Say NO to another home owner tax
This is a very interesting article written by one of Ottawa’s most trusted realtors, Ryan Jones, who I have the pleasure of working with. I thought that we should have more people know about this potential reality because it could really impact their dreams of home ownership in Ottawa.
Don’t Tax My Dream!
I sit on the Government Relations Committee at the board office, and one of our current major objectives is to spread the awareness of the potential impact of a Municipal Land Transfer Tax. As it stands, when you buy a home you must pay land transfer tax on the purchase price, but this second tax would increase the bill by an average of $3292 here in Ottawa (based on our average sale price). Whether this tax will ever be applied for by the city is up in the air, but it would have a significant impact on the economy, not to mention the ability of some to fulfill their dream of owning a home.Here are some key points for your consideration:
Key Messages
Municipal Land Transfer Tax (MLTT)
- An additional land transfer tax (i.e. municipal land transfer tax) is bad for the economy
- A recent study showed that a municipal land transfer tax would cost the City of Ottawa $543 million in lost economic activity and 3,558 full-time jobs
- An MLTT would add to peoples’ debt
- An MLTT would kill the dream of home ownership
- An MLTT would force a small segment of taxpayers to fund municipal services designed to benefit all citizens
- Every re-sale housing transaction in Ontario generates approximately $53,000 in economic spin-off for things like renovations, appliances, furniture, fees to professionals involved in the transaction (ie. lawyers, appraiser, Realtors, etc.)
- Toronto loses much more than it gains from the MLTT – Ottawa should not follow the Toronto example
- Since 2008, the tax has raised an annual average of $270.2 million.
- But, a recent study showed the MLTT cost Toronto $2.3 billion in economic activity and 15,000 full-time jobs
- Consumers already pay a provincial land transfer tax to the province
- An MLTT would heap more taxes onto the bills of home owners/buyers
- The tax would saddle home buyers with a disproportionate burden of taxes for no additional services
- Realtors oppose the MLTT because it is bad for consumers
- Money should remain in the pockets of people who move our economy
- Go to www.donttaxmydream.ca for more information
If you would like any further information, or if you have questions about this topic, please feel free to let Ryan Jones know! His email is Ryan-Jones@coldwellbanker.ca
