UHT is primarily a tax targeting vacant or underused properties not owned by Canadian citizens or permanent residents. However, many Canadian entities, including individuals, corporations, partnerships, and trustees with ownership of residential real estate, must also consider this tax. Beginning in 2022, if you manage properties within Canada, you must determine whether a UHT return is required. The tax is calculated at 1% of the residential property's value, considering the higher of its last sale price or property tax assessment value.

Just because you file a UHT return doesn't mean you'll necessarily owe more tax. Many exemptions and scenarios result in zero balances upon filing.