The Non-Resident Speculation Tax (NRST) is a 15% tax introduced by the Ontario Ministry of Finance on April 21, 2017, targeting foreign buyers (both individuals and companies) purchasing properties in Ontario. As this tax is designed to deter speculative investments, buyers whose intentions are recognized as non-speculative, such as purchasing for self-use, may qualify for a refund. Notably, the NRST is collected by the Ontario Ministry of Finance rather than the Canada Revenue Agency, and its definition of a foreign buyer is based on immigration status—specifically, individuals without Canadian permanent residency or citizenship, or companies not registered in Canada.
The rate and scope of the NRST have changed several times since 2022:
- For purchase agreements signed before March 30, 2022, buyers of properties in the Greater Golden Horseshoe Region were required to pay 15% NRST. Rebates were available for buyers who became permanent residents within four years, and (until March 31, 2025) for eligible international students and foreign workers.
- For purchase agreements signed between March 30, 2022, and October 24, 2022, buyers of properties anywhere in Ontario were required to pay 20% NRST. Rebates are available only for those who become Canadian permanent residents within four years.
- For purchase agreements signed on or after October 25, 2022, buyers of properties anywhere in Ontario must pay 25% NRST. Rebates are available only for those who become Canadian permanent residents within four years.
Who can get an NRST rebate now?
Permanent residents — you may qualify for a full rebate if:
- You become a permanent resident of Canada within four years of the purchase;
- You own the home alone or only with your spouse (if you were spouses on the closing date, only one of you needs to become a permanent resident);
- You moved in as your principal residence within 60 days of closing and have lived there since; and
- You apply within 180 days of becoming a permanent resident. Do not wait for your PR card — the deadline runs from the date you become a permanent resident.
The transitional rebates for international students and foreign workers (for agreements signed before March 30, 2022) ended on March 31, 2025, and applications are no longer accepted.
Reference:
Ontario: Non-Resident Speculation Tax rebates and refunds
Practical points from our experience
- Who is on title matters. The rebate is only available if you own the home alone or with your spouse. If anyone else is on title — such as a parent added to help with the mortgage — the rebate is generally not available.
- Move in within 60 days and keep proof. The home must become your principal residence within 60 days after the transfer is registered, and you need to keep living there. Useful evidence includes your driver's licence and other ID showing the address, bank and credit card statements, employment records and personal mail. Bills that are simply sent to the property, such as property tax or utility bills, carry less weight — they would arrive even if the home were rented out.
- Pre-construction condos. If you move in during interim occupancy before final closing, the NRST is paid when the transfer is registered at final closing, and the 60-day period runs from that date.
Since 2019, Sheng Qian Professional Corp. has handled numerous NRST refund cases and engaged extensively with Ontario Ministry of Finance officials. We have successfully assisted clients, even in cases where insufficient proof of occupancy initially resulted in denied applications. By supplementing missing evidence and presenting well-supported appeals, we have secured tens of thousands of dollars in refunds for our clients, sometimes over several years of persistence.
If you have further questions about NRST or need assistance, feel free to contact us.