Land transfer tax calculator
Ontario land transfer tax, and the extra one Toronto charges.
Usually the largest single cost on closing day after your down payment — and roughly double inside the City of Toronto, because a municipal tax applies on top of the provincial one.
Land transfer tax is paid to the government when property changes hands, calculated on the purchase price in brackets rather than as one flat percentage. It is due on closing and cannot be added to your mortgage — it has to come from cash.
If the property sits inside the City of Toronto, a second municipal land transfer tax applies on top. This is the single biggest cost difference between buying in Toronto and buying anywhere else in the GTA.
Land transfer tax due on closing
$7,475
Includes $4,000 of first-time buyer rebate.
- Ontario land transfer tax
- $11,475
- Ontario rebate
- −$4,000
- Total before rebate
- $11,475
Estimate only. Your lawyer calculates the final amount. Figures verified July 2026 · Ontario Ministry of Finance — Calculating Land Transfer Tax.
How this works
The maths, in plain language.
How the brackets work
Each slice of the price is taxed at its own rate rather than the whole price being taxed at one rate. On a $650,000 home the first $55,000 is taxed at 0.5%, the portion to $250,000 at 1.0%, the portion to $400,000 at 1.5%, and the remainder at 2.0%.
Toronto's municipal tax uses the same structure at the lower end. Above $3 million its rates step up steeply — a set of graduated high-value bands took effect on 1 April 2026, and they run considerably higher than the schedule they replaced.
The first-time buyer rebate
First-time buyers can claim up to $4,000 against the Ontario tax, and a further $4,475 against Toronto's municipal tax. In practice the provincial rebate means a qualifying first-time buyer pays no Ontario land transfer tax at all on the first $368,000 of price.
To qualify you must be at least eighteen, a Canadian citizen or permanent resident, never have owned a home anywhere in the world, and occupy the property as your principal residence within nine months. The rebate is claimed through your lawyer at closing — it is not applied automatically.
Common questions
About this calculator.
Can I add land transfer tax to my mortgage?
No. It is due in cash on closing, which is exactly why it catches first-time buyers out. Budget for it alongside your down payment rather than treating it as an afterthought.
Do I pay the Toronto tax if I live just outside the city?
No. The municipal tax applies only to properties inside the City of Toronto boundary. Buying in Vaughan, Markham or Richmond Hill means the provincial tax only, which is a substantial saving on the same purchase price.
What if only one of us is a first-time buyer?
The rebate may be reduced in proportion to the interest held by the qualifying buyer. It is a situational question worth confirming with your lawyer rather than assuming either way.
Want these numbers checked by a person?
A calculator does not know your credit, your income structure or which lenders would actually take your file. Twenty minutes on the phone will tell you what this cannot.