Residential property owners who are required to pay the Underused Housing Tax (UHT) now have until April 30, 2024 to file a UHT2900 Underused Housing Tax Return and Election Form for the 2022 calendar year and pay any UHT owing.

This includes property owners who have a corporation or a trust, including a bare trust arrangement or are a partner in a partnership which owns residential property in Canada.  

The deadline has been extended to allow more affected owners to meet their obligations, according to a Canada Revenue Agency (CRA) news release.

“We understand that many homeowners may not be aware they are subject to this new law. I want to ensure that every effort has been made to inform homeowners and help them meet their obligations,” said Honourable Marie-Claude Bibeau, minister of national revenue.

The UHT is an annual federal one per cent tax on the ownership of vacant or underused housing in Canada owned as of December 31 of the relevant calendar year. 

The tax generally applies to foreign national owners of housing in Canada.

The majority of Canadians who own residential property are excluded owners and don’t have to file a UHT return or pay the tax.

This new online self-assessment tool helps property owners determine if they’re an excluded owner or if they must file and pay the tax.

Here are the CRA’s detailed instructions on how to complete the form.

Property owners failing to meet the deadline or pay the tax could face penalties and interest charges, including a minimum penalty of $5,000 if the person is an individual, or $10,000 if the property owner is a corporation or trust.

Learn about the Underused Housing Tax.

Read Questions and Answers about the Underused Housing Tax.