New regulation filed (April 26, 2018) to facilitate compliance with section 3 of the Land Transfer Tax Act to allow quarterly filing for dispositions that are changes in the composition of certain trusts and partnerships. This regulation does not apply to the Non‑Resident Speculation Tax.

Eligibility for quarterly reporting periods

O. Reg. 343/18: Timing of Tax Payable Under Subsection 3(2) of the Act provides for Land Transfer Tax (LTT) imposed under section 3 for certain dispositions of a beneficial interest in land through a qualifying entity to be payable no later than the 30th day after the end of the specified calendar year quarter in which the disposition occurred.

A qualifying entity is a trust or partnership in which 50 or more persons hold an interest on the first day of the year in which the disposition occurs. These interests can be held directly or indirectly (i.e., through one or more other partnerships or trusts).

Under the regulation, the ability to pay quarterly applies to LTT that arises when a person acquires an interest in a qualifying entity, or when a person’s interest in a qualifying entity is increased.

Interest on a late remittance starts to accrue on the 31st day after the end of the specified calendar year quarter in which the disposition occurred.

This regulation does not apply to the Non‑Resident Speculation Tax.

Changes in the composition of a qualifying entity

The purpose of this regulation is to facilitate compliance with section 3 of the Land Transfer Tax Act for dispositions of a beneficial interest in land that result from changes in the composition of a qualifying entity. This regulation would generally not apply when a partnership or a trust that is a qualifying entity acquires land, or an interest in land, as property of the partnership or trust.

Commencement date

O. Reg. 343/18 applies to dispositions of a beneficial interest in land that occur on or after January 1, 2018.

Consolidated filing

The Ministry of Finance accepts consolidated filing by a representative of a qualifying entity on behalf of partners and beneficiaries who hold an interest in a qualifying entity.

To make a consolidated filing, submit a completed Return on Dispositions of a Beneficial Interest in Land by Partners or Beneficiaries Holding an Interest In a Qualifying Entity (Ontario Regulation 343/18) form and supporting documentation to the Ministry of Finance.

Dispositions of a beneficial interest in land reported by way of a consolidated filing are subject to the rules and requirements imposed under the Land Transfer Tax Act, including audit and record‑keeping requirements.

Contact us

Documents required under the Act can be submitted by email, fax or mail, as per the contact information noted below.

If this page does not completely address your situation, refer to the Act and related regulations, visit our website at ontario.ca/finance or contact us by:

  • Email: LTTGeneral@Ontario.ca
  • Fax: 905-433-5770
  • Telephone toll free: 1-866-668-8297
  • Teletypewriter (TTY): 1-800-263-7776
  • Mail: Ministry of Finance Land Taxes Section 33 King Street West Oshawa ON L1H 8H9