The Underused Housing Tax Act is also legislation targeted at non-residents. The tax usually applies to non-resident, non-Canadian owners. In some situations, however, it also applies to Canadian owners. In particular, privately held Canadian corporations must file an Underused Housing Tax return, even if the Canadian corporation qualifies for an exemption.
There are significant penalties (minimum $5,000 for individuals, and $10,000 for corporations) if you fail to file an Underused Housing Tax return when it is due. The deadline for filing a 2022 return was April 30, 2023. However, the Federal Government has announced that it will not apply penalties or interest for UHT returns and payments that the CRA receives before November 1, 2023.
*Please be advised that the above is general information and does not constitute legal advice. Please contact our firm if you have any questions.