The status of the speculation tax currently sits with the City's Executive Committee for review.
The "speculation tax" aim is to add another tax on the sale of non-principal residences with the view to stop the increase of home prices driven by home flippers.
Toronto Regional Real Estate Board (TRREB) have concerns about the proposal and they are as follows:
governments should focus on increasing the supply of housing for sale and rent
demand-side policies have proven to be ineffective;
potential to reduce rental housing supply provided by investor-owned housing; and
potential negative ripple effects of a “speculation tax” on other parts of the real estate market, including the value and equity of other homeowners, as past experience with the provincial Speculation Tax in 1974 has shown.