What is land transfer tax and how is it calcuated? Are there any breaks for first time home buyers?

Residential properties are generally NOT subject to GST or PST, they are however subject to land transfer tax. This is a tax imposed and calculated on the value of the property being registered in the land registration office. It's calculated in the following manner .005% for the first $55,000, .01% on the balance up to $250,000, and .015% over $250,000. The formula of 1% of the purchase price-$275, also works providing the purchase price is less than $250,000.

Great news as well for first time home buyers the province is rebatting first time home buyers to a maximum of $2,000.