Municipal Vacant Home Tax (VHT)

The City of Windsor is taking steps towards revitalizing its urban landscape, fostering a more dynamic and inclusive housing market, and ensuring that every available space in the city contributes positively to the fabric of the community.

On June 11, 2024, the City of Windsor officially launched a separate tax on vacant municipal residential properties (VHT).

By-law 91-2024 (Vacant Home Tax)

What is Vacant Home Tax (VHT)?

The City’s VHT program is a community-driven process and will not require all property owners to complete a mandatory declaration of occupancy status. Only those properties suspected to be unoccupied will require a declaration to be completed.

The VHT will apply to a residential property that is determined to be unoccupied for a period of more than 183 days in a calendar year (known as the Vacancy Reference Year). Vacant residential lots are not subject to VHT at this time.

A tax of 3% of the assessment value of the property for the Vacancy Reference Year, as determined by the Municipal Property Assessment Corporation (MPAC), will be billed and payable in the following calendar year (known as the Billing Year). The program will run annually.

In the 2024 Billing Year, the City will calculate the VHT as 3% of the 2023 assessment value for a residential property that was vacant for the Vacancy Reference Year 2023.

Is My Residential Property Considered Occupied or Vacant?

A residential unit is considered occupied and exempt from the VHT if it was the primary and usual residence during the year for:

The assessed owner of the property, or
An immediate family member of the assessed owner, or
An individual who has entered into a formal residential lease or rental agreement under a term no less than 183 days.

Residential properties that are not the principal residence of any of the above persons and were vacant for a minimum of 183 days during the year may still be exempt from the VHT if any of the following exemptions apply:

Exemptions

Additional program exemptions are available for residences that may be considered in transition:

It is undergoing active and ongoing repairs and renovations of which there is an open and active building permit(s) issued by the City of Windsor.
It is on land for which a development/redevelopment application has been approved by the City of Windsor. The effective period would be retroactive to the date the application was filed until one year after the date the application was approved.
It is listed publicly for sale or rent for a period of up to 12 consecutive months. The Listed for Sale exemption is limited to once per ownership term. The Listed for Rent exemption may be claimed multiple times, provided that the unoccupied periods are separated by a tenancy lasting no less than twelve months and verified by way of executed lease.
It has changed ownership in whole by way of an arm’s length transaction; the unit will not be subject to VHT for the taxation year during which the transaction occurred.
The registered owner was admitted to care (hospitalization, long-term care) – the exemption applies for a period up to two years from the date admitted to care.
The registered owner has died – the exemption applies for a period of up to two years starting the month after the owner’s death, provided the unit was occupied at the time of death. The exemption applies to the legal estate or heir without any extension to the exemption period.
It is a unit used exclusively as a short-term rental and is occupied for a minimum of 183 days during the taxation year. Eligible stays are limited to those in respect of which the City of Windsor’s Municipal Accommodation Tax has been paid. This cannot be claimed in conjunction with any other exemption.
It is owned by a business and used exclusively as a part-time residence by their employees, directors, or clients for a minimum of 183 days during the taxation year. This cannot be claimed for a property used or offered as a short-term rental during the year, and it cannot be claimed in conjunction with any other exemption.
It has a court order preventing occupancy during the Vacancy Reference Year, unless the order is conditional on an action of the owner or the state and condition of the property, and the owner has not made reasonable efforts to remedy the circumstances that led to the order.
It is a unit in a multi-residential property (greater than six units).
It is a unit that is managed or considered social or affordable housing and is in receipt of funding from the City of Windsor.

Do I Have to Submit a Declaration of Occupancy Status Form?

The City of Windsor is not requiring every residential property owner to submit a Declaration of Occupancy Status Form.

Those that own residential property throughout the year and use it as their principal residence do not have to file a declaration regardless of how many days they are home. This covers all situations where homeowners travel, work out of town, or have a vacation home elsewhere that they visit throughout the year.

If you own a residential property that you know was vacant for more than 183 days in the Vacancy Reference Year, you must fill out the declaration and submit it to the City of Windsor Tax Department. If you are unsure if your property meets the criteria of being vacant, you may fill out a form, and we will contact you to discuss.

If the City is made aware of a property that may be subject to VHT, the owner will be contacted either by phone, email or letter requesting that a declaration form be filled out and returned within 30 days of the date of the communication request from the City.

Links to the Declaration of Occupancy Status Form

VHT - Declaration Form (non-fillable)
VHT - Declaration Form (fillable)

Completed forms may be returned as follows:

By email to vht@citywindsor.ca
Delivered in person to the 1st floor customer service counter of 350 City Hall Square West
Completed forms mailed to:
1. City of Windsor – Taxation Division – VHT
  350 City Hall Square West, Suite 410
  Windsor, ON N9A 6S1

Tips From the Public

Anyone can provide information on vacant residential properties by calling 311, emailing vht@citywindsor.ca or coming in-person to the customer service counter on the 1st floor at 350 City Hall Square West.

We require the following information:
1. Address of the property
2. Period of vacancy – can be estimated, identify months/year
3. Owner’s name if known
4. Caller/emailer’s name, phone number and/or email address (voluntary)

Calculation and Billing of the VHT

The tax will be calculated as a percentage of the assessed value of the residence. City Council has approved a 3% tax rate for 2024, and the assessed value is determined by the Municipal Property Assessment Corporation (MPAC) for the Vacancy Reference Year. There will be no proration based on the number of days vacant.

A bill will be sent to the property owner, and they will have ninety (90) days to pay. If the amount remains unpaid after the due date, the VHT levy will be added to the property tax account and will be subject to interest calculated at 1.25% per month as long as the amount remains unpaid.

Compliance and Audit

City administration is authorized to request evidentiary documentation (i.e., government-issued identification [ID], utility bills, lease information, etc.) from property owners to determine whether a property should be assessed the VHT.

City administration is authorized to take any action necessary, including inspection and audit, to enforce compliance relative to the billing and collection of the VHT.

Appeals and Dispute Resolution

A property owner will have 30 days from the date of the VHT bill to file a Notice of Complaint if they wish to dispute the VHT charge. Supporting documentation for review should accompany the Notice of Complaint. To access the Notice of Complaint Form, you may download it via the links below, pick one up at the 1st floor customer service counter at 350 City Hall Square West, call 311 and request the form be sent via email or mail, or request the form at vht@citywindsor.ca by email.

Links to the Notice of Complaint Form

VHT - Notice of Complaint Form (non-fillable)
VHT - Notice of Complaint Form (fillable)

Completed forms may be returned as follows:

By email to vht@citywindsor.ca
Delivered in person to the 1st floor customer service counter of 350 City Hall Square West
Completed forms mailed to:
1. City of Windsor – Taxation Division – VHT
  350 City Hall Square West, Suite 410
  Windsor, ON N9A 6S1

The submission from the property owner will be reviewed by a senior tax analyst or City manager, and results will be communicated to the property owner via VHT Audit Determination Notice.

Within 30 days of receiving the VHT Audit Determination Notice, the property owner will have the opportunity to appeal by filing a Request for Review. This request will be reviewed by the Municipal Vacant Home Tax Review Committee. The committee will notify the owner via Notice of Decision, and this decision will be considered final.

Links to the Request for Review Form

VHT - Request for Review Form (non-fillable)
VHT - Request for Review Form (fillable)

Any questions regarding the City of Windsor VHT program may be directed by phone to 311, or by email to vht@citywindsor.ca or in person at the 1st floor customer service counter of 350 City Hall Square West.

Vacant Home Tax Program Frequently Asked Questions (FAQs) - May 2024