Possible Tax Implications of the Land Ownership Transparency Registry

Could the Land Ownership Transparency Registry have Property Transfer Tax implications? Maybe, according to Tony Spagnuolo, Spagnuolo Law.

Tony Spagnuolo spoke at our Monday office zoom meeting about the impact that the new Land Owner Transparency Registry (LOTR) may have on Property Transfer Tax. Tony speculates that the government will be looking for ways (taxation and transfer costs) to cover the costs of COVID relief initiatives. Property Transfer Tax (PTT) and Capital Gains revenues maybe the easiest way for the government to do this.

Currently, changing company ownership does not trigger PTT. The new LOTR may allow for collection on PTT in the future when company (Holding Co, Trust Co, Partnerships etc…) shares are transferred. Tony recommended that investors speak to their tax planners about Section 85 Estate Freezes and/or Section 86 Roll Overs. We are advising our investor clients to seek advice from their tax planners to find out about any and all options or opportunities available to them to prevent any financial surprises.

We are not qualified to give tax advice. We recommend you speak to someone who is. If you need a referral to a tax specialist, call us.