No. Vaughan does not charge its own land transfer tax. If you buy a home in Vaughan, Ontario, you pay only the provincial Ontario land transfer tax; the City of Toronto is the only municipality in Ontario that levies a municipal land transfer tax, so buyers there pay both.
Why does only Toronto have a municipal land transfer tax?
The authority comes from the City of Toronto Act, which allowed Toronto to levy its own land transfer tax alongside the provincial one starting in 2008. No other Ontario municipality levies one, so a purchase in Vaughan, Markham, Richmond Hill or Mississauga carries the provincial tax only.
Who pays land transfer tax in Ontario?
The buyer. It is due on closing, when the transfer is registered, and your lawyer collects and pays it as part of the closing funds. Sellers do not pay it. It is one line in a longer list; our guide to closing costs in Ontario covers the rest.
How is Ontario land transfer tax calculated?
The tax is charged in brackets on the value of the consideration, which for a typical resale purchase is the price. For land with one or two single-family residences, the Ontario rates are:
- 0.5 per cent on the first $55,000
- 1.0 per cent on the amount from $55,000 to $250,000
- 1.5 per cent on the amount from $250,000 to $400,000
- 2.0 per cent on the amount from $400,000 to $2,000,000
- 2.5 per cent on the amount over $2,000,000
Each rate applies only to the part of the price that falls inside its bracket. The 2.5 per cent bracket applies only to land with one or two single-family residences; other property types top out at 2.0 per cent.
Is there a first-time homebuyer refund in Ontario?
Yes. Ontario refunds up to $4,000 of land transfer tax to eligible first-time buyers, which covers the full tax on a home priced up to $368,000 and reduces it on anything above. The main conditions:
- you are at least 18
- you occupy the home as your principal residence within nine months of the transfer
- you have never owned a home, or an interest in one, anywhere in the world
- if you have a spouse, your spouse did not own a home anywhere in the world while they were your spouse
- you are a Canadian citizen or permanent resident, or become one within 18 months of the purchase
The refund can be claimed when the transfer is registered or by applying within 18 months afterwards. Our first-time buyer guide covers the other steps.
How does buying in Vaughan compare with buying in Toronto?
In Toronto, buyers pay the Ontario tax and the City of Toronto municipal land transfer tax. For homes with one or two single-family residences, the municipal brackets match the provincial ones up to $2,000,000, which roughly doubles the tax. Between $2 million and $3 million the municipal rate is 2.5 per cent, and above $3 million Toronto applies higher graduated rates, most recently revised on April 1, 2026. Toronto also offers its own first-time buyer rebate, so check the City’s current rates and rebates before you budget.
An illustration: a $1,200,000 home
Applying the official brackets above to a $1,200,000 purchase, before any first-time refund or rebate:
- Ontario land transfer tax: $275 + $1,950 + $2,250 + $16,000 = $20,475
- Toronto municipal land transfer tax on the same price: $20,475
- Total in Vaughan: $20,475. Total in Toronto: $40,950
This is an illustration of how the brackets work, not a quote. Your lawyer will calculate the exact amount for your price and circumstances.
Does anything else apply in Vaughan?
For most buyers, no. Buyers who are not Canadian citizens or permanent residents should ask their lawyer about Ontario’s Non-Resident Speculation Tax, which applies across the province, including Vaughan and the rest of York Region.
If you are comparing a Vaughan home with a similar one across Steeles Avenue, put the tax difference next to the price difference before you decide. Our Vaughan buyer page explains how we help with that comparison and the rest of the purchase.
Thinking about a move? Get a request a home evaluation, browse our listings or talk to the team.
