Unless they benefit from it personally, nobody likes the Land Transfer Tax. Not the largest association of home sellers in Toronto, and not the 69% of the people they polled who wanted the tax axed. Ipsos Reid found similar results- 58% of people polled wanted the tax cut. Really, the only argument for the tax is that it generates a lot of money for the city, which is basically an admission that it’s a tax grab.
You can’t defer it. You can’t add it to your mortgage. There’s no flexibility for your income or the number of people living in the home and only a little flexibility for the cost of the home. You can get a break of a few thousand dollars if it’s your first home but that’s only if you’re lucky and qualify. And worst of all, it doesn’t help the economy of other cities….which is probably why they don’t have it anywhere else in Ontario!
How are we going to get people to move to Toronto if they know they have to pay this tax regardless of all of the above factors? What’s that going to do to our city’s economy and to its international reputation?
“The Land Transfer Tax should be repealed, if not eliminated outright,” said the Toronto Taxpayers Coalition spokesperson. “There are so many options- a tax cut, indexing the tax so it’s fairer, or making a portion of the home cost exempt from the tax.”