In Ontario, what is the standard Land Transfer Tax rate for a residential property purchase of $400,000?
Correct Answer
B) 0.5% on first $55,000, 1.0% on next $195,000, 1.5% on remaining amount
Ontario Land Transfer Tax uses a tiered structure: 0.5% on the first $55,000, 1.0% on amounts from $55,001 to $250,000, and 1.5% on amounts over $250,000. This progressive system means different rates apply to different portions of the purchase price.
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