The Federal Underused Housing Tax (“UHT”) is an annual 1 per cent tax on the ownership of vacant or underused residential property in Canada. The law took effect on January 1st, 2022, and while the UHT is intended to be targeted towards non-Canadians who hold residential real estate property in Canada that is vacant, many Canadians will still have an obligation to file a UHT tax return (the “UHT Return”). Significant penalties will apply if the UHT Return is not filed on time, even where no tax is due.
For the purposes of the UHT, residential real estate properties include, but are not limited to, detached houses, semi-detached houses, condominium units, townhouses, duplexes/triplexes, and cottages or cabins.
For the purposes of the UHT, residential real estate properties include, but are not limited to, detached houses, semi-detached houses, condominium units, townhouses, duplexes/triplexes, and cottages or cabins.
