Vancouver Condo Real Estate Video Blog #406 - September 18, 2009
Property Transfer Tax Readjustment for Irregular Vancouver Sale Price
Ian Watt Video blogs about a friend who had is PTT or Property Transfer Tax readjusted because the provincial government assumed that the purchase price was too low and unrealistic. If you want to voice your opinion or if you don't care for Ian's comments please email your feedback to ianwatt@ianwatt.ca and visit http://www.ianwatt.ca/RealEstateVideos for all the Ian Watt Real Estate Video Blogs.
Ian Watt: Hi Good Afternoon, it's Ian Watt in Downtown Vancouver. Interesting thing in happen, when the market tank last fall. A friend of mine bought a property and it was well below market value. You just bought it coz nothing else to moving at that time. When British Columbia, British Columbia we had a a property transfer tax which is one percent on a first two hundred thousand and two percent on the remainder which goes to the provincial government. With the provincial government sent him a letter saying reassessing your property transfer tax because we don't believe the price that you got it for and I guess it was way way way below market value. So they think there was some sort of scam going on or something going on to the point where, maybe it was a family member transferring it to another person they put a low price. But the truth is, he really actually bought it from a stranger at a super discounted price. He disputed it and he didn't have to pay all set and done. However, the government does looking to your property transfer tax and looks into all the sales. If anything is totally irregular they will audit you as far as your sale is concerned. They don't do that many apparently they do that last ten year but you have to be careful if when you are selling it within arm reach of your family or something like that. Make sure you talk to your accountant first. My name is Ian Watt if you have any questions. You can always email me your comments at ianwatt@ianwatt.ca. Thank you very much and have a great day!