Hamilton's new vacant unit tax delayed after Canada Post strike

Hamilton's already delayed vacant unit tax will be delayed once again because of the Canada Post strike. 

The month-long postal disruption meant the city couldn't mail out information this month to property owners about what's required of them, staff said in a communication update to the mayor and councillors last week. 

The letters, mailed through Canada Post, will instruct property owners on how to declare whether their homes have been unoccupied for more than half of 2024, which the city will consider as vacant.

Those homes will be subject to a tax of one per cent of their assessed value. 

The deadline for property owners to make their declarations was to be March 31, 2025, but will likely be extended due to the mail delays, staff said. 

They said they'll report back to council in January with an updated timeline. 

"The city is committed to delivering a successful vacant unit tax program roll out that embodies a whole-of-Hamilton approach and provides a positive customer experience," said the update. 

Canada Post workers returned to their jobs in mid-December, after walking out a month before. But the federal Crown corporation warned it would need time to clear a backlog of packages and letters. 

The vacant unit tax was originally planned to begin a year ago, but was delayed after council unexpected struck the bylaw down in late 2023. It was revived and passed in 2024 to begin in 2025. 

The first vacant unit charges were to be included in property tax bills beginning in June, followed by a complaint period, but that may now be subject to change. 

The tax is designed to discourage investors from buying homes and letting them sit empty instead of renting them out to long-term tenants, staff have previously told council. 

Any revenue generated from the program will go toward increasing affordable housing supply, the city says.