Toronto Vacant Home Tax: Who Has to Declare and What It Costs (2026)
Toronto’s vacant home tax is 3% of assessed value on homes empty more than six months, $18,600 on a $620,000 condo. Exemptions, deadlines, declarations.
Every owner of residential property in the City of Toronto must file an occupancy declaration each year, whether or not the home is occupied. Property vacant for more than six months in the previous year and not covered by an exemption is taxed at 3% of its assessed value: $18,600 on a $620,000 assessment. Ottawa and Hamilton run similar taxes at 1%; Vancouver's is 3%. The declaration deadline in Toronto is 30 April; miss it and the city can deem the property vacant.
Figures come from the CostToClose vacant home tax calculator.
The rule
| Item | Toronto |
|---|---|
| Who declares | Every residential property owner in the City of Toronto, annually |
| What is vacant | Unoccupied more than six months (183 days) in the previous calendar year, and no exemption |
| Rate | 3% of MPAC current value assessment (raised from 1% for the 2024 tax year) |
| Declaration deadline | 30 April (for the previous year) |
| Failure to declare | Property may be deemed vacant; fines from $250 to $10,000 |
| Payment | Billed in May; overdue amounts are added to the property tax roll |
Source: City of Toronto, Vacant Home Tax bylaw and program page. Checked 14 September 2026.
Exemptions
A home vacant more than six months is not taxed if, for that year:
- the owner or occupant died;
- it was under repair or renovation with permits that prevented occupancy;
- the principal resident was in hospital or long-term care (up to two years);
- ownership changed during the year (purchase or sale);
- it was needed for full-time employment in Toronto by a non-resident owner;
- a court order prohibited occupancy;
- it is a vacation property or a specific class of secondary unit under limited conditions.
Each exemption is claimed on the declaration with supporting documents. "I couldn't find a tenant" is not an exemption.
Worked example from the calculator
Owner living in Calgary keeps a Toronto condo assessed at $620,000 empty for the year while deciding whether to sell:
| Item | Amount |
|---|---|
| Toronto vacant home tax (3%) | $18,600 |
| If instead rented for 7 months of the year | $0 |
| If sold during the year | $0 (transfer exemption) |
| Same situation in Ottawa (1%) | $6,200 |
| Same situation in Vancouver (3%) | $18,600 |
Other Ontario cities
- Ottawa vacant unit tax: 1% of assessed value, annual declaration due in March, same six-month test.
- Hamilton vacant unit tax: 1%, annual declaration, in force since the 2024 tax year.
- Mississauga, Brampton, Vaughan and other GTA municipalities: none as of September 2026, though several have studied one.
What changes the number
- Renting for six months or more eliminates the tax; a single tenancy of six consecutive months, or several shorter ones adding up, both count.
- Assessment, not market value. MPAC's current value assessment, which for many Toronto properties lags the market.
- Buying or selling in the year exempts that year.
- Declaring on time. The most common bill is not for a vacant home but for a home whose owner never filed.
Frequently asked questions
Do I have to declare the Toronto vacant home tax if I live in my home?
Yes. Every residential owner in Toronto must file the occupancy declaration by 30 April each year. Living in the home makes you exempt from the tax, not from declaring.
How much is the Toronto vacant home tax?
3% of the property's assessed value for each year it is vacant more than six months without an exemption: $18,600 on a $620,000 assessment.
What counts as vacant?
Unoccupied for more than six months in the calendar year and not the principal residence of the owner or a permitted occupant, with no exemption.
What happens if I miss the declaration deadline?
The city can deem the property vacant and issue the 3% tax, plus a fine. Late declarations can be filed and the tax reversed if the home was in fact occupied, but only within the appeal window.
Does Mississauga have a vacant home tax?
Not as of September 2026. Toronto, Ottawa and Hamilton are the Ontario cities with one.
Sources
- City of Toronto, Vacant Home Tax — declaration, exemptions and rate — checked 14 Sept 2026
- City of Toronto, By-law 97-2022 as amended (rate increase to 3% for 2024) — checked 14 Sept 2026
- City of Ottawa, Vacant Unit Tax — checked 14 Sept 2026
- City of Hamilton, Vacant Unit Tax — checked 14 Sept 2026
- City of Vancouver, Empty Homes Tax — checked 14 Sept 2026
This guide is general information for Canadian home buyers and sellers, checked against the sources listed above on the date shown. It is not legal, tax, or mortgage advice. Rules and rates change; confirm current figures with your lawyer or notary, your lender, or the government office that administers the tax before relying on them.