3 General Rate Of Tax

• 3 (1) The tax payable under section 2 in respect of a taxable transaction is the sum of the following:

• (a) 1% of the taxable transaction’s fair market value that does not exceed $200 000; and
• (b) 2% of that fair market value that exceeds $200 000 but does not exceed $2 000 000;
• (c) 3% of that fair market value that exceeds $2 000 000;
• (d) if section 3.01 applies in respect of the taxable transaction, the amount determined under subsection (4) of that section.

• (1.1) Subsections (2) to (7) do not apply to tax under section 2.02(3).
• (2) If a transferee

• (a) applies for registration of a taxable transaction at a land title office, and
• (b) within 6 months after the application referred to in paragraph (a) applies for registration of one or more additional taxable transactions respecting the same land,

• the rate of tax owing on the taxable transaction referred to in paragraph (b) is to be calculated based on the cumulative total of the fair market value of the taxable transactions referred to in paragraphs (a) and (b) as if all the taxable transactions referred to in paragraphs (a) and (b) were a single taxable transaction.
• (3) If

• (a) a transferee applies for registration of a taxable transaction at a land title office, and
• (b) one or more related individuals of the person referred to in paragraph (a) apply, as transferees, at the same time as or within 6 months after the application referred to in paragraph (a), for registration of one or more taxable transactions respecting the same land for which the transferor is not the person referred to in paragraph (a),

• the tax owing on the taxable transactions referred to in paragraphs (a) and (b), in total, is to be calculated based on the total fair market value of the taxable transactions referred to in paragraphs (a) and (b) as if all those taxable transactions were a single taxable transaction, and the transferees referred to in paragraphs (a) and (b) are jointly and severally liable to pay that total tax.
• (3.1) In subsections (3.2) to (3.5), words and expressions used have the same meaning as in section 14(3)(j) and (p.3) and 4(k) and (k.1).
• (3.2) If the exemption set out in section 14(3)(j) is not available to a transferee only because the condition set out in section 14(3)(j)(ii) is not fulfilled, the tax payable by the transferee must be calculated as if all of the taxable transactions in relation to a transfer of all of, or a registered ownership interest in, one or more of the smaller parcels created under the subdivision were a single taxable transaction with a fair market value calculated

• (a) firstly, by determining the difference between the following 2 percentages by subtracting from the percentage under subparagraph (i) the percentage under subparagraph (ii):
  • (i) the transferee’s proportionate share, expressed as a percentage, of the fair market value of the smaller parcels, calculated using the fair market values as they were immediately after the subdivision;
  • (ii) the transferee’s proportionate share, expressed as a percentage, of the fair market value of the original parcel referred to in section 14(3)(j)(i), calculated using the fair market value as it was immediately before the subdivision, and
• (b) secondly, by multiplying the total fair market value of all of the smaller parcels, calculated at the time of the application to register the transfer to the transferee, by the difference determined under paragraph (a), to obtain the fair market value that is subject to tax.

• (3.21) If the exemption set out in paragraph (p.3) of section 14(3) is not available to a transferee only because the condition set out in that paragraph is not fulfilled, the tax payable by the transferee must be calculated as if all of the taxable transactions in relation to the amendment of the strata plan were a single taxable transaction with a fair market value calculated

• (a) firstly, by determining the difference between the following 2 percentages by subtracting from the percentage under subparagraph (i) the percentage under subparagraph (ii):
  • (i) the transferee’s proportionate share, expressed as a percentage, of the fair market value of all the parcels involved in the amendment, calculated using the fair market values as they were immediately after the amendment;
  • (ii) the transferee’s proportionate share, expressed as a percentage, of the fair market value of all the parcels involved in the amendment, calculated using the fair market values as they were immediately before the amendment, and
• (b) secondly, by multiplying the total fair market value of all of the parcels involved in the amendment, calculated at the time of the application to register the transfer to the transferee, by the difference determined under paragraph (a), to obtain the fair market value that is subject to tax.

