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Toronto

Ontario · Canada
Restricted
Last updated: 2026-06-23  ·  Last verified: 2026-06-23  ·  Region: International

At a Glance — Toronto Airbnb & STR Rules

RuleDetails
Regulatory StatusRestricted — rules apply
Permit / License RequiredYes — Short-Term Rental Operator's license + city registration
Tax RateMAT 8.5% on stay cost (plus HST 13%)
Night / Day Cap180 nights/year for entire-home rentals; no cap for room rentals
Minimum StaySTR defined as under 28 consecutive days
PenaltiesMunicipal by-law enforcement; loss of income-tax deductions for non-compliance
Primary Residence RequiredYes — STRs allowed only in principal residence
Browse all 16 STR regulations in Canada →

Toronto Airbnb & Vacation Rental Regulation Overview

Toronto Short-Term Rental Regulations Overview

Short-term rentals in Toronto, Ontario are allowed but subject to significant restrictions under local regulations as of 2026. Hosts operating on Airbnb, VRBO, or other vacation rental platforms must obtain proper licensing: Yes — Short-Term Rental Operator's license + city registration.

Tax Requirements for Airbnb Hosts in Toronto

Short-term rental operators in Toronto should be aware of these tax obligations: MAT 8.5% on stay cost (plus HST 13%). Yes — GST/HST + Municipal Accommodation Tax (MAT).

Hosting Rules and Restrictions in Toronto

Key operational rules for vacation rental hosts in Toronto include: Primary residence requirement: Yes — STRs allowed only in principal residence. Rental day cap: 180 nights/year for entire-home rentals; no cap for room rentals. Minimum stay: STR defined as under 28 consecutive days.

Zoning and Location Requirements in Toronto

Zoning considerations for short-term rentals in Toronto: Restricted to residentially zoned areas. Density rules: Secondary/investment properties cannot be used as STR.

Penalties for Non-Compliance in Toronto

Hosts who fail to comply with Toronto's short-term rental regulations may face enforcement action. Municipal by-law enforcement; loss of income-tax deductions for non-compliance.

Platform Obligations in Toronto

Platform obligations for services like Airbnb, VRBO, and Booking.com operating in Toronto: Hosts collect/remit MAT; quarterly reporting required.

Full Regulatory Details

Regulatory Status
Restricted
License / Registration
Yes — Short-Term Rental Operator's license + city registration
Tax Registration
Yes — GST/HST + Municipal Accommodation Tax (MAT)
Primary Residence Rule
Yes — STRs allowed only in principal residence
Night / Day Cap
180 nights/year for entire-home rentals; no cap for room rentals
Tax Rate
MAT 8.5% on stay cost (plus HST 13%)
Zoning Restrictions
Restricted to residentially zoned areas
Minimum Stay
STR defined as under 28 consecutive days
Density Rules
Secondary/investment properties cannot be used as STR
Platform Obligations
Hosts collect/remit MAT; quarterly reporting required
Compliance Notes
All operators must register with the city and comply with zoning bylaws
Key Notes
STR limited to principal residence; entire-home capped at 180 nights/year
Penalties
Municipal by-law enforcement; loss of income-tax deductions for non-compliance
Additional Context
MAT is 8.5% applied to cost of stay excluding HST
📋 Apply / Register with the Official Authority

Apply for your STR permit or registration directly through the official government portal.

Official Source ↗

Frequently Asked Questions

Is Airbnb legal in Toronto?

Airbnb and short-term rentals are legal in Toronto but subject to restrictions. Hosts must comply with local permit requirements and zoning rules. All operators must register with the city and comply with zoning bylaws

Do you need a permit for Airbnb in Toronto?

Yes. Toronto requires the following for short-term rental operation: Yes — Short-Term Rental Operator's license + city registration.

What taxes apply to short-term rentals in Toronto?

Short-term rental hosts in Toronto are subject to the following tax obligations: MAT 8.5% on stay cost (plus HST 13%).

What are the penalties for illegal Airbnb hosting in Toronto?

Hosts who operate without proper permits in Toronto may face enforcement. Municipal by-law enforcement; loss of income-tax deductions for non-compliance.

What are the key STR compliance requirements in Toronto?

STR limited to principal residence; entire-home capped at 180 nights/year

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