ontario regulation 538/07
made under the
Made: September 7, 2007
Filed: September 7, 2007
Published on e-Laws: September 10, 2007
Printed in The Ontario Gazette: September 22, 2007
Amending O. Reg. 282/98
1. Ontario Regulation 282/98 is amended by adding the following section:
Condominium Hotel Valuation
45.3.1 (1) In this section,
“condominium hotel” means a building complex,
(a) that contains at least 20 hotel units, and
(b) that is not located within the boundaries of a resort;
“hotel unit” means land,
(a) that is a unit or proposed unit as defined in the Condominium Act, 1998,
(b) that is furnished and operated or managed in a manner to provide transient accommodation for a fee or charge for a minimum period of less than 30 days, or that is used as part of the hotel operations, and
(c) in respect of which, for the 2008 and subsequent taxation years, the owner or his or her authorized agent has made a declaration under subsection (5) or clause (6) (a);
“resort” means a building complex that is occupied primarily for recreational purposes, including golfing, skiing, swimming and hiking.
(2) For the purposes of subsection 19 (2.1) of the Act, the current value of a hotel unit that is contained in a condominium hotel for the purposes of assessment for 2006 and subsequent taxation years shall be determined by using the pro forma
income capitalization approach to valuation to determine assessments that are comparable to the assessments of hotels of similar size and quality in the vicinity of the condominium hotel.
(3) For the purposes of subsection (2), all hotel units shall be deemed to be a single parcel of land for valuation purposes and the value determined shall be apportioned among the hotel units in the proportion that the square footage of each unit is of the total square footage of all hotel units contained in the condominium hotel.
(4) Section 45.3 applies to a condominium hotel.
(5) For the purposes of assessment for the 2008 taxation year, the owner of a hotel unit that is part of a condominium hotel or his or her authorized agent shall make a declaration on or before November 30, 2007 to the assessment corporation stating that the unit is a hotel unit for the 2008 taxation year.
(6) For the purposes of assessment for 2009 and subsequent taxation years, the owner of a hotel unit that is part of a condominium hotel or his or her authorized agent shall make a declaration on or before June 30 of the previous taxation year to the assessment corporation stating that,
(a) the unit will be a hotel unit for the following and subsequent years; or
(b) the unit will cease to be a hotel unit for the following and subsequent years.
(7) Despite subsection (6), no declaration is required where,
(a) a declaration was previously made under subsection (5) or (6); and
(b) there has been no change in the status of the unit since the declaration was made.
(8) The assessment corporation may determine the manner in which a declaration under subsection (5) or (6) is made.
2. This Regulation comes into force on the day it is filed.
Minister of Finance
Date made: September 7, 2007.