• (3.3) If the exemption set out in section 14(4)(k) is not available to the trustee only because the trustee

• (a) transfers all of, or a registered ownership interest in, one or more of the parcels created under the subdivision to one or more transferees, in this subsection called the “third parties”, none of whom was a registered owner of one or more of the original parcels immediately before their transfer to the trustee, or
• (b) retains all of, or a registered ownership interest in, one or more of the parcels created under the subdivision, the tax payable by the trustee must be calculated as if the transfer of the original parcels were a single taxable transaction with a fair market value calculated
• (c) firstly, by determining the third parties’ proportionate share, expressed as a percentage, of the fair market value of the parcels created under the subdivision, calculated using the fair market values as they were immediately after the subdivision,
• (d) secondly, by determining the proportionate share retained by the trustee, expressed as a percentage, of the fair market value of the parcels created under the subdivision, calculated using the fair market values as they were immediately after the subdivision,
• (e) thirdly, by determining the sum of the percentages determined under paragraphs (c) and (d), and
• (f) fourthly, by multiplying the total fair market value of the original parcels, calculated using the fair market values as they were immediately before the subdivision, by the percentage determined under paragraph (e), to obtain the fair market value that is subject to tax.

• (3.4) If the exemption set out in section 14(4)(k.1) is not available to an original owner only because the condition set out in section 14(4)(k.1)(ii) is not fulfilled, the tax payable by the original owner as transferee must be calculated as if all of the taxable transactions in relation to a transfer of all of, or a registered ownership interest in, one or more of the parcels were a single taxable transaction with a fair market value calculated

• (a) firstly, by determining the difference between the following 2 percentages by subtracting from the percentage under subparagraph (i) the percentage under subparagraph (ii);
  • (i) the original owner’s proportionate share, as transferee, expressed as a percentage, of the fair market value of all of the parcels created under the subdivision, calculated using the fair market values as they were immediately after the subdivision;
  • (ii) the original owner’s proportionate share, expressed as a percentage, of the fair market value of the original parcels referred to in section 14(4)(k.1)(ii), calculated using the fair market values as they were immediately before the subdivision, and
• (b) secondly, by multiplying the total fair market value of all of the parcels created under the subdivision, calculated at the time of the application to register the transfer to the original owner, by the difference determined under paragraph (a), to obtain the fair market value that is subject to tax.

• (3.5) Subsections (3.2) to (3.4) do not operate to impose a tax that is greater than the tax that would be payable under this Act without those subsections.
• (4) If

• (a) a transferee that is a corporation (in this subsection and subsection (5) called the “corporate transferee”) applies for registration of a taxable transaction at a land title office, and
• (b) one or more corporations associated with the corporate transferee apply, as transferees, at the same time as or within 6 months after the application referred to in paragraph (a), for registration of one or more taxable transactions respecting the same land for which the transferor is not the corporate transferee,

• the tax owing on the taxable transactions referred to in paragraphs (a) and (b), in total, is to be calculated based on the total fair market value of the taxable transactions referred to in paragraphs (a) and (b) as if all those taxable transactions were a single taxable transaction, and the transferees referred to in paragraphs (a) and (b) are jointly and severally liable to pay that total tax.
• (5) For the purposes of subsection (4), a corporation is associated with a corporate transferee if the corporation and the corporate transferee are associated, within the meaning of section 256 of the Income Tax Act (Canada), on the date that the corporation applies to register a taxable transaction respecting the land referred to in subsection (4) of this section.
• (6) The tax owing on a taxable transaction referred to in paragraph (g) of the definition of “taxable transaction” is to be calculated as if

• (a) the taxable transaction were a single lease transaction referred to in paragraph (e) of the definition of “taxable transaction”, and
• (b) the term of the lease transaction were the total of the terms referred to in paragraph (g)(iii) of that definition.

• (7) Each transferee under the taxable transaction referred to in subsection (6) is jointly and severally liable to pay the tax owing on that taxable transaction.

1987-15-3; 1987-44-37, effective September 25, 1987 (B.C. Reg. 362/87); 1989-9-2, deemed effective March 31, 1989; 1991-16-3, deemed effective April 29, 1991; 1994-14-2, deemed effective January 31, 1994; 1996-9-11, deemed effective May 1, 1996; 1999-47-51, deemed effective March 31, 1999; 2010-2-92, effective March 3, 2010; 2016-3-46, effective February 17, 2016; 2016-27-5, effective August 2, 2016; 2018-4-57.