Owners of vacant homes in Ottawa could soon face a new tax
The city of Ottawa's finance and economic development committee has approved a tax on homes that are vacant for at least half of the year.
The vacant unit tax has been in the works since last year, when council approved a framework for the fee. The plan is to impose a one per cent tax on vacant properties.
"Beginning in 2023, property owners assessed in the residential tax class will be required to declare annually if their property was vacant for over 184 days in the prior year (2022)," a report prepared for FEDCo said. The extra tax would come out to one per cent of the property's MPAC assessment value.
The move is meant to increase housing stock in the city, rather than be a revenue generator, but city staff say it could still bring in approximately $25 million over five years, which would go toward affordable housing.
Staff estimate 330,000 residential property owners would need to declare their vacancy status annually. The tax would be billed on the final property tax bill in May, with a due date in June.
The program must still be approved by city council before coming into effect.
"Once approved, staff will engage the Province to request that Ottawa be designated as a municipality in Ontario that can levy the Vacant Unit Tax. Once the required provincial designation is in place, staff will place the final by-law on Council's agenda for approval," the report states.
If approved, the first vacancy declaration period would open on Jan. 1, 2023, for the 2022 reference year. Residents who have not declared their vacancy status by the end of April will automatically be deemed vacant, and the tax will apply.
There will be several exceptions to ensure homes are not taxed unfairly. Principal among these is that the vacant unit tax does not apply to primary residences. Exemptions would also be available for owners in care, death of an owner, significant renovations, sale of the property, court order, and cottage rentals in rural areas.
CTVNews.ca Top Stories
Canadian gov't proposes new foreign influence registry as part of wide-spanning new bill
Prime Minister Justin Trudeau's government is proposing a suite of new measures and law changes aimed at countering foreign interference in Canada, amid extensive scrutiny over past meddling attempts and an ever-evolving threat landscape.
Boeing Starliner capsule's first crewed test flight postponed
The long-awaited first crewed test flight of Boeing's new Starliner space capsule was called off for at least 24 hours over a technical issue that launch teams were unable to resolve in time for the planned Monday night lift-off.
Teacher charged in historical sexual assault of Calgary teenage girl
Calgary police have charged a teacher with the alleged sexual assault of a teenage girl more than 20 years ago.
Winnipeg man admits to killing four women, argues he's not criminally responsible
Defence lawyers of Jeremy Skibicki have admitted in court the accused killed four Indigenous women, but argues he is not criminally responsible for the deaths by way of mental disorder – this latest development has triggered a judge-alone trial rather than a jury trial.
Man banned from owning animals after fatal Calgary dog attack
The owner of three Calgary dogs that got loose and mauled a woman to death in 2022 has been ordered to pay a $15,000 fine within one year and banned from owning any animal for 15 years.
East-end Ottawa family dealing with massive rat infestation
Residents in Ottawa’s Elmridge Gardens complex are dealing with a rat infestation that just won’t go away. Now, after doing everything they can to try to fix the issue, they are pleading with the city to step in and help.
Mediterranean staple may lower your risk of death from dementia, study finds
A daily spoonful of olive oil could lower your risk of dying from dementia, according to a new study by Harvard scientists.
An El Nino-less summer is coming. Here's what that could mean for Canada
As Canadians brace themselves for summer temperatures, forecasters say a weakening El Nino cycle doesn’t mean relief from the heat.
Newfoundland and Labrador latest province to tighten rules on Airbnbs
Newfoundland and Labrador is the latest jurisdiction to bring in stricter rules for short-term rentals, with a coming set of regulations that will force operators to register with the provincial government.