The Provincial Liberals have announced that they will not allow towns and cities other than Toronto to impose their own land transfer tax on top of the province’s.
Municipal Affairs Minister Ted McMeekin made the surprise announcement during question period at Queen’s Park on Tuesday.
He said he had consulted with a wide range of groups following last year’s local elections and found there was no call for a municipal land transfer tax for the 444 municipalities across the Province.
The news has been widely welcomed with the Progressive Conservatives celebrating in the legislature following the announcement.
Deputy PC leader Steve Clark had campaigned hard against it, warning that home buyers would be facing a bill averaging an extra $10,000 on closing.
Clark reacted by saying he was ”glad the minister made the right decision.” and that “it just recognizes some of the concerns that municipalities have.”
The Ontario Real Estate Association who had also voiced their opposition to the move, fearing it would hurt home sales and the economy have also issued a statement.
President of the association Patricia Verge called it a ”huge win for Ontario’s home owners and those who dream of one day owning a home” adding that ”it reaffirms that the Municipal Land Transfer Tax is a bad revenue tool, not just outside Toronto but in it as well.”
While Mississauga Mayor Bonnie Crombie has also added her voice saying that ”we recognize the need for additional revenue sources to deliver quality services but we must be equally committed to keeping property taxes affordable. For these reasons, a land transfer tax is not the answer.”