Adjustment Date

The adjustment date is the date on which property taxes, strata fees, utility charges, and other property-related expenses are prorated between the buyer and seller. It is typically the same as the completion date (when legal title transfers), but the parties can agree to a different adjustment date in the Contract of Purchase and Sale. Verify the exact adjustment date in your contract with a BC lawyer or notary before closing.

No. While the adjustment date is usually the same as the completion date (the date title transfers under the Land Title Act, RSBC 1996, c. 250), the parties may agree in the Contract of Purchase and Sale to set a different adjustment date. Any variation should be clearly specified in the contract. Verify the terms of your specific contract with a BC lawyer or notary before closing.

Common expenses prorated on the adjustment date include property taxes, strata fees (if applicable under the Strata Property Act, SBC 1998, c. 43), utility charges (water, sewer, gas, electricity), and sometimes insurance premiums or rental income. The seller is generally responsible for expenses up to and including the adjustment date, and the buyer is responsible from the day after. Verify the specific adjustments in your Statement of Adjustments with a BC lawyer or notary.

Property taxes are typically prorated based on the number of days each party owns the property during the tax year. The seller is credited or debited for taxes up to and including the adjustment date; the buyer assumes responsibility from the day after. Because BC municipalities have varying tax billing cycles and deadlines, verify the exact proration method and current tax amounts with a BC lawyer or notary and the relevant municipal tax office before closing.

The buyer's lawyer or notary typically prepares the Statement of Adjustments, which itemizes all prorations and credits as of the adjustment date. Both parties' legal representatives review and agree on the adjustments before completion. The Statement of Adjustments is a detailed accounting document required to complete the transaction under standard BC conveyancing practice. Verify all figures in your Statement of Adjustments with your BC lawyer or notary before closing.

Yes. The adjustment date (when expenses are prorated), the completion date (when title transfers under the Land Title Act, RSBC 1996, c. 250), and the possession date (when the buyer takes physical occupancy) can all be different if specified in the Contract of Purchase and Sale. These variations can create complexities in proration and liability, so verify the exact dates and their implications with a BC lawyer or notary before signing or closing.

If property taxes are unpaid as of the adjustment date, the seller is typically credited on the Statement of Adjustments for their proportionate share of the taxes owing, and the buyer will pay the full tax bill when due. Alternatively, the seller may pay the taxes before closing and be reimbursed for the buyer's portion. The exact treatment depends on the terms agreed in the Contract of Purchase and Sale and local practice. Verify the adjustment method with your BC lawyer or notary.

Yes. For properties governed by the Strata Property Act, SBC 1998, c. 43, strata fees are typically prorated on the adjustment date. The seller is responsible for strata fees up to and including the adjustment date, and the buyer is responsible from the day after. Verify the current strata fee amount, payment status, and any pending special levies with your BC lawyer or notary and the strata corporation's Form B (Information Certificate) before closing.

No. Property Transfer Tax (PTT) under the Property Transfer Tax Act, RSBC 1996, c. 378, is calculated on the fair market value of the property and is payable on registration of title, which occurs on the completion date (not the adjustment date). The adjustment date affects only the proration of ongoing property expenses, not PTT liability. Verify current PTT rates and exemption eligibility (as of 2026-07-27 — verify current) with a BC lawyer, notary, or the BC Ministry of Finance before closing.

If you disagree with an adjustment shown on the Statement of Adjustments, raise the issue immediately with your BC lawyer or notary before the completion date. Adjustments are typically negotiated and agreed between the parties' legal representatives in advance of closing. Once the transaction completes, disputes become more difficult to resolve. Verify all calculations and supporting documents (tax notices, strata fee statements, utility bills) with your BC lawyer or notary before agreeing to close.