Therefore, when setting up a trust, one may wonder who, between the agent and the economic beneficiary, engages in commercial activity with respect to the property (provided the property is not used for tax-exempt activities). The person making the deliveries in connection with the property, if any, is the person considered to be engaged in commercial activity. As noted above, the agent of a simple trust holds only legal property and, at his request, transfers that title according to the specific instructions of the economic beneficiary. The mere agent would not be considered a commercial activity with respect to the ownership of the trust and, therefore, the trust would not be required to register under the law. I hope that this case will be limited to its facts (or cases of NHR), as it has the potential to create a lot of uncertainty about the operation of the GST/HST in the context of agents (which would have historically been considered transaltant) and mere agents. A simple agent, commonly known as Nominee, owns a registered property (property) for someone else, and often this property is land. The duty of a simple agent is to make the economic beneficiary legally binding on his request. A simple agent cannot manipulate fiduciary property in any other way, unless ordered by the economic beneficiary. Often, a simple agent is a business without having other assets.

94 … [paragraph 254, paragraph 2, point b) ] speaks of the person`s reason for acquiring the complex at the time that person «becomes or assumes responsibility in the context of a purchase and sale contract.» It is the relationship of the person who acquires the complex with the owner – a relationship with the purchase and sale – that is relevant, not the relationship between the co-buyers. Regardless of the underlying purpose of a trust and regardless of the value and importance of the assets held by the directors to the beneficiaries, all trusts share three essential characteristics: also known as single trusts or bare trusts, bare trusts are often used by parents and grandparents to transfer assets to their children or grandchildren. Cash trust rules allow beneficiaries to decide when they want to recover the trust`s assets as long as they are at least 18 years old in the UK. Recipients can use the capital and income they inherit from a simple trust as they see fit. However, this tax is levied on the creator or settlor of the trust if the beneficiary is under the age of 18. For example, a grandparent who opens up pure trust for an infant should pay income taxes on the trust until the recipient of the infant is 18 years old. Should insurers be drawn to a trust agent who holds a registered title? While the PTT exception continues to apply to bare trusts, the future usefulness and usefulness of these trusts in BC real estate transactions have recently been called into question.

In concrete terms, a new PTT form was introduced on September 17, 2018, which requires that additional information be disclosed when a real estate transaction takes place through a trust, including a bare trust. In addition to disclosing the rightful owner of the property, the parties must also disclose certain information about any other party interested in the property, including a party with an economic interest.