Certain corporations, trusts or partnerships that held an interest in B.C. real estate on or before November 30, 2020 may have new provincial reporting requirements under the Land Owner Transparency Act (LOTA). These rules obligate certain entities that hold registered legal title in B.C. real estate to file a "transparency report" with British Columbia's "Land Owner Transparency registry" by November 30, 2021. British Columbia implemented the new rules to track ultimate individual interest holders of B.C. real estate in this public and searchable registry. Specifically, relevant corporations, trustees of relevant trusts or partners of relevant partnerships (i.e., the reporting bodies) that are subject to these rules must provide personal information about certain individuals (i.e., the interest holders) who ultimately hold an interest in the relevant property, among other details.
Background
A reporting body (i.e., a relevant corporation, trustee of a relevant trust, or partner of a relevant partnership) is required under the LOTA to file a "transparency declaration" as well as a "transparency report" with the Land Owner Transparency registry, when it files an application to register an interest in B.C. real estate on and after November 30, 2020.
For reporting bodies that held registered legal title in B.C. real estate on or before November 30, 2020 and continue to hold registered legal title as at November 30, 2021, they are required to file a transparency report by November 30, 2021 under the LOTA.
Reporting bodies must also file a new transparency report within two months of any change to the interest holders (even when there has not been a transfer of legal title to the land). This situation may arise where the reporting body undergoes a reorganization, estate freeze or acquisition.
The transparency report generally requires information on:
- The reporting body (e.g., names and business numbers)
- The interest holders of the relevant real estate (e.g., name, date of birth, address, social insurance number, tax number, tax residence)
- The settlor of the trust (in the case of a reporting body that is a relevant trust)
- The person certifying the report (e.g., name, position, and contact information).
For more information, contact your KPMG adviser.
Information is current to October 25, 2021. The information contained in this publication is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act upon such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's National Tax Centre at 416.777.8500
