Running a Small Strata | Special Levy
Special Levies in a Small Strata
A special levy is a one-time charge the owners approve to pay for a stated purpose, such as a repair the reserve fund cannot cover. Split by unit entitlement it needs a 3/4 vote, and in a strata of 2 or 3 lots that means every owner who votes. This page covers how a levy is approved and split, what the resolution must say, due dates and sales, levies that need no vote, the court route for safety repairs, and what happens when an owner does not pay.
The short answer
- 01A special levy is money the strata raises from owners for one stated purpose, on top of regular strata fees (Strata Property Act s.108).
- 02Split by unit entitlement, it needs a 3/4 vote at a general meeting. Split any other fair way, it needs a unanimous vote (s.108(2)).
- 03The resolution must state the purpose, the total, how each share was worked out, each lot's amount, and the due date or instalment dates (s.108(3)).
- 04If a lot is sold, the seller owes the instalments due before the sale date and the buyer owes the ones due on or after it (s.109).
- 05A levy to pay the strata's insurance deductible needs no vote (s.158(3)). A safety repair levy that gets more than 1/2 but less than 3/4 can go to the Supreme Court for approval within 90 days (s.173(2) to (4)).
- 06An unpaid levy can carry interest up to 10% a year if the bylaws or the resolution say so, and the strata can register a lien on the lot (s.108(4.1), s.116; Regulation s.6.8).
How a special levy is approved
The strata may raise money from owners by a special levy (s.108(1)). It chooses one of two ways to split it. Split by unit entitlement, the same formula as strata fees, the levy needs a 3/4 vote at an annual or special general meeting. Split "in another way that establishes a fair division of expenses for that particular levy", it needs a unanimous vote (s.108(2)).
A 3/4 vote is at least 3/4 of the votes cast by eligible voters present in person or by proxy who do not abstain (s.1). A unanimous vote counts every eligible voter, present or not. The notice of the meeting, at least 2 weeks ahead, must include the proposed wording of the resolution (s.45). At the meeting, owners can change the wording only if the change does not alter the resolution in substance and is itself approved by a 3/4 vote (s.50(2)).
| Strata lots | Yes votes to pass a 3/4 vote, if every lot votes | Unanimous vote |
|---|---|---|
| 2 | Both owners | Both owners |
| 3 | All 3 (2 of 3 is 66.7%) | All 3 |
| 4 | 3 of 4 | All 4 |
| 5 | 4 of 5 (3 of 5 is 60%) | All 5 |
| 6 | 5 of 6 (4 of 6 is 66.7%) | All 6 |
Our arithmetic, one vote per lot, from the s.1 definition. The vote calculator handles absent owners and abstentions.
One more rule matters in small stratas. If a 3/4 resolution passes but the owners voting for it hold less than 50% of all the strata's votes, the strata must wait one week before acting on it, unless action is needed right away for safety or to prevent significant loss or damage. In that week, owners holding 25% of the votes can demand a special general meeting to reconsider it, held within 4 weeks (s.51). In a 6-lot strata where only 2 owners attend and both vote yes, a levy passes with 2 of 6 votes, which is under 50%, so this rule applies (our arithmetic).
What the resolution must say
| Part | What to write | Source |
|---|---|---|
| Purpose | What the money is for. The strata may spend it only on that purpose. | s.108(3)(a), (4)(c) |
| Total amount | The full sum being raised. | s.108(3)(b) |
| Method | How each lot's share was worked out: unit entitlement (3/4 vote) or another fair split (unanimous vote). | s.108(2), (3)(c) |
| Each lot's share | The dollar amount for every strata lot. | s.108(3)(d) |
| Due date | One date, or the date of each instalment. | s.108(3)(e) |
| Late interest (optional) | A rate up to 10% a year, compounded yearly, if set in the resolution or the bylaws. | s.108(4.1); Reg s.6.8(2) |
Once collected, the money must be recorded separately, kept in insured accounts at BC savings institutions or in investments the Regulation allows, used only for the stated purpose, and reported to owners (s.108(4)). Interest it earns belongs to the levy (s.108(7)).
