The Government of Canada recently introduced the Underused Housing Tax (UHT). The first returns under the UHT are due on April 30, 2023.
The Canada Revenue Agency has recently announced that, in recognition of the challenges in implementing the UHT in its first year, penalties and interest on the 2022 calendar year UHT filing will be waived, provided the return is filed or the UHT is paid by October 31, 2023. While this is not technically an extension of the time to file the return and pay the UHT (it is still due April 30, 2023), no penalties or interest will be applied for UHT returns and payments that the CRA receives before November 1, 2023.
This is welcome news for condominiums. While the government has exempted co-operatives from the application of the UHT, it has not done so for condominiums. We are engaged with a number of associations who are lobbying government to address this.
More information is available on the CRA’s website.