Toronto’s Vacant Home Tax: Your No-Stress Guide to Declaring (and Avoiding Fines!)
Hey Toronto homeowners! Let’s talk about something slightly less fun than patio season but way more important: the Vacant Home Tax (VHT). Think of it as the city’s way of gently nudging vacant properties back into the housing market (and yes, you have to declare—even if your home is occupied). Here’s the lowdown:
TL;DR — Vacant Home Tax Cheat Sheet
- Declare by April 30, 2025 — Even if your home’s occupied! (Declare here – it takes a few minutes).
- Check exemptions — Death, renos, medical care? You might dodge the tax (More info here)
- Pay on time — If taxed, split payments into 3 chunks (Sept/Oct/Nov 2025).
Why Should You Care?
The goal of Toronto’s Vacant Home Tax (VHT) is to turn empty homes into living spaces for real humans. If your property sits vacant for 6+ months in a year (and doesn’t qualify for an exemption), you’ll pay 3% of its assessed value as a tax. The cash goes toward affordable housing projects, so even if you’re taxed, you’re doing a good deed.
Deadline Alert: Declare your 2024 occupancy status by April 30, 2025. Miss this, and the city automatically labels your home “vacant”.
How to DeclareYou’ve got options:
- Online: Use the city’s user-friendly portal.
- Phone: Call 311 (or 416-392-2489 outside Toronto). They speak 180 languages—no Google Translate needed.
- In-Person: Pop into a Tax Counter at City Hall or a Civic Centre. Bonus: Free steps on your Fitbit!
Pro Tip: Need help? Swing by a VHT Pop-Up Session at Civic Centres (Feb-April 2025, 9 a.m.–3 p.m.). Dates vary by location—check the city’s website for specifics.
Note: You’ll need your customer number plus the address or 21-digit assessment roll number from your property tax bill, property tax account statement or Vacant Home Tax notice.
“But My House Isn’t Vacant!”
Even if you’re living in your home or renting it out, you still need to declare. Here’s what counts as “occupied”:
- Your primary residence (yes, snowbirds and work travellers—your empty nest while you’re in Florida counts as occupied!).
- Tenanted for 6+ months.
- Occupied by family/friends as their main home.
Exemptions: When Vacant is Okay (Phew!)
Got a vacant property but a good reason? You might dodge the tax. Exemptions include:
- Death of an owner (valid for up to 3 years with a death certificate).
- Major repairs/renos (permits and progress required).
- Newly built homes (up to 2 years if unsold and actively listed).
- Medical care (e.g., hospital stays, or needing a secondary home for treatment).
Important: You’ll need documentation (like permits or doctor’s notes).
What Happens If You Don't Declare?
- Deemed vacant = 3% tax bill (based on your home’s assessed value).
- Fines up to $10,000 for false declarations. Yikes.
- Interest charges (1.25% monthly) on late payments.
Paying the Tax (If You Must)If your home is deemed vacant, payments for 2024 are due in 3 installments:
- Sept 15, Oct 15, Nov 17, 2025.
Pay via: - Online banking (search “City of Toronto Property Tax”).
- MyToronto Pay (credit/debit cards accepted, but fees apply).
- Cold hard cash (at City counters).
Buying/Selling a Home? Read This!
- Sellers: Declare occupancy status before closing. Buyers inherit any unpaid taxes.
- Buyers: Do your homework! Check the VHT status before purchasing.
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