How the levy is split
Example only, with made-up numbers: a 4-lot strata approves a $40,000 levy split by unit entitlement. The lots have unit entitlements of 80, 100, 120 and 100, a total of 400.
| Lot | Unit entitlement | Share | Levy |
|---|---|---|---|
| Strata lot 1 | 80 | 80/400 = 20% | $8,000 |
| Strata lot 2 | 100 | 100/400 = 25% | $10,000 |
| Strata lot 3 | 120 | 120/400 = 30% | $12,000 |
| Strata lot 4 | 100 | 100/400 = 25% | $10,000 |
| Total | 400 | 100% | $40,000 |
An equal split of $10,000 each would differ from the unit entitlement split for lots 1 and 3, so in this strata it would need a unanimous vote. One owner of a coach-house strata wrote to a BC strata advice column in August 2025 about a $45,000 roof bill for the original house, asking whether it should be split one third each or 54%, 23% and 23%. Unless every owner votes for another split, a levy follows unit entitlement, which is set in the schedule filed with the strata plan. The unit entitlement page explains it.
Due dates and selling a lot
The resolution sets the due date, or a date for each instalment (s.108(3)(e)). If a lot is sold after the levy is approved, the seller owes the parts payable before the date the lot is conveyed, and the buyer owes the parts payable on or after that date (s.109).
A buyer learns about levies from the Form B, which must show any amount the owner must pay in the future for a levy already approved and the date it is due, and any notice given for a 3/4 vote that has not been held yet (s.59(3)(d), (i)). The Form B page lists everything it shows.
Levies that need no vote, and the court route
The strata needs no owner approval for a special levy, or for a reserve fund expense, to cover an insurance deductible it must pay to repair or replace damaged property, unless it has decided not to repair or replace (s.158(3)). The strata can still sue the owner responsible for the loss to recover the deductible (s.158(2)). The insurance page covers deductibles.
For repairs to common property or common assets needed to keep people safe or prevent significant loss or damage, there is a court route. If a levy split by unit entitlement gets more than 1/2 but less than 3/4 of the votes cast, the strata can apply to the Supreme Court within 90 days after the vote, and the court may approve the resolution (s.173(2) to (4)). The Civil Resolution Tribunal cannot hear this application (Civil Resolution Tribunal Act s.122). In a 2-lot strata where both owners vote, the result is 0, 1/2 or all of the votes, so this route does not fit a 1 to 1 split (our arithmetic). The deadlock page covers the other tools.
When an owner does not pay
If the bylaws or the levy resolution set a rate, late payments carry interest of up to 10% a year, compounded yearly, and the interest counts as part of the levy (s.108(4.1), (4.2); Regulation s.6.8(2)).
Before registering a lien, the strata must give the owner at least 2 weeks' written notice demanding payment and saying a lien may be registered (s.112(2)). It then registers a Certificate of Lien (Form G) at the Land Title Office (s.116). The lien ranks ahead of most other charges on the lot, including a mortgage, with exceptions for Crown claims and builders liens (s.116(5)). Once paid, the strata must remove it within one week by registering an Acknowledgement of Payment (Form H) (s.116(6)). Reasonable legal costs and registry fees can be added to the amount owing (s.118). With a lien registered, the strata can ask the Supreme Court to order the lot sold (s.117).
The Province notes that, under the Limitation Act, unpaid strata fees and levies are generally not collectable after 2 years.
Leftover money
If the levy raises more than the purpose needs, or is not fully used, the strata must pay each owner the unused part in proportion to what their lot paid. If no owner would get more than $100 in total, the strata may put the excess in the contingency reserve fund instead (s.108(5), (6)). The budget and reserve fund page covers that fund.
Best For
- ✓ A strata that sends the full resolution wording with the meeting notice, so owners vote on exact amounts and dates.
- ✓ Instalment dates that give owners time to pay, written into the resolution.
- ✓ A separate record for the levy money, with a report to owners on how it was spent.
Usually Fails When
- ✕ The notice says "roof levy" with no wording, amounts or dates, and the meeting tries to fill them in.
