Windsor's 3% vacant home tax ready to go but needs provincial approval

Propertyowners in Windsor with vacant homes won't be taxed quite yet.

City staff are awaiting final confirmation from the province to move forward with a previously approved tax on vacant homes in Windsor.

Ontario'srecently announced budget for 2024 includes a plan to allow single- and upper-tier municipalities to tax owners of vacant homes.

The tax is meant to increase housing supply by incentivizingproperty owners to make sure houses are occupied. In Windsor, a vacant home is defined as one unoccupied for more than 183 days.

"We are just waiting to see if we can proceed under the parameters of the program that we have designed," said Janice Guthrie, the city's chief financial officer.

"This program is not intended to over-tax property owners. This is to move properties to be used for housing."

Windsor's council approved the tax in 2023. It'll costowners three per cent of the assessed value of the home.

This type of tax is already used in Toronto, Ottawa and Hamilton.

Windsor's program will be complaint-based, relying ontips from the public. Staff have previously said it is not intended to generate revenue.

When the program is implemented, city staff will send a form to the property owner explaining what kind of exemptions are available to the tax. That form will need to be returned within 30 days.

Exemptions apply for primary residences, homes that are vacant while under construction andhomes that are vacant for up to two years after their owner enters long-term care or dies.

The city will also review houses staff identifyas unoccupied in their roles with departments like taxation, licencing and building.