New Ontario Laws Starting August 2025
What’s Happening in August 2025?
Starting August 2025, Ontario is rolling out a number of new laws and regulations that will impact:
- Local businesses
- Renters (especially in Toronto)
- Alcohol producers and consumers
- And more
These changes come from Ontario’s 2025 Budget called A Plan to Protect Ontario, aimed at supporting local industries, reducing costs for consumers, and shielding vulnerable groups during economic uncertainty.
Alcohol Tax Cuts: Relief for Producers & Savings for Consumers
Lower Taxes on Locally Made Spirits
Starting August 1, 2025, the tax on spirits made in Ontario and sold at distillery retail stores will drop from 61.5% to 30.75% — nearly half!
- Example: A $50 bottle of gin could now be taxed at $15.38 instead of $30.75 — meaning you may pay 10–20% less.
Good News for Distilleries
This tax cut will:
- Help small and mid-size distilleries grow
- Encourage product innovation
- Boost tourism through distillery visits
Tax Breaks for Craft Beer
Ontario’s 300+ microbreweries will also benefit from reduced taxes starting August 1:
- Draft beer: Tax drops from 35.96¢ to 17.98¢ per litre
- Non-draft beer: Tax drops from 39.75¢ to 19.88¢ per litre
What This Means for You
- A six-pack of craft beer could be about 42¢ cheaper
- These small savings may lead to more people choosing local brews
Support for Microbrewers
These cuts give craft brewers room to:
- Invest in new products
- Expand their business
- Stay competitive
Lower LCBO Markups on Cider and RTD Beverages
Cider Gets Cheaper
- The markup on Ontario-made cider will drop from 60.6% to 32%
- Example: A $10 bottle could become $2–3 cheaper
Ready-to-Drink (RTD) Beverages Also Affected
- Wine- and spirit-based drinks (like vodka sodas) will also be cheaper, with markups reduced to 48%
Market Impact
While the LCBO expects to lose up to $200 million a year in revenue:
- Local producers may sell more
- Consumers may enjoy better prices
- Tourism and local economies could get a boost
Toronto’s New Rental Renovation Licence: Stronger Tenant Protections
Although technically effective July 31, 2025, the impact will be seen in August and beyond.
This new bylaw is designed to prevent “renovictions” — when landlords evict tenants under the excuse of renovations, just to raise the rent.
Key Rules Landlords Must Follow
- Get a renovation license before issuing an N13 eviction notice
- Give 120 days’ written notice to tenants
- Allow tenants the right to return after renovations at the same rent
- Provide temporary accommodation or compensation if tenants choose not to return
Penalties for Breaking the Rules
- Up to $100,000 in fines for non-compliance
Impact on Tenants and Housing Market
Toronto has one of Canada’s tightest rental markets:
- Vacancy rates below 2%
- Average one-bedroom rents over $2,400/month
This bylaw:
- Protects long-term and low-income tenants
- Discourages bad-faith evictions
- Could inspire similar rules in other Ontario cities (just like Hamilton did in 2024)
Landlord Concerns
Some landlords say it adds extra red tape and delays for honest renovations — especially for smaller property owners. But the city promises a streamlined process and clear enforcement.
Other Recent and Upcoming Provincial Changes
Gig Workers’ Protections (Effective July 1, 2025)
- Minimum wage for gig workers (e.g., Uber, DoorDash)
- Regular pay periods and more protections under the Digital Platform Workers’ Rights Act
Fertility Treatment Tax Credit (2025 Tax Year)
- Up to $5,000 back through a 25% refundable tax credit on fertility treatment expenses (max. $20,000)
Pre-Budget Consultations (Until August 28, 2025)
- The federal government is accepting public input for Budget 2026, which may shape Ontario’s economic strategies moving forward
What Does This Mean for Ontarians?
Together, these changes reflect Ontario’s effort to:
- Strengthen the local economy
- Protect renters and workers
- Encourage consumer spending
- Support small businesses
In Summary
As of August 2025, you can expect:
- Cheaper local alcohol (thanks to major tax and markup cuts)
- Stronger rights for renters in Toronto
- More protection for gig workers
- Support for families seeking fertility treatment
By staying informed, you can make the most of these changes — whether you’re a business owner, a renter, a consumer, or just someone who calls Ontario home.
Get in touch with SPS Global
Receive professional advice on any of your questions regarding Canadian immigration. get in touch with us, experienced immigration consultants from SPS Global. For additional information, contact support@spscanada.com (Canada) or support.amd@spscanada.com (Ahmedabad), or by phone at (1) 905-362-9393 (Canada) or +919586226232 (Ahmedabad).
