Toronto plans to redesign vacant home tax program. Here's how
The City of Toronto is still playing catch-up from last year's vacant home tax debacle.
The vacant home tax program was created to discourage speculators from keeping empty homes to boost the housing supply in the city. However, about 20 per cent of property owners were unaware they needed to declare occupancy every year, prompting thousands to receive money-owing notices in the mail. In 2023, more than 169,000 complaints were filed, and around 1,100 still need to be reviewed.
However, city staff has put forward a plan so history doesn't repeat itself.
"What the people experienced last year was terrible, heartbreaking, it's scary," Mayor Olivia Chow said.
The city hopes to improve the vacant home tax and not eliminate it, saying it is crucial in dealing with Toronto's current housing crisis.
"Every house that we can turn into a lived home just saved another $500,000 of having to build that one," Coun. Shelley Carrol noted.
There are a number of changes being recommended to the program for this year, which will be considered at next week's executive committee meeting.
To improve communication, property owners would receive two direct mail notices, two emails, and two robocalls, as necessary. Homeowners would also be able to make their declaration in various ways: online, in-person, at a drop-in session, by paper or through a newly created team at 3-1-1, which will be serviced in 180 languages.
"It's about letting them know the choices they have and the information they need in order to take the action of declaring," says Beth Waldman, the City's interim chief communications officer.
City staff also propose changing the deadlines. Filing begins on Nov. 1 and homeowners would have until April 30, to align with the income tax deadline. Those who are billed would also have an extra three months to pay or dispute the charge, making payments on the 15th of September, October and November. Also, declaration fees would be waived until further notice.
This year, the vacant home tax goes up from one per cent to three per cent. The city estimates that will generate $105 million to be reinvested into housing initiatives.
"We're working to try and look at the amount of rental properties that become available in the city compared to new rental builds that may have happened, so we can review the delta," Stephen Conforti, the City's Chief Financial officer, said.
As for how many properties in Toronto were actually vacant, the city estimates there were 10,180 vacant homes in 2023, compared to an estimated 8,695 in 2022.
CTVNews.ca Top Stories
DEVELOPING MPs to vote today on Poilievre's motion of non-confidence in PM Trudeau
Members of Parliament will cast their first confidence vote of the fall sitting on Wednesday, but with it poised to fail, political posturing is already ramping about future tests of the Liberal minority government.
'She was victimized by a predator': B.C. court reverses transfer of $1.4M townhouse in elder abuse case
A man who "systematically isolated, manipulated, deceived, abused, and exploited" an elderly North Vancouver woman has lost his ownership stake in her home.
Doug Ford says he wants to build a tunnel under Hwy. 401
Ontario Premier Doug Ford says he wants to build a tunnel under Highway 401 that would stretch from Brampton to Scarborough.
Yogurt recalled in Canada over risk of illness
A major yogurt maker is recalling one of its brands in Canada over concerns that it may cause illness in immunocompromised people.
Mortgage changes: Cheaper entry into housing market at steeper costs
Mortgage rule changes allow easier entry into the housing market with lower monthly payments, but also an increased cost of repaying a mortgage.
Coverage denied: Canadians hitting roadblocks with insurers after installing solar panels on their homes
More Canadians are installing solar panels on their homes, but some are facing challenges when it comes to getting home insurance after the panels are put in.
Population growth slows for first time since start of pandemic as Canadian government clamps down
Population growth in Canada slowed slightly in the last quarter of the year as the government made efforts to reduce temporary migration into the country, Statistics Canada revealed Wednesday.
Doing this for 20 seconds a day can relieve stress and anxiety
A 20-second session of self-compassionate touch reduced stress, increased kindness to participants and improved mental well-being, according to a recent study.
Israeli army chief says military is preparing for possible ground operation in Lebanon
The Israeli army chief said Wednesday that the military is preparing for a possible ground operation in Lebanon as Hezbollah hurled dozens of projectiles into Israel, including a missile aimed at Tel Aviv that was the militant group's deepest strike yet.