BC GST Tax & Rebate Calculator including PTT for Vancouver Real Estate

**** PLEASE NOTE – This Calculator is for entertainment purposes only and cannot be relied upon for making actual GST calculations. *****



British Columbia Goods and Services Tax for Properties & Property Transfer Tax Calculator

During the Summer of 2011 BC voters by a margin of 55% rejected the Harmonized Sales Tax in favour of the Goods and Services Tax.

There is a huge amount of confusion surrounding taxes on property sales here in BC.

 

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I get so many questions on this topic that I have added this BC GST Rebate and PTT Calculator to my website to try to dispel some of the confusion surrounding taxes and real estate in BC.

Looking for HST Calculations? Check out this HST Calculator!

What is the Goods and Services Tax (GST) on Real Estate in BC?

The BC GST for property is a 5% Federal tax that is payable on the sale of brand new properties in British Columbia. This means newly constructed properties sold by a developer or an owner builder.

This also means that presale condos that are both bought from the developer or from another investor as an assignment of contract are subject to BC GST.

Is there a Rebate of BC GST for Real Estate?

Yes. For homes under $350,000 that the buyer intends on living in, there is a full 36% rebate of the GST referred to at the G.S.T. New Housing Rebate. Property purchases between $350,000 and $450,000 is gradually reduced to nothing. Homes over $450,000 get no GST New Home Rebate.

Is there a BC GST Rebate for Rental Properties?

Yes. For new properties a buyer intends to rent out, there may also be a rebate available referred to as the GST New Residential Rental Rebate (GST NRR Rebate). As with the GST New Housing Rebate, the full GST NRR Rebate is only available for new properties under $350,000 and a partial rebate is available for properties priced between $350,000 and $450,000. There is no rebate for properties over $450K

  1. To qualify for this rebate the Buyer must meet certain conditions which include:1. the Purchaser must not be entitled to claim input tax credits in respect of any part of the tax payable on the acquisition of the rental unit.
  2. The rental unit must be a “qualifying residential unit” which means the person applying for the rebate must be the owner of the unit and the unit must be a self contained residence as defined in the Excise Tax Act;
  3. The property must be held by the owner for the purpose of making exempt supplies (for example, a residential tenancy)
  4. The property must be used as a primary place of residence by the tenants and must be so used for at least one year and the Purchaser will have to provide a copy of the tenancy agreement showing a term of at least one year.

How is the BC GST on property sales calculated?

BC GST is calculated on the purchase price of the property as laid out in the Contract of Purchase and Sale.


Is BC GST payable on all property transactions?

No, only new properties are subject to BC HST.

What is the Property Transfer Tax (PTT) in BC?

Property Transfer Tax or PTT is a tax on the transfer of ownership of properties in BC.

BC PTT is 1% on the 1st $200K & 2% on the balance of the purchase price.

Is there a PTT exemption for First Time Home Buyers in BC?

Yes, buyers who are BC residents and have not purchased a property anywhere in Canada or the world are are not required to pay PTT when buying a property under $475,000 (Updated February 2014 as per the changes to the First Time Home Buyers PTT Exemption Change).

For more details on who pays PTT and when have a look at this post on the Property Transfer Tax in BC.

When is GST payable on Real Estate Transactions in BC?

Upon Completion of the Contract of Purchase and Sale at the Land Titles Office.

When is PTT Payable on Property Sales in British Columbia?

Again, upon Completion of the Contract of Purchase and Sale (Subject Free Accepted Offer) at the Land Titles Office.

Looking for other Calculators for Vancouver Real Estate?

Check out this great Realtor Commission Calculator and 40 Year Canadian Mortgage Calculator!

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  Comments: 21


  1. Hi Mike,

    Long time no chat!

    How does the new BC budget ( Feb 2016) affect the PTT? Is this only on new builds, new purchases after the budget date, or on all new builds with a closing date in the future. For example, I purchased my pre sale condo 1.5 years ago but completion is still 1.5 years away. Am I now exempt from paying PTT since my property is under $750,000?


    • Hi Joanne,

      Good to hear from you.

      Here is what the Provincial Gov’t had to say:

      • a New Housing exemption will apply to newly built homes or newly subdivided units priced up to $750,000, saving buyers up to $13,000; and

      • a partial exemption will apply on newly built homes priced $750,000 to $800,000.

      • a new 3% PTT rate will apply to the portion of a home sale that exceeds $2 million. For homes that sell for below $2 million, the PTT will continue to apply at a rate of 1% on the first $200,000 and 2% on the balance.

      These changes will take effect on February 17, 2016.

      What are your thoughts?

      Thanks!


      • I guess my question is this. It takes effect Feb 2017 but is that only on contracts entered into after that date or does it include pre sales where the contract was entered into before Feb 2017 but completion is after February 2017?

        As you know I bought June 2014 but completion is the fall of 2017 so I just want to know if I am now exempt from paying PTT since my unit is below $750,000.


  2. Edit, effective date of change should read in my post 2016, not 2017, but my questions is still the same. Contract date or completion date?


  3. Hi
    Is the first time home buyer PTT exemption applicable if the property is a multifamily home like a duplex triplex etc, a part of which is rented?


  4. There is this brand new condo I am interested in buying. The seller bought it as a presale and just recently completed. He said he has already paid GST. If I were to buy from him, do I have to pay GST again?


    • Hi Yanna,

      Good to hear from you.

      We can definitely help you with this.

      Give me a call at 604-763-3136 and we can help you with this.

      Thanks


  5. Can the rebate of the newly bought pre sale unit be directly deducted from the GST to be paid upon the completion date?


  6. Hi,
    Just wondering if the GST also applies to raw land? And if so is there a chance I can get a rebate on it even though I had once owned a home in Alberta years ago?
    Thanks!

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