June 1st, 2021, FINTRAC, the Financial Transactions and Reports Analysis Centre of Canada, is enacting several amendments to the Proceeds of Crime, Money Laundering and Terrorist Financing Act (PCMLTFA). These changes will affect the common practice of many industries across Canada, including real estate professionals. For full details of the amendments, you can visit the following links:
Regulations Amending Certain Regulations Made Under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, 2019 (SOR/2019-240)
Regulations Amending the Regulations Amending Certain Regulations Made Under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, 2019 (SOR/2020-112)”
CREA’s template materials have been updated to reflect new FINTRAC policy interpretations and guidance. Revised draft materials, which incorporate the changes, are now available on REALTORLink®. CREA will send out notifications once revised forms are posted on CREA WEBForms®. DealSimple and Repree will be updated once the new forms are made available.
FINTRAC has issued a notice stating that they will not be assessing compliance to new regulations until April 1, 2022. This means that from June 1, 2021, to March 31, 2022, REALTORS® have been provided with a grace period where they are still required to comply with the new regulations but are less likely to face penalties if a deficiency is found with respect to the new obligations.
The summary guidance affecting your practice under this new amendment is:
Should you have any questions please send them to email@example.com.