Deed Transfer Tax

The Municipality introduced a deed transfer tax on September 1st, 2009, which applies to all property sales within the county with some exceptions. The DTT rate is 1.5%. Please see below deed transfer tax exemptions, and other deed transfer tax facts.

  • The Municipality’s authority to levy a deed transfer tax is granted under Part V of the Municipal Government Act.
  • The deed transfer tax is set by way of a by-law.
  • Cumberland County adopted a Deed Transfer Tax By-law on July 8, 2009 with an effective date of September 1, 2009.
  • The deed transfer tax rate in Cumberland County is 1.5%.
  • This tax will be collected by Registrar of Deeds, on behalf of the municipality.
  • It is paid by the grantee and is based on the purchase price.
  • All deeds must be accompanied by an affidavit of value.
  • The deed transfer tax must be paid within 10 days of the transfer.
  • When the grantee does not pay the deed transfer tax after 10 days from when the land was transferred, interest shall be paid at a rate determined by council through a policy.
  • If after 30 days from the time the land was transferred and the grantee has not paid the deed transfer tax and interest, an additional penalty of ten percent on the deed transfer tax shall be assessed.
  • The deed transfer tax, interest and penalty shall be a lien upon the property.
  • If the deed or the agreement of purchase and sale for a property transaction is signed prior to the imposition of a deed transfer tax, the deed is not subject to the tax.
  • If a property crosses one or more municipal boundaries, the appropriate deed transfer tax would go to each municipality based on the sale price, land area in each municipality and deed transfer tax rate, as determined by the Director of Assessment.
  • Exemptions
    1. transfers between people married to each other;
    2. transfers between people formerly married to each other, if the transfer is for the purpose of division of marital assets;
    3. transfers to a municipality;
    4. transfers by way of gift, notwithstanding that there is assumption of an encumbrance or there is nominal consideration paid;
    5. deeds that confirm, correct, modify or supplement earlier deeds if there is no consideration beyond $1.00 and the deed does not include more property than the deed previously given [deeds of confirmation and deeds of rectification are the most common;
    6. deeds from the Nova Scotia Farm Loan Board to a borrower (normally when the loan is paid out in whole or in part);
    7. tax sale deeds ;
    8. deeds signed before the municipality adopted the deed transfer tax by-law;
    9. deeds that transfer property pursuant to an agreement of purchase and sale entered into before the municipality adopted the deed transfer tax by-law ;
    10. deeds to registered Canadian charities where the property is not to be used for commercial, industrial, rental or other business purpose; however, if the property is used for such business purposes within three years of filing an affidavit of the charitable use of the land, the grantee is liable to pay the deed transfer tax.