This last article is known as the land transmission tax (LTT) and applies in every single place, except in Alberta, Saskatchewan and all three territories that as a substitute invoice land transmission fees. Despite the differences in terminology, the concept is identical: the customer pays the local government a one -time fee if a property changes the owner. Below you will discover detailed information on land transfer taxes, fees and discounts:
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What is a land transfer tax?
Most of the time, LTT is calculated as a percentage of the sales price of the house and due when you complete your private home purchase. It is an element of your final costs, which implies that you simply need the money for payment when closing.
You can use a land transfer tax calculator to estimate how much you’ve to pay. Depending on the worth of your home, LTT can easily cost 1000’s of dollars. The fees raised in Alberta, Saskatchewan and the areas are often much lower, but what they pay can still be 1000’s depending on the prices of the property. Finally, the tax is calculated in another way in Montreal and Toronto than in other cities of their respective provinces. You can find more insights within the table below.
What is LTT?
The state transmission tax – or the state transmission fees in Alberta, Saskatchewan and within the three territories – are paid by a buyer of own homes as a part of the ultimate costs for real estate. The amount is often based on the sales price and is paid to the province or the world through which the property is positioned. If you purchase a house in Toronto or Montreal, you furthermore mght must pay the urban state transmission tax.
How is the land transfer tax calculated?
Each province and each territory in Canada calculates either as a fee or as a tax on ownership transmissions. And some municipalities calculate a tax that’s known as urban state transmission tax (MLTT). Most of the time, LTT is calculated as a percentage of the worth of your home, and most tax rates are marginal, which implies that the scale of the tax increases with increasing value of the home. The state transmission fees are often based on the acquisition price of the house and are sometimes accompanied by a mortgage registration fee based on the scale of the mortgage, which is used to purchase the property.
Find out how much you may count on taxes by entering the costs surveyed and more within the state transmission tax calculators mentioned above.
Land transfer taxes At a look
The following table offers an outline of the land transfer tax or the fees paid in every province and within the territories in addition to in Toronto and Montreal, which require a distinct sentence than their respective provinces. The amounts listed are based on real estate that were bought for $ 696,166 – the Average costs of a house in Canada in October 2024.
| province | Land transfer tax | Fees | First buyers of homes (FTHB) and other discounts |
|---|---|---|---|
| Alberta | $ 0 | Estimated land transfer fee: $ 278.47. In addition, mortgage registration fee (based on the mortgage amount). | n/a |
| British Columbia | $ 11,923 (province) | n/a | FTHB discount: complete refund for houses that were bought for $ 500,000 or less; Partial reimbursement for houses between $ 5001 and $ 525,000. Newly built exemption from houses: complete reimbursement for houses that were bought for $ 1,100,000 or less; Partial reimbursement for houses between $ 1,1001 and $ 1,150,000 for qualifications of homes. |
| Manitoba | $ 11,573 (province) | n/a | n/a |
| New Brunswick | $ 6,961.66 (Province) |
n/a | n/a |
| Newfoundland & Labrador | $ 2,883 (province) | n/a | n/a |
| New Schotia | 10,442 USD (municipality) | n/a | n/a |
| Ontario (outside of Toronto) | 10,398 USD (province) | n/a | FTHB discount: as much as 4,000 US dollars. |
| Toronto | $ 20,797 (Provincial & Municipal) | n/a | FTHB discount: as much as 4,000 US dollars from the province and as much as 4,475 US dollars from town for a possible reimbursement of $ 8,475. |
| Prince Edward Island | $ 6,962 (province) | n/a | FTHB discount: Complete refund for houses that were bought for $ 200,000 or less. |
| Quebec (outside of Montreal) | $ 8,942 (municipal) | n/a | n/a |
| Montreal | $ 9,923 (municipal) | n/a | n/a |
| Saskatchewan | $ 0 | Estimated land title transfer fee: $ 2,134. | n/a |
| Northwest territories | $ 0 | Estimated land transfer fee: $ 1,067. In addition, mortgage registration fee (based on the mortgage amount). | n/a |
| Nunavut | $ 0 | Estimated land registration fee: $ 1,067. In addition, mortgage registration fee (based on the mortgage amount). | n/a |
| Yukon | $ 0 | Land transfer fee of $ 350. Also a mortgage registration fee and a possible insurance fee. | n/a |
Land transfer taxes and costs in keeping with the province and territory
Alberta
Alberta is one in all Canada’s few provinces that don’t calculate LTT. Instead, a transfer of the land registration fee and a mortgage registration fee is calculated.
- The transfer of the land registration fee covers the executive costs for changing the legal title of the property. The buyer is calculated for $ 5,000 $ 50 plus $ 2.
- The mortgage registration fee covers the edition of the mortgage. The buyer is charged $ 50 for each 5,000 US dollars of the fundamental amount of USD 1.50.
British Columbia
When buying real estate in British Columbia, the quantity of the LTT is predicated on the worth of the property. In BC, buyers pay a border tax rate that’s calculated as a percentage of the worth of the home. The tax rates are:
