EN FR

Torontonians face heavier tax burden than politicians claim

Author: Jay Goldberg 2023/10/12

Toronto, ON: The Canadian Taxpayers Federation is calling on Toronto Mayor Olivia Chow to freeze property taxes and user fees ahead of Toronto’s 2024 budget because Torontonians pay higher municipal taxes than many of Ontario’s largest municipalities.

“For years, Toronto politicians have pushed the myth that Toronto’s tax burden is lower than neighbouring cities,” said CTF Ontario Director Jay Goldberg. “But once property taxes, other taxes and user fees are factored into the equation, Torontonians face a higher tax burden than those in other major Ontario municipalities.”

Budgets presented in 2023 by Toronto, Ottawa, Hamilton, London and Windsor show that Toronto taxpayers have the heaviest per capita municipal tax burden. Toronto taxpayers are the only taxpayers in Ontario who pay a municipal land transfer tax, which costs taxpayers nearly $1 billion per year.

“The average Toronto resident will pay $3,375 in taxes and user fees in 2023 and that’s $1,155 more than the average tax burden carried by residents in nearby Hamilton,” said Goldberg. “Tax-happy Toronto politicians aren’t telling taxpayers the truth when they claim that Toronto taxpayers have a low tax burden.”

Chow has yet to announce her proposed property tax increase for 2024, but she has already led council in adopting a more costly land transfer tax and has asked Ontario Premier Doug Ford for permission to impose a municipal sales tax. Chow is also considering a number of other measures to increase Torontonians’ tax burden, including a commercial parking tax.

“Chow needs to understand that Torontonians are taxed to the max and cannot afford to hand even more money over to Toronto’s politicians,” said Goldberg. “Chow should be looking for ways to lower the tax burden, not make it worse. New taxes and more tax hikes should be taken off the table.”   

Tax Burden Per Capita, Large Cities

City

Total Tax Burden

Population (2021 Census)

Tax Per Capita

Toronto

$9,430 million

2,794,356

$3,375

Ottawa

$3,212 million

1,017,449

$3,157

Hamilton

$1,264 million

569,353

$2,220

London

$1,103 million

422,324

$2,612

Windsor

$596 million

229,600

$2,695

Note: Only cities that are not members of regional governments were examined. Cities that are members of regions pool some revenue and costs with neighbouring municipalities.

 

Tax Burden by Municipality, Large Cities

City

Property Tax

User Fees

Other Tax

Total Tax Burden

Toronto

$4,910 million

$2,630 million

$1,890 million

$9,430 million

Ottawa

$2,231 million

$941 million

$40 million

$3,212 million

Hamilton

$1,050 million

$178 million

$36 million

$1,264 million

London

$932 million

$56 million

$115 million

$1,103 million

Windsor

$415 million

$120 million

$61 million

$596 million

Note: Transit ticket revenue was removed from user fee total for each municipality.

 


A Note for our Readers:

Is Canada Off Track?

Canada has problems. You see them at gas station. You see them at the grocery store. You see them on your taxes.

Is anyone listening to you to find out where you think Canada’s off track and what you think we could do to make things better?

You can tell us what you think by filling out the survey

Join now to get the Taxpayer newsletter

Franco Terrazzano
Federal Director at
Canadian Taxpayers
Federation

Join now to get the Taxpayer newsletter

Hey, it’s Franco.

Did you know that you can get the inside scoop right from my notebook each week? I’ll share hilarious and infuriating stories the media usually misses with you every week so you can hold politicians accountable.

You can sign up for the Taxpayer Update Newsletter now

Looks good!
Please enter a valid email address

We take data security and privacy seriously. Your information will be kept safe.

<