British Columbia’s 2007 Provincial BudgetProperty Transfer Tax Act Amendments Changes are Effective February 21, 2007
On February 20, 2007, the Minister of Finance announced amendments to the exemption for amalgamations, the exemption for transfers to the Public Guardian and Trustee on behalf of a minor, and the definition of a family farm corporation.
First Time Home Buyers’ Program – Thresholds
Effective for registrations after February 20, 2007, the fair market value threshold for eligible residential property under the First Time Home Buyers’ Program is increased and will apply throughout the province. The new threshold will be $375,000 which is increased from $325,000 in the Capital Regional District, Fraser Valley Regional District and Greater Vancouver Regional District, and from $265,000 in all other areas of the province. A proportional exemption is provided for eligible residences that have a fair market value of up to $25,000 above the new threshold.
First Time Home Buyers’ Program – Habitat for Humanity
Under the First Time Home Buyers’ Program, eligible purchasers can claim an exemption from property transfer tax if the fair market value of the home is less than the threshold amount. Effective for registrations after February 20, 2007, families purchasing homes from British Columbia affiliates of Habitat for Humanity Canada (Habitat) will have greater access to the First Time Home Buyers’ exemption. Persons who purchase homes from Habitat will be eligible for the exemption if the principle amount of the first mortgage registered against the property by Habitat is less than the threshold.
Please see the following links to full text versions of the 19-page Budget Bulletin and 9-page PTT Bulletin:
If you have any questions regarding this FYI, please contact Dye & Durham’s Real Estate Divisions on the lower mainland at 604-257-1800, on Vancouver Island at 800-665-6211 or by email [email protected]