Provincial Non-resident Deed Transfer Tax
The Provincial Deed Transfer Tax (PDTT) was effective for all purchase and sale agreements and other specific transfers starting on April1, 2022.
The Provincial Non-Resident Deed Transfer Tax (PDTT) is a deed transfer tax for non-residents of Nova Scotia that is applied at the time of purchase/transfer of a residential property. This provincial deed transfer tax applies in addition to the municipal deed transfer tax historically paid on property transfers and where payable, is remitted at the time of closing. The PDTT is a 5% tax levied on the purchase price or the assessed value of property (whichever is greater).
The PDTT applies to all residential properties or portion of property deemed residential with 3 dwelling units or less, including vacant land classified as residential.
If a purchaser is planning to move to Nova Scotia to live and buys a home, the purchaser will be exempt from the deed transfer tax – but will need to confirm their residency in Nova Scotia within six (6) months via documented proof.
Further details can be found using the following link:
https://novascotia.ca/finance/en/home/taxation/tax101/non-resident-deed-transfer-tax-and-property-tax.html
|