Regulatory changes that require home buyers in Ontario to provide complete information on their citizenship and place of residence take effect today as the province launches the Prescribed Information for Purposes of Section 5.0.1 Form.
The form will accompany the documents involved in land-transfer tax payment. The provincial government said that it devised the form as part of its drive “to support evidence‑based policy development with respect to Ontario's real estate market,” CBC News reported.
The government announced that completion of the form will become mandatory starting May 5.
“However, during the transition period from April 24 to May 5, 2017, any incomplete information, inability to complete the Form, errors and/or omissions made on the Form will not affect the registration of the transaction or incur penalties,” the government added.
The rules, which were announced along with the economic statement last fall, will be applicable to anyone who purchases either agricultural land or a parcel that hosts between one and six single-family properties.
Information required by the new form will include:
- whether the home is intended to be a principal residence or an investment property
- residency, citizenship, and permanent resident status of the individual buying the property
- for purchases involving a numbered company, information on the identity of the corporation’s owner
The inauguration of the document came on the heels of the provincial government’s announcement of 16 new housing policies in last week’s release of the Fair Housing Plan.
Premier Kathleen Wynne and Finance Minister Charles Sousa assured that the Plan would focus on ensuring rental supply and improving affordability, as well as clamping down on speculation. Among the most notable provisions include expanded rent control that will apply to all private rental units in Ontario, as well as a 15-per-cent tax to be imposed on buyers in the Greater Golden Horseshoe area who are not citizens, permanent residents, or Canadian corporations.
10 year study looks into foreign investment
Foreign buyers’ tax in GTA an ‘un-Canadian’ move - mortgage industry
Are you looking to invest in property? If you like, we can get one of our mortgage experts to tell you exactly how much you can afford to borrow, which is the best mortgage for you or how much they could save you right now if you have an existing mortgage. Click here to get help choosing the best mortgage rate