Property Transfer Tax
Updated February 2008
FIRST TIME HOMEBUYERS
The Property Transfer tax is a tax payable to the B.C. provincial government and is applicable on all purchases of real estate - residential, commercial & industrial.
Qualifications for Exemption:
1) Purchaser has never owned principal residence anywhere in the world at any time
2) B.C. citizen or permanent resident & resided in B.C. for one year plus
3) Purchase price maximum is $425,000 for all of B.C.
4) No minimum financing required to be eligible for the exemption
5) Must move into property within 92 days after registration of purchase and reside there for minimum of 1 year.
The maximum tax exemption is any purchase is $425,000. Beyond that up to $450,000 is a pro-rated partial exemption. Tax payable is 1% of first $200,000 and 2% of balance.
Formula: PPT
tax x (purchase price - $425,000)
$25,000
| Price | Exemption |
Tax Payable |
| $425,000 | $6,500 | $0 |
| $435,000 | $2,680 | $4,020 |
| $445,000 | $1,380 |
$5,520 |
| $450,000 | $0 |
$7,000 |
For further details, call your Verico Paragon Mortgage mortgage broker or check the website:
http://www.sbr.gov.bc.ca/documents_library/bulletins/PTT_004.pdf
