Toronto Property Tax Ownership Change Fee: When and How to Pay

The Toronto property tax ownership change fee is $51.61 per tax account, charged by the City to update the name on the account after a property changes hands. If your property also has a City utility account for water or solid waste and you want both updated together, the combined fee is $73.78.¹ Both amounts are before HST, which the City adds where applicable under Toronto Municipal Code Chapter 441.² At Ontario’s 13% rate, the tax-only fee comes to about $58.32. These amounts took effect January 1, 2026.

When the Fee Applies

The charge is triggered any time a name is added to or removed from a property tax account. That covers an ordinary sale to a third party, a transfer between family members, and adding a spouse to the title. It’s a one-time administrative fee per change, not a recurring charge.

How and When You Pay It

You don’t pay this fee at your lawyer’s office on closing day. When a transfer is registered at the provincial Land Registry Office, that information flows electronically to the City’s Revenue Services division, which updates the tax account. The $51.61 fee is then added to the first property tax bill issued in your name as a separate line item.

Your first bill as the new owner should show your name and reflect the charge. If it doesn’t, or if bills keep going to the previous owner after a couple of billing cycles, call the Tax and Utility Inquiry Line to confirm the update was processed.

Why New Owners Should Watch the Update Closely

Once a bill is issued in your name, you’re liable for paying it on time whether or not the paper copy reaches you. The City charges 1.25% on the first day a payment is overdue and another 1.25% on the first of each month it stays unpaid, and it cannot waive or reduce that penalty.³ That works out to 15% per year.

If the ownership change hasn’t been processed yet, bills may still be going to the previous owner’s address. The debt is still yours. Check the City’s Property Tax Lookup portal shortly after closing to confirm your account status, and set up payments through online banking using your 21-digit assessment roll number so you aren’t dependent on paper mail arriving.⁴

Other Administrative Fees New Owners See

The ownership change fee sits alongside a handful of other Revenue Services charges that catch new buyers off guard:

New property tax account setup: $73.78, charged when a brand-new tax account is created, for example after a severance or condo conversion that produces a new roll number.¹
Dishonoured payment: $47.27 per returned payment when a cheque bounces or a bank withdrawal fails.¹
Mortgage company administration: $13.68 per account, billed twice a year if your lender pays property taxes on your behalf.¹
Prior-year tax receipt: $23.71 per year, per account, for a payment statement from a previous tax year. Current-year receipts are free.¹

Not to Be Confused With Land Transfer Tax

The ownership change fee is a small administrative charge and has nothing to do with the Municipal Land Transfer Tax that buyers pay when they purchase Toronto property. The MLTT is calculated on a graduated scale tied to purchase price and, combined with Ontario’s provincial land transfer tax, is the largest closing cost most buyers face.⁵ First-time buyers in Toronto can claim an MLTT rebate of up to $4,475, usually applied by your lawyer at the time of registration.⁶ If you’re planning a purchase, the land transfer taxes, not the $51.61 account update, are the number to budget for.

Finding Your Account After Closing

Every Toronto property is identified by a 21-digit assessment roll number that appears on your tax bill. You’ll need it to pay through online banking, enroll in the Pre-Authorized Tax Payment program, or ask Revenue Services about your account. If you haven’t received a bill yet, look up the roll number through the City’s online Property Tax Lookup tool, then register the City of Toronto as a payee at your bank. Each bank lists the City under a slightly different payee name, so pick the one your institution uses.⁴ Enrolling in pre-authorized payments right after you buy is the simplest way to avoid the monthly late penalty while the ownership change works its way through the system.

1
City of Toronto. Property Tax Rates and Fees
2
City of Toronto. Toronto Municipal Code Chapter 441 – Fees and Charges
3
City of Toronto. Late Tax Bill Payments
4
City of Toronto. Pay Your Property Tax Bill
5
City of Toronto. Municipal Land Transfer Tax and Municipal Non-Resident Speculation Tax – Rates and Fees
6
City of Toronto. Municipal Land Transfer Tax – Rebate Opportunities