In Toronto, and cities across Canada, increasing population intensification in urban centres has put pressure on municipalities and created uneven patterns of growth. Tax increment financing (TIF) is a flexible tool that can direct and manage growth, fund infrastructure investments, and revitalize communities. In 2006, the Government of Ontario passed the Tax Increment Financing Act, yet no jurisdiction in the province has implemented the tool. This report identifies and analyzes how TIF can be implemented in Toronto to effectively achieve positive outcomes. To do this, a combination of literature, best practices and case studies were explored. As the municipality with the most extensive experience with TIF in Canada, Calgary’s case is a focus of the report. The findings of the research are presented in the form of recommendations guiding how the City of Toronto could most effectively implement a TIF scheme.