Property Transfer Tax:
In BC, whenever you purchase or gain an interest in property that is registered at the Land Title Office, you're responsible for paying property transfer tax. You pay this tax at the time the property is registered. The tax is calculated based on the fair market value of the property, or in other words, the price that a buyer would be willing to pay to acquire the property on the "open market".
To see how much tax you would be paying on any given property go here.
As of FEBRUARY 21, 2018, the Property Transfer Tax on residential properties above $3 million will be raised from 3% to 5%. It otherwise remains at 1% for the first $200,000, 2% of everything else up to the $2,000,000 mark, and 3% for the amount between $2 million and $3million unless exemptions apply.
There are several situations where you might be exempt from paying tax. See below.
Property Transfer Tax Calculator:
Use this property transfer tax calculator as a rough guide for determining how much PTT you will be paying on a given property. It does not factor in possible exemptions (see above) or replace the good advice of a qualified accountant, lawyer or notary.
The Property Transfer Tax should not be confused with GST or the Foreign Buyers Tax, which may also apply to your purchase. Nor should it be mistaken for annual property taxes.
To read more about other taxes that may apply to real estate transactions, go here.