Effective March 30, 2022, the Non-Resident Speculation Tax (NRST) rate was increased to 20 per cent and expanded to apply throughout the Province.
The NRST may apply on the purchase or acquisition of an interest in residential property located anywhere in Ontario by individuals who are:
- foreign nationals (individuals who are not Canadian citizens or permanent residents of Canada) or
- by foreign corporations or taxable trustees.
The NRST applies in addition to the general Land Transfer Tax (LTT) in Ontario.
Prior to March 30, 2022, the NRST was a 15 per cent tax on the purchase of an interest in residential property in the Greater Golden Horseshoe Region (GGH) of Ontario by individuals who are foreign nationals or by foreign corporations or taxable trustees.
This is provincial legislation and is intended to reduce the number of non-resident purchasers.
Brian Madigan LL.B., Broker