Ontario eyes potential tax changes to spur rental construction | 24CA News
Ontario’s municipal affairs and housing minister says he’s potential tax modifications to spur the creation of rental items.
Speaking Tuesday on the Association of Municipalities of Ontario convention, Steve Clark reiterated a name for the federal authorities to defer the HST on all new, large-scale purpose-built leases.
He additionally mentioned if Ottawa doesn’t take that step, Ontario will take motion itself, although he didn’t supply particulars.
Clark additionally introduced that he will probably be updating the definition of “affordable” housing with regards to reductions and exemptions to charges builders pay when constructing these items.
Legislation final 12 months from Clark launched cuts to these charges for constructing reasonably priced, attainable and non-profit housing items in a bid to see financial savings handed alongside to homebuyers and renters.
That legislation outlined “affordable” as 80 per cent of the typical market lease or buy worth.
Clark says he plans to introduce new laws within the fall to include earnings components into the definition to make sure low- and moderate-income Ontarians can discover a actually reasonably priced residence.
He says the brand new definition would largely be primarily based on language within the 2020 Provincial Policy Statement and would take native earnings ranges under consideration.
In that land use planning doc, reasonably priced is outlined as both housing that prices not more than 30 per cent of gross annual family earnings for low- and moderate-income households or is beneath common costs within the space — whichever is decrease.
“Over the past year, my ministry has been working very closely with municipalities and stakeholders to arrive at the definition of affordable housing that’s genuinely affordable, but which doesn’t stand in the way of getting shovels in the ground,” Clark mentioned.
“I heard very clearly about the need to provide both clarity and stability so affordable homes can be built without delay.”
The president of the Association of Municipalities of Ontario welcomed Clark’s announcement.
“Any definition of affordable housing needs to consider everyone’s ability to pay the rent,” Colin Best wrote in an announcement.
Clark additionally mentioned that facilitators to evaluate six regional governments in Durham, Halton, Waterloo, York and Niagara areas and Simcoe County will probably be appointed by Sept. 11.
“These facilitators will be tasked with reviewing the structures of local governance in these fast-growing areas to ensure that they are up to the job of delivering the efficient, effective and accountable government that residents expect and deserve,” Clark mentioned.
Earlier this 12 months the province handed laws to dissolve Peel Region, which is made up of Brampton, Mississauga and Caledon.
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