About Development Charges

Video: The World of Development Charges (MFOA)

Which developments involve a charge?

Development charges may apply if you are:

• constructing a new building.
• making an addition or alteration to an existing building which increases the total floor area or number of units.
• re-developing a property or properties which results in a change of use.
• making interior alterations that result in a change of use to all or part of a building or unit.

Why are development charges collected?

Development charges assist in financing costs associated with growth and development within the city of Vaughan. Every development application is evaluated to determine whether and to what extent development charges apply. Fees collected are used solely for city-building purposes.

What do development charges pay for?

Development charges help fund the increased need for the following services:

• Engineering services
• Public works (garbage, fleet services, park maintenance, etc.)
• Community services (parks, community centres, fitness centres, etc.)
• Library services
• Fire and rescue services
• General government

Where do development charges go?

As of June 17, 2026. 

When is a development charge payment due?

A development charge is calculated on the date a building permit is issued for the land to which a development charge applies. For residential developments, development charges are payable at first occupancy of a building, whereas for non-residential developments, development charges are payable at building permit issuance.

Development charges are adjusted annually or semi-annually (depending on each DC by-law), without amendment to the current by-laws, as of the first day of January and/or the first day of July in each year. This is in accordance with the most recent change in Statistics Canada Quarterly, Non-Residential Building Construction Price Statistics.