BCREA – Need to Know:
BC Budget - PTT exemption threshold for First-time Buyers
Increases on February 19th, 2014
The BC Government released Budget 2014/2015 today. The most direct and immediate announcement for REALTORS® is:
Property Transfer Tax Effective for registrations on and after February 19, 2014 — tomorrow — the Property Transfer Tax exemption threshold under the First Time Home Buyers’ Program is increased to $475,000 from $425,000, with the partial exemption/phase out applying between $475,000 and $500,000.
Government information online has already been updated:
The government estimates that approximately 1,700 first - time buyers will benefit this year, saving an average of $4,000 at a cost to government estimated at $8 million. According to BCREA Chief Economist Cameron Muir, who was in the budget lockup today, Minister de Jong stated that this tax measure is a “start” and a “beginning” of relief to the PTT. PTT revenue is forecast to decline 10.6% in 2014/2015, before increasing at 1.2% in each of the following years.