- ✕ A small strata splits a levy "equally" when its unit entitlements differ, without a unanimous vote.
- ✕ Levy money is mixed into the operating account and spent on other bills.
What To Verify Before Spending Money
- → The Form B for any lot you buy, which lists approved levies still owing and their due dates.
- → Whether any notice has gone out for a 3/4 vote that has not been held yet; that is also on the Form B.
- → The unit entitlement of each lot, which sets each share.
Common questions
What is a special levy in a BC strata? +
A special levy is a one-time charge to owners, approved at a general meeting, to raise money for a stated purpose that the regular strata fees do not cover (Strata Property Act s.108). The money must be kept separate and used only for that purpose.
How is a special levy approved in BC? +
By a 3/4 vote at an annual or special general meeting if it is split by unit entitlement, or by a unanimous vote if it uses another fair split (s.108(2)). The notice of the meeting must include the proposed wording of the resolution (s.45(3)).
How is a special levy split between owners? +
Normally by unit entitlement: each lot pays its unit entitlement divided by the total unit entitlement, times the levy. Example only: a $40,000 levy in a strata whose lots have unit entitlements of 80, 100, 120 and 100 splits as $8,000, $10,000, $12,000 and $10,000. Any other split needs a unanimous vote (s.108(2), s.99).
When is a special levy due? +
On the date or dates set in the resolution, which must state when the levy is to be paid or, if it is paid in instalments, when each instalment is due (s.108(3)(e)).
Who pays a special levy when a strata lot is sold? +
If the levy was approved before the sale, the seller owes the parts payable before the date the lot is conveyed, and the buyer owes the parts payable on or after that date (s.109). The Form B shows any approved levy still owing and its due date.
Does a special levy for an insurance deductible need a vote? +
No. The strata needs no approval for a special levy or a reserve fund expense to cover an insurance deductible it must pay to repair or replace damaged property, unless it has decided not to repair or replace (s.158(3)).
What if a safety repair levy gets more than half the vote but less than 3/4? +
If the levy is for maintenance or repair of common property or common assets needed to keep people safe or prevent significant loss or damage, and more than 1/2 but less than 3/4 of the votes cast were in favour, the strata can apply to the Supreme Court within 90 days of the vote. The court may approve the resolution (s.173(2) to (4)). The Civil Resolution Tribunal cannot hear this application.
What happens if an owner does not pay a special levy? +
After giving at least 2 weeks' written notice demanding payment, the strata can register a Certificate of Lien (Form G) against the lot at the Land Title Office (s.112(2), s.116). Once paid, the strata must remove the lien within one week (s.116(6)). With a lien registered, the strata can ask the Supreme Court to order the lot sold (s.117).
Can the strata charge interest on a late special levy? +
Yes, if the bylaws or the resolution approving the levy set a rate. The maximum is 10% a year, compounded yearly (s.108(4.1); Regulation s.6.8(2)). The interest counts as part of the levy, so it can be included in a lien.
What happens to leftover special levy money? +
It goes back to the owners in proportion to what each lot paid. If no owner would receive more than $100 in total, the strata may put the excess in the contingency reserve fund instead (s.108(5), (6)).
Is a special levy the same as a special assessment? +
The BC Strata Property Act uses the term "special levy" (s.108). Some people call it a special assessment. The rules on this page are the BC rules for a special levy.
Can one owner block a special levy in a small strata? +
In a 2-lot or 3-lot strata, yes, if all owners attend and vote: one "no" keeps the yes votes under 3/4 of the votes cast. In a 4-lot strata, 3 yes votes of 4 pass it (our arithmetic from the s.1 definition of a 3/4 vote). A levy split some other way needs every owner.
Can an unpaid special levy be collected years later? +
The Province notes that, under the Limitation Act, unpaid strata fees and levies are generally not collectable after 2 years. Act on an unpaid levy promptly.
Is a special levy tax deductible? +
Not confirmed. The Canada Revenue Agency's rental income guide says condo fees for upkeep and current expenses of the common property are deductible on a rental unit, and we found no CRA text on special levies for major work. Ask an accountant.
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