Land Owner Transparency Regulation – LOTA Update And Indirect Control Explained

Background

The Land Owner Transparency Act (LOTA) received royal assent on May 16, 2019. However, it was not until September 20, 2020 that the legislation was brought into force pursuant to Order in Council No. 549 and the regulatory requirements under the Land Owner Transparency Regulation (the Regulation) were made available.

The objects of LOTA are to "prevent tax evasion, fraud and money laundering"¹ by increasing transparency in relation to land ownership. To achieve these objectives, LOTA requires all individuals who beneficially hold, directly or indirectly, an interest in land² in British Columbia (whether through a relevant corporation, relevant partnership, or relevant trust) to be listed in a publicly searchable registry.³ For a more detailed analysis of LOTA requirements, please see our article here. The impacts of the Regulation are discussed below, along with anticipated impacts to transactions involving beneficial owners.