If you’re a property owner you may be affected by this tax – Discover Airdrie

Jan 03 2024

In November 2023, the Federal government proposed several changes to the Underused Housing Tax Act (UHTA) and those changes could affect how you file your taxes this year.

According to the Federal government, the UHT is an annual federal one per cent tax on the ownership of vacant or otherwise underused housing in Canada. It has been in effect since January 1, 2022. However, the most recent proposed changes may affect many property owners.

“Following a consultation period, the government intends to bring forward legislation for consideration by Parliament,” The Canadian Revenue Agency (CRA) stated on its website in late December.

This means that starting with the 2022 calendar year and for each following calendar year, owners of housing in Canada will have to, ‘determine their obligations and liabilities under the UHTA.’

“Some affected owners must file an annual return and pay the underused housing tax. Other affected owners have to file an annual return but not pay the underused housing tax. Excluded owners do not have to file an annual return or pay the underused housing tax.”

Read More: https://www.discoverairdrie.com/articles/if-youre-a-property-owner-you-may-be-affected-by-this-tax