Toronto city council has spared its residents an expected residential property tax hike and has instead opted instead to lean heavily on the proceeds of home sales.
City council voted 31-11 in favour of a 2.1 per cent residential property tax hike, meaning the average homeowner will pay about $81 more this year. The total increase is actually 2.9 per cent, once the city building fund is factored in.
For Tory, keeping property tax at the rate of inflation was a campaign promise.
Tory was also asked about the city’s reliance on the Municipal Land Transfer Tax (MLTT), which brought in some $800 million this year. The mayor said January’s numbers show the MLTT revenues are “exactly on budget” but did note the city will continue to monitor it.
With fewer homes changing ownership coupled with lower prices, the MLTT revenue will be a lot lower going forward. Meanwhile with taxes going up, landlords will be looking at ways to pass it on to their tenants. -CINEWS