Transaction Levy Filings – Real Estate

Understanding the general principles behind the risk involved in a transaction will help you determine when a real estate transaction levy should be applied.

Generally, a levy is required when:

• The lawyer is acting for the vendor only
• The lawyer acts for the purchaser who has not acquired title insurance

Generally, a levy is not required when:

• All purchasers and lenders have acquired title insurance
• There is no title insurance but the client is transferring land to themselves, themselves and a spouse, or to any person in consideration of natural love and affection
• Documents are registered on title but there is no property transfer or charge registered
• A body corporate transfers land to another body corporate with which it is affiliated
• A personal representative or their successor acting as an executor, administrator or trustee, transfers land to a beneficiary or to a successor personal representative

Yes, you must pay the transaction levy because the title insurance policy does not insure the vendor and therefore the vendor’s lawyer continues to be exposed to risk.

Just one levy is payable in this instance.

The real estate transaction levy surcharge is $65 per transaction inclusive of PST (it is not subject to HST or GST). For these transactions, the real estate transaction levy surcharge is calculated as follows:

Yes, you are still required to file declaring you had zero transactions.