Protect Our Parks

What is Crown Land or a Crown Land Tenure?

Crown land is land or land covered by water (e.g. rivers, lakes, ocean seabed) owned by the provincial or federal government that are unoccupied and exempt from taxation. A Crown land tenure is an agreement between an individual or company to lease this land from the provincial or federal government. Tenures are granted for specific purposes and periods of time.

Assessment of Crown Land Property

When Crown land is occupied (whether leased or not), it becomes subject to assessment and taxation. The assessed value of the land is based on its market value as if it were private land, not on the value of the Crown lease.

When completing the assessment, the assessor considers any restriction placed on the land by the Crown. However, neither the duration nor the value of the lease is considered. Many Crown leases are granted for farm use and those assessments are based on a special schedule of rates that considers the value of the land as farm without regard to its value for other purposes.

Crown Land and Property Taxes

Occupiers of Crown land are required to pay property taxes. Payment of property taxes, in addition to the rental fee, is a condition of many Crown land leases, licenses, permits, rights of way or easements.

Property assessments of Crown land are based on the value of the land as if it was owned outright by the occupier. Even if the lease costs less than the purchase price, the land is valued as if it was owned outright.

• If a Crown land tenure is acquired in a rural area on or after January 1, property taxes are not levied for that year. Instead, the tenure is entered on the next Assessment Roll and the occupier becomes liable for taxes the following year.
• If a Crown land tenure is acquired in a municipal area on or after January 1, property taxes are pro-rated from the date of occupation through to termination of the lease.
• When a Crown land tenure is cancelled, expires, or is abandoned, the full amount of property taxes is due and payable in the year the tenure is terminated. Once terminated, the Crown tenure is removed from the following year’s Assessment Roll.
• If a Crown land tenure ends during the year, tenants are responsible for taxes that apply up to the date the tenure ends.
• When a Crown tenure is acquired by way of an assignment (e.g., of a lease or license), the new occupier assumes liability for all unpaid property taxes. Before agreeing to an assignment, it is important to enquire about the status of the property’s tax account by contacting the local municipal office.
• When a Crown tenure is cancelled and a new tenure for the same property is issued, any unpaid taxes for the previous tenure remain the responsibility of the previous occupier.
• To cancel Crown tenure, contact the Land and Water British Columbia Inc. office closest to the tenured land. You must receive written confirmation of the cancellation by December 31, or you will be liable for taxes for the following year.