Non-Resident Speculation Tax (NRST)비거주자 투기세

What is it?

The Non-Resident Speculation Tax (NRST) is an Ontario tax paid when a foreign national buys residential property in Ontario. The rate is 25% of the price (the value of the consideration), and since October 25, 2022 it applies everywhere in Ontario. Before that it applied only in the Greater Golden Horseshoe, at a lower rate.

Despite the name, the test is not where you live but your immigration status. If you are not a Canadian citizen or permanent resident, you pay even if you live in Canada. A permanent resident living abroad does not pay.

It is separate from land transfer tax and is paid on closing when your lawyer registers the transfer. Inside the City of Toronto, a further 10% municipal tax (MNRST) has applied since January 1, 2025.

Who pays?

• A foreign national: an individual who is neither a Canadian citizen nor a permanent resident. People in Canada on a work permit, study permit or visitor visa are included. People registered under the Indian Act are not.
• Someone whose permanent residence is still being processed: if you do not have PR status on closing day, you must pay. If you get PR later you may qualify for a rebate (see below).
• Someone whose PR card has expired: an expired card does not mean lost status. Unless PR status was lost through an official process, you do not pay.
• A foreign corporation: a company formed outside Canada, or a private Canadian company controlled by foreign nationals or foreign companies.
• A taxable trustee: the trustee of a trust that has a foreign national or foreign corporation as a trustee or beneficiary.

One foreign buyer means tax on the whole price

If several people buy together and even one of them is a foreign national, the 25% applies to the whole price, not just that person’s share. The Ministry of Finance gives this example: two citizens and one foreign national buy a $1,500,000 home with 33%, 33% and 34% shares. The NRST is $375,000 on the full $1,500,000, not on 34% of it.

Every buyer is responsible for the tax together. If the foreign national does not pay, the citizen co-buyers must. So think carefully before putting a parent, child or other family member who is a foreign national on title.

Which homes does it cover?

• Land with one to six single family residences ("designated land"): detached, semi-detached, townhouse, condo unit, and duplex through sixplex. Cottages and cabins count too.
• Since March 27, 2024, condo parking units and storage lockers bought on their own are also covered.
• Not covered: rental apartment buildings with more than six units, farmland, commercial and industrial land.
• For a building with both a home and a store, the tax applies only to the value of the residential part. The split is by value, not floor area, and you must be able to justify it.

Who is exempt?

A foreign national is exempt in three situations. In all three, every buyer must certify that they will move in within 60 days of registration and live there as their principal residence, and the transfer must be registered on title.

• Ontario Immigrant Nominee Program (OINP) nominee: you are a nominee on closing day and have applied, or certify that you will apply, for permanent residence before your nomination certificate expires.
• Protected person (refugee): someone granted refugee protection under section 95 of the Immigration and Refugee Protection Act.
• Spouse exemption: your spouse is a Canadian citizen, permanent resident, nominee or protected person, and both of you are named on title. Common-law partners (living together for at least three years, or with a child together) count as spouses.
• You must have the status on closing day. Being nominated or getting married after closing does not make the purchase exempt, and there is no refund. Any other co-buyers must also be citizens, permanent residents, nominees or protected persons.

Getting it back later (permanent resident rebate)

• If you become a permanent resident within four years of the purchase (registration), you can get all of the NRST you paid back.
• Conditions: you own the home alone or only with your spouse, and you move in within 60 days of registration and keep living there as your principal residence until you apply. Only one spouse needs to become a permanent resident, but you must already have been spouses on closing day.
• Deadline: apply within 180 days of becoming a permanent resident. That date is when your status was confirmed (the signed Confirmation of Permanent Residence), not the day your PR card arrives. If you wait for the card and miss the 180 days, the rebate is denied.
• The international student and Ontario worker rebates were transitional programs for agreements signed on or before March 29, 2022. Their application deadline (March 31, 2025) has passed and they are no longer available.
• You apply through the Ontario Ministry of Finance online portal with the registered transfer, the agreement, the statement of adjustments, proof you live there and proof of PR status. Toronto’s 10% MNRST must be claimed separately from the city, with a shorter deadline of 90 days after becoming a permanent resident.

It is not the same as the federal foreign buyer ban

The federal ban decides whether you are allowed to buy at all. Ontario’s NRST decides how much tax you pay when you do. The two work independently.

For example, someone with 183 days or more left on a work permit may be allowed to buy under the federal ban, but in Ontario still pays the full 25% unless they meet an NRST exemption such as the spouse exemption. The Ministry of Finance says plainly that an exception under the federal ban does not make you exempt from NRST.

Worked example

For reference only. This is a work permit holder buying alone. The first-time buyer refunds are not deducted because only citizens and permanent residents qualify. If the buyer later becomes a permanent resident, the NRST and MNRST may be refunded if the conditions are met.

Example