Find out how HST applies to the sale of vacant land in Ontario. This video explains when HST is payable and when it might be exempt, depending on the seller’s use of the land. If the land was held for personal use and not part of a business, HST is typically not required. However, if the property has been subdivided or severed, the sale may be taxable. We clarify how personal use, subdivision, and business intent can affect HST liability, and why consulting a lawyer or accountant is crucial before finalizing a vacant land transaction.

Ontario real estate lawyer, Paria Rad of Devry Smith Frank LLP and Woitzik Polsinelli LLP has over 13 years of experience in residential and commercial real estate law. If you have questions about the purchase of a property, contact Paria at paria@durhamlawyer.ca or at 905-668-4486.