Property taxes in BC are due the first business day after July 1. If you buy a home at another time, for example in September, unless the property seller has stated they are they’re responsible for pay paying property taxes in the Contract of Purchase and Sale, then you must pay your share of the year to avoid a penalty.

Consider these examples:

If you buy your home before July 1 or before the taxes are fully paid, you’ll receive the seller’s part of the property taxes. You’ll be responsible for paying the total amount of the property taxes.

• Possession date: April 1
• Taxes: $4,500 less $570 (Home Owner’s Grant) = $3,930
• January 1 to April 1, 2023 is 90 days. $3,930.00 X 90 days = 35,370 ÷ 365 days in a year = $969.

You’ll receive $969 from the seller towards total cost of the property taxes, which you will pay in full by July 1.

If you buy your home after the seller has paid for the full tax year, you’ll have to reimburse them.

• Possession date: September 1
• Taxes: $4,500 less $570 (Home Owner’s Grant) = $3,930
• September 1 to December 31, 2023 is 122 days. $3,930 X 122 days = 47,946 ÷ 365 days in a year = $1,313.59

You’ll need to reimburse the seller $1,313.59 on the Statement of Adjustments to compensate them for already paying the taxes for the full year.