A new registry that tracks new condominium and strata assignments in BC will allow the provincial government to better tackle tax evasion.
The Condo and Strata Assignment Integrity Register (CSAIR), managed by the Land Title and Survey Authority of British Columbia, will collect information on condominium and strata assignments and help both senior governments find people who are not paying their fair share of taxes.
“We will not allow real estate speculators and tax frauds to take advantage of loopholes in the system any longer, and this register sends a clear message,” said Carole James, BC Minister of Finance, in a statement.
“The days of avoiding taxes through condo flipping are over,” she added. “This registry will help bring fairness and integrity back to BC’s real estate market, so that people can afford homes in the communities where they live and work.”
Beginning January 1, 2019, developers who sell strata lots in development properties are required to: include terms and a notice in their contracts to inform buyers of the new collection and reporting requirements; collect information such as the name and social insurance number or business information of the parties to the assignment; and report this information to the online register.
Information from CSAIR will be provided to the federal government’s Canada Revenue Agency so that property transfers can be tracked back to the assigner’s income tax return, ensuring people who assign condominiums are paying the appropriate taxes.
It will also force buyers to accurately report the final purchase price of a condominium unit and pay the appropriate property transfer tax.
CSAIR’s first assignment reporting period ends on March 31, 2019, and the report is due on April 30, 2019.
- BC announces government action against money laundering in real estate
- The BC government just capped the allowable rent increase for 2019
- BC's Rental Housing Task Force recommends slashing rental increases
- BC the first province to invest government housing funds into Indigenous housing
- BC government investing $1.9B to build 14,000 new rental homes
- Vancouver has the world's 4th largest housing bubble: UBS report