Property Transfer Tax
What is PTT: Propery Transfer Tax (PTT) is a tax payable to the Provincial Government and is applicable for property purchased in B.C.
The Tax is calculated by:
1% on the first $200,000 of the purchase price + 2% on the balance of the purchase price.
Example: If you are purchasing a home for $400,000 the PTT due would be:
$2,000 (1% of the first $200,000 of the purchase price)
+$4,000 (2% of the remaning $200,000 balance of the purchase)
$6,000 = Total PTT due.
If you are a First time Buyer: The First time Buyers Program may allow you to be exempt from the tax or reduce the amount owing.
To Qualify for a Full exemption:
At the time the property is registered you must:
-Be a Canadian Citizen OR Permanent Resident
-Have lived in B.C for 12 consecutive months immediately before the date you register the property or filled at least 2 income tax returns as a B.C resident in the last 6 years
-Have never owned an interest in a principal residence anywhere in the world, at any time.
-Have never received a First Time home buyers exemption or refund.
The property must:
-Be located in B.C.
-Only be used as your principal residence
-Have a fair market value of <$475,000.
-be larger than 0.5 hectares
** Please remember that the Property Transfer Act may frequently change along with the exemptions for payments of this tax. While this information is currently up to date please do not reply upon the information without talking to a solicitor.