Property Tax Calculator

How Property Tax Works in Canada

Property tax is calculated by multiplying a property’s assessed value by the municipal tax rate, commonly referred to as the mill rate. In Ontario, the Municipal Property Assessment Corporation (MPAC) determines property assessments based on the estimated market value as of a fixed valuation date. British Columbia uses BC Assessment, while other provinces have their own assessment authorities. Assessments are typically updated every four years in Ontario, though actual market values may shift significantly between updates.

Tax rates vary widely by municipality. Toronto’s residential rate is among the lowest in Ontario at roughly 0.63%, but its high property values still produce substantial tax bills. Cities like Windsor, Oshawa, and Hamilton have rates above 1.2% but lower assessed values. The total tax bill depends on the interplay between rate and assessment—a low rate on an expensive home can produce a higher bill than a high rate on a modestly valued property.

Residential Property Tax Rates by City

If you believe your assessment is inaccurate, you can file a Request for Reconsideration with your provincial assessment authority within the designated filing period. Property taxes fund municipal services including roads, transit, police, fire services, parks, and waste collection. Some provinces offer property tax deferral programs for seniors and low-income homeowners, and Ontario’s Senior Homeowners’ Property Tax Grant provides up to $500 for eligible residents aged 64 and older.