When you are buying a property you are responsible for pay Property Transfer Tax, the tax rate varies.

FOREIGN
BUYERS TAX UPDATED
REAL ESTATE COUNCIL OF B.C.
OFFICE OF THE SUPERINTENDENT OF REAL ESTATE
ULTIMATE COLLECTION

FOREIGN BUYER TAX

This now applies to FOREIGN BUYERS

* An additional property transfer tax applies to residential property transfers to foreign entities in the

* Greater Vancouver Regional District

* Capital Regional District

* Fraser Valley Regional District

* Regional District of Central Okanagan

* Regional District of Nanaimo

• The Buyer is and will be on the Completion Date, a “foreign entity” or a “taxable trustee” as defined in the British Columbia Property Transfer Tax Act [as amended[] collectively the “Foreign Entity”]. The Buyer is aware that that the Property Transfer Tax Act imposes an additional 20% Property Transfer Tax of the fair market value of any residential property being purchased by a Foreign Entity. The Buyer will thus be required to pay Property Transfer Tax equal to the total of:
1% under $200,000 = $ 2,000.00
2% over $200,000 and less than $2 million = $ 36,000.00
3% over $2 million and less than $3 million = $ 30,000.00
Tax 5% on amount over $ 3 million = $ 150,000.00
TOTAL TAX ON $6 million = $ 218,000.00

PLUS

20% FOREIGN BUYERS on $6 million = $1,200,000.00

THEREFORE TOTAL TAXES ARE $1,418,000.00

**************************

by: Barb
barbarabellolsen@shaw.ca
Managing Broker, Royal LePage Westside