Doubling Land Transfer Tax

By —— Bio and Archives--August 17, 2016

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TORONTO, ON: The Canadian Taxpayers Federation (CTF) is calling out Premier Kathleen Wynne for flip flopping on a commitment not to double the land transfer tax. In a recent speech to the Association of Municipalities of Ontario, Premier Wynne mused about giving more tax powers to cities. Taxing options could include a land transfer tax, vehicle registration tax, or taxes on hotel rooms.

“Premier Wynne knows full well that when she asks cities to come up with new taxes, a double land transfer tax and a vehicle registration tax are among the options. She is trying to download blame for new taxes onto municipalities, just like she downloads provincial responsibilities,” said CTF Ontario Director, Christine Van Geyn.


Back in December, the government committed that it would not expand the power of a double land transfer tax to municipalities outside of Toronto. The Minister at the time even said that not imposing a double land transfer tax ‘made sense.’

The land transfer tax is currently charged on any purchase of land in Ontario on a graduated basis. The total value of a property over $400,000 is charged a 2 per cent provincial land transfer tax. The City of Toronto land transfer tax essentially doubles the tax. In Toronto, where the average detached home is now priced over $1 million, add on $16,475 provincial land transfer tax and $15,725 for the Toronto municipal land transfer tax.

“The double land transfer tax was a bad idea in December, and it’s still a bad idea. It would hurt Ontario families. If municipalities are granted the power to double the land transfer tax, homebuyers will be forced to pay between $10,000 and $15,000 in land transfer tax for a home priced at $450,000,” continued CTF Ontario Director Christine Van Geyn.

Toronto also had a vehicle registration tax between 2007 and 2011, which cost $60 a person. This kind of tax would be on top of the recently hiked $120 provincial vehicle validation sticker.

“Life is becoming more and more unaffordable for young Ontario families, who already struggle with high electricity bills and high income taxes. Doubling the land transfer tax will make housing even more and more unaffordable, and applying vehicle registration taxes on top of the already high provincial fees and highly taxed gasoline makes getting to work even more expensive. The blame for these new taxes must lie squarely at the feet of Kathleen Wynne,” concluded Van Geyn